The Commission approved rulemaking at its August meeting. The proposed rules shall have an effective date of July 1, 2017, except for rules 21 NCAC 58A .0511 and .0512, which will have an effective date of July 1, 2018. The following is a summary of the proposed amendments and rule adoptions:
Section A .0100 Real Estate Brokers – General Brokerage:
21 NCAC 58A .0101 – Proof of Licensure – The amendments are proposed to allow the use of electronic pocket cards as proof of licensure and to merge the requirements of A .0509, to submit a $5 duplicate license fee, into this Rule.
21 NCAC 58A .0103 – Broker Name and Address – The amendments are proposed to add a requirement that brokers changing their name of record must show legal proof of such name change; to comply with S.L. 2016-100 (SB 124) the Assumed Business Act recently passed by the General Assembly; and to clarify the use of an unlicensed person’s name as a tradename.
21 NCAC 58A .0106 – Deliver of Instruments – The amendments are proposed to clarify a broker’s responsibility to deliver information regarding the identity of current or former tenants to property owner clients.
Section A .0300 – Application for Licensure:
21 NCAC 58A .0302 – Filing and Fees – The amendments are proposed to comply with S.L. 2016-117 (HB 728) that increased the broker’s application fee from $30 to $100.
21 NCAC 58A .0304 – Equivalent Experience Qualifications for Applicants – The amendments are proposed to clarify Prelicensing education waiver requirements.
Section A .0500 – Licensing:
21 NCAC 58A .0502 – Business Entities – The amendments are proposed to clarify that the qualifying broker is affiliated with the firm so that they receive notice if a broker-in-charge were to withdraw their designation and to require brokers to disclose the banking institution where their trust accounts will be held.
21 NCAC 58A .0503 – License Renewal; Penalty for Operating While License Expired – The amendments are proposed to require brokers to disclose the banking institution where their trust accounts are held each time they renew their license and any criminal convictions or disciplinary actions within the previous year.
21 NCAC 58A .0505 – Reinstatement – The amendments are proposed to comply with S.L. 2016-117 (HB 728) that changed a broker’s reinstatement application fee to an amount equal to two times the license renewal fee instead of the previous reinstatement fee of $55 and to clarify the requirements for a broker to reinstate a license.
21 NCAC 58A .0509 – Duplicate License Fee – The amendments are proposed to merge this Rule into A .0101, Proof of Licensure, and to repeal this Rule.
21 NCAC 58A .0511 – Licensing of Persons Licensed in Another Jurisdiction – The amendments are proposed to create a temporary practice permit for military spouses pursuant to N.C.G.S. § 93B-15.1.
21 NCAC 58A .0512 – Death or Incapacity of Sole Proprietor
The adoption of a rule is proposed to create a succession plan if a broker were to become deceased or become incapacitated while serving as a broker-in-charge of a sole proprietorship.
21 NCAC 58A .1905 – Waiver of 90-Hour Postlicensing Education Requirement
The adoption of a rule is proposed to clarify the Postlicensing education waiver requirements.
This article came from the October 2016-Vol47-2 edition of the bulletin.