Texas 2019 - 86th Regular

Texas Senate Bill SB624 Compare Versions

Version 1 (Old)

Version 2 (New)

Old	New		Differences
1		-	S.B. No. 624
	1	+	By: Nichols, et al. S.B. No. 624
	2	+	(Thompson of Harris)
2	3
3	4
	5	+	A BILL TO BE ENTITLED
4	6		AN ACT
5	7		relating to the continuation and functions of the Texas Real Estate
6	8		Commission and the Texas Appraiser Licensing and Certification
7	9		Board; changing fees.
8	10		BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
9	11		SECTION 1. Section 1101.006, Occupations Code, is amended
10	12		to read as follows:
11	13		Sec. 1101.006. APPLICATION OF SUNSET ACT. The Texas Real
12	14		Estate Commission is subject to Chapter 325, Government Code (Texas
13	15		Sunset Act). Unless continued in existence as provided by that
14	16		chapter, the commission is abolished and this chapter, Chapter
15	17		1102, and Chapter 1303 of this code and Chapter 221, Property Code,
16	18		expire September 1, 2025 [2019].
17	19		SECTION 2. Section 1101.059, Occupations Code, is amended
18	20		by amending Subsections (b) and (c) and adding Subsection (d) to
19	21		read as follows:
20	22		(b) The training program must provide the person with
21	23		information regarding:
22	24		(1) the law governing commission operations [this
23	25		chapter and other laws regulated by the commission];
24	26		(2) the programs, functions, rules, and budget of the
25	27		commission;
26	28		(3) the scope of and limitations on the rulemaking
27	29		authority of the commission;
28	30		(4) the types of commission rules, interpretations,
29	31		and enforcement actions that may implicate federal antitrust law by
30	32		limiting competition or impacting prices charged by persons engaged
31	33		in a profession or business the commission regulates, including any
32	34		rule, interpretation, or enforcement action that:
33	35		(A) regulates the scope of practice of persons in
34	36		a profession or business the commission regulates;
35	37		(B) restricts advertising by persons in a
36	38		profession or business the commission regulates;
37	39		(C) affects the price of goods or services
38	40		provided by persons in a profession or business the commission
39	41		regulates; or
40	42		(D) restricts participation in a profession or
41	43		business the commission regulates;
42	44		(5) the results of the most recent formal audit of the
43	45		commission;
44	46		(6) [(4)] the requirements of:
45	47		(A) laws relating to open meetings, public
46	48		information, administrative procedure, and disclosure of conflicts
47	49		of interest; and
48	50		(B) other laws applicable to members of a state
49	51		policymaking body in performing their duties; and
50	52		(7) [(5)] any applicable ethics policies adopted by
51	53		the commission or the Texas Ethics Commission.
52	54		(c) A person appointed to the commission is entitled to
53	55		reimbursement, as provided by the General Appropriations Act, for
54	56		the travel expenses incurred in attending the training program
55	57		regardless of whether the attendance at the program occurs before
56	58		or after the person qualifies for office.
57	59		(d) The executive director of the commission shall create a
58	60		training manual that includes the information required by
59	61		Subsection (b). The executive director shall distribute a copy of
60	62		the training manual annually to each member of the commission. Each
61	63		member of the commission shall sign and submit to the executive
62	64		director a statement acknowledging that the member received and has
63	65		reviewed the training manual.
64	66		SECTION 3. Section 1101.152, Occupations Code, is amended
65	67		to read as follows:
66	68		Sec. 1101.152. FEES. (a) The commission shall adopt rules
67	69		to charge and collect fees in amounts reasonable and necessary to
68	70		cover the costs of administering this chapter, including a fee for:
69	71		(1) filing an original application for a broker
70	72		license;
71	73		(2) renewal of a broker license;
72	74		(3) filing an original application for a sales agent
73	75		license;
74	76		(4) renewal of a sales agent license;
75	77		(5) registration as an easement or right-of-way agent;
76	78		(6) filing an application for a license examination;
77	79		(7) [filing a request for a branch office license;
78	80		[(8)] filing a request for a change of place of
79	81		business, change of name, return to active status, or change of
80	82		sponsoring broker;
81	83		(8) [(9)] filing a request to replace a lost or
82	84		destroyed license or certificate of registration;
83	85		(9) [(10)] filing an application for approval of an
84	86		education program under Subchapter G;
85	87		(10) [(11)] annual operation of an education program
86	88		under Subchapter G;
87	89		(11) [(12) filing an application for approval of an
88	90		instructor of qualifying real estate courses;
89	91		[(13)] transcript evaluation;
90	92		(12) [(14)] preparing a license or registration
91	93		history;
92	94		(13) [(15)] filing a request for a [moral character]
93	95		determination of fitness to engage in a profession the commission
94	96		regulates; and
95	97		(14) [(16)] conducting a criminal history check for
96	98		issuing or renewing a license.
97	99		(b) The commission shall adopt rules to set and collect fees
98	100		in amounts reasonable and necessary to cover the costs of
99	101		implementing the continuing education requirements for license
100	102		holders, including a fee for:
101	103		(1) an application for approval of a continuing
102	104		education provider; and
103	105		(2) an application for approval of a continuing
104	106		education course of study[;
105	107		[(3) an application for approval of an instructor of
106	108		continuing education courses; and
107	109		[(4) attendance at a program to train instructors of a
108	110		continuing education course prescribed under Section 1101.455].
