EmR1620 Rule Text

Section 12 updates terminology and adds quasi-governmental and tribal agencies to the form exception in order to provide clarification to the profession.

Sections 17, 18, 19, 20, and 21update terminology in provisions for persons associated with a firm and changes the references from code references to statutory references.

Section 23 repeals the obsolete definition of “cooperating broker”.

Section 34 repeals the “agency agreement” definition.

Section 37 updates terminology and clarifies family member language in order to be clear the code means a member of the family and not family as a unit.

Section 40 updates terminology and clarifies a pending written proposal or offer is one being negotiated.

Summary of, and comparison with, existing or proposed federal regulation: None

Comparison with rules in adjacent states:

Illinois: Illinois does not have a predetermination process regarding criminal convictions. Illinois also does not use terminology relating to firm.

Iowa: Iowa does not have a predetermination process regarding criminal convictions. Iowa also does not use terminology relating to firm.

Michigan: Michigan does not have a predetermination process regarding criminal convictions. Michigan also does not use terminology relating to firm.

Minnesota: Minnesota does not have a predetermination process regarding criminal convictions. Minnesota also does not use terminology relating to firm.

Summary of factual data and analytical methodologies:

The Board reviewed all of the REEB chapters to implement the 2015 Act 258 changes.

Fiscal Estimate: This rule will not have a fiscal impact.

Effect on small business:

These proposed rules do not have an economic impact on small businesses, as defined in s. 227.114 (1), Stats. The Department’s Regulatory Review Coordinator may be contacted by email at [e-mail], or by calling [phone]

Agency contact person:

Sharon Henes, Administrative Rules Coordinator, Department of Safety and Professional Services, Division of Policy Development, 1400 East Washington Avenue, Room 151, P.O. Box 8366, Madison, Wisconsin 53708; telephone [phone]; email at [e-mail].

Place where comments are to be submitted and deadline for submission:

Comments may be submitted to Sharon Henes, Administrative Rules Coordinator, Department of Safety and Professional Services, Division of Policy Development, 1400 East Washington Avenue, Room 151, P.O. Box 8366, Madison, WI 53708-8366, or by email to [e-mail]. Comments must be received on or before August 18, 2016 to be included in the record of rule-making proceedings.

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TEXT OF RULE

Section 1. REEB 11.02 (1) is renumbered to 11.02 (1t)

Section 2. REEB 11.02 (1d), (1h), (1p), (5g) and (6m) are created to read:

REEB 11.02 (1d) “Agency agreement” has the meaning under s. 452.01 (1m), Stats.

(1h) “Associated with a firm” has the meaning under s. 452.01 (1o), Stats.

(1p) “Associated with a subagent” has the meaning under s. 452.01 (1p), Stats.

(5g) “Firm” has the meaning under s. 452.01 (4w), Stats.

(6m) “Member of the licensee’s immediate family” means any of the following:

    (a) A parent, stepparent, grandparent, foster parent, child, stepchild, grandchild, foster child, brother, sister, aunt, uncle of the licensee.

  (b) The spouse or domestic partner of the licensee or any person listed in par. (a).

 

Section 3. REEB 12.011 (1) is amended to read:

(1) An individual who does not possess a broker’s or salesperson’s license or a time-share salesperson’s certificate may apply to the board, without submitting a full application and payment of application fee, for a determination of whether the individual would be disqualified from obtaining a license or certificate based upon a criminal conviction by submitting all of the following:.

Section 4. REEB 12.011 (1) (am) is created to read:

REEB 12.011 (1) (am) A fee in the amount of $68.00. The fee may be applied to the application fee under s. REEB 12.01 (4) if the individual applies for a real estate broker or salesperson license within 1 year of the determination decision.

Section 5. Chapter REEB 15 (title) is amended to read:

CHAPTER REEB 15

BROKER’S OBLIGATION TO FURNISH COPIES AND MAINTAIN RECORDS

Section 6. REEB 15.02 (1) and (3) are amended to read:

REEB 15.02 Copies of documents (1) A broker or salesperson shall promptly provide an exact and complete copy of any document utilized, prepared or received by the licensee in real estate practice to any person who has signed the document.

(3) A broker or salesperson shall promptly distribute an exact and complete copy of a lease or rental agreement which has been accepted and signed by all parties to the tenant upon execution of the lease or rental agreement when the tenant leases the property and to the landlord upon the landlord’s request.

Section 7. REEB 15.02 (4) is created to read:

REEB 15.02 (4) A broker or salesperson shall promptly distribute an exact and complete copy of a listing contract or agency agreement that has been accepted and signed by all parties to the client when the client signs an agency agreement.

Section 8. REEB 15.03 is repealed.

Section 9. REEB 15.04 is renumbered 15.04(1) and amended to read:

REEB 15.04 Retention of records.

(1) A broker firm shall retain for at least 3 2 years, unless required by federal law or there is an active or ongoing investigation by the Board, exact and complete copies of all listing contracts, agency agreements, offers to purchase, leases, closing statements, deposit receipts, cancelled checks, trust account records and other documents or correspondence received or prepared by the broker in connection with any transaction. The retention period shall run from the date of closing of the transaction or, if the transaction has not been consummated, from the date of the listing contract or the agency agreement is terminated. The broker shall make these These records shall be available for inspection and copying by the board. If the records are retained outside this state, the broker The firm shall, upon request of the board, promptly send exact and complete copies to the department without charge to the department or board. The Board may not require copies to be submitted beyond the retention period. Electronic or digital means may be used to retain records.

Section 10. REEB 15.04 (2) is created to read:

REEB 15.04 (2) A broker or salesperson shall submit in a timely manner documents and records to the firm related to transactions that are used or received by the broker or salesperson to assist in complying with sub. (1).