BILL ANALYSIS Ó
AB 278
Page 1
CONCURRENCE IN SENATE AMENDMENTS
AB 278 (Hill)
As Amended September 1, 2011
Majority vote
-----------------------------------------------------------------
|ASSEMBLY: |78-0 |(May 23, 2011) |SENATE: |23-13|(April 19, |
| | | | | |2012) |
-----------------------------------------------------------------
Original Committee Reference: B.,P. & C.P.
SUMMARY : Authorizes the Real Estate Commissioner (Commissioner)
to issue citations to those who violate the Real Estate Law or
any regulation under that law.
The Senate amendments :
1)Revise and recast the provisions of this bill.
2)Increase the maximum administrative fine that can be levied
from $1,000 to $2,500 for each citation.
3)Specify that the bill shall not prevent the Commissioner from
issuing an order to desist and refrain from engaging in a
specific