109	111		SECTION 4. Section 1101.204, Occupations Code, is amended
110	112		by adding Subsection (i) to read as follows:
111	113		(i) If the commission determines at any time that an
112	114		allegation made or formal complaint submitted by a person is
113	115		inappropriate or without merit, the commission shall dismiss the
114	116		complaint and no further action may be taken. The commission may
115	117		delegate to commission staff the duty to dismiss complaints
116	118		described by this subsection.
117	119		SECTION 5. Section 1101.2051, Occupations Code, is amended
118	120		by adding Subsection (d-1) to read as follows:
119	121		(d-1) The commission shall protect the identity of a
120	122		complainant to the extent possible by excluding the complainant's
121	123		identifying information from a complaint notice sent to a
122	124		respondent.
123	125		SECTION 6. Section 1101.206(a), Occupations Code, is
124	126		amended to read as follows:
125	127		(a) The commission shall develop and implement policies
126	128		that provide the public with a reasonable opportunity to appear
127	129		before the commission and to speak on any agenda item at a regular
128	130		commission meeting [issue under the commission's jurisdiction].
129	131		SECTION 7. Section 1101.301, Occupations Code, is amended
130	132		by amending Subsection (a) and adding Subsections (b-1) and (f) to
131	133		read as follows:
132	134		(a) The commission, as necessary for the administration of
133	135		this chapter and Chapter 1102, may by rule:
134	136		(1) establish standards for the approval of qualifying
135	137		educational programs or courses of study in real estate and real
136	138		estate inspection conducted in this state, excluding programs and
137	139		courses offered by accredited colleges and universities; and
138	140		(2) develop minimum education and experience
139	141		requirements for an instructor of a course of study described by
140	142		Subdivision (1).
141	143		(b-1) For commission approval of an application to offer a
142	144		course of study under this section, the applicant must ensure that
143	145		the educational program's instructors meet the minimum education
144	146		and experience requirements developed by the commission under
145	147		Subsection (a)(2).
146	148		(f) The commission may deny approval of an application to
147	149		renew a program's approval to offer a program or course of study if
148	150		the applicant is in violation of a commission order. The denial of
149	151		an approval under this subsection is subject to the same provisions
150	152		as are applicable under Section 1101.364 to the denial of a license.
151	153		SECTION 8. Section 1101.303, Occupations Code, is amended
152	154		by adding Subsections (c) and (d) to read as follows:
153	155		(c) The commission may by rule develop minimum education and
154	156		experience requirements for an instructor of a continuing education
155	157		course of study. For commission approval of an application to offer
156	158		the course, the applicant must ensure that the course's instructors
157	159		meet the minimum education and experience requirements developed by
158	160		the commission under this subsection.
159	161		(d) The commission may deny an application to renew an
160	162		approval under this section if the applicant is in violation of a
161	163		commission order. The denial of an approval under this subsection
162	164		is subject to the same provisions as are applicable under Section
163	165		1101.364 to the denial of a license.
164	166		SECTION 9. The heading to Section 1101.353, Occupations
165	167		Code, is amended to read as follows:
166	168		Sec. 1101.353. [MORAL CHARACTER] DETERMINATION OF FITNESS.
167	169		SECTION 10. Sections 1101.353(a), (c), and (d), Occupations
168	170		Code, are amended to read as follows:
169	171		(a) If before applying for a license under this chapter a
170	172		person requests that the commission determine whether the person
171	173		possesses the fitness to engage in the profession for which the
172	174		license is required [person's moral character complies with the
173	175		commission's moral character requirements for licensing under this
174	176		chapter] and pays the required fee, the commission shall make its
175	177		determination of the person's fitness to engage in the profession
176	178		[moral character].
177	179		(c) If a person applies for a license after receiving notice
178	180		of a determination, the commission may conduct a supplemental
179	181		[moral character] determination of the person's fitness [person].
180	182		The supplemental determination may cover only the period after the
181	183		date the person requests a [moral character] determination of
182	184		fitness under this section.
183	185		(d) The commission may issue a provisional [moral
184	186		character] determination of fitness. The commission by rule shall
185	187		adopt reasonable terms for issuing a provisional [moral character]
186	188		determination of fitness.
187	189		SECTION 11. Section 1101.354, Occupations Code, is amended
188	190		to read as follows:
189	191		Sec. 1101.354. GENERAL ELIGIBILITY REQUIREMENTS. To be
190	192		eligible to receive a license under this chapter, a person must:
191	193		(1) at the time of application:
192	194		(A) be at least 18 years of age; and
193	195		(B) be a citizen of the United States or a
194	196		lawfully admitted alien; [and
195	197		[(C) be a resident of this state;]
196	198		(2) satisfy the commission as to the applicant's
197	199		honesty, trustworthiness, and integrity;
198	200		(3) demonstrate competence based on an examination
199	201		under Subchapter I; and
200	202		(4) complete the required courses of study, including
201	203		any required qualifying real estate courses prescribed under this
202	204		chapter.
203	205		SECTION 12. Subchapter J, Chapter 1101, Occupations Code,
204	206		is amended by adding Section 1101.459 to read as follows:
205	207		Sec. 1101.459. DENIAL OF LICENSE RENEWAL. (a) The
206	208		commission may deny the renewal of a license under this chapter if
207	209		the applicant is in violation of a commission order.
208	210		(b) The denial of a license renewal is subject to the same
209	211		provisions as are applicable under Section 1101.364 to the denial
210	212		of a license.
211	213		SECTION 13. Section 1101.505, Occupations Code, is amended
212	214		to read as follows:
213	215		Sec. 1101.505. DENIAL OF CERTIFICATE ISSUANCE OR RENEWAL.
