The Texas Real Estate Commission (TREC) adopts amendments to 22 TAC §535.51, General Requirements for a Real Estate License; §535.53, Business Entity; Designated Broker; §535.56, Education and Experience Requirements for a Broker; and §535.57, Examinations, with changes to the proposed text, as published in the September 4, 2015, issue of the Texas Register (40 TexReg 5691).

The amendments to Chapter 535, Subchapter E align the rules with statutory changes in Senate Bill 1307 and Senate Bill 699, adopted by the 84th Legislature, including implementing new education and examination requirements and extending expedited license processing to active military service members and veterans and waives certain license and application fees for an applicant who meets designated criteria. The amendments also decrease the waiting period after disciplinary action has been completed for good standing qualification and correct typographical errors.

One comment was received on the amendments as published asking for clarification on which courses were required after failing the examination three times. Staff recommended a clarifying change to the language proposed in §535.57(e) to specify what was meant by "qualifying courses" for the courses that had to be taken after a third failure. The Commission agreed with the change.

Also, in §535.51(c)(1), extra language was removed to correct a formatting error that was published by mistake in the Texas Register. In §535.51, extra language was removed to make the sentence grammatically correct and in §535.56(e)(2), the number of hours of continuing education required for reinstatement was tied to "the number of hours required for continuing education courses by §535.92(a)" rather than a reinstatement of the actual number set out §535.92(a) for consistency throughout the rules when a change to that number of hours is adopted by the Commission. Throughout the chapter, "salesperson" was changed to "sales agent" to be consistent with the new statutory terminology.

The revision to the rules as adopted does not change the nature or scope so much that the rules as adopted could be deemed a different rule. The rules as adopted do not affect individuals other than those contemplated by the rules as proposed. The rules as adopted do not impose more onerous requirements than the proposed rules.

The reasoned justification for the amendments is greater consumer protection and clarity.

The amendments are adopted 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 and ensure compliance with Chapters 1101 and 1102.

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