2008 Legislation
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SENATE BILL NO. 1257<br /> – Real estate, education providers


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Bill Status

S1257.......................................by COMMERCE AND HUMAN RESOURCES
REAL ESTATE - Amends existing law to provide for certification and
recertification fees for real estate education providers, instructors and

01/11    Senate intro - 1st rdg - to printing
01/14    Rpt prt - to Com/HuRes
02/06    Rpt out - rec d/p - to 2nd rdg
02/07    2nd rdg - to 3rd rdg
02/13    3rd rdg - PASSED - 33-0-2
      AYES -- Andreason, Bair, Bastian, Bilyeu, Broadsword, Burkett,
      Cameron, Coiner, Corder, Darrington, Davis, Fulcher, Gannon, Geddes,
      Goedde, Hammond, Heinrich, Hill, Jorgenson, Kelly, Keough, Langhorst,
      Little, Malepeai(Sagness), McGee, McKague, Pearce, Richardson,
      Schroeder, Siddoway, Stegner, Stennett, Werk
      NAYS -- None
      Absent and excused -- Lodge, McKenzie
    Floor Sponsor - Broadsword
    Title apvd - to House
02/14    House intro - 1st rdg - to Bus
03/04    Rpt out - rec d/p - to 2nd rdg
03/05    2nd rdg - to 3rd rdg
03/11    3rd rdg - PASSED - 65-0-5
      AYES -- Anderson, Andrus, Barrett, Bayer, Bedke, Bell, Bilbao, Black,
      Block, Bock, Boe, Bolz, Bowers, Brackett, Bradford, Chadderdon,
      Chavez, Chew, Clark, Collins, Crane, Durst, Eskridge, Hagedorn, Hart,
      Harwood, Henderson, Jaquet, Killen, King, Kren, Labrador, Lake,
      LeFavour, Loertscher, Luker, Marriott, Mathews, McGeachin, Nielsen,
      Nonini, Pasley-Stuart, Patrick, Pence, Raybould, Ringo, Ruchti,
      Rusche, Sayler, Schaefer, Shepherd(02), Shepherd(08), Shirley,
      Shively, Smith(30), Snodgrass, Stevenson, Thayn, Thomas, Trail,
      Vander Woude, Wills, Wood(27), Wood(35), Mr. Speaker
      NAYS -- None
      Absent and excused -- Henbest, Mortimer, Moyle, Roberts, Smith(24)
    Floor Sponsor - Snodgrass
    Title apvd - to Senate
03/12    To enrol
03/13    Rpt enrol - Pres signed - Sp signed
03/14    To Governor
03/17    Governor signed
         Session Law Chapter 144
         Effective: 07/01/08

Bill Text

  ]]]]              LEGISLATURE OF THE STATE OF IDAHO             ]]]]
 Fifty-ninth Legislature                   Second Regular Session - 2008


