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S02132 Summary:

S02132 Actions:

S02132 Committee Votes:

S02132 Floor Votes:

S02132 Text:

 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                         2132--B
 
                               2021-2022 Regular Sessions
 
                    IN SENATE
 
                                    January 19, 2021
                                       ___________
 
        Introduced  by Sens. SKOUFIS, KAVANAGH, THOMAS -- read twice and ordered
          printed, and when printed to be committed to the Committee on  Judici-
          ary  --  committee  discharged,  bill  amended,  ordered  reprinted as
          amended and recommitted to said committee -- reported  favorably  from
          said  committee  and  committed to the Committee on Rules -- committee
          discharged, bill amended, ordered reprinted as amended and recommitted
          to said committee
 
        AN ACT to amend  the  real  property  law,  in  relation  to  increasing
          required  training for real estate brokers and real estate salespeople
          to prevent discrimination
 
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section  1.   Subdivision 3 of section 441 of the real property law is
     2  amended by adding a new paragraph (e) to read as follows:
     3    (e) The secretary of state shall, upon notice and  a  public  hearing,
     4  promulgate  rules establishing the content of the instruction pertaining
     5  to fair housing and/or discrimination in the  sale  or  rental  of  real
     6  property  or  an  interest in real property required by paragraph (a) of
     7  this subdivision. Such instruction shall include, but not be limited to,
     8  courses on: (1)  the  legacy  of  segregation,  unequal  treatment,  and
     9  historic lack of access to opportunity in housing; (2) unequal access to
    10  amenities  and  resources  on  the  basis of race, disability, and other
    11  protected characteristics; (3) federal, state, and  local  fair  housing
    12  laws; and (4) anti-bias training.
    13    §  2.  Paragraphs  (b)  and (c) of subdivision 1 of section 441 of the
    14  real property law, as amended by chapter 183 of the laws  of  2006,  are
    15  amended and a new paragraph (d) is added to read as follows:
    16    (b)  Such further information as the department may reasonably require
    17  shall be furnished by the applicant including sufficient proof of having
    18  taken and passed a written examination and answered  such  questions  as
    19  may  be  prepared by the department to enable it to determine the trust-
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD06385-03-1
        S. 2132--B                          2
 
     1  worthiness of the applicant if an individual, or of  each  member  of  a
     2  co-partnership  or  each  member  of a limited liability company or each
     3  officer of a corporation for whom a license as a broker  is  asked,  and
     4  his  or  their competency to transact the business of real estate broker
     5  in such a manner as to safeguard the interests of the public. In  deter-
     6  mining  competency,  the  department shall require proof that the person
     7  being tested to qualify to apply for a broker's license has a fair know-
     8  ledge of the English language,  a  fair  understanding  of  the  general
     9  purposes and general legal effect of deeds, mortgages, land contracts of
    10  sale,  and  leases,  a general and fair understanding of the obligations
    11  between principal and agent, a general and  fair  understanding  of  the
    12  laws,  rules  and  regulations  pertaining to fair housing and discrimi-
    13  nation in the sale or rental of real property or  an  interest  in  real
    14  property,  as  well  as of the provisions of this section. The applicant
    15  must also furnish proof that he has attended for at  least  one  hundred
    16  [twenty]  fifty-two  hours  and has successfully completed a real estate
    17  course or courses approved by the secretary of state as  to  method  and
    18  content  and supervision which approval may be withdrawn if in the opin-
    19  ion of the secretary of state said  course  or  courses  are  not  being
    20  conducted  properly  as  to  method,  content  and supervision, and that
    21  either the applicant has  actively  participated  in  the  general  real
    22  estate  brokerage  business as a licensed real estate salesman under the
    23  supervision of a licensed real estate broker for a period  of  not  less
    24  than  two  years  or  has  had the equivalent experience in general real
    25  estate business for a period of at least  three  years,  the  nature  of
    26  which  experience  shall be established by affidavit duly sworn to under
    27  oath and/or other and further proof required by the department of state.
    28  Computer-based and distance-learning courses  may  be  approved  by  the
    29  department  so  long as providers demonstrate the ability to monitor and
    30  verify participation by the applicant for  the  specified  time  period.
    31  Notwithstanding  the  foregoing  authority to approve computer-based and
    32  distance-learning courses, the department may prescribe  that  specified
    33  subjects or hours must be presented in a classroom setting.
    34    (c) In the event the applicant shall be a licensed salesman under this
    35  article  and  shall  have  submitted  acceptable  proof  pursuant to the
    36  provisions of either paragraph (d) of subdivision one-A of this  section
    37  or paragraph (a) of subdivision three of this section of having attended
    38  and  successfully  completed  [seventy-five]  seventy-seven  hours of an
    39  approved real estate course or courses, six hours  of  which  have  been
    40  focused on fair housing and discrimination in the sale or rental of real
    41  property or an interest in real property, within eight years of the date
    42  of  the  application,  the department may accept and credit same against
    43  the one hundred [twenty] fifty-two hours required hereunder.
    44    (d) The one hundred fifty-two hours of an approved real estate  course
    45  or  courses  required by paragraph (b) of this subdivision shall include
    46  instruction on fair housing and discrimination in the sale or rental  of
    47  real  property or an interest in real property as described in paragraph
    48  (e) of subdivision three of this section and instruction on the licensed
    49  real estate broker's responsibility for ensuring that each licensed real
    50  estate salesman under such broker's supervision is  in  compliance  with
    51  his  or her obligations under applicable federal, state, and local laws,
    52  rules, and regulations pertaining to fair housing and discrimination  in
    53  the sale or rental of real property or an interest in real property.
    54    §  3.  Paragraphs (b) and (d) of subdivision 1-A of section 441 of the
    55  real property law, paragraph (b) as amended by chapter 81 of the laws of
        S. 2132--B                          3
 
