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Regular Session, 2010
HOUSE BILL NO. 593
BY REPRESENTATIVE PUGH
REAL ESTATE/COMMISSION: Authorizes the La. Real Estate Commission to conduct
criminal background checks
AN ACT1
To amend and reenact R.S. 37:1437(B), (C), (D), and (E) and to enact R.S. 37:1437(F), (G),2
(H), and (I) and R.S. 44:4(44), relative to licensing requirements for real estate3
brokers and salespersons; to authorize the Louisiana Real Estate Commission to4
conduct a criminal history background check on applicants for licensure; to provide5
an exception to the laws relative to public records for certain information obtained6
by the commission in connection with such a background check; and to provide for7
related matters.8
Be it enacted by the Legislature of Louisiana:9
Section 1. R.S. 37:1437(B), (C), (D), and (E) are hereby amended and reenacted and10
R.S. 37:1437(F), (G), (H), and (I) are hereby enacted to read as follows: 11
§1437. Application for license12
* * *13
B. In addition to any other requirements established by regulation, as a14
condition for license eligibility, the commission may require an applicant to:15
(1) Submit a full set of fingerprints in a form and manner prescribed by the16
commission.17
(2) Permit the commission to request and obtain state and national criminal18
history record information on the applicant.19 HLS 10RS-1399 REENGROSSED
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(3) Submit such amount as may be incurred by the commission in requesting1
and obtaining state and national criminal history record information on the applicant,2
in addition to all other applicable fees and costs.3
C. The commission may request and obtain state and national criminal4
history record information from the Louisiana State Police Bureau of Identification5
and Information and the Federal Bureau of Investigation relative to any applicant for6
licensing whose fingerprints the commission has obtained, pursuant to this Section,7
for the purpose of determining the applicant's suitability and eligibility for licensing.8
D. Upon request by the commission and upon the commission's electronic9
submission of an applicant's fingerprints, and such other identifying information as10
may be required, the Louisiana State Police Bureau of Identification and Information11
shall conduct a search of its criminal history record information relative to the12
applicant and report the results of its search to the commission. The bureau may13
charge the commission a processing fee pursuant to R.S. 15:587 for conducting and14
reporting on any such search.15
E. Any state or national criminal history record information obtained by the16
commission from the Louisiana State Police Bureau of Identification and17
Information or the Federal Bureau of Investigation, which is not already a matter of18
public record, shall be deemed nonpublic and confidential information restricted to19
the exclusive use of the commission, its members, officers, investigators, agents, and20
attorneys in evaluating the applicant's eligibility or disqualification for licensing. No21
such information or records related thereto shall be released or otherwise disclosed22
by the commission or any other person or agency, except with the written consent23
of the applicant or by order of a court of competent jurisdiction.24
F.(1) Licenses shall be granted only to persons or entities who bear a good25
reputation for honesty, trustworthiness, integrity, and competence to transact real26
estate activities requiring licensing in this state in such a manner as to safeguard the27
interest of the public, and only after satisfactory proof of such qualifications has been28
presented to the commission.29 HLS 10RS-1399 REENGROSSED
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(2) When an applicant has been convicted of forgery, embezzlement,1
obtaining money under false pretenses, larceny, extortion, conspiracy to defraud, or2
theft, or has been convicted of a felony or a crime involving moral turpitude in any3
court of competent jurisdiction, such untrustworthiness of the applicant, and the4
conviction, may in itself be sufficient grounds for refusal of a license.5
(3) When an applicant has made a false statement of material fact on his6
application, such false statement may in itself be sufficient grounds for refusal of a7
license.8
(4) Grounds for suspension or revocation of a real estate license in Louisiana9
or any other jurisdiction, or the previous suspension or revocation, of a real estate10
license in Louisiana or any other jurisdiction shall also be grounds for refusal to11
grant a license.12
C. G.(1) No individual real estate broker or salesperson's license shall be13
issued to any person who has not attained the age of eighteen years. No individual14
real estate broker or salesperson's license shall be issued to any person who is not a15
high school graduate or the holder of a certificate of high school equivalency.16
(2)(a) All applicants for an initial individual real estate broker's license shall17
have first served actively for four years as a real estate salesperson and shall show18
evidence satisfactory to the commission that they have satisfactorily completed at19
least one hundred fifty hours or its equivalent of instruction in real estate courses20
approved by the commission prior to licensure. Satisfactory completion includes21
passage of an examination on course contents.22
(b) At least thirty hours of the broker educational requirement shall be23
obtained in coursework emphasizing broker responsibilities.24
