The Texas Real Estate Commission (TREC) proposes amendments to §535.216, Renewal of License, in Subchapter R of Chapter 535, General Provisions. The proposed amendments implement statutory changes enacted by the 86th Legislature in SB 37 eliminating consideration of student loan defaults when deciding whether to grant an occupational license and SB 624 authorizing the Commission to deny license renewal if a license holder is in violation of a Commission order. The proposed amendments also reorganize this section to improve readability and increase transparency for license holders and members of the public. The Texas Real Estate Inspector Committee recommends these proposed amendments.

Chelsea Buchholtz, 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 and new rule. Specifically, while the reduction in required hours in coursework may affect education provider businesses, a recent change in rule to reduce some class sizes may offset this potential impact to providers. In addition, the lower overall hour requirement could attract more students to take inspector licensure courses. As such, no adverse economic effect is anticipated.

There is no significant economic cost anticipated for persons who are required to comply with the proposed amendments and new rule. Accordingly, no Economic Impact Statement or Regulatory Flexibility Analysis is required.

Ms. Buchholtz also has determined that for each year of the first five years the sections as proposed are in effect, the public benefit anticipated as a result of the changes is increased efficiency, improved clarity and a simplified licensing process without redundancies that existed previously for license holders and seekers.

For each year of the first five years the proposed amendments and new rule 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, limit or repeal an existing regulation;

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

--positively or adversely affect the state's economy.

Comments on the proposal may be submitted to Chelsea Buchholtz, 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.