Bill 279

                    Current Status

Bill Number:               279
Ratification Number:       188
Act Number                 136
Introducing Body:          Senate
Subject:                   Real estate license examinations, 
                           autioneers, foresters

(A136, R188, S279)

                                                                AN ACT TO AMEND SECTION 40-57-100, AS AMENDED, AND SECTION 40-57-110, CODE OF LAWS OF SOUTH CAROLINA, 1976, RELATING TO REAL ESTATE LICENSE EXAMINATIONS, SO AS TO MODIFY THE PREREQUISITES FOR TAKING SUCH EXAMINATIONS AND INCLUDE REAL ESTATE AUCTIONEERS IN THE CATEGORIES OF PERSONS REQUIRING SUCH EXAMINATIONS; TO AMEND SECTION 40-67-130, RELATING TO TEMPORARY LICENSES AND THE EXEMPTION OF REGISTERED FORESTERS FROM LICENSE REQUIREMENTS, SO AS TO DELETE PROVISIONS RELATING TO TEMPORARY LICENSES; AND TO AMEND SECTION 40-57-150, AS AMENDED, RELATING TO REAL ESTATE LICENSE FEES, SO AS TO DELETE TEMPORARY LICENSE FEES AND ADD REAL ESTATE AUCTIONEERS TO THE CATEGORIES SUBJECT TO THE FEE SCHEDULE.

Be it enacted by the General Assembly of the State of South Carolina:
Application must be filed with Real Estate Commission
    SECTION 1. Section 40-57-100 of the 1976 Code, as last amended by Act 519 of 1976, is further amended to read:
    "Section 40-57-100. (1) Any person desiring to act as a real estate broker, counsellor, real estate salesman, appraiser, property manager or real estate auctioneer shall file with the Real Estate Commissioner an application in writing upon such form and with such detail as the South Carolina Real Estate Commission shall prescribe, and each applicant shall first pass to the satisfaction of the Commissioner the examination hereinafter prescribed, unless he be exempt therefrom as herein provided.
    Prerequisites for the taking of an examination for the broker license shall be a minimum of three years of actual experience immediately preceding application as a licensed real estate salesman in this State or in another state having similar requirements and successful completion of at least ninety hours of instruction, including time spent on examinations. The ninety hours shall include the required sixty hours of instruction for a real estate salesman license in the basic fundamentals of real estate and other related matters, all as specified by the Real Estate Commission and conducted by:
    (a) a university or duly accredited college wherever situated, provided such credits were earned within five years prior to license application. For purposes of computing required hours of classroom instruction, one credit shall equal ten classroom hours;
    (b) a bona fide business school situated in this State and approved by the Commission;
    (c) an institution, organization or association approved by the Commission;
    (d) correspondence where such course of instruction is part of an extension department of an accredited college or university. In lieu of the above prerequisites for the taking of a broker license examination, an applicant may furnish to the Commission evidence of one of the following:
        (i) a baccalaureate degree with a major in real estate from an accredited college or university, or a Juris Doctor or Bachelor of Law degree, or
        (ii) proof acceptable to the Commission of at least five years of equivalent experience immediately preceding license application in business activities closely related to real estate transactions.
    (2) As a prerequisite to taking the first year real estate sales examination, every applicant shall furnish evidence satisfactory to the Real Estate Commission of successful completion of thirty classroom hours instruction in the fundamentals of real estate as prescribed by subsection (1), within one year of passing the first year exam, and prior to completing one year of actual sales experience each applicant must satisfactorily complete an additional thirty hours of instruction in order to qualify for the final sales examination. Provided, however, the final sales examination must be taken not less than twelve nor more than fifteen months following the first year examination. Failure to meet these requirements will result in the cancellation of the license.
    In lieu of the classroom hours required for a final sales license, an applicant may furnish to the Commission one of the following:
        (a) satisfactory evidence of at least three years experience, immediately preceding application, in real estate transactions acceptable to the Commission, or
        (b) evidence that he has successfully completed at least six credit hours in real estate or real estate related subjects at an accredited college or university, or
        (c) evidence of a Juris Doctor or Bachelor of Law degree."
Applicant to submit examination
    SECTION 2. Section 40-57-110 of the 1976 Code is amended to read:
    "Section 40-57-110. In addition to the proof of honesty, integrity, truthfulness and good reputation of an applicant for a license, either broker, counsellor, salesman, appraiser, property manager or real estate auctioneer, the applicant shall submit to a written examination to be prepared and conducted by the Commissioner or an institution designated by the Commission. There shall be a first year sales examination, a final sales examination and a third more comprehensive examination to qualify as a broker."
Not to apply to foresters
    SECTION 3. Section 40-57-130 of the 1976 Code is amended to read:
    "Section 40-57-130. This chapter shall not apply to foresters registered under the provisions of Chapter 27 of Title 48, so long as the sale of any land is merely incidental to the sale of timber thereon."
Fees
    SECTION 4. Section 40-57-150 of the 1976 Code, as last amended by Act 534 of 1978, is further amended to read:
    "Section 40-57-150. The following license fees shall be charged by and paid to the Commissioner:
        (1) For each principal real estate broker's license, a fee of fifty dollars, and for each annual renewal thereof a fee of thirty dollars;
        (2) For each real estate salesman, counsellor, appraiser, property manager, or real estate auctioneer license, a fee of twenty-five dollars, and for each annual renewal thereof a fee of fifteen dollars;
        (3) For each additional office or place of business, or each duplicate license where the original is lost or destroyed and an affidavit made thereof a fee of one dollar each;
        (4) For each change of office, or place of business, and for each change of name or address of licenses on the records of the Commissioner, a fee of five dollars.
    The Commissioner shall provide for the quarterly proration of fees based on the renewal schedule, plus the sum of five dollars.
    None of the license fees herein provided for shall be in lieu of any business license fees or taxes imposed by a municipality. In addition to the fees authorized by this section, the Commission shall be authorized to contract with a state-funded institution of higher learning to conduct examinations for the Commission and such institution shall be authorized to charge and collect examination fees, not to exceed the reasonable cost to conduct such examinations, which shall be retained by the institution to defray the cost of conducting those examinations.
    The Real Estate Commission is authorized to allocate the sum of five dollars from each real estate broker's annual renewal fee and from each real estate salesman, counsellor, appraiser, or property manager's annual renewal fee to a state-funded institution of higher learning to be used for the following purposes: (1) to carry out the advancement of education and research for the benefit of those licensed under the provisions of this section and for the improvement and increased efficiency of the real estate industry in this State, (2) to provide for the analysis and evaluation of factors which affect the real estate industry in South Carolina; and (3) to provide for the dissemination of the results of such research.
    The funds collected from the five dollar fee authorized in the above paragraph shall be deposited in a special fund by the State Treasurer to be used exclusively for the purposes provided in the above paragraph. Withdrawals from the fund shall be made upon the written request of the South Carolina Real Estate Commission."
Persons to continue in temporary program
    SECTION 5. Persons participating in the "temporary" program shall continue in that program until completion notwithstanding the amendment to Section 40-57-130 of the 1976 Code as contained in Section 3 of this act.
Time effective
    SECTION 6. This act shall take effect upon approval by the Governor.