214	216		(a) The denial of an original [a] certificate of registration or
215	217		renewal of a certificate of registration is subject to the same
216	218		provisions as are applicable under Section 1101.364 to the denial
217	219		of a license.
218	220		(b) The commission may deny the renewal of a certificate of
219	221		registration if the applicant is in violation of a commission
220	222		order.
221	223		SECTION 14. The heading to Section 1101.552, Occupations
222	224		Code, is amended to read as follows:
223	225		Sec. 1101.552. FIXED OFFICE REQUIRED; CHANGE OF ADDRESS[;
224	226		BRANCH OFFICES].
225	227		SECTION 15. Section 1101.652(a), Occupations Code, is
226	228		amended to read as follows:
227	229		(a) The commission may suspend or revoke a license issued
228	230		under this chapter or Chapter 1102 or take other disciplinary
229	231		action authorized by this chapter or Chapter 1102 if the license
230	232		holder:
231	233		(1) enters a plea of guilty or nolo contendere to or is
232	234		convicted of a felony or a criminal offense involving fraud, and the
233	235		time for appeal has elapsed or the judgment or conviction has been
234	236		affirmed on appeal, without regard to an order granting community
235	237		supervision that suspends the imposition of the sentence;
236	238		(2) procures or attempts to procure a license under
237	239		this chapter or Chapter 1102 for the license holder by fraud,
238	240		misrepresentation, or deceit or by making a material misstatement
239	241		of fact in an application for a license;
240	242		(3) fails to honor, within a reasonable time, a check
241	243		issued to the commission after the commission has sent by certified
242	244		mail a request for payment to the license holder's last known
243	245		business address according to commission records;
244	246		(4) fails to provide, within a reasonable time,
245	247		information requested by the commission that relates to a formal or
246	248		informal complaint to the commission that would indicate a
247	249		violation of this chapter or Chapter 1102;
248	250		(5) fails to surrender to the owner, without just
249	251		cause, a document or instrument that is requested by the owner and
250	252		that is in the license holder's possession;
251	253		(6) fails to consider market conditions for the
252	254		specific geographic area in which the license holder is providing a
253	255		service;
254	256		(7) fails to notify the commission, not later than the
255	257		30th day after the date of a final conviction or the entry of a plea
256	258		of guilty or nolo contendere, that the person has been convicted of
257	259		or entered a plea of guilty or nolo contendere to a felony or a
258	260		criminal offense involving fraud; or
259	261		(8) [(7)] disregards or violates this chapter or
260	262		Chapter 1102.
261	263		SECTION 16. Section 1102.106, Occupations Code, is amended
262	264		to read as follows:
263	265		Sec. 1102.106. [MORAL CHARACTER] DETERMINATION OF FITNESS.
264	266		As prescribed by Section 1101.353, the commission shall determine,
265	267		on request, whether a person possesses the fitness to engage in a
266	268		profession licensed [person's moral character complies with the
267	269		commission's moral character requirements for licensing] under
268	270		this chapter and may conduct a supplemental [moral character]
269	271		determination of the person's fitness [person].
270	272		SECTION 17. Section 1102.107, Occupations Code, is amended
271	273		to read as follows:
272	274		Sec. 1102.107. ELIGIBILITY FOR APPRENTICE INSPECTOR
273	275		LICENSE. To be eligible for an apprentice inspector license, an
274	276		applicant must:
275	277		(1) at the time of application be:
276	278		(A) at least 18 years of age; and
277	279		(B) a citizen of the United States or a lawfully
278	280		admitted alien; [and
279	281		[(C) a resident of this state;]
280	282		(2) be sponsored by a professional inspector; and
281	283		(3) satisfy the commission as to the applicant's
282	284		honesty, trustworthiness, and integrity.
283	285		SECTION 18. Subchapter E, Chapter 1102, Occupations Code,
284	286		is amended by adding Section 1102.206 to read as follows:
285	287		Sec. 1102.206. DENIAL OF LICENSE RENEWAL. (a) The
286	288		commission may deny the renewal of a license if the applicant is in
287	289		violation of a commission order.
288	290		(b) The provisions of Section 1101.459 governing the
289	291		commission's denial of a license renewal under that chapter apply
290	292		to the commission's denial of a license renewal under this chapter.
291	293		SECTION 19. Section 1103.006, Occupations Code, is amended
292	294		to read as follows:
293	295		Sec. 1103.006. APPLICATION OF SUNSET ACT. The Texas
294	296		Appraiser Licensing and Certification Board is subject to Chapter
295	297		325, Government Code (Texas Sunset Act). Unless continued in
296	298		existence as provided by that chapter, the board is abolished and
297	299		this chapter and Chapter 1104 expire September 1, 2025 [2019].
298	300		SECTION 20. Subchapter B, Chapter 1103, Occupations Code,
299	301		is amended by adding Section 1103.0521 to read as follows:
300	302		Sec. 1103.0521. MEMBERSHIP AND EMPLOYEE RESTRICTIONS.
301	303		(a) In this section, "Texas trade association" means a cooperative
302	304		and voluntarily joined statewide association of business or
303	305		professional competitors in this state designed to assist its
304	306		members and its industry or profession in dealing with mutual
305	307		business or professional problems and in promoting their common
306	308		interest.