                                       IN THE SENATE

                                    SENATE BILL NO. 1257


  1                                        AN ACT

  6    Be It Enacted by the Legislature of the State of Idaho:

  7        SECTION  1.  That  Section 54-2004, Idaho Code, be, and the same is hereby
  8    amended to read as follows:

  9        54-2004.  DEFINITIONS. As used in this chapter:
 10        (1)  "Accredited college or university" means an institution accredited by
 11    the regional accrediting associations, as reported in the most current  publi-
 12    cation of the accredited institutions of postsecondary education.
 13        (2)  "Active  license"  means the status of a real estate license that has
 14    not been inactivated, expired, terminated, suspended or revoked.
 15        (3)  "Associate broker" means an individual who has  qualified  personally
 16    as  a  real  estate broker in Idaho under this chapter, but is licensed under,
 17    associated with and represents a designated broker in the performance  of  any
 18    act described in subsection (323) of this section.
 19        (4)  "Branch  office"  means  an office operated by a licensed real estate
 20    broker or licensed legal business entity, separate and  apart  from  the  main
 21    office. A branch office may be licensed or unlicensed, in accordance with this
 22    chapter.
 23        (5)  "Brokerage company" means a real estate business, whether a sole pro-
 24    prietorship,  a  legal  entity,  or  any other licensed person engaged in acts
 25    requiring a real estate license in Idaho, and which is conducting  or  holding
 26    itself out as conducting the business of real estate through a designated bro-
 27    ker.
 28        (6)  "Brokerage representation agreement" means a written contract between
 29    a  buyer,  seller, or both, and a real estate brokerage for agency representa-
 30    tion in a regulated real estate transaction.
 31        (7)  "Business conduct and office operations course" means,  in  reference
 32    to  a  real  estate course offering, the component of the advanced real estate
 33    course that is required in order to obtain a broker license and  that  teaches
 34    business  practices  and office operations of the brokerage, including record-
 35    keeping, trust account procedures and the laws governing those practices.
 36        (8)  "Business day" means and includes each day of the week except  Satur-
 37    day,  Sunday  or  any  other legal holiday enumerated in section 73-108, Idaho
 38    Code.
 39        (9)  "Business name" means the name in  which  the  brokerage  company  is
 40    licensed by the commission.
 41        (910)  "Business  opportunity" means and includes an established business,
 42    good will of an established business, or any interest therein, or any one  (1)
 43    or  combination  thereof,  where  a  sale  or  transfer of an interest in land


  1    including, but not limited to, an assignment of a lease, is  involved  in  the
  2    transaction.
  3        (101) "Commission" means the Idaho real estate commission, unless the con-
  4    text clearly indicates a different meaning.
  5        (112) "Commission core course" means, in reference to a real estate course
  6    offering, the course containing curriculum, identified by the commission, that
  7    stresses  current  trends in real estate practices and changes in laws in real
  8    estate related industries. A core course must contain no more  than  four  (4)
  9    classroom hours of instruction.
 10        (123) "Continuing  education  elective  course" means a real estate course
 11    offering, other than the commission core course for which continuing education
 12    credit hours may be obtained as provided in section 54-2023, Idaho Code.
 13        (134) "Convicted" means a plea of nolo contendere or guilty, a  jury  ver-
 14    dict  of guilty or a court decision of guilt whether or not a judgment or sen-
 15    tence has been imposed, withheld or suspended.
 16        (145) "Cooperative sale" means a transaction involving  two  (2)  or  more
 17    brokers.
 18        (156) "Council" means the Idaho real estate education council.
 19        (167) "Dealer in options" means any person, firm, partnership, association
 20    or corporation who shall directly or indirectly take, obtain or use options to
 21    purchase, exchange, lease option or lease purchase real property or any inter-
 22    est  therein  for another or others whether or not the options shall be in his
 23    or its name and whether or not title to the property shall  pass  through  the
 24    name  of  the person, firm, partnership, association or corporation in connec-
 25    tion with the purchase, sale, exchange, lease option or lease purchase of  the
 26    real property, or interest therein.
 27        (178) "Designated  broker"  means  an individual who is licensed as a real
 28    estate broker in Idaho and who is designated by the brokerage  company  to  be
 29    responsible for the supervision of the brokerage company and the activities of
 30    any associated licensees in accordance with this chapter.
 31        (189) "Distance  learning  course"  means,  in  relation  to a real estate
 32    course offering, a real estate course that is delivered, not as a live course,
 33    but through a medium in which the instructor and student are separated by both
 34    distance and time.
 35        (1920) "Double contract" means two (2) or more written or  unwritten  con-
 36    tracts  of sale, purchase and sale agreements, loan applications, or any other
 37    agreements, one (1) of which is not made known to the prospective loan  under-
 38    writer or the loan guarantor, to enable the buyer to obtain a larger loan than
 39    the true sales price would allow, or to enable the buyer to qualify for a loan
 40    which  he  or she otherwise could not obtain. An agreement or loan application
 41    is not made known unless it is disclosed in writing to  the  prospective  loan
 42    underwriter or loan guarantor.
 43        (201) "Executive  director" means the executive director of the Idaho real
 44    estate commission.
 45        (212) "Expired license" means the status of a  license  when  the  license
 46    period  has  expired  and  the  license  is not renewed or provisional license
 47    granted, and before the license is terminated.
 48        (223) "Fee or commission" means a payment, actual, promised  or  expected,
 49    as  compensation  for  the  performance  of  any  act  requiring a real estate
 50    license.
 51        (234) "Inactive license" means  the  status  of  a  license  that  is  not
 52    expired,  terminated,  suspended  or revoked, and during which inactive period
 53    the license holder is not authorized to act as or associate with a  designated
 54    broker.
 55        (245) "Legal  business entity" means and includes any type of corporation,


