Arizona 2022 2022 Regular Session

Arizona House Bill HB2694 Comm Sub / Analysis

Filed 05/25/2022

                    Assigned to COM 	AS PASSED BY COW 
 
 
 
 
ARIZONA STATE SENATE 
Fifty-Fifth Legislature, Second Regular Session 
 
AMENDED 
FACT SHEET FOR H.B. 2694 
 
department of real estate; fees 
Purpose 
Removes the minimum fee amounts prescribed for real estate licensure. Defines live 
classroom course relating to real estate prelicensure and renewal education.  
Background 
The Arizona Department of Real Estate (ADRE) is established to protect the public interest 
through the licensure and regulation of real estate, cemetery and membership camping brokers and 
salespersons in Arizona (A.R.S. § 32-2102). ADRE oversees the business of licensees, land 
developers and real estate education institutions and monitors the sale of subdivisions, 
unsubdivided lands, timeshares, condominiums, membership campgrounds and cemeteries. ADRE 
participates in investigations and administrative hearings and administers the Homeowners 
Association Dispute Process (A.R.S. § 32-2199). 
Statute determines a range for fees associated with each real estate license, examination 
and renewal. The following are the statutorily prescribed minimum fees: 1) $15 for a salesperson's 
examination application, a salesperson's examination, a temporary broker's license, a temporary 
cemetery salesperson's license and a membership camping salesperson certificate of convenience; 
2) $35 for a broker's examination application, a broker's examination and a salesperson's license; 
3) $60 for a salesperson's renewal, a branch office broker's license and a branch office broker's 
renewal; 4) $75 for a broker's license; and 5) $100 for a broker's renewal. The State Real Estate 
Commissioner is responsible for determining fee amounts relating to schools and other educational 
institutions. A corporation, partnership or limited liability company is exempt from the fee for the 
issuance of a broker's license (A.R.S. § 32-2132). 
Live classroom prelicensure education and continuing education courses are subject to 
approval by ADRE. At least 30 days before holding a course of study for completion of the 
education requirements leading to licensure of real estate applicants or for license renewal 
requirements, an application for a certificate of course approval or renewal must be filed with 
ADRE. For a live classroom course, the application must include a course outline with sufficient 
detail to clearly identify the scope and content of the course. The outline must state a desired 
instructional outcome for the course. A prelicensure course outline that is submitted for approval 
must be divided into estimated 50-minute instructional segments. Course approval must not be:  
1) unreasonably held; or 2) issued later than 30 days after filing with ADRE for a live classroom 
course (A.R.S. § 32-2135).  
If the removal of minimum fees for real estate licensure results in a change of revenues, 
there may be a fiscal impact to the state General Fund associated with this legislation.  FACT SHEET – Amended  
H.B. 2694 
Page 2 
 
 
Provisions 
Real Estate Licensure Fees 
1. Removes the $15 minimum fee for a salesperson's examination application, a salesperson's 
examination, a temporary broker's license, a temporary cemetery salesperson's license and a 
membership camping salesperson certificate of convenience. 
2. Removes the $35 minimum fee for a broker's examination application, a broker's examination 
and a salesperson's license. 
3. Removes the $60 minimum fee for a salesperson's renewal, a branch office broker's license 
and a branch office broker's renewal. 
4. Removes the $75 minimum fee for a broker's license. 
5. Removes the $100 minimum fee for a broker's renewal. 
Real Estate Prelicensure and Renewal Education 
6. Defines live classroom course as a course or instructional segment delivered in either an  
in-person or synchronous remote instructional format that allows students to observe and 
participate remotely in an instructional segment via livestreaming.  
7. Clarifies that an applicant for an initial real estate salesperson or broker license may complete 
a live classroom course by a certified real estate school.  
8. Requires an applicant for an initial real estate salesperson or broker license to complete an 
examination for a live classroom course in person.  
9. Allows an applicant for an initial real estate salesperson or broker license to complete the 
required course in any combination of in-person or synchronous remote delivery methods.  
10. Requires the prelicensure or renewal course fee to be the same regardless of the instructional 
format a person uses to complete a prelicensure or renewal education course or instructional 
segment.  
Miscellaneous  
11. Makes technical and conforming changes. 
12. Becomes effective on the general effective date.  
Amendments Adopted by Committee of the Whole 
1. Defines live classroom course as a course or instructional segment delivered in either an  
in-person or synchronous remote instructional format that allows students to observe and 
participate remotely in an instructional segment via livestreaming.   FACT SHEET – Amended  
H.B. 2694 
Page 3 
 
 
2. Clarifies that an applicant for an initial real estate salesperson or broker license may complete 
a live classroom course by a certified real estate school.  
3. Requires an applicant for an initial real estate salesperson or broker license to complete an 
examination for a live classroom course in person.  
4. Allows an applicant for an initial real estate salesperson or broker license to complete the 
required course in any combination of in-person or synchronous remote delivery methods.  
5. Requires the prelicensure or renewal course fee to be the same regardless of the instructional 
format a person uses to complete a prelicensure or renewal education course or instructional 
segment.  
6. Makes technical and conforming changes.  
House Action 	Senate Action 
COM 2/15/22 DP 10-0-0-0 COM 3/9/22 DP  9-0-0 
3
rd
 Read 2/23/22  59-0-1  
Prepared by Senate Research 
May 25, 2022 
JT/CY/sr