Proposed Changes to Rules for 2013

The Commission has commenced rulemaking to reorganize and amend various rules.  The specific text of each of the proposed changes is posted on the Commission’s homepage under the heading “Rules.” Following are the changes being considered (with the exception of two rules requiring only minor revisions):

General Brokerage

A. 0103 Licensee Name and Address – Move portions of Rule A. 0105 relating to business names and registration of assumed names into this rule, clarify that licensees doing business under assumed names must register with the register of deeds in each county where the licensee intends to do business, and update the rule concerning names of unlicensed, inactive, active and cancelled brokers in the name of a business.

A. 0105 Advertising – Reorganize the paragraphs to make a more logical presentation.

A. 0107 Handling and Accounting of Funds – Simplify and modernize the rule by separating it into three separate rules (A.0116, .0117, and .0118).

A. 0108 Retention of Records – Adopt a permanent rule the temporary rule recently adopted requiring the retention of broker price opinions and comparative market analyses.  Clarify the length of time property management records must be kept after the management relationship ends.  (See the BPO article in this issue of the Bulletin on page 1).

A. 0110 Broker-in-Charge – clarify the requirement for sole proprietorships to have a broker-in-charge (“BIC”), require that multiple firms in the same location with one BIC maintain a delivery address that is the same as the address of the BIC, clarify the process by which a broker is designated a BIC, require a BIC who loses BIC-eligibility to take the 12 hour BIC course before being re-designated, and eliminate the requirement that a BIC provide a statement to the Commission about an affiliated broker’s volume of work.

Licensing

A. 0503 License Renewal; Penalty for Operating While License Expired –Change the annual renewal fee from $40 to $45.

A. 0504 Active and Inactive License Status – Permit the submission of license activation forms online.

A.  0506 Provisional Broker to be Supervised by Broker – Require only the BIC to notify the Commission of the affiliation of a broker with the BIC to facilitate online notification of the affiliation to the Commission.

A. 0511 Licensing of Persons Licensed in Another Jurisdiction –Delete obsolete provisions relating to reciprocity and clarify licensing requirements for persons licensed in other states.

A. 0616 Procedures for Requesting Hearings When Applicant’s Character Is In Question – Update the procedures for applicants with character issues to conform to recent changes in the Real Estate License Law relating to mental and emotional fitness.

Broker Price Opinions and Comparative Market Analyses

A. 02201 – .2202 – adopt as permanent rules the temporary rules recently adopted concerning broker price opinions and comparative market analyses.

Time Shares

B. 0102 Registration Fee and B.0103 Renewal of Time Share Project Registration – standardize and increase certain timeshare registration fees.

Comments on any of these proposals are welcome.

This article came from the October 2012-Vol43-2 edition of the bulletin.