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Texas Register Preamble


The Texas Real Estate Commission (TREC) proposes amendments to 22 TAC §535.208, Application for a License, §535.212, Education and Experience Requirements for a License, §535.213, Qualifying Real Estate Inspector Instructors and Courses, §535.218, Continuing Education Required for Renewal, §535.219, Schedule of Administrative Penalties, and §535.220, Professional Conduct and Ethics, in Chapter 535, General Provisions.

The proposed amendments to §535.208, Application for a License, updates an incorrect cite; amendments to §535.212, Education and Experience Requirements for a License, and §535.213, Qualifying Real Estate Inspector Instructors and Courses, reorganizes and clarifies the qualifying education, continuing education, and experience requirements for inspectors, including decreasing the ride-along class size from 10 to 2; and removes unused provisions. The proposed amendments to §535.218, Continuing Education Required for Renewal, allows inspectors to receive continuing education credit for courses applicable to inspectors that are taken to satisfy continuing education requirements for an occupational license issued by another Texas governmental body. The proposed amendments to §535.219, Schedule of Administrative Penalties, adds a statutory violation that was inadvertently omitted; and in §535.220, Professional Conduct and Ethics, ties the section back to the parallel requirements of §531.18, which was recently updated to provide more flexibility for license holders. These proposed amendments are recommended by the Texas Real Estate Inspector Committee.

Kerri Lewis, General Counsel, has determined that for the first five-year period the proposed amendments are in effect there will be no fiscal implications for the state or for units of local government as a result of enforcing or administering the sections. There is no adverse economic effect anticipated for small businesses, micro-businesses, rural communities, or local or state employment as a result of implementing the proposed amendments. There will be some economic cost anticipated for persons who are required to comply with the proposed amendments, but it is hard to quantify since opinions vary in the industry. Lowering the number of students per class will likely raise the cost of the ride-along class some. This cost could be passed on to the students. The Texas Inspector Real Estate Committee opined that this cost would not be significant enough to outweigh the benefit to the student and ultimately the consumer when the student receives more individualized learning during the 40 hours of required ride-along classes. No Economic Impact Statement or Regulatory Flexibility Analysis was performed.

Ms. Lewis also has determined that for each year of the first five years the amendments as proposed are in effect the public benefits anticipated as a result of enforcing the sections will be clear and correct rules, additional options for inspectors to satisfy continuing education requirements, and improved hands-on training for inspector students. This will lead to greater competency and, therefore, greater consumer protection.

For each year of the first five years the proposed amendments are in effect the amendments will not:

- create or eliminate a government program;

- require the creation of new employee positions or the elimination of existing employee positions;

- require an increase or decrease in future legislative appropriations to the agency;

- require an increase or decrease in fees paid to the agency;

- create a new regulation;

- expand an existing regulation;

- increase or decrease the number of individuals subject to the rule's applicability; or

- adversely affect the state's economy.

Comments on the proposal may be submitted to Kerri Lewis, General Counsel, Texas Real Estate Commission, P.O. Box 12188, Austin, Texas 78711-2188 or via email to general.counsel@trec.texas.gov. The deadline for comments is 30 days after publication in the Texas Register.

The amendments are proposed under Texas Occupations Code §1101.151, which authorizes the Texas Real Estate Commission to adopt and enforce rules necessary to administer Chapters 1101 and 1102; and to establish standards of conduct and ethics for its license holders to fulfill the purposes of Chapters 1101 and 1102.

The statute affected by this proposal is Chapter 1102, Texas Occupations Code. No other statute, code or article is affected by the proposed amendments.



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