BILL ANALYSIS                                                                                                                                                                                                    



                                                                  SB 1461
                                                                  Page  1

          Date of Hearing:   July 2, 2008

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                  Mark Leno, Chair

               SB 1461 (Negrete McLeod) - As Amended:  April 22, 2008 

          Policy Committee:                              Business and  
          Professions  Vote:                            10-0 (Consent)

          Urgency:     No                   State Mandated Local Program:  
          No     Reimbursable:               

           SUMMARY  

          This bill requires real estate licensees, effective July 1,  
          2009, to disclose their license number on all first point of  
          contact marketing materials and on all property purchase  
          agreements where they act as agents. 

          The Commission of the Department of Real Estate (DRE) is  
          authorized to adopt regulations identifying the specific  
          materials in which a license number must be disclosed.

           FISCAL EFFECT  

          Minor absorbable costs to the DRE for regulations and additional  
          enforcement.

           COMMENTS  

           1)Purpose  . This bill is intended to make it easier for consumers  
            to verify the license status of a real estate licensee.  
            According to the author, many licensees use nicknames on  
            solicitation materials and purchase agreements, making it  
            impossible for consumers or other licensees to verify the  
            license status of those with whom they are dealing. Requiring  
            disclosure of the license identification number on all first  
            point of contact materials and real property purchase  
            agreements will simplify such verification.

           2)Prior Legislation  . SB 226 (Negrete McLeod) of 2007, which in  
            part included the provisions of this bill, was vetoed for  
            unrelated reasons. In his veto message, the governor  
            encouraged introduction of legislation with the provisions of  








                                                                  SB 1461
                                                                  Page  2

            SB 1461.

           Analysis Prepared by  :    Chuck Nicol / APPR. / (916) 319-2081