Bill Text: NY A05359 | 2021-2022 | General Assembly | Introduced
Bill Title: Increases the required training for real estate brokers and real estate salespeople relating to fair housing laws and housing discrimination.
Spectrum: Partisan Bill (Democrat 1-0)
Status: (Introduced - Dead) 2021-06-03 - substituted by s2132b [A05359 Detail]
Download: New_York-2021-A05359-Introduced.html
STATE OF NEW YORK ________________________________________________________________________ 5359 2021-2022 Regular Sessions IN ASSEMBLY February 16, 2021 ___________ Introduced by M. of A. CRUZ -- read once and referred to the Committee on Judiciary AN ACT to amend the real property law, in relation to increasing required training for real estate brokers and real estate salespeople to prevent discrimination The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subdivision 3 of section 441 of the real property law is 2 amended by adding a new paragraph (e) to read as follows: 3 (e) The secretary of state shall, upon notice and a public hearing, 4 promulgate rules establishing the content of the instruction pertaining 5 to fair housing and/or discrimination in the sale or rental of real 6 property or an interest in real property required by paragraph (a) of 7 this subdivision. Such instruction shall include, but not be limited to, 8 courses on: (1) the legacy of segregation, unequal treatment, and 9 historic lack of access to opportunity in housing; (2) unequal access to 10 amenities and resources on the basis of race, disability, and other 11 protected characteristics; (3) federal, state, and local fair housing 12 laws; and (4) anti-bias training. 13 § 2. Paragraphs (b) and (c) of subdivision 1 of section 441 of the 14 real property law, as amended by chapter 183 of the laws of 2006, are 15 amended and a new paragraph (d) is added to read as follows: 16 (b) Such further information as the department may reasonably require 17 shall be furnished by the applicant including sufficient proof of having 18 taken and passed a written examination and answered such questions as 19 may be prepared by the department to enable it to determine the trust- 20 worthiness of the applicant if an individual, or of each member of a 21 co-partnership or each member of a limited liability company or each 22 officer of a corporation for whom a license as a broker is asked, and 23 his or their competency to transact the business of real estate broker 24 in such a manner as to safeguard the interests of the public. In deter- EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD06385-04-1A. 5359 2 1 mining competency, the department shall require proof that the person 2 being tested to qualify to apply for a broker's license has a fair know- 3 ledge of the English language, a fair understanding of the general 4 purposes and general legal effect of deeds, mortgages, land contracts of 5 sale, and leases, a general and fair understanding of the obligations 6 between principal and agent, a general and fair understanding of the 7 laws, rules and regulations pertaining to fair housing and discrimi- 8 nation in the sale or rental of real property or an interest in real 9 property, as well as of the provisions of this section. The applicant 10 must also furnish proof that he has attended for at least one hundred 11 [twenty] fifty-two hours and has successfully completed a real estate 12 course or courses approved by the secretary of state as to method and 13 content and supervision which approval may be withdrawn if in the opin- 14 ion of the secretary of state said course or courses are not being 15 conducted properly as to method, content and supervision, and that 16 either the applicant has actively participated in the general real 17 estate brokerage business as a licensed real estate salesman under the 18 supervision of a licensed real estate broker for a period of not less 19 than two years or has had the equivalent experience in general real 20 estate business for a period of at least three years, the nature of 21 which experience shall be established by affidavit duly sworn to under 22 oath and/or other and further proof required by the department of state. 23 Computer-based and distance-learning courses may be approved by the 24 department so long as providers demonstrate the ability to monitor and 25 verify participation by the applicant for the specified time period. 26 Notwithstanding the foregoing authority to approve computer-based and 27 distance-learning courses, the department may prescribe that specified 28 subjects or hours must be presented in a classroom setting. 29 (c) In the event the applicant shall be a licensed salesman under this 30 article and shall have submitted acceptable proof pursuant to the 31 provisions of either paragraph (d) of subdivision one-A of this section 32 or paragraph (a) of subdivision three of this section of having attended 33 and successfully completed [seventy-five] seventy-seven hours of an 34 approved real estate course or courses, six hours of which have been 35 focused on fair housing and discrimination in the sale or rental of real 36 property or an interest in real property, within eight years of the date 37 of the application, the department may accept and credit same against 38 the one hundred [twenty] fifty-two hours required hereunder. 