Bill Text: NY S02132 | 2021-2022 | General Assembly | Amended
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 6-0)
Status: (Passed) 2021-12-21 - APPROVAL MEMO.81 [S02132 Detail]
Download: New_York-2021-S02132-Amended.html
STATE OF NEW YORK ________________________________________________________________________ 2132--B 2021-2022 Regular Sessions IN SENATE January 19, 2021 ___________ Introduced by Sens. SKOUFIS, KAVANAGH, THOMAS -- read twice and ordered printed, and when printed to be committed to the Committee on Judici- ary -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee -- reported favorably from said committee and committed to the Committee on Rules -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee 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- EXPLANATION--Matter in italics (underscored) is new; matter in brackets [] is old law to be omitted. LBD06385-03-1S. 2132--B 2 1 worthiness of the applicant if an individual, or of each member of a 2 co-partnership or each member of a limited liability company or each 3 officer of a corporation for whom a license as a broker is asked, and 4 his or their competency to transact the business of real estate broker 5 in such a manner as to safeguard the interests of the public. In deter- 6 mining competency, the department shall require proof that the person 7 being tested to qualify to apply for a broker's license has a fair know- 8 ledge of the English language, a fair understanding of the general 9 purposes and general legal effect of deeds, mortgages, land contracts of 10 sale, and leases, a general and fair understanding of the obligations 11 between principal and agent, a general and fair understanding of the 12 laws, rules and regulations pertaining to fair housing and discrimi- 13 nation in the sale or rental of real property or an interest in real 14 property, as well as of the provisions of this section. The applicant 15 must also furnish proof that he has attended for at least one hundred 16 [twenty] fifty-two hours and has successfully completed a real estate 17 course or courses approved by the secretary of state as to method and 18 content and supervision which approval may be withdrawn if in the opin- 19 ion of the secretary of state said course or courses are not being 20 conducted properly as to method, content and supervision, and that 21 either the applicant has actively participated in the general real 22 estate brokerage business as a licensed real estate salesman under the 23 supervision of a licensed real estate broker for a period of not less 24 than two years or has had the equivalent experience in general real 25 estate business for a period of at least three years, the nature of 26 which experience shall be established by affidavit duly sworn to under 27 oath and/or other and further proof required by the department of state. 28 Computer-based and distance-learning courses may be approved by the 29 department so long as providers demonstrate the ability to monitor and 30 verify participation by the applicant for the specified time period. 31 Notwithstanding the foregoing authority to approve computer-based and 32 distance-learning courses, the department may prescribe that specified 33 subjects or hours must be presented in a classroom setting. 34 (c) In the event the applicant shall be a licensed salesman under this 35 article and shall have submitted acceptable proof pursuant to the 36 provisions of either paragraph (d) of subdivision one-A of this section 37 or paragraph (a) of subdivision three of this section of having attended 38 and successfully completed [seventy-five] seventy-seven hours of an 39 approved real estate course or courses, six hours of which have been 40 focused on fair housing and discrimination in the sale or rental of real 41 property or an interest in real property, within eight years of the date 42 of the application, the department may accept and credit same against 43 the one hundred [twenty] fifty-two hours required hereunder. 44 (d) The one hundred fifty-two hours of an approved real estate course 45 or courses required by paragraph (b) of this subdivision shall include 46 instruction on fair housing and discrimination in the sale or rental of 47 real property or an interest in real property as described in paragraph 48 (e) of subdivision three of this section and instruction on the licensed 49 real estate broker's responsibility for ensuring that each licensed real 50 estate salesman under such broker's supervision is in compliance with 51 his or her obligations under applicable federal, state, and local laws, 52 rules, and regulations pertaining to fair housing and discrimination in 53 the sale or rental of real property or an interest in real property. 54 § 3. Paragraphs (b) and (d) of subdivision 1-A of section 441 of the 55 real property law, paragraph (b) as amended by chapter 81 of the laws ofS. 2132--B 3 1 1995, and paragraph (d) as amended by chapter 183 of the laws of 2006, 2 are amended to read as follows: 3 (b) Each applicant for a salesman's license shall provide such further 4 information as the department may reasonably require, appearing at such 5 time and place as may be designated by the department, to take a written 6 examination and answer such questions as may be prepared by the depart- 7 ment to enable it to determine the trustworthiness of the applicant and 8 the applicant's competence to transact the business of real estate 9 salesman in such a manner as to safeguard the interests of the public, 10 including the applicant's working knowledge of the basic concepts of law 11 pertaining to contracts, real property, agency and this article which 12 govern conduct of such business, knowledge of laws, rules, and regu- 13 lations pertaining to fair housing and discrimination in the sale or 14 rental of real property or an interest in real property, mastery of 15 basic skills needed to perform the applicant's duties, working knowledge 16 of the ethical obligations of a real estate salesman, and knowledge of 17 the provisions of the general obligations law pertaining to performance 18 of the applicant's duties. 19 (d) Anything to the contrary herein notwithstanding, on and after the 20 effective date of this paragraph, no salesman's license or conditional 21 license shall be issued by the department unless the application there- 22 for has been accompanied by proof that prior to such application the 23 applicant has attended at least [seventy-five] seventy-seven hours and 24 successfully completed a real estate course or courses approved by the 25 secretary of state as to method and content and supervision, which 26 approval may be withdrawn if in the opinion of the secretary of state 27 said course or courses are not properly conducted as to method, content 28 and supervision. Computer-based and distance-learning courses may be 29 approved by the department so long as providers demonstrate the ability 30 to monitor and verify participation by the applicant for the specified 31 time period. Notwithstanding the foregoing authority to approve compu- 32 ter-based and distance-learning courses, the department may prescribe 33 that specified subjects or hours must be presented in a classroom 34 setting. 35 § 4. Paragraph (c) of subdivision 3 of section 441 of the real proper- 36 ty law, as amended by chapter 470 of the laws of 1998, is amended to 37 read as follows: 38 (c) (i) The secretary of state shall promulgate rules establishing the 39 method, content, setting and supervision requirements of the continuing 40 education real estate course or courses provided for in this section. In 41 establishing the requirements for the continuing education course or 42 courses, the secretary of state shall permit alternatives with respect 43 to content and method of presentation in consideration of the type of 44 brokerage practiced and the availability of the sources of such course 45 or courses in different areas of the state. Each course shall have an 46 established curriculum composed primarily of real estate practice and 47 professional responsibility and ethics and properly prepared written 48 materials of the subject matter which shall be distributed as part of 49 the course. It shall be taught by a qualified faculty with attorneys 50 presenting legal subjects. Credit shall be awarded on the basis of one 51 hour for each sixty minutes of actual attendance and records shall be 52 maintained of attendance at each session which shall be transmitted to 53 the department at the conclusion of the course. Computer-based and 54 distance learning courses may be approved by the department so long as 55 providers demonstrate the ability to monitor and verify participation by 56 the licensee for the specified time period.S. 2132--B 4 1 (ii) The secretary of state shall require approved faculty to sign a 2 document under oath, approved by and submitted to the department of 3 state, attesting to compliance with all applicable statutory and regula- 4 tory requirements pertaining to the instruction of the established 5 curriculum. The secretary of state shall promulgate penalties for facul- 6 ty that fail to meet the obligations required under this section and 7 department of state regulations including, but not limited to, the 8 temporary suspension of their instructor certificate for the first such 9 failure and the revocation of their instructor certificate for any 10 subsequent failure. 11 § 5. This act shall take effect on the first of July next succeeding 12 the date on which it shall have become a law.