The Texas Real Estate Commission (TREC) adopts amendments to §535.400, concerning Registration of Easement or Right-of-Way Agents, and §535.403, concerning Renewal of Registration, and new §535.404, concerning Fees, and new §535.405, concerning Employee of Owner or Purchaser, without changes to the proposed text as published in the December 30, 2011, issue of the Texas Register (36 TexReg 9175). The new and amended rules will not be republished. The amendments increase the registration fee from $80 for a one-year registration to $200 for a two-year registration; and the renewal fee $160 ($80 per year) to $200 for a two-year registration. New §535.405 clarifies that an employee of an owner or purchaser of an easement or right-of-way is not required to be registered under the Act.

The justification for the fee increases is to generate sufficient revenue to fund operations of the agency and to comply with requirements of Senate Bill 1000, 82nd Texas Legislature, Regular Session (2011).

Senate Bill 1000 makes the Texas Real Estate Commission self-directed and semi-independent. The bill removes the agency from the legislative budgeting process and requires the commission to adopt and approve an annual budget. The bill requires that the commission collect sufficient fees to fund operations to carry out its function and to fund the budget. In relevant part, the bill also requires the agency to remit $750,000 to the general revenue fund not later than August 31 of each fiscal year, to remit a nonrefundable retainer to the State Auditor of $10,000 per fiscal year, a nonrefundable retainer to the Attorney General of $75,000 per fiscal year, and a nonrefundable retainer to the State Office of Administrative Hearings of $75,000 per fiscal year. TREC will be required to reimburse each agency for all costs incurred in excess of the retainers for providing services to the commission. In addition, the bill requires the agency to pay rent in a reasonable amount to be determined by the Texas Facilities Commission with aggregate rent payments to be not less than $550,000 per fiscal year for state fiscal years ending August 31, 2012 and August 31, 2013; and not less than $425,000 per fiscal year for each year ending August 31, 2014, August 31, 2015, and August 31, 2016.

The amendments and new sections are adopted under Texas Occupations Code, §1101.051, which authorizes the Texas Real Estate Commission to adopt rules necessary to implement Chapter 1101.

The statute affected by this adoption is Texas Occupations Code, Chapter 1101. No other statute, code or article is affected by the amendments and new sections.