307	309		(b) A person may not be a member of the board and may not be a
308	310		board employee employed in a "bona fide executive, administrative,
309	311		or professional capacity," as that phrase is used for purposes of
310	312		establishing an exemption to the overtime provisions of the federal
311	313		Fair Labor Standards Act of 1938 (29 U.S.C. Section 201 et seq.),
312	314		if:
313	315		(1) the person is an officer, employee, or paid
314	316		consultant of a Texas trade association in the field of real estate
315	317		brokerage or appraisal; or
316	318		(2) the person's spouse is an officer, manager, or paid
317	319		consultant of a Texas trade association in the field of real estate
318	320		brokerage or appraisal.
319	321		(c) A person may not serve as a board member or act as the
320	322		general counsel to the board if the person is required to register
321	323		as a lobbyist under Chapter 305, Government Code, because of the
322	324		person's activities for compensation on behalf of a profession
323	325		related to the operation of the board.
324	326		SECTION 21. Section 1103.054, Occupations Code, is amended
325	327		to read as follows:
326	328		Sec. 1103.054. ELIGIBILITY OF PUBLIC MEMBERS. A person is
327	329		not eligible for appointment as a public member of the board if the
328	330		person or the person's spouse:
329	331		(1) is a certified or licensed appraiser;
330	332		(2) is certified or licensed by an occupational
331	333		regulatory agency in the field of real estate brokerage or
332	334		appraisal;
333	335		(3) owns or controls, directly or indirectly, a
334	336		business entity or other organization whose primary purpose is to
335	337		engage in real estate sales, brokerage, or appraisal; [or]
336	338		(4) is employed by or participates in the management
337	339		of a business entity or other organization whose primary purpose is
338	340		to engage in real estate sales, brokerage, or appraisal; or
339	341		(5) uses or receives a substantial amount of tangible
340	342		goods, services, or money from the board other than compensation or
341	343		reimbursement authorized by law for board membership, attendance,
342	344		or expenses.
343	345		SECTION 22. Section 1103.0545, Occupations Code, is amended
344	346		by amending Subsections (b) and (c) and adding Subsection (d) to
345	347		read as follows:
346	348		(b) The training program must provide the person with
347	349		information regarding:
348	350		(1) the law governing board operations [this chapter
349	351		and other laws applicable to the board];
350	352		(2) the programs, functions, rules, and budget of the
351	353		board;
352	354		(3) the scope of and limitations on the rulemaking
353	355		authority of the board;
354	356		(4) the types of board rules, interpretations, and
355	357		enforcement actions that may implicate federal antitrust law by
356	358		limiting competition or impacting prices charged by persons engaged
357	359		in a profession or business the board regulates, including any
358	360		rule, interpretation, or enforcement action that:
359	361		(A) regulates the scope of practice of persons in
360	362		a profession or business the board regulates;
361	363		(B) restricts advertising by persons in a
362	364		profession or business the board regulates;
363	365		(C) affects the price of goods or services
364	366		provided by persons in a profession or business the board
365	367		regulates; or
366	368		(D) restricts participation in a profession or
367	369		business the board regulates;
368	370		(5) the results of the most recent formal audit of the
369	371		board;
370	372		(6) [(4)] the requirements of:
371	373		(A) laws relating to open meetings, public
372	374		information, administrative procedure, and disclosure of conflicts
373	375		of interest; and
374	376		(B) other laws applicable to members of a state
375	377		policymaking body in performing their duties; and
376	378		(7) [(5)] any applicable ethics policies adopted by
377	379		the board or the Texas Ethics Commission.
378	380		(c) A person appointed to the board is entitled to
379	381		reimbursement, as provided by the General Appropriations Act, for
380	382		the travel expenses incurred in attending the training program
381	383		regardless of whether the attendance at the program occurs before
382	384		or after the person qualifies for office.
383	385		(d) The commissioner shall create a training manual that
384	386		includes the information required by Subsection (b). The
385	387		commissioner shall distribute a copy of the training manual
386	388		annually to each member of the board. Each member of the board
387	389		shall sign and submit to the commissioner a statement acknowledging
388	390		that the member received and has reviewed the training manual.
389	391		SECTION 23. Section 1103.057(a), Occupations Code, is
390	392		amended to read as follows:
391	393		(a) It is a ground for removal from the board that an
392	394		appointed member:
393	395		(1) does not have at the time of appointment the
394	396		qualifications required by this subchapter for appointment to the
395	397		board;
396	398		(2) does not maintain during service on the board the
397	399		qualifications required by this subchapter for appointment to the
398	400		board;
399	401		(3) is ineligible for membership under Section
400	402		1103.0521 or 1103.054;
401	403		(4) cannot, because of illness or disability,
402	404		discharge the member's duties for a substantial part of the member's
403	405		term; or
404	406		(5) [(4)] is absent from more than half of the
405	407		regularly scheduled board meetings that the member is eligible to
406	408		attend during a calendar year, unless the absence is excused by a
407	409		majority vote of the board.
408	410		SECTION 24. Subchapter C, Chapter 1103, Occupations Code,
409	411		is amended by adding Section 1103.105 to read as follows:
410	412		Sec. 1103.105. DIVISION OF RESPONSIBILITIES. The board
411	413		shall develop and implement policies that clearly separate the
412	414		policymaking responsibilities of the board and the management
413	415		responsibilities of the commissioner and the staff of the board.
414	416		SECTION 25. Section 1103.153, Occupations Code, is amended
415	417		to read as follows:
416	418		Sec. 1103.153. RULES RELATING TO QUALIFYING OR CONTINUING
417	419		EDUCATION. (a) The board may adopt rules relating to:
418	420		(1) continuing education requirements for a certified
419	421		or licensed appraiser or an appraiser trainee; and
420	422		(2) the requirements for approval of a provider or[,]
421	423		course[, or instructor] for qualifying or continuing education.
