REAL ESTATE EXAMINING BOARD
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IN THE MATTER OF RULE-MAKING : ORDER OF THE
PROCEEDINGS BEFORE THE : REAL ESTATE EXAMINING BOARD
REAL ESTATE EXAMINING BOARD : ADOPTING RULES
: (CLEARINGHOUSE RULE 15-010)
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ORDER
An order of the Real Estate Examining Board to repeal REEB 12.015, 12.02, 12.025(1), 12.03, 12.04(2), 25.01(2m), 25.01(5) and (5m), 25.01(8), 25.02, 25.025, 25.03, 25.035, 25.05, 25.06, 25.065(2)(note), 25.065(6m) and (7), 25.066, 25.07, 25.075 and 25.08; to renumber REEB 12.01(2)(a) and (b), 12.026; to consolidate, renumber, and amend REEB 12.04(1)(intro) and (a); to amend REEB 12.025(title), 12.025(2), 12.04 (title), 12.04(1)(c), 25.01(6), 25.065(1)(note) and (2), 25.065(5), 25.065(8), 25.065(9)(a) and (b); and to create REEB 12.011, REEB 12.013, REEB 12.017, 12.025(1m), 12.04(2m) and (3), 25.023, 25.028, 25.033, 25.038, 25.055, 25.065(10), 25.068, 25.09 relating to real estate applications and education.
Analysis prepared by the Department of Safety and Professional Services.
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ANALYSIS
Explanation of agency authority:
The board shall promulgate rules for the guidance of the profession.
After consultation with the council on real estate curriculum and examinations, the board shall promulgate rules establishing criteria for the approval of education programs and training sessions.
Related statute or rule: N/A
Plain language analysis:
The Board updated the code chapters relating to real estate applications and education to reflect changes due to 2013 Acts 133 and 288 and the recommendations by the Council on Real Estate Curriculum and Examinations. The Board updated the application licensure process to reflect the current practices and the recent statutory changes. In addition, the Board updated the education chapter to reflect current educational requirements. Section 1 renumbers the paragraphs to subsections.
Section 2 moves these two sections to the general application sections.
Section 3 creates the procedures for the Board to do a criminal conviction predetermination prior to the individual applying for an license. A person would need to submit the police report, criminal complaint, judgment of conviction and sentencing and a personal statement. The Board will review the information and make a determination whether the conviction would disqualify the individual from obtaining a license or certificate. The determination would be binding.
Sections 4, 5, 6 and 7 repeal the current application and exam requirements and create new sections designating the requirements for salesperson and broker licenses. An applicant for salesperson is required to complete education and pass an examination. An applicant for broker is required to complete education, pass an examination and have real estate experience.
Sections 8, 9, 10, 11, and 12 changes the title to examinations and addresses the passing score for an examination as set by the board, the process for review, and consequences for cheating on the exam.
Section 13 repeals the time for completing the licensure requirements.
Sections 14, 15, 16, 17 and 18 address renewal and reinstatement. Renewal less than 5 years after license expiration requires a renewal fee, a late renewal fee if applicable, and proof of completion of continuing education. Renewal more than 5 years after the license expiration requires an applicant to complete education and pass an examination. There is a provision which would recognize practice in another state. If renewing a broker’s license, the experience would have to demonstrated. A person reinstating a license is required to meet the renewal requirements, any disciplinary requirements and provide evidence of rehabilitation or change in circumstances warranting a reinstatement of the license.
Sections 19, 20 and 22 repeal definitions no longer used in the rule.
Section 21 changes the term being defined to “evidence of completion” rather than attendance.
Section 23 repeals the education requirements for broker’s license.
Section 24 specifies the requirements for prelicensure broker business management program curriculum.
Section 25 repeals the out-of-state broker education requirements.
Section 26 creates the requirements for the nonresident broker education equivalency.
Section 27 repeals the education requirements for salesperson license.
Section 28 specifies the requirements for prelicensure salesperson curriculum.
Section 29 repeals the out-of-state salesperson requirements.
Section 30 creates the requirements for the nonresident salesperson education equivalency.
Section 31 and 33 repeal the requirements for approval of courses taken for academic credit and the noncredit programs.
Section 32 creates the approval process for pre-licensure education programs or courses. The school or organization is required to obtain approval at least 30 days prior to offering the course and provide specified information about the program or course as well as documentation that the instructor meets specified qualifications. Any substantive changes made after approval has been obtained would require notification to the board. A school or organization is required to provide a certificate of completion to the student and maintain records for at least 5 years.
Section 34 removes the outdated reference to continuing education examination.
Section 35 repeals a note which is no longer necessary due to this rule change.
Section 36 specifies a person is required to satisfy the continuing education requirement during the biennium in which the license is received unless the person receives an original salesperson’s license after October 1 in an even year.
Section 37 is repealed due to being obsolete provisions.
Section 38 is amended to clarify the sentence relating to receiving credit for teaching a course.
Section 39 removes the provision relating to the obsolete continuing education examination.
Section 40 creates a provision for a licensee to maintain continuing education records.
Section 41 repeals the requirements for approval of continuing education schools, courses and instructors.
Section 42 creates the approval process of continuing education programs or courses. The school or organization is required to obtain approval at least 30 days prior to offering the course and provide specified information about the program or course as well as documentation that the instructor meets specified qualifications. Any substantive changes made after approval has been obtained would require notification to the board. A school or organization is required to provide a certificate of completion to the student and maintain records for at least 5 years.
Section 43 repeals the sections relating to certification of attendance at pre-licensure and continuing education programs, continuing education examination and investigation and review of programs.