     1  1995, and paragraph (d) as amended by chapter 183 of the laws  of  2006,
     2  are amended to read as follows:
     3    (b) Each applicant for a salesman's license shall provide such further
     4  information  as the department may reasonably require, appearing at such
     5  time and place as may be designated by the department, to take a written
     6  examination and answer such questions as may be prepared by the  depart-
     7  ment  to enable it to determine the trustworthiness of the applicant and
     8  the applicant's competence to  transact  the  business  of  real  estate
     9  salesman  in  such a manner as to safeguard the interests of the public,
    10  including the applicant's working knowledge of the basic concepts of law
    11  pertaining to contracts, real property, agency and  this  article  which
    12  govern  conduct  of  such  business, knowledge of laws, rules, and regu-
    13  lations pertaining to fair housing and discrimination  in  the  sale  or
    14  rental  of  real  property  or  an interest in real property, mastery of
    15  basic skills needed to perform the applicant's duties, working knowledge
    16  of the ethical obligations of a real estate salesman, and  knowledge  of
    17  the  provisions of the general obligations law pertaining to performance
    18  of the applicant's duties.
    19    (d) Anything to the contrary herein notwithstanding, on and after  the
    20  effective  date  of this paragraph, no salesman's license or conditional
    21  license shall be issued by the department unless the application  there-
    22  for  has  been  accompanied  by proof that prior to such application the
    23  applicant has attended at least [seventy-five] seventy-seven  hours  and
    24  successfully  completed  a real estate course or courses approved by the
    25  secretary of state as to  method  and  content  and  supervision,  which
    26  approval  may  be  withdrawn if in the opinion of the secretary of state
    27  said course or courses are not properly conducted as to method,  content
    28  and  supervision.  Computer-based  and  distance-learning courses may be
    29  approved by the department so long as providers demonstrate the  ability
    30  to  monitor  and verify participation by the applicant for the specified
    31  time period. Notwithstanding the foregoing authority to  approve  compu-
    32  ter-based  and  distance-learning  courses, the department may prescribe
    33  that specified subjects or  hours  must  be  presented  in  a  classroom
    34  setting.
    35    § 4. Paragraph (c) of subdivision 3 of section 441 of the real proper-
    36  ty  law,  as  amended  by chapter 470 of the laws of 1998, is amended to
    37  read as follows:
    38    (c) (i) The secretary of state shall promulgate rules establishing the
    39  method, content, setting and supervision requirements of the  continuing
    40  education real estate course or courses provided for in this section. In
    41  establishing  the  requirements  for  the continuing education course or
    42  courses, the secretary of state shall permit alternatives  with  respect
    43  to  content  and  method of presentation in consideration of the type of
    44  brokerage practiced and the availability of the sources of  such  course
    45  or  courses  in  different areas of the state. Each course shall have an
    46  established curriculum composed primarily of real  estate  practice  and
    47  professional  responsibility  and  ethics  and properly prepared written
    48  materials of the subject matter which shall be distributed  as  part  of
    49  the  course.  It  shall  be taught by a qualified faculty with attorneys
    50  presenting legal subjects. Credit shall be awarded on the basis  of  one
    51  hour  for  each  sixty minutes of actual attendance and records shall be
    52  maintained of attendance at each session which shall be  transmitted  to
    53  the  department  at  the  conclusion  of  the course. Computer-based and
    54  distance learning courses may be approved by the department so  long  as
    55  providers demonstrate the ability to monitor and verify participation by
    56  the licensee for the specified time period.
        S. 2132--B                          4
 
     1    (ii)  The  secretary of state shall require approved faculty to sign a
     2  document under oath, approved by and  submitted  to  the  department  of
     3  state, attesting to compliance with all applicable statutory and regula-
     4  tory  requirements  pertaining  to  the  instruction  of the established
     5  curriculum. The secretary of state shall promulgate penalties for facul-
     6  ty  that  fail  to  meet the obligations required under this section and
     7  department of state regulations  including,  but  not  limited  to,  the
     8  temporary  suspension of their instructor certificate for the first such
     9  failure and the revocation  of  their  instructor  certificate  for  any
    10  subsequent failure.
    11    §  5.  This act shall take effect on the first of July next succeeding
    12  the date on which it shall have become a law.