4113: COMMITTEE SUMMARY (Date Completed: 4-12-11) - DISPLAY OF REAL ESTATE LICENSE

DISPLAY OF REAL ESTATE LICENSE H.B. 4113 (H-1): COMMITTEE SUMMARY
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House Bill 4113 (Substitute H-1 as passed by the House)
Sponsor: Representative Nancy Jenkins
House Committee: Regulatory Reform
Senate Committee: Regulatory Reform

Date Completed: 4-12-11

CONTENT The bill would amend the Occupational Code to do all of the following:

-- Delete a requirement that a real estate broker display its license and the license of each real estate salesperson employed by the broker in the broker's place of business.
-- Require a real estate salesperson to provide proof of his or her licensure to a broker that employed him or her.
-- Delete a requirement that the Department of Energy, Labor, and Economic Growth (DELEG) issue a temporary real estate salesperson's license to an applicant for licensure under certain circumstances.

Under the Code, DELEG must deliver or mail the license of a real estate salesperson to the real estate broker who employs the salesperson, and the broker must retain the license. A real estate broker must display the broker's license and the license of each real estate salesperson employed by the broker, conspicuously in the broker's place of business. The bill would delete the requirement that the broker display the licenses.

The bill also would require a real estate salesperson to provide proof to a broker that employed him or her that the salesperson had been issued and currently held a real estate salesperson's license.

Currently, if DELEG determines that it will be unable to issue a real estate salesperson's license to a broker within two weeks after DELEG determines that the applicant for a salesperson's license has met all requirements for licensure, or if DELEG is in fact unable to issue the real estate salesperson's license within two weeks, then DELEG must issue a temporary license to the applicant without payment of an additional fee. The bill would delete that provision.

MCL 339.2506 Legislative Analyst: Patrick Affholter

FISCAL IMPACT
The bill would have no fiscal impact on State or local government.

Fiscal Analyst: Josh Sefton

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. hb4113/1112