  1    partnership, limited liability company or  limited  liability  partnership,  a
  2    governmental entity, trust or other entity capable of conducting business.
  3        (256) "Licensee"  means any person who is licensed in accordance with this
  4    chapter to engage in the business or act in the capacity of real  estate  bro-
  5    ker, associate broker or real estate salesperson.
  6        (267) "Limited  broker" means a broker individually qualified  to do busi-
  7    ness in Idaho, but who may not have associate brokers or salespersons licensed
  8    with that broker.
  9        (278) "Live presentation" means, in reference  to  a  real  estate  course
 10    offering,  a real estate course that is personally presented by the instructor
 11    and personally attended by the student at the same facility, or, if  separated
 12    by distance, the instructor and student are connected by contemporaneous, two-
 13    way audio and visual communication.
 14        (289) "Main  office"  means  the  principal location where the real estate
 15    broker is licensed to transact business.
 16        (2930) "Person" means and includes an individual, or  any  legal  business
 17    entity.
 18        (301) "Primary  Idaho  license" means an Idaho real estate license that is
 19    not contingent upon continuance of a license in another state or jurisdiction.
 20        (312) "Provisional license" means an extension of  the  period  of  active
 21    licensure,  beyond  the  licensee's expiration date, granted by the commission
 22    for the purpose of allowing the licensee to complete the continuing  education
 23    requirements  set  forth in section 54-2023, Idaho Code, or for any other pur-
 24    pose allowed by this chapter.
 25        (323) "Real estate broker" means and includes:
 26        (a)  Any person other than a real estate  salesperson,  who,  directly  or
 27        indirectly,  while acting for another, for compensation or a promise or an
 28        expectation thereof, engages in any of the following: sells, lists,  buys,
 29        or  negotiates,  or  offers  to sell, list, buy or negotiate the purchase,
 30        sale, option or exchange of real estate or any interest therein  or  busi-
 31        ness opportunity or interest therein for others;
 32        (b)  Any actively licensed broker while, directly or indirectly, acting on
 33        the broker's own behalf;
 34        (c)  Any person who represents to the public that the person is engaged in
 35        any of the above activities;
 36        (d)  Any  person  who directly or indirectly engages in, directs, or takes
 37        any part in the procuring of prospects, or in the negotiating  or  closing
 38        of  any  transaction  which  does or is calculated to result in any of the
 39        acts above set forth;
 40        (e)  A dealer in options as defined in this section.
 41        (334) "Real estate salesperson" or "salesperson" means any person who  has
 42    qualified  and  is  licensed  as a real estate salesperson in Idaho under this
 43    chapter, and is licensed under, associated with, and represents  a  designated
 44    broker  in  the  performance  of any act described in subsection (323) of this
 45    section.
 46        (345) "Real estate settlement procedures act" means the real  estate  set-
 47    tlement  procedures  act  of 1974, as amended, 12 U.S.C. section 2601 et seq.,
 48    and as in effect on January 1, 20078.
 49        (356) "Regulated real estate transaction" means those real estate transac-
 50    tions for which a real estate license is required under chapter 20, title  54,
 51    Idaho Code.
 52        (367) "Responsible  broker"  means  the designated broker in the regulated
 53    real estate transaction who is responsible for the accounting and  transaction
 54    files  for  the transaction, in the manner described in section 54-2048, Idaho
 55    Code.


  1        (378) "Revoked license" means a license that has been permanently  revoked
  2    by the issuing authority.
  3        (389) "Sales  associate"  means  a  salesperson  or  an  associate  broker
  4    licensed under and associated with a designated broker.
  5        (3940) "State  or  jurisdiction"  means and includes any of the fifty (50)
  6    states and any foreign jurisdiction that issue real estate  licenses  substan-
  7    tially similar to those provided for in this chapter.
  8        (401) "Successfully completed" means, in reference to a real estate course
  9    offering,  completing all required course hours and, except where the licensee
 10    seeks continuing education credit for having regularly attended the live  pre-
 11    sentation of a course, passing a commission-approved final examination.
 12        (412) "Surrendered license" means a license that has been voluntarily ter-
 13    minated  or surrendered by a licensee who, at the time of the voluntary termi-
 14    nation or surrender, was under investigation or named in a formal  administra-
 15    tive complaint.
 16        (423) "Suspended  license"  means a license that has been temporarily sus-
 17    pended by the issuing authority.

