Agenda Item 1 Call to order and pledges of allegiance

ACTION: The meeting was called to order at 10:00 a.m.

Agenda Item 2 Discussion and possible action to excuse Commissioner absence(s), if any

ACTION:  Commissioner Turner, duly seconded by Commissioner Hartgraves, moved to excuse the absence of Commissioner Stephens.  The motion was adopted by unanimous vote.

Agenda Item 3 Opening remarks and report from the Chair

ACTION: Chair Kesner welcomed all to the meeting and gave instructions to license holders wanting to obtain CE credit for attending the meeting.  Chair Kesner also announced Scott Regan as the new Texas Real Estate Inspector Committee member to Dianna Rose as an inspector member and gave an update about speaking at the TR Winter Meeting.

Agenda Item 4 Recognition of departing public servants

ACTION: Chair Kesner recognized outgoing Education Standards Advisory Committee members, Felicia Peters and Marcela Gómez Falcón, and Texas Real Estate Inspector Committee member, Dianna Rose

Agenda Item 5 Recognition of outgoing executive director

ACTION: Chair Kesner recognized outgoing executive director, Douglas Oldmixon, and presented him with a certificate of appreciation and a State of Texas flag.

Speakers:

Chelsea Buchholtz

Joanne Justice

Avis Wukasch

Douglas Oldmixon

Agenda Item 6 Election of Vice-Chair and Secretary

ACTION: Chair Kesner opened the floor for nominations to Secretary.  Commissioner Miller, duly seconded by Commissioner Leonard, moved to nominate Commissioner Turner.  The Commission elected Commissioner Turner unanimously.

ACTION: Chair Kesner opened the floor for nominations to Vice-Chair.  Commissioner Russell, duly seconded by Commissioners Miller and Wilkinson, moved to nominate Commissioner Leonard.  The Commission elected Commissioner Leonard unanimously.

Agenda Item 7 Discussion and Appointments to:
a. Enforcement Committee
b. Budget Committee
c. Commission liaison to the Texas Real Estate Inspector Committee
d. Commission liaison to the Education Standards Advisory Committee
e  Ex-Officio to the Texas A&M Real Estate Center Advisory Committee
f.  Texas Real Estate Inspector Committee
g. Broker Responsibility Working Group

ACTION: Chair Kesner made the following appointments:
a. Commissioners Turner (Chair), Miller, and Leonard to the Enforcement Committee
b. Commissioners Williams (Chair), Hartgraves, and Stephens to the Budget Committee
c. Himself (Kesner) as the Commission liaison to the Texas Real Estate Inspector Committee
d. Commissioner Wilkinson as the Commission liaison to the Education Standards Advisory Committee
e. Commissioner Miller as Ex-Officio member to the Texas A&M Real Estate Center Advisory Committee
f.  See Agenda Item 3
g. Commissioner Russell as the Commission liaison to the Broker Responsibility Working Group. 

The Chair asked for volunteers to review applicantions for the Broker Responsibility Working Group and appointed a sub-committee consisting of Commissioners Hartgraves, Miller, and Russell to review applicants and make a recommendation to the full Commission at their May 2020 meeting.

Agenda Item 8 Reports by Executive Director, Deputy Executive Director, General Counsel, and Division Directors of monthly activities and statistical data for communications, licensing, education, enforcement, information technology, website analytics, staff services, recovery trust account and fund activity, and updates on new and ongoing agency activity; questions by Commissioners to Division Directors regarding issues raised by the monthly activities reports; discussion of current topics raised by monthly reports; requests by Commissioners for additional information or reports from staff; and introduction of new employees

ACTION: Reports given by the following:
Chelsea Buchholtz, Executive Director
Tony Slagle, Deputy Executive Director
Robert Hood, Director of Reception & Communication Services
Denise Sample, Director of Licensing & Registration Services
Jennifer Wheeler, Director of Education & Examination Services
Mark Moore, Director of Standards & Enforcement Services
Steve Rapp, Director of Information & Technology Services
Priscilla Pipho, Director of Staff & Support Services

Agenda Item 9 Report by Broker-Lawyer Committee

ACTION: Report given by Executive Director Buchholtz

Agenda Item 10 Report by Education Standards Advisory Committee

ACTION: Report given by Marion Napoleon, Secretary of the committee

Agenda Item 11 Report by Texas Real Estate Inspector Committee

ACTION: Report given by Lee Warren, Chair of the committee

Agenda Item 12 General comments from visitors on non‐agenda items

No comments were given.

