Bill Text: TX HB2911 | 2013-2014 | 83rd Legislature | Comm Sub
NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Relating to the regulation of real estate inspectors; changing fees.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2013-06-14 - Effective on 9/1/13 [HB2911 Detail]
Download: Texas-2013-HB2911-Comm_Sub.html
Bill Title: Relating to the regulation of real estate inspectors; changing fees.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Passed) 2013-06-14 - Effective on 9/1/13 [HB2911 Detail]
Download: Texas-2013-HB2911-Comm_Sub.html
83R13392 MAW-F | |||
By: Kuempel | H.B. No. 2911 | ||
Substitute the following for H.B. No. 2911: | |||
By: Smith | C.S.H.B. No. 2911 |
|
||
|
||
relating to the regulation of real estate inspectors; changing | ||
fees. | ||
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: | ||
SECTION 1. Subchapter C, Chapter 1102, Occupations Code, is | ||
amended by adding Section 1102.1051 to read as follows: | ||
Sec. 1102.1051. CRIMINAL HISTORY RECORD INFORMATION | ||
REQUIREMENT FOR LICENSE. (a) The commission shall require that an | ||
applicant for a license or renewal of an unexpired license submit a | ||
complete and legible set of fingerprints, on a form prescribed by | ||
the commission, to the commission or to the Department of Public | ||
Safety for the purpose of obtaining criminal history record | ||
information from the Department of Public Safety and the Federal | ||
Bureau of Investigation. | ||
(b) The commission shall refuse to issue a license to or | ||
renew the license of a person who does not comply with the | ||
requirement of Subsection (a). | ||
(c) The commission shall conduct a criminal history check of | ||
each applicant for a license or renewal of a license using | ||
information: | ||
(1) provided by the individual under this section; and | ||
(2) made available to the commission by the Department | ||
of Public Safety, the Federal Bureau of Investigation, and any | ||
other criminal justice agency under Chapter 411, Government Code. | ||
(d) The commission may: | ||
(1) enter into an agreement with the Department of | ||
Public Safety to administer a criminal history check required under | ||
this section; and | ||
(2) authorize the Department of Public Safety to | ||
collect from each applicant the costs incurred by the department in | ||
conducting the criminal history check. | ||
SECTION 2. 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 a real estate inspector license for at | ||
least 12 months; and | ||
(B) performed at least 175 real estate | ||
inspections under indirect supervision; | ||
(2) submit evidence satisfactory to the commission of | ||
successful completion of at least 40 [ |
||
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 3. Section 1102.110, Occupations Code, is amended | ||
to read as follows: | ||
Sec. 1102.110. ELIGIBILITY OF PREVIOUS LICENSE HOLDERS. | ||
(a) Notwithstanding Section 1102.108, an applicant is eligible | ||
for and has satisfied all requirements for a real estate inspector | ||
license if the applicant: | ||
(1) held a real estate inspector license during the | ||
24-month period preceding the date the application is filed; | ||
(2) is sponsored by a professional inspector; [ |
||
(3) satisfies the commission as to the applicant's | ||
honesty, trustworthiness, and integrity; and | ||
(4) submits evidence satisfactory to the commission of | ||
successful completion of not less than the number of hours of | ||
continuing education courses that would have been required for the | ||
applicant to renew the license described by Subdivision (1). | ||
(b) Notwithstanding Section 1102.109, an applicant is | ||
eligible for and has satisfied all requirements for a professional | ||
inspector license if the applicant: | ||
(1) held a professional inspector license during the | ||
24-month period preceding the date the application is filed; [ |
||
(2) satisfies the commission as to the applicant's | ||
honesty, trustworthiness, and integrity; and | ||
(3) submits evidence satisfactory to the commission of | ||
successful completion of not less than the number of hours of | ||
continuing education courses that would have been required for the | ||
applicant to renew the license described by Subdivision (1). | ||
SECTION 4. Section 1102.111(b), Occupations Code, is | ||
amended to read as follows: | ||
(b) Rules adopted under Subsection (a) may not require an | ||
applicant to: | ||
(1) complete more than 320 additional [ |
||
hours of core real estate inspection courses; or | ||
(2) have more than seven years of relevant experience. | ||
SECTION 5. Section 1102.114, Occupations Code, is amended | ||
to read as follows: | ||
Sec. 1102.114. ISSUANCE OF LICENSE. The commission shall | ||
issue the appropriate license to an applicant who: | ||
(1) meets the required qualifications; and | ||