422	424		(b) In addition to the rules adopted under Subsection (a),
423	425		the board may by rule develop minimum education and experience
424	426		requirements for an instructor of a course for qualifying or
425	427		continuing education. For board approval of a course provider
426	428		application, the applicant must ensure that the instructors meet
427	429		the minimum education and experience requirements.
428	430		SECTION 26. The heading to Section 1103.159, Occupations
429	431		Code, is amended to read as follows:
430	432		Sec. 1103.159. ADVISORY COMMITTEE ON APPRAISAL MANAGEMENT
431	433		COMPANIES.
432	434		SECTION 27. Subchapter D, Chapter 1103, Occupations Code,
433	435		is amended by adding Sections 1103.160, 1103.161, 1103.162, and
434	436		1103.163 to read as follows:
435	437		Sec. 1103.160. ADVISORY COMMITTEES. (a) The board may
436	438		appoint advisory committees to perform the advisory functions
437	439		assigned to the committees by the board. An advisory committee
438	440		under this section is subject to Chapter 2110, Government Code.
439	441		(b) A member of an advisory committee who is not a member of
440	442		the board may not receive compensation for service on the
441	443		committee. The member may receive reimbursement for actual and
442	444		necessary expenses incurred in performing committee functions as
443	445		provided by Section 2110.004, Government Code.
444	446		(c) A member of an advisory committee serves at the will of
445	447		the board.
446	448		(d) An advisory committee may hold a meeting by telephone
447	449		conference call or other video or broadcast technology.
448	450		(e) If the board appoints an advisory committee under this
449	451		section, the board shall adopt rules regarding:
450	452		(1) the advisory committee's purpose, role,
451	453		responsibility, and goals;
452	454		(2) size and quorum requirements;
453	455		(3) qualifications for membership, including
454	456		experience requirements and geographic representation;
455	457		(4) appointment procedures;
456	458		(5) membership terms;
457	459		(6) training requirements for advisory committee
458	460		members; and
459	461		(7) the advisory committee's compliance with Chapter
460	462		551, Government Code.
461	463		(f) In addition to the rules adopted under Subsection (e),
462	464		the board by rule shall adopt a process to regularly evaluate the
463	465		need for an advisory committee appointed under this section.
464	466		Sec. 1103.161. PUBLIC PARTICIPATION. The board shall
465	467		develop and implement policies that provide the public with a
466	468		reasonable opportunity to appear before the board and to speak on
467	469		any agenda item at a regular board meeting.
468	470		Sec. 1103.162. NEGOTIATED RULEMAKING AND ALTERNATIVE
469	471		DISPUTE RESOLUTION PROCEDURES. (a) The board shall develop and
470	472		implement a policy to encourage the use of:
471	473		(1) negotiated rulemaking procedures under Chapter
472	474		2008, Government Code, for the adoption of board rules; and
473	475		(2) appropriate alternative dispute resolution
474	476		procedures under Chapter 2009, Government Code, to assist in the
475	477		resolution of internal and external disputes under the board's
476	478		jurisdiction.
477	479		(b) The board's procedures relating to alternative dispute
478	480		resolution must conform, to the extent possible, to any model
479	481		guidelines issued by the State Office of Administrative Hearings
480	482		for the use of alternative dispute resolution by state agencies.
481	483		(c) The board shall:
482	484		(1) coordinate the implementation of the policy
483	485		adopted under Subsection (a);
484	486		(2) provide training as needed to implement the
485	487		procedures for negotiated rulemaking or alternative dispute
486	488		resolution; and
487	489		(3) collect data concerning the effectiveness of those
488	490		procedures.
489	491		Sec. 1103.163. COMPLAINT INFORMATION. (a) The board shall
490	492		maintain a system to promptly and efficiently act on complaints
491	493		filed with the board. The board shall maintain information about
492	494		parties to the complaint, the subject matter of the complaint, a
493	495		summary of the results of the review or investigation of the
494	496		complaint, and its disposition.
495	497		(b) The board shall make information available describing
496	498		its procedures for complaint investigation and resolution.
497	499		(c) The board shall periodically notify the complaint
498	500		parties of the status of the complaint until final disposition.
499	501		SECTION 28. Subchapter E, Chapter 1103, Occupations Code,
500	502		is amended by adding Section 1103.214 to read as follows:
501	503		Sec. 1103.214. DENIAL OF CERTIFICATE OR LICENSE RENEWAL.
502	504		(a) The board may deny the renewal of a certificate or license
503	505		issued under this chapter if the applicant is in violation of a
504	506		board order.
505	507		(b) The denial of a certificate or license renewal under
506	508		this section is subject to the same provisions as are applicable
507	509		under Section 1103.210 to the denial of a certificate or license.
508	510		SECTION 29. Section 1103.353, Occupations Code, is amended
509	511		to read as follows:
510	512		Sec. 1103.353. ELIGIBILITY REQUIREMENTS FOR APPRAISER
511	513		TRAINEE. To be eligible for a license as an appraiser trainee, an
512	514		applicant must:
513	515		(1) be at least 18 years of age;
514	516		(2) be a citizen of the United States or a lawfully
515	517		admitted alien;
516	518		(3) [have been a resident of this state for the 60 days
517	519		preceding the date the application is filed;
518	520		[(4)] satisfy the board as to the applicant's honesty,
519	521		trustworthiness, and integrity;
520	522		(4) [(5)] comply with the requirements of Sections
521	523		1103.203 and 1103.2031; and
522	524		(5) [(6)] meet all other qualifications established
523	525		by the board.
