The Texas Real Estate Commission (TREC) proposes amendments to 22 TAC §535.56, Consumer Information, in Chapter 535, General Provisions. The proposed amendment to §535.56 and the forms adopted by reference incorporate a new point system that is easier to understand. This simplified point system does not increase the requirements to obtain a broker's license and is intended to further streamline the broker license application process. The proposed amendment and forms adopted by reference also include changes to the requirements by mandating an applicant must have performed at least one transaction per year for at least four of the five years preceding the date the application is filed. They also remove the low point value categories of Exclusive Right to Sell Listings, Buyer and Tenant Representation Agreements, and Listings, but increase the opportunity for agents to count team management and now delegated supervision by eliminating the previous maximum amount of points that could be counted under that category.

The proposed amendments are recommended by the Broker Responsibility Working Group.

Vanessa E. Burgess, 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 is no significant economic cost anticipated for persons who are required to comply with the proposed amendments. Accordingly, no Economic Impact Statement or Regulatory Flexibility Analysis is required.

Ms. Burgess also has determined that for each year of the first five years the section as proposed are in effect, the public benefit anticipated as a result of enforcing the section will be greater clarity in the rules and greater opportunity for agents who may not be engaged in daily transactional work, but who manage teams or serve as delegated supervisors to obtain their broker's license.

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, 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 through the online comment submission form at https://www.trec.texas.gov/rules-and-laws/comment-on-proposed-rules, to Vanessa E. Burgess, 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 and ensure compliance with Chapters 1101 and 1102.

The statute affected by this proposal is Texas Occupations Code, Chapters 1101. No other statute, code or article is affected by the proposed amendments.