Agenda Item 13 Executive session to discuss pending litigation or obtain advice of legal counsel on agenda items pursuant to Texas Government Code §551.071

ACTION: The Commission went into executive session at 12:00 p.m.

Chair Kesner reconvened the meeting at 1:15 p.m.

Agenda Item 14 Consideration and possible action regarding proposal for decision in the matter of
a. SOAH Docket No. 329-19-6067.REC; TREC v. Stacey Leigh Collins (TREC #193034)
b. SOAH Docket No. 329-19-6576.REC; Barbara Lynne Cathey v. TREC (TREC #194263)
c. SOAH Docket No. 329-19-6725.REC; TREC v. Kevin Shea McGovern (TREC #192524)
d. SOAH Docket No. 329-20-0667.REC; TREC v. Monarch Advisors, LLC, Request to Change Designated Broker for a Business Entity (TREC #200619)

ACTION on 14.a.: Commissioner Russell, duly seconded by Commissioner Wilkinson, moved to modify the PDF as written to amend Finding of Fact 7, to add additional Conclusions of Law, and to adopt the ALJ's recommentation to assess at $1,500 administrative penalty and suspend the sales agent license of Stacey Leigh Collins with the suspension to be fully probated for three years. Commissioner Russell, duly seconded by Commissioner Miller, amended her motion to raise the ALJ's recommended administrative penalty from $1,500 to $2,500.  The amended motion was adopted by unanimous vote.

ACTION on 14.b.: Commissioner Wilkinson, duly seconded by Commissioner Leonard, moved to adopt the PFD as written to deny the Application for Inactive Real Estate Sales Agent License of Barbara Lynne Cathey. The motion was adopted by unanimous vote.

ACTION on 14.c.: Commissioner Leonard, duly seconded by Commissioner Russell, moved to adopt the PFD as written to assess a $1,500 administrative penalty and to suspend the broker license of Kevin Shea McGovern with the suspension to be fully probated for three years. The motion was adopted by unanimous vote.

ACTION on 14.d.: Commissioner Williams, duly seconded by Commissioner Russell, moved to adopt the PFD as written to deny the Change of Designated Broker for a Business Entity application for Monarch Advisors, LLC. The motion was adopted by unanimous vote.

Agenda Item 15 Discussion and possible action to authorize settlement of recovery fund claims or take other action on:
a. RF 20003; Hieu Truong v. Daniel McKinney
b. RF 20005; Yunxin "Oscar" Huang v. Alyssa Wang; ILMC, LLC d/b/a Keller Williams Realty, et al.

Note: Agenda Item 15.a. was passed.

ACTION on 15.b.: Commissioner Hartgraves, duly seconded by Commissioner Leonard, moved to authorize a settlement payment of $44,375.00 in actual damages. The motion was adopted by unanimous vote.

Agenda Item 16 Discussion and possible action to adopt amendments to 22 TAC §535.154, Registration and Use of Alternate, Team and Assumed Business Names Used in Advertisements

ACTION: Commissioner Russell, duly seconded by Commissioner Turner, moved to authorize staff, on behalf of the Commission, to submit for adoption, amendments to 22 TAC §535.154, Registration and Use of Alternate, Team and Assumed Business Names Used in Advertisements, as published, to the Texas Register, along with any technical or non-substantive changes required for adoption.  The motion was adopted by unanimous vote.

Agenda Item 17 Discussion and possible action to adopt amendments to 22 TAC §535.216, Renewal of License

ACTION: Commissioner Turner, duly seconded by Commissioner Leonard, moved to authorize staff, on behalf of the Commission, to submit for adoption, amendments to 22 TAC §535.216, Renewal of License, as published, to the Texas Register, along with any technical or non-substantive changes required for adoption.  The motion was adopted by unanimous vote.