(c) Each person obtaining an initial real estate broker's license shall complete25
forty-five post-license education hours within one hundred eighty days after the26
initial license date. Such hours shall be in subjects required by the commission,27
including but not limited to laws, rules and regulations changes, finance, and the28
handling of funds. Post-license education hours may be used to satisfy eight hours29 HLS 10RS-1399 REENGROSSED
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of the twelve-hour annual continuing education requirement; however, post-license1
education hours shall not satisfy the four-hour mandatory continuing education topic2
specified by the commission.3
(3) The commission, through its education division, may accept real estate4
related credit hours from an accredited college or university as partial substitution5
of the broker licensing educational requirement.6
(4) The commission shall have the authority to accept experience in the real7
estate business or related fields as credit toward fulfillment of the education8
requirements set forth herein.9
(5)(a) All applicants for a salesperson's license shall show evidence10
satisfactory to the commission that they have completed ninety hours or its11
equivalent of instruction in real estate coursework approved by the commission prior12
to licensure. Satisfactory completion includes passage of an examination on course13
contents.14
(b) Each person obtaining an initial salesperson's license shall complete15
forty-five post-license education hours within one hundred eighty days after the16
initial license date. Such hours shall be in subjects required by the commission,17
including but not limited to laws, rules and regulations changes, finance, and the18
handling of funds. Post-license education hours may be used to satisfy eight hours19
of the twelve-hour annual continuing education requirement; however, post-license20
education hours shall not satisfy the four-hour mandatory continuing education topic21
specified by the commission.22
(6)(a)(i) In addition to all other education requirements set forth in this23
Chapter, the license of an individual real estate broker or salesperson shall not be24
renewed unless the broker or salesperson shall furnish proof of completion of twelve25
hours per year of continuing education pertaining to matters, including but not26
limited to laws, rules, and regulations relative to licensing, appraisal, finance, taxes,27
zoning, environmental quality, and the United States Department of Housing and28
Urban Development. Four of the required annual continuing education hours shall29 HLS 10RS-1399 REENGROSSED
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be in subjects specified by the commission. Post-license education hours may be1
used to satisfy eight hours of the twelve-hour annual continuing education2
requirement; however, post-license education hours shall not satisfy the four-hour3
mandatory continuing education topic specified by the commission.4
(ii) The commission shall promulgate rules and regulations necessary to5
implement the continuing education requirement and may mandate the completion6
of courses in specific real estate-related subjects. Such rules and regulations may7
require passage of an examination in order to satisfy the continuing education8
requirement.9
D. H. Every applicant for a license shall submit a sworn statement attesting10
that he has knowledge of and understands the provisions of the Fair Housing Act of11
1968 and the Louisiana Equal Housing Opportunity Act, and any amendments12
thereto or any successor legislation subsequently following, and that he shall not13
induce or attempt to induce any person to sell or rent any dwelling by representations14
regarding the entry or prospective entry into an area, subdivision, or neighborhood15
of a person or persons of a particular race, color, religion, or national origin.16
E. I. A nonresident may obtain a broker's or salesperson's license and engage17
in the real estate business in this state under conditions prescribed by the18
commission.19
Section 2. R.S. 44:4(44) is hereby enacted to read as follows:20
§4. Applicability21
This Chapter shall not apply:22
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(44) To fingerprints and other identifying information of a person and24
information from the Louisiana State Police Bureau of Identification and Information25
or the Federal Bureau of Investigation concerning the person that is not otherwise a26
matter of public record and was obtained by the Louisiana State Real Estate27
Commission in connection with a background check conducted pursuant to R.S.28
37:1437.29 HLS 10RS-1399 REENGROSSED
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Section 3. This Act shall become effective upon signature by the governor or, if not1
signed by the governor, upon expiration of the time for bills to become law without signature2
by the governor, as provided by Article III, Section 18 of the Constitution of Louisiana. If3
vetoed by the governor and subsequently approved by the legislature, this Act shall become4
effective on the day following such approval.5
DIGEST
The digest printed below was prepared by House Legislative Services. It constitutes no part
of the legislative instrument. The keyword, one-liner, abstract, and digest do not constitute
part of the law or proof or indicia of legislative intent. [R.S. 1:13(B) and 24:177(E)]
Pugh HB No. 593
Abstract: Authorizes a criminal background check on applicants for real estate broker or
salesperson's licensure.