39 (d) The one hundred fifty-two hours of an approved real estate course 40 or courses required by paragraph (b) of this subdivision shall include 41 instruction on fair housing and discrimination in the sale or rental of 42 real property or an interest in real property as described in paragraph 43 (e) of subdivision three of this section and instruction on the licensed 44 real estate broker's responsibility for ensuring that each licensed real 45 estate salesman under such broker's supervision is in compliance with 46 his or her obligations under applicable federal, state, and local laws, 47 rules, and regulations pertaining to fair housing and discrimination in 48 the sale or rental of real property or an interest in real property. 49 § 3. Paragraphs (b) and (d) of subdivision 1-A of section 441 of the 50 real property law, paragraph (b) as amended by chapter 81 of the laws of 51 1995, and paragraph (d) as amended by chapter 183 of the laws of 2006, 52 are amended to read as follows: 53 (b) Each applicant for a salesman's license shall provide such further 54 information as the department may reasonably require, appearing at such 55 time and place as may be designated by the department, to take a written 56 examination and answer such questions as may be prepared by the depart-A. 5359 3 1 ment to enable it to determine the trustworthiness of the applicant and 2 the applicant's competence to transact the business of real estate 3 salesman in such a manner as to safeguard the interests of the public, 4 including the applicant's working knowledge of the basic concepts of law 5 pertaining to contracts, real property, agency and this article which 6 govern conduct of such business, knowledge of laws, rules, and regu- 7 lations pertaining to fair housing and discrimination in the sale or 8 rental of real property or an interest in real property, mastery of 9 basic skills needed to perform the applicant's duties, working knowledge 10 of the ethical obligations of a real estate salesman, and knowledge of 11 the provisions of the general obligations law pertaining to performance 12 of the applicant's duties. 13 (d) Anything to the contrary herein notwithstanding, on and after the 14 effective date of this paragraph, no salesman's license or conditional 15 license shall be issued by the department unless the application there- 16 for has been accompanied by proof that prior to such application the 17 applicant has attended at least [seventy-five] seventy-seven hours and 18 successfully completed a real estate course or courses approved by the 19 secretary of state as to method and content and supervision, which 20 approval may be withdrawn if in the opinion of the secretary of state 21 said course or courses are not properly conducted as to method, content 22 and supervision. Computer-based and distance-learning courses may be 23 approved by the department so long as providers demonstrate the ability 24 to monitor and verify participation by the applicant for the specified 25 time period. Notwithstanding the foregoing authority to approve compu- 26 ter-based and distance-learning courses, the department may prescribe 27 that specified subjects or hours must be presented in a classroom 28 setting. 29 § 4. Paragraph (c) of subdivision 3 of section 441 of the real proper- 30 ty law, as amended by chapter 470 of the laws of 1998, is amended to 31 read as follows: 32 (c) (i) The secretary of state shall promulgate rules establishing the 33 method, content, setting and supervision requirements of the continuing 34 education real estate course or courses provided for in this section. In 35 establishing the requirements for the continuing education course or 36 courses, the secretary of state shall permit alternatives with respect 37 to content and method of presentation in consideration of the type of 38 brokerage practiced and the availability of the sources of such course 39 or courses in different areas of the state. Each course shall have an 40 established curriculum composed primarily of real estate practice and 41 professional responsibility and ethics and properly prepared written 42 materials of the subject matter which shall be distributed as part of 43 the course. It shall be taught by a qualified faculty with attorneys 44 presenting legal subjects. Credit shall be awarded on the basis of one 45 hour for each sixty minutes of actual attendance and records shall be 46 maintained of attendance at each session which shall be transmitted to 47 the department at the conclusion of the course. Computer-based and 48 distance learning courses may be approved by the department so long as 49 providers demonstrate the ability to monitor and verify participation by 50 the licensee for the specified time period. 51 (ii) The secretary of state shall require approved faculty to sign a 52 document under oath, approved by and submitted to the department of 53 state, attesting to compliance with all applicable statutory and regula- 54 tory requirements pertaining to the instruction of the established 55 curriculum. The secretary of state shall promulgate penalties for facul- 56 ty that fail to meet the obligations required under this section andA. 5359 4 1 department of state regulations including, but not limited to, the 2 temporary suspension of their instructor certificate for the first such 3 failure and the revocation of their instructor certificate for any 4 subsequent failure. 5 § 5. This act shall take effect on the first of July next succeeding 6 the date on which it shall have become a law.