Agenda Item 18 Discussion and possible action to adopt amendments to 22 TAC §541.1, Criminal Offense Guidelines

ACTION: Commissioner Wilkinson, duly seconded by Commissioner Leonard, moved to authorize staff, on behalf of the Commission, to submit for adoption, amendments to 22 TAC §541.1, Criminal Offense Guidelines, as published, to the Texas Register, along with any technical or non-substantive changes required for adoption.  The motion was adopted by unanimous vote.

Agenda Item 19 Discussion and possible action to propose amendments to 22 TAC Chapter 535, Subchapter G as follows:
a. §535.72, Approval of Non-elective Continuing Education Courses
b. §535.73, Approval of Elective Continuing Education Courses
c. §535.75, Responsibilities and Operations of Continuing Education Providers

Speakers:

David Offutt

Michelle Stuart

ACTION: Commissioner Miller, duly seconded by Commissioner Wilkinson, moved to authorize staff, on behalf of the Commission, to submit the proposed amendments to 22 TAC Chapter 535, Subchapter G, as presented, along with any technical or non-substantive changes required for proposal, to the Texas Register, for publication and public comment. The motion was adopted with Commissioner Turner voting no.

Agenda Item 20 Discussion and possible action to propose amendments to 22 TAC §535.92, Continuing Education Requirements

ACTION: Commissioner Williams, duly seconded by Commissioner Hartgraves, moved to authorize staff, on behalf of the Commission, to submit the proposed amendments to 22 TAC §535.92, Continuing Education Requirements, as presented, along with any technical or non-substantive changes required for proposal, to the Texas Register, for publication and public comment. The motion failed. Commissioner Turner, duly seconded by Commissioner Miller, moved to authorize staff, on behalf of the Commission, to submit the proposed amendments to 22 TAC §535.92, Continuing Education Requirements, with a change to keep the CE hours at 18, rather than 21 in subsection (a).  The motion was adopted by unanimous vote.

Agenda Item 21 Discussion and possible action to propose amendments to 22 TAC Chapter 535, Subchapter R as follows:
a. §535.210, Fees
b. §535.215, Inactive Inspector Status

ACTION: Commissioner Turner, duly seconded by Commissioner Leonard, moved to authorize staff, on behalf of the Commission, to submit the proposed amendments to 22 TAC Chapter 535, Subchapter R, as presented, along with any technical or non-substantive changes required for proposal, to the Texas Register, for publication and public comment.  The motion was adopted by unanimous vote.

Agenda Item 22 Discussion and possible action to propose amendments to 22 TAC §539.140, Schedule of Administrative Penalties

ACTION: Commissioner Leonard, duly seconded by Commissioner Wilkinson, moved to authorize staff, on behalf of the Commission, to submit the proposed amendments to 22 TAC §539.140, Schedule of Administrative Penalties, as presented, along with any technical or non-substantive changes required for proposal, to the Texas Register, for publication and public comment.  The motion was adopted by unanimous vote.

Agenda Item 23 Discussion and possible action to award contract for License Examination Development and Administrative Services

ACTION: Commissioner Leonard, duly seconded by Commissioner Miller, moved to award the License Examination Development and Administrative Services contract to Pearson VUE and delegate final authority to approve and execute the contract to the Chair once finalized by staff. The motion was adopted by unanimous vote.

Agenda Item 24 Discussion and possible action regarding future agenda items

ACTION: Chair Kesner asked to discuss appointing Commissioners to advisory groups and the Commissioner absentee policy in the May meeting.

Agenda Item 25 Discussion and possible action to schedule future meetings

ACTION: The next meetings of the Commission are scheduled for May 4, 2020, at 10:00 a.m. and a workshop scheduled for May 5, 2020, at 9:00 a.m.

Agenda Item 26 Adjourn

ACTION: Commissioner Leonard, duly seconded by Commissioner Russell, moved to adjourn the meeting. The motion was adopted by unanimous vote and the meeting was adjourned at 2:22 p.m.