 18        SECTION 2.  That Section 54-2020, Idaho Code, be, and the same  is  hereby
 19    amended to read as follows:

 20        54-2020.  FEES.  The  Idaho  real  estate  commission shall establish fees
 21    which, in its discretion, are sufficient, when added to the other fees  autho-
 22    rized  by  this  chapter,  or  any  other  law  or rule, to raise that revenue
 23    required to administer the provisions of this chapter.
 24        The commission shall assess the following fees, in addition to  any  other
 25    fees  established  in  this  chapter or by rule, provided that all fees estab-
 26    lished by administrative rule of the commission shall  remain  effective  from
 27    year to year unless changed through the rulemaking process prescribed in chap-
 28    ter 52, title 67, Idaho Code:
 29        (1)  For  each  year  or  portion  thereof for which an active or inactive
 30    license is issued or renewed, a license fee in an amount  not  to  exceed  one
 31    hundred  fifty  dollars ($150), the exact fee to be established by administra-
 32    tive rule of the commission;
 33        (2)  A tuition or registration fee  for  real  estate  education  courses,
 34    course  materials  and  any  course  exam fee. These fees shall be established
 35    based upon the total annual costs involved in the provision of all real estate
 36    education courses, course materials and course exam fees;
 37        (3)  A late license renewal fee in an amount  not  to  exceed  twenty-five
 38    dollars  ($25.00),  the  exact fee to be established by administrative rule of
 39    the commission;
 40        (4)  For the printing of a license certificate, a fee in an amount not  to
 41    exceed  fifteen  dollars ($15.00), the exact fee to be established by adminis-
 42    trative rule of the commission;
 43        (5)  A fee in the amount allowed by law for insufficient funds  checks  or
 44    other types of insufficient payment;
 45        (6)  For  the compilation of each certified copy of a licensee's education
 46    history or license history, a fee in an  amount  not  to  exceed  ten  dollars
 47    ($10.00),  the  exact fee to be established by administrative rule of the com-
 48    mission;
 49        (7)  For issuance or renewal of a branch  office  license,  a  fee  in  an
 50    amount  not  to exceed fifty dollars ($50.00), the exact fee to be established
 51    by administrative rule of the commission;
 52        (8)  An application fee for the certification and recertification of  each
 53    real estate education provider, instructor or course as follows:


  1        (a)  For  providers, an application fee in the amount of seventy-five dol-
  2        lars ($75.00) for initial certification and  fifty  dollars  ($50.00)  for
  3        recertification;
  4        (b)  For  instructors,  an  application fee in the amount of fifty dollars
  5        ($50.00) for initial certification and twenty-five  dollars  ($25.00)  for
  6        recertification;
  7        (c)  For  courses,  an  application  fee  in  the  amount of fifty dollars
  8        ($50.00) for initial certification and twenty-five  dollars  ($25.00)  for
  9        recertification.
 10    Provided  however, that lower fee amounts may be established by administrative
 11    rule of the commission.

Statement of Purpose / Fiscal Impact

                      STATEMENT OF PURPOSE

                            RS 17365

This is the Real Estate Commission’s annual Housekeeping bill.

This legislation will clarify the requirements of the License 
Law by adding a definition for “business day,” and by updating 
the reference to the federal Real Estate Settlement Practices 

The legislation also establishes the specific fee amounts 
required to apply for Commission certification of a real estate 
provider, instructor, or real estate course.  Application fees 
are currently required by law. This bill specifies the fee 
amounts for each type of application and authorizes future fee 
decreases, but no increases.

                            FISCAL NOTE

None to the General Fund.
None to IREC.
None to any other state or local political subdivision.

Name:	Jeanne Jackson-Heim
Agency:	Real Estate
Phone:	334-3285