By: Kuempel H.B. No. 2378
A BILL TO BE ENTITLED
AN ACT
relating to the licensing and regulation of real estate inspectors;
reducing a fee.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Sections 1102.001(1), (5), and (7), Occupations
Code, are amended to read as follows:
(1) "Apprentice inspector" means a person who is in
training under the direct supervision of a professional inspector
[or a real estate inspector] to become qualified to perform real
estate inspections.
(5) "Qualifying ["Core] real estate inspection
course" means an educational course approved by the commission that
relates to real estate inspection, including a course on structural
items, electrical items, mechanical systems, plumbing systems,
roofing, business, law, standards of practice, report writing,
appliances, or ethics.
(7) "License" means an apprentice inspector license[,
real estate inspector license,] or professional inspector license.
SECTION 2. Section 1102.101, Occupations Code, is amended
to read as follows:
Sec. 1102.101. APPRENTICE INSPECTOR LICENSE REQUIRED. A
person may not act or attempt to act as an apprentice inspector in
this state for a buyer or seller of real property unless the person:
(1) holds an apprentice inspector license under this
chapter; and
(2) is under the direct supervision of a [real estate
inspector or] professional inspector.
SECTION 3. Section 1102.104, Occupations Code, is amended
to read as follows:
Sec. 1102.104. SUPERVISION. For the purposes of this
chapter, a person performing a real estate inspection or preparing
a report of a real estate inspection is under[:
[(1)] direct supervision if the person is instructed
and controlled by a professional inspector [or real estate
inspector] who is:
(1) [(A)] responsible for the actions of the person;
(2) [(B)] available if needed to consult with or
assist the person; and
(3) [(C)] physically present at the time and place of
the inspection[; and
[(2) indirect supervision if the person is instructed
and controlled by a professional inspector who is:
[(A) responsible for the actions of the person;
and
[(B) available if needed to consult with or
assist the person].
SECTION 4. Section 1102.109, Occupations Code, is amended
to read as follows:
Sec. 1102.109. ELIGIBILITY FOR PROFESSIONAL INSPECTOR
LICENSE. To be eligible for a professional inspector license, an
applicant must:
(1) at the time of application have:
(A) held an apprentice [a real estate] inspector
license for at least 12 months; and
(B) performed at least 175 real estate
inspections under direct [indirect] supervision;
(2) submit evidence satisfactory to the commission of
successful completion of at least 120 [40] classroom hours of
qualifying [core] real estate inspection courses[, in addition to
the hours required by Section 1102.108];
(3) demonstrate competence based on the examination
under Subchapter D; and
(4) satisfy the commission as to the applicant's
honesty, trustworthiness, integrity, and competence.
SECTION 5. Section 1102.111, Occupations Code, is amended
to read as follows:
Sec. 1102.111. SUBSTITUTE REQUIREMENTS. (a) The
commission by rule shall provide for substitution of relevant
experience and additional education in place of:
(1) the number of real estate inspections required for
licensing; and
(2) the requirement that an applicant be[:
[(A)] licensed as an apprentice inspector
[before being licensed as a real estate inspector; or
[(B) licensed as a real estate inspector before
being licensed as a professional inspector].
(b) Rules adopted under Subsection (a) may not require an
applicant to:
(1) complete more than 320 additional hours of
qualifying [core] real estate inspection courses;
(2) complete more than 40 hours of field work, if the
applicant completes correspondence or other course provided by
alternative means; or
(3) have more than seven years of relevant experience.
SECTION 6. Section 1102.113, Occupations Code, is amended
to read as follows:
Sec. 1102.113. ELIGIBILITY AS SPONSOR. A professional
inspector may sponsor an apprentice inspector [or a real estate
inspector] only if the professional inspector provides sufficient
proof to the commission that the professional inspector has
completed at least 200 real estate inspections as a professional
inspector.
SECTION 7. Section 1102.151(a), Occupations Code, is
amended to read as follows:
(a) A license examination must evaluate competence in the
subject matter of each required qualifying [core] real estate
inspection course.
SECTION 8. Section 1102.205(b), Occupations Code, is
amended to read as follows:
(b) As a prerequisite for renewal of a [real estate
inspector license,] professional inspector license[,] or
apprentice inspector license, the inspector must participate in the
continuing education program and submit evidence satisfactory to
the commission of successful completion of at least 16 classroom
hours of qualifying [core] real estate inspection courses or
continuing education courses for each year of the license period
preceding the renewal.
SECTION 9. Section 1102.251, Occupations Code, is amended
to read as follows:
Sec. 1102.251. FEES. The commission shall charge and
collect reasonable and necessary fees to cover the cost of
administering this chapter for:
(1) filing an original application for an apprentice
inspector license;
(2) [filing an original application for a real estate
inspector license;
[(3)] filing an original application for a
professional inspector license;
(3) [(4)] renewal of an apprentice inspector license;
(4) [(5) renewal of a real estate inspector license;
[(6)] renewal of a professional inspector license;
(5) [(7)] a license examination;
(6) [(8)] a request to change a place of business or to
replace a lost or destroyed license; and
(7) [(9)] filing a request for issuance of a license
because of a change of name, return to active status, or change in
sponsoring professional inspector.
SECTION 10. Section 1102.352(a), Occupations Code, is
amended to read as follows:
(a) In addition to any other fees required by this chapter,
a person who submits an original application for a license under
this chapter [passes a license examination] must pay a fee not to
exceed $10 [$200]. The commission shall deposit the fee to the
credit of the fund before issuing the license.
SECTION 11. Subchapter I, Chapter 1102, Occupations Code,
is amended by adding Section 1102.409 to read as follows:
Sec. 1102.409. REAPPLICATION AFTER LICENSE REVOCATION,
DENIAL, OR SURRENDER. A person who has had the person's license
issued under this chapter revoked or application for a license
under this chapter denied after a hearing conducted under Section
1101.657 or who has surrendered the person's license issued under
this chapter to the commission may not reapply to the commission for
a license under this chapter before the second anniversary of the
date of the revocation, denial, or surrender.
SECTION 12. The following provisions of the Occupations
Code are repealed:
(1) Section 1102.001(10);
(2) Section 1102.102;
(3) Section 1102.108; and
(4) Section 1102.110(a).
SECTION 13. Section 1102.109, Occupations Code, as amended
by this Act, applies only to an application for a professional
inspector license submitted on or after September 1, 2021. An
application submitted before September 1, 2021, is governed by the
law in effect on the date the application was submitted, and the
former law is continued in effect for that purpose.
SECTION 14. Section 1102.409, Occupations Code, as added by
this Act, applies only to a person who has the person's license
revoked or application for a license denied or who surrenders the
person's license on or after September 1, 2021. A revocation,
denial, or surrender that occurs before September 1, 2021, is
governed by the law in effect on the date of the revocation, denial,
or surrender, and the former law is continued in effect for that
purpose.
SECTION 15. (a) Notwithstanding the repeal by this Act of
Section 1102.102, Occupations Code, a real estate inspector license
for which an application was submitted before September 1, 2021,
and that was issued under that former section before September 1,
2022, continues to be valid until the license expires and may be
renewed in accordance with the renewal requirements for that
license under Section 1102.203, Occupations Code, as those
requirements existed immediately before September 1, 2021, and the
former law is continued in effect for that purpose.
(b) The changes in law made by this Act do not affect the
validity of a disciplinary action or other proceeding that was
initiated against a real estate inspector license holder before
September 1, 2021, and that is pending before a court or other
governmental entity on that date.
SECTION 16. This Act takes effect September 1, 2021.