(2) submits [ |
||
|
||
[ |
||
required by Section 1102.1141 [ |
||
|
||
|
||
SECTION 6. Subchapter C, Chapter 1102, Occupations Code, is | ||
amended by adding Section 1102.1141 to read as follows: | ||
Sec. 1102.1141. FINANCIAL RESPONSIBILITY REQUIREMENT. (a) | ||
An inspector must maintain financial responsibility in the form of: | ||
(1) a liability insurance policy with a minimum limit | ||
of $100,000 per occurrence and an aggregate annual total of at least | ||
$100,000, and that: | ||
(A) is written by an insurer authorized to engage | ||
in the business of insurance in this state, a risk retention group | ||
as defined by Chapter 2201, Insurance Code, or an eligible surplus | ||
lines insurer, as defined by Section 981.002, Insurance Code; and | ||
(B) specifically provides for professional | ||
liability coverage to protect the public against a violation of | ||
Subchapter G; or | ||
(2) a bond or other security accepted by the | ||
commission. | ||
(b) A bond posted as security under Subsection (a)(2) must: | ||
(1) be issued by a carrier admitted in this state; | ||
(2) be in an amount not less than $100,000; | ||
(3) be continuous; and | ||
(4) be cancellable by the surety only after the surety | ||
has provided at least 90 days' written notice to the commission | ||
before the effective date of the cancellation. | ||
(c) Any security provided under this section in a form other | ||
than a bond must be convertible to cash by the commission for the | ||
benefit of a person who contracts with an inspector in this state, | ||
without requiring approval of a court, if the commission determines | ||
that the inspector has violated Subchapter G. Any amount remaining | ||
after an inspector's license has expired shall be returned to the | ||
inspector not later than the 180th day after the date the license | ||
expires. | ||
(d) An inspector who posts a bond or other security under | ||
this section must designate an unaffiliated third party to handle | ||
the processing of any claim regarding the bond or other security. | ||
SECTION 7. Section 1102.118, Occupations Code, is amended | ||
to read as follows: | ||
Sec. 1102.118. CONTACT INFORMATION [ |
||
(a) An inspector shall provide the commission with a current | ||
mailing address, telephone number, and, if available, e-mail | ||
address. | ||
(b) Not later than the 30th day after the date of a change in | ||
the mailing address, telephone number, or e-mail address of an | ||
inspector [ |
||
inspector shall notify the commission of the change and pay any | ||
[ |
||
SECTION 8. Section 1102.153, Occupations Code, is amended | ||
to read as follows: | ||
Sec. 1102.153. DEADLINE FOR COMPLETION. A license | ||
applicant who does not satisfy the examination requirement before | ||
the first anniversary of [ |
||
application is filed must submit a new application and pay another | ||
examination fee to be eligible for examination. | ||
SECTION 9. Section 1102.155(b), Occupations Code, is | ||
amended to read as follows: | ||
(b) An applicant who fails the examination three | ||
consecutive times [ |
||
apply for reexamination or submit a new license application unless | ||
[ |
||
the applicant completes additional educational requirements as | ||
prescribed by the commission and submits evidence satisfactory to | ||
the commission of successful completion of those requirements. | ||
SECTION 10. Section 1102.202, Occupations Code, is amended | ||
to read as follows: | ||
Sec. 1102.202. NOTICE OF LICENSE EXPIRATION. Not later | ||
than the 31st day before the expiration date of a person's license, | ||
the commission shall provide notice of the expiration [ |
||
person [ |
||
|
||
SECTION 11. Section 1102.203, Occupations Code, is amended | ||
to read as follows: | ||
Sec. 1102.203. RENEWAL OF LICENSE; INFORMATION REQUIRED. | ||
(a) A person may renew an unexpired license by paying the required | ||
renewal fee to the commission before the expiration date of the | ||
license and providing proof of financial responsibility [ |
||
|
||
(a-1) A person whose license has been expired for 90 days or | ||
less may renew the license by paying to the commission a fee equal | ||
to 1-1/2 times the required renewal fee. If a license has been | ||
expired for more than 90 days but less than six months, the person | ||
may renew the license by paying to the commission a fee equal to two | ||
times the required renewal fee. | ||
(b) If the person's license has been expired for six months | ||
or longer [ |
||
person may obtain a new license by submitting to reexamination, if | ||
required, and complying with the requirements and procedures for | ||
obtaining an original license. | ||
(c) Each applicant for renewal of a license must disclose to | ||
the commission whether the applicant has: | ||
(1) entered a plea of guilty or nolo contendere to a | ||