524	526		SECTION 30. Section 1103.460, Occupations Code, is amended
525	527		by adding Subsection (d-1) to read as follows:
526	528		(d-1) The board shall protect the identity of a complainant
527	529		to the extent possible by excluding the complainant's identifying
528	530		information from a complaint notice sent to a respondent.
529	531		SECTION 31. Section 1103.552(c), Occupations Code, is
530	532		amended to read as follows:
531	533		(c) Notwithstanding any other law, the board shall remit an
532	534		administrative penalty collected under this section to the
533	535		comptroller for deposit in the general revenue fund [shall be
534	536		deposited in a restricted fund maintained and operated by the board
535	537		to develop educational programs for appraisers or conduct studies
536	538		that enhance consumer protection].
537	539		SECTION 32. Subchapter L, Chapter 1103, Occupations Code,
538	540		is amended by adding Section 1103.5526 to read as follows:
539	541		Sec. 1103.5526. REFUND. (a) Subject to Subsection (b),
540	542		the board may order a person regulated by the board under this
541	543		chapter or Chapter 1104 to pay a refund to a consumer as provided in
542	544		an agreement resulting from an informal settlement conference or an
543	545		enforcement order instead of or in addition to imposing an
544	546		administrative penalty or other sanctions.
545	547		(b) The amount of a refund ordered as provided in an
546	548		agreement resulting from an informal settlement conference or an
547	549		enforcement order may not exceed the amount the consumer paid to the
548	550		person for a service regulated by the board. The board may not
549	551		require payment of other damages or estimate harm in a refund order.
550	552		SECTION 33. Section 1104.102(c), Occupations Code, is
551	553		amended to read as follows:
552	554		(c) A person owning more than 10 percent of an appraisal
553	555		management company in this state must[:
554	556		[(1) be of good moral character, as determined by the
555	557		board; and
556	558		[(2)] submit to a background investigation, as
557	559		determined by the board.
558	560		SECTION 34. Section 1104.104(b), Occupations Code, is
559	561		amended to read as follows:
560	562		(b) The controlling person designated under Subsection (a):
561	563		(1) must:
562	564		(A) be certified as an appraiser in at least one
563	565		state at all times during the designation; or
564	566		(B) have completed:
565	567		(i) the 15-hour national Uniform Standards
566	568		of Professional Appraisal Practice course; and
567	569		(ii) the seven-hour national Uniform
568	570		Standards of Professional Appraisal Practice update course not more
569	571		than two years before the renewal of the appraisal management
570	572		company's registration;
571	573		(2) may not have had a license or certificate to act as
572	574		an appraiser denied, revoked, or surrendered in lieu of revocation
573	575		in any state unless:
574	576		(A) the person has subsequently had the license
575	577		or certificate to act as an appraiser granted or reinstated; and
576	578		(B) the license or certificate to act as an
577	579		appraiser was denied, revoked, or surrendered for a nonsubstantive
578	580		reason as determined by the board; and
579	581		(3) [must be of good moral character, as determined by
580	582		the board; and
581	583		[(4)] shall submit to a background investigation, as
582	584		determined by the board.
583	585		SECTION 35. Section 1104.105, Occupations Code, is amended
584	586		by adding Subsection (a-1) to read as follows:
585	587		(a-1) The board may deny an application for registration
586	588		renewal if the applicant is in violation of a board order.
587	589		SECTION 36. Section 1104.2082, Occupations Code, is amended
588	590		by adding Subsection (e-1) to read as follows:
589	591		(e-1) The board shall protect the identity of a complainant
590	592		to the extent possible by excluding the complainant's identifying
591	593		information from a complaint notice sent to a respondent.
592	594		SECTION 37. Section 1105.004(b), Occupations Code, is
593	595		amended to read as follows:
594	596		(b) [Not later than August 31 of each fiscal year, the
595	597		agency shall remit a nonrefundable retainer to the state auditor in
596	598		an amount not less than $10,000.] The agency shall reimburse the
597	599		state auditor for all costs incurred[, in excess of the aggregate
598	600		nonrefundable retainer amounts paid each fiscal year,] in
599	601		performing the audits and shall provide to the governor a copy of
600	602		any audit performed.
601	603		SECTION 38. Sections 1105.005(b) and (c), Occupations Code,
602	604		are amended to read as follows:
603	605		(b) Before the beginning of each regular session of the
604	606		legislature, the agency shall submit to the legislature and the
605	607		governor a report describing all of the agency's activities in the
606	608		previous biennium. The report must include:
607	609		(1) an audit as required by Section 1105.004;
608	610		(2) a financial report of the previous fiscal year,
609	611		including reports on the financial condition and results of
610	612		operations;
611	613		(3) a description of all changes in fees imposed on
612	614		regulated persons;
613	615		(4) a report on changes in the regulatory jurisdiction
614	616		of the agency;
615	617		(5) a report on the number of examination candidates,
616	618		license, certificate, and registration holders, and enforcement
617	619		activities and any changes in those figures; and
618	620		(6) [(5)] a list of all new rules adopted or repealed.
