REAL ESTATE: CONTINUING EDUCATION                                                           S.B. 126:

                                                                                                    SUMMARY OF BILL

                                                                                      REPORTED FROM COMMITTEE

Senate Bill 126 (as reported without amendment)

Sponsor:  Senator Mike Kowall

Committee:  Regulatory Reform

CONTENT

The bill would amend Article 25 of the Occupational Code to do the following:

-- Change the number of hours of continuing education courses a licensed real estate broker, associate broker, or salesperson must complete in each license cycle.

-- Require the Department of Licensing and Regulatory Affairs (LARA) to promulgate rules determining the number of hours of continuing education courses a licensee would have to complete in each license cycle.

-- Require LARA to determine the number of required hours by multiplying the number of years in the license cycle by six.

-- Require LARA, by rule, to establish standards for determining if a continuing education course was an eligible course under the article. 

-- At LARA's request, require an applicant for license renewal to produce the number of hours of instruction included in a professional continuing education course.

(Public Act 502 of 2016 amends the Code, effective March 29, 2017, to change several provisions of Article 25, including the number of clock hours of eligible continuing education courses a licensee is required to complete. In addition, instead of the current three-year term, LARA is required to establish the term of a license cycle.)

MCL 339.2504a                                                       Legislative Analyst:  Stephen Jackson

FISCAL IMPACT

The bill would have a minor, but negative fiscal impact on the Department of Licensing and Regulatory Affairs, and no fiscal impact on local units of government.  Under the bill, LARA would be required to promulgate administrative rules regarding the hours of continuing education real estate professionals would have to complete during each license cycle.  Rule promulgation would result in some new administrative costs that would likely be minor, but would vary with the relative complexity of the rules promulgated.  These costs would be borne by existing resources within LARA.

Date Completed:  3-9-17                                                       Fiscal Analyst:  Josh Sefton

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.