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The Sunset Review Process and Strategic Planning

Many of you know that the Texas Real Estate Commission (TREC) and the Texas Appraiser Licensing and Certification Board (TALCB) is currently undergoing a review by the staff of the Sunset Advisory Commission. But what is a Sunset review and why is it necessary?

In the mid-1970s, many states, including Texas, established Sunset laws as a method to introduce an additional level of accountability for state agencies. Here’s a breakdown of how the process works in Texas:

Are you a Delegated Supervisor?

The answer to this question is “yes” if a broker has delegated to you in writing the responsibility to assist the broker in complying with The Real Estate License Act and Commission Rules. When this delegation exists to supervise sales agents sponsored by the broker, your name must appear on the Information About Brokerage Services form as the “Licensed Supervisor of Sales Agent/Associate.” A sales agent or broker may act as a delegated supervisor.

TREC's Advertising Rules - What You Need To Know

The effective date of the new rules is May 15, 2018, and we want to make sure everyone is thoroughly prepared for the changes.

Background

These rules are the result of years of work by the Commission and key stakeholders focusing on clarity of advertisements for consumers with the least restrictions on license holders. The rules also update, interpret and balance revised statutory requirements supporting free commerce and business competition with those protecting the consumer from misleading advertisements.

Reporting Visible and Present Indications of Adverse Performance in a Foundation

Section 535.228(a) of the Texas Administrative Code (Foundations) requires an inspector to render a written opinion as to the performance of the foundation. Many inspectors understand this to mean one of two things; the foundation is either performing or it is not performing. But sometimes the inspector is unable to determine this with sufficient confidence.

Seeking Recommendations from Inspector Committee

After postponing consideration of proposed changes to inspector insurance requirements at their November 2017 meeting, TREC took no action on the proposed rule amendments and remanded the matter to the Real Estate Inspector Committee at the Commission’s February 2018 meeting. TREC asked the Inspector Committee to gather input from stakeholders on all consumer recovery issues and bring recommendations on potential legislative solutions to the Commission for consideration at a future Commission meeting.