619	621		(c) In addition to the reporting requirements of Subsection
620	622		(b), not later than November 1 of each year, the agency shall submit
621	623		to the governor, the committee of each house of the legislature that
622	624		has jurisdiction over appropriations, and the Legislative Budget
623	625		Board a report that contains:
624	626		(1) the salary for all agency personnel and the total
625	627		amount of per diem expenses and travel expenses paid for all agency
626	628		employees, including trend performance data for the preceding five
627	629		fiscal years;
628	630		(2) the total amount of per diem expenses and travel
629	631		expenses paid for each member of the agency, including trend
630	632		performance data for the preceding five fiscal years;
631	633		(3) the agency's operating plan covering a period of
632	634		two fiscal years [and the annual budgets of the commission and the
633	635		board]; [and]
634	636		(4) the agency's operating budget, including revenues
635	637		and a breakdown of expenditures by program and administrative
636	638		expense, showing:
637	639		(A) projected budget data for a period of two
638	640		fiscal years; and
639	641		(B) trend performance data for the preceding five
640	642		fiscal years; and
641	643		(5) trend performance data for the preceding five
642	644		fiscal years regarding:
643	645		(A) the number of full-time equivalent positions
644	646		at the agency;
645	647		(B) the number of complaints received from the
646	648		public and the number of complaints initiated by agency staff;
647	649		(C) the number of complaints dismissed and the
648	650		number of complaints resolved by enforcement action;
649	651		(D) the number of enforcement actions by sanction
650	652		type;
651	653		(E) the number of enforcement cases closed
652	654		through voluntary compliance;
653	655		(F) the amount of administrative penalties
654	656		assessed and the rate of collection of assessed administrative
655	657		penalties;
656	658		(G) the number of enforcement cases that allege a
657	659		threat to public health, safety, or welfare or a violation of
658	660		professional standards of care and the disposition of those cases;
659	661		(H) the average time to resolve a complaint;
660	662		(I) the number of license holders or regulated
661	663		persons broken down by type of license and license status,
662	664		including inactive status or retired status;
663	665		(J) the fee charged to issue and renew each type
664	666		of license, certificate, or registration issued by the agency;
665	667		(K) the average time to issue a license,
666	668		certificate, or registration;
667	669		(L) litigation costs, broken down by
668	670		administrative hearings, judicial proceedings, and outside counsel
669	671		costs; and
670	672		(M) reserve fund balances [a detailed report of
671	673		all revenue received and all expenses incurred by the agency in the
672	674		previous 12 months].
673	675		SECTION 39. Section 1105.007, Occupations Code, is amended
674	676		to read as follows:
675	677		Sec. 1105.007. PROPERTY. The commission or board may[:
676	678		[(1)] acquire by [purchase,] lease[, gift, or any
677	679		other manner provided by law] and maintain, use, and operate any
678	680		real, personal, or mixed property[, or any interest in property,]
679	681		necessary [or convenient] to the exercise of the respective powers,
680	682		rights, privileges, or functions of the commission or board[;
681	683		[(2) sell or otherwise dispose of any real, personal,
682	684		or mixed property, or any interest in property, that the commission
683	685		or board, as appropriate, determines is not necessary or convenient
684	686		to the exercise of the commission's or board's respective powers,
685	687		rights, privileges, or functions;
686	688		[(3) construct, extend, improve, maintain, and
687	689		reconstruct, or cause to construct, extend, improve, maintain, and
688	690		reconstruct, and use and operate all facilities necessary or
689	691		convenient to the exercise of the respective powers, rights,
690	692		privileges, or functions of the commission or board; and
691	693		[(4) borrow money, as may be authorized from time to
692	694		time by an affirmative vote of a two-thirds majority of the
693	695		commission or board, as appropriate, for a period not to exceed five
694	696		years if necessary or convenient to the exercise of the
695	697		commission's or board's respective powers, rights, privileges, or
696	698		functions].
697	699		SECTION 40. Section 1105.008(b), Occupations Code, is
698	700		amended to read as follows:
699	701		(b) The [Not later than August 31 of each fiscal year, the
700	702		agency shall remit a nonrefundable retainer to the office of the
701	703		attorney general in an amount of not less than $75,000. The
702	704		nonrefundable retainer shall be applied to any services provided to
703	705		the agency. If additional litigation services are required, the]
704	706		attorney general may assess and collect from the agency reasonable
705	707		attorney's fees[, in excess of the aggregate nonrefundable retainer
706	708		amount paid each fiscal year,] associated with any litigation under
707	709		this section.
708	710		SECTION 41. Section 1105.009, Occupations Code, is amended
709	711		to read as follows:
710	712		Sec. 1105.009. ADMINISTRATIVE HEARINGS. The [(a) Not
711	713		later than August 31 of each fiscal year, the agency shall remit a
712	714		nonrefundable retainer to the] State Office of Administrative
713	715		Hearings shall enter into a contract with the agency [in an amount
714	716		of not less than $75,000] for hearings conducted by the State Office
715	717		of Administrative Hearings under a law administered by the
716	718		commission or the board. The agency shall reimburse the State
717	719		Office of Administrative Hearings for costs incurred in conducting
718	720		the hearings.
719	721		[(b) The nonrefundable retainer shall be applied to the
720	722		costs associated with conducting the hearings. If additional costs
721	723		are incurred, the State Office of Administrative Hearings may
722	724		assess and collect from the agency reasonable fees, in excess of the
723	725		nonrefundable retainer amount paid each fiscal year, associated
724	726		with conducting the hearings.]
725	727		SECTION 42. Subchapter B, Chapter 1303, Occupations Code,
726	728		is amended by adding Section 1303.054 to read as follows:
727	729		Sec. 1303.054. COMPLAINT INVESTIGATION. If the commission
728	730		determines at any time that an allegation made or formal complaint
729	731		submitted by a person is inappropriate or without merit, the
730	732		commission shall dismiss the complaint and no further action may be
731	733		taken. The commission may delegate to staff the duty to dismiss
732	734		complaints described by this section.