Present law provides licensing requirements for an applicant for a real estate broker or
salesperson's license to be issued by the La. Real Estate Commission.
Proposed law retains present law.
Proposed law provides that the commission may also require an applicant to:
(1)Submit a full set of fingerprints in a form and manner prescribed by the commission.
(2)Permit the commission to request and obtain state and national criminal history
record information on the applicant.
(3)Submit such amount as may be incurred by the commission in requesting and
obtaining state and national criminal history record information on the applicant, in
addition to all other applicable fees and costs.
Proposed law authorizes the commission to request and obtain state and national criminal
history record information from the La. State Police Bureau of Identification and
Information (LSPBII) and the F.B.I. relative to any applicant for licensing whose
fingerprints the commission has obtained for the purpose of determining the applicant's
suitability and eligibility for licensing.
Proposed law provides that upon request by the commission and upon the commission's
electronic submission of an applicant's fingerprints, and such other identifying information
as may be required, the LSPBII shall conduct a search of its criminal history record
information relative to the applicant and report the results of its search to the commission.
Provides that the bureau may charge the commission a processing fee for conducting and
reporting on any such search.
Proposed law provides that any criminal history record information obtained by the
commission from the LSPBII or F.B.I., which is not already a matter of public record, shall
be deemed nonpublic and confidential information restricted to the exclusive use of the
commission, its members, officers, investigators, agents, and attorneys in evaluating the
applicant's eligibility or disqualification for licensing. Provides that no such information or
records related thereto shall be released or otherwise disclosed by the commission or any HLS 10RS-1399 REENGROSSED
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other person or agency, except with the written consent of the applicant or by order of a
court of competent jurisdiction.
Present law (R.S. 44:1 et seq., relative to public records) provides that any person of the age
of majority may inspect, copy or reproduce, or obtain a reproduction of any public record.
Provides procedures for requesting a record and presentation of the requested record.
Provides for enforcement and penalties for violations. Provides exceptions.
Proposed law retains present law and provides an additional exception to the applicability
of present law for fingerprints and other identifying information of a person and information
from the LSPBII or the F.B.I. concerning the person that is not otherwise a matter of public
record and was obtained by the La. State Real Estate Commission in connection with a
background check conducted pursuant to proposed law.
Effective upon signature of governor or lapse of time for gubernatorial action.
(Amends R.S. 37:1437(B), (C), (D), and (E); Adds R.S. 37:1437(F), (G), (H), and (I) and
R.S. 44:4(44))
Summary of Amendments Adopted by House
Committee Amendments Proposed by House Committee on House and Governmental
Affairs to the engrossed bill.
1. Added an exception to present law provisions relative to public records for
fingerprints and other identifying information that is not otherwise a matter of
public record and was obtained by the La. State Real Estate Commission in
connection with a background check conducted pursuant to proposed law.