felony; or | ||
(2) been convicted of a felony and the time for appeal | ||
has elapsed or the judgment or conviction has been affirmed on | ||
appeal. | ||
(d) The disclosure under Subsection (c) must be provided | ||
even if an order has granted community supervision suspending the | ||
imposition of the sentence. | ||
SECTION 12. Section 1102.402(c), Occupations Code, is | ||
amended to read as follows: | ||
(c) A person is not eligible for a license until the person | ||
has reimbursed the commission [ |
||
paid on the person's behalf from the real estate inspection | ||
recovery fund or the real estate recovery trust account under | ||
Subchapter M, Chapter 1101 [ |
||
at the legal rate. | ||
SECTION 13. Section 1102.403(b), Occupations Code, is | ||
amended to read as follows: | ||
(b) An administrative penalty collected under this section | ||
[ |
||
of the general revenue [ |
||
shall offset any amount required to be remitted to the general | ||
revenue fund by the commission. [ |
||
|
||
|
||
|
||
|
||
SECTION 14. Section 1101.603(d), Occupations Code, is | ||
amended to read as follows: | ||
(d) An administrative penalty collected under Subchapter O | ||
for a violation by a person who is not licensed under this chapter | ||
or Chapter 1102 shall be deposited to the credit of the trust | ||
account [ |
||
|
||
SECTION 15. The following laws are repealed: | ||
(1) Sections 1102.252 and 1102.253, Occupations Code; | ||
and | ||
(2) Subchapter H, Chapter 1102, Occupations Code. | ||
SECTION 16. (a) In this section: | ||
(1) "Commission" means the Texas Real Estate | ||
Commission. | ||
(2) "Eligible inspector" means a person who holds a | ||
real estate inspector license or professional inspector license | ||
under Chapter 1102, Occupations Code, as of September 1, 2013. | ||
(b) Not later than August 31, 2015, the commission shall | ||
transfer not less than $300,000 from the real estate inspection | ||
recovery fund to the general revenue fund. | ||
(c) Not later than November 1, 2017, the commission shall | ||
determine the remaining liability of the real estate inspection | ||
recovery fund based on any pending claims for payment under former | ||
Subchapter H, Chapter 1102, Occupations Code. | ||
(d) After determining the remaining liability under | ||
Subsection (c) of this section, the commission shall refund to each | ||
eligible inspector a portion of the amount in excess of the | ||
remaining liability of the real estate inspection recovery fund, if | ||
the eligible inspector holds a license issued under Chapter 1102, | ||
Occupations Code, as of the date of the refund. A refund under this | ||
subsection may not exceed $100 per person. | ||
(e) The commission shall transfer any money remaining in the | ||
real estate inspection recovery fund to the general revenue fund | ||
after paying all claims for payment from the fund and issuing | ||
refunds under Subsection (d) of this section. | ||
(f) Any money transferred to the general revenue fund under | ||
this section shall offset any amount required to be remitted to the | ||
general revenue fund by the commission. | ||
SECTION 17. (a) Sections 1102.1051 and 1102.1141, | ||
Occupations Code, as added by this Act, and Sections 1102.109, | ||
1102.110, 1102.111, 1102.114, 1102.153, 1102.155, and 1102.402, | ||
Occupations Code, as amended by this Act, apply only to an | ||
application for an inspector license submitted to the Texas Real | ||
Estate Commission on or after the effective date of this Act. An | ||
application for a license submitted before that date 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. | ||
(b) Sections 1102.203 and 1102.402, Occupations Code, as | ||
amended by this Act, and Sections 1102.1051 and 1102.1141, | ||
Occupations Code, as added by this Act, apply only to the renewal of | ||
an inspector license that expires on or after the effective date of | ||
this Act. A license that expires before that date is governed by | ||
the law in effect on the date the license expires, and the former | ||
law is continued in effect for that purpose. | ||
(c) Sections 1102.403 and 1101.603, Occupations Code, as | ||
amended by this Act, apply only to an administrative penalty that is | ||
collected on or after the effective date of this Act. An | ||
administrative penalty that is collected before the effective date | ||
of this Act is governed by the law in effect on the date the | ||
administrative penalty was collected, and the former law is | ||
continued in effect for that purpose. | ||
(d) A claim for payment from the real estate inspection | ||
recovery fund under former Section 1102.355, Occupations Code, for | ||
a cause of action that accrues before September 1, 2013, must be | ||
filed before September 1, 2017. | ||
SECTION 18. This Act takes effect September 1, 2013. |