733	735		SECTION 43. Subchapter C, Chapter 221, Property Code, is
734	736		amended by adding Section 221.0245 to read as follows:
735	737		Sec. 221.0245. COMPLAINT INVESTIGATION. If the commission
736	738		determines at any time that an allegation made or formal complaint
737	739		submitted by a person is inappropriate or without merit, the
738	740		commission shall dismiss the complaint and no further action may be
739	741		taken. The commission may delegate to commission staff the duty to
740	742		dismiss complaints under this section.
741	743		SECTION 44. Subchapter C, Chapter 221, Property Code, is
742	744		amended by adding Section 221.028 to read as follows:
743	745		Sec. 221.028. DENIAL OF REGISTRATION RENEWAL. (a) The
744	746		commission may deny the renewal of a registration under this
745	747		chapter if the developer is in violation of a commission order.
746	748		(b) The denial of a registration renewal under this section
747	749		is subject to the same provisions as are applicable under Section
748	750		1101.364, Occupations Code, to the denial of a license.
749	751		SECTION 45. Section 1101.552(c), Occupations Code, is
750	752		repealed.
751	753		SECTION 46. As soon as practicable after the effective date
752	754		of this Act, the Texas Real Estate Commission and the Texas
753	755		Appraiser Licensing and Certification Board shall adopt rules and
754	756		policies and enter into contracts necessary to implement the
755	757		changes in law made by this Act.
756	758		SECTION 47. The changes in law made by this Act relating to
757	759		an applicant's entitlement to a hearing following the denial of an
758	760		application to renew a license, certificate of registration, or
759	761		approval by the Texas Real Estate Commission or the Texas Appraiser
760	762		Licensing and Certification Board, as applicable, apply only to an
761	763		application for renewal that is submitted on or after the effective
762	764		date of this Act. An application for renewal that is submitted
763	765		before that date is governed by the law in effect on the date the
764	766		application was submitted, and the former law is continued in
765	767		effect for that purpose.
766	768		SECTION 48. (a) Except as provided by Subsection (b) of
767	769		this section, Sections 1101.059 and 1103.0545, Occupations Code, as
768	770		amended by this Act, apply to a member of the Texas Real Estate
769	771		Commission or the Texas Appraiser Licensing and Certification Board
770	772		appointed before, on, or after the effective date of this Act.
771	773		(b) A member of the Texas Real Estate Commission or the
772	774		Texas Appraiser Licensing and Certification Board who, before the
773	775		effective date of this Act, completed the training program required
774	776		by Section 1101.059 or 1103.0545, Occupations Code, as the
775	777		applicable law existed before the effective date of this Act, is
776	778		required to complete additional training only on the subjects added
777	779		by this Act to the training program required by Section 1101.059 or
778	780		1103.0545, Occupations Code, as applicable. A member described by
779	781		this subsection may not vote, deliberate, or be counted as a member
780	782		in attendance at a meeting of the applicable commission or board
781	783		held on or after December 1, 2019, until the member completes the
782	784		additional training.
783	785		SECTION 49. Sections 1101.354, 1102.107, and 1103.353,
784	786		Occupations Code, as amended by this Act, apply only to an
785	787		application submitted to the Texas Real Estate Commission or the
786	788		Texas Appraiser Licensing and Certification Board, as applicable,
787	789		on or after the effective date of this Act. An application
788	790		submitted before that date is governed by the law in effect on the
789	791		date the application was submitted, and the former law is continued
790	792		in effect for that purpose.
791	793		SECTION 50. Section 1101.652(a), Occupations Code, as
792	794		amended by this Act, and Section 1103.5526, Occupations Code, as
793	795		added by this Act, apply only to disciplinary action regarding
794	796		conduct that occurs on or after the effective date of this Act.
795	797		Conduct that occurs before that date is governed by the law in
796	798		effect on the date the conduct occurred, and the former law is
797	799		continued in effect for that purpose.
798	800		SECTION 51. Section 1103.0521, Occupations Code, as added
799	801		by this Act, and Section 1103.054, Occupations Code, as amended by
800	802		this Act, do not affect the entitlement of a member serving on the
801	803		Texas Appraiser Licensing and Certification Board immediately
802	804		before the effective date of this Act to continue to serve for the
803	805		remainder of the member's term. As the terms of board members
804	806		expire, the governor shall appoint or reappoint members who have
805	807		the qualifications required for members under Subchapter B, Chapter
806	808		1103, Occupations Code, as amended by this Act.
807	809		SECTION 52. Section 1103.552(c), Occupations Code, as
808	810		amended by this Act, applies only to an administrative penalty that
809	811		is collected on or after the effective date of this Act. An
810	812		administrative penalty collected before that date is governed by
811	813		the law in effect on the date the penalty was collected, and the
812	814		former law is continued in effect for that purpose.
813	815		SECTION 53. This Act takes effect September 1, 2019.
814		-	______________________________ ______________________________
815		-	President of the Senate Speaker of the House
816		-	I hereby certify that S.B. No. 624 passed the Senate on
817		-	April 4, 2019, by the following vote: Yeas 31, Nays 0.
818		-	______________________________
819		-	Secretary of the Senate
820		-	I hereby certify that S.B. No. 624 passed the House on
821		-	May 15, 2019, by the following vote: Yeas 137, Nays 4, three
822		-	present not voting.
823		-	______________________________
824		-	Chief Clerk of the House
825		-	Approved:
826		-	______________________________
827		-	Date
828		-	______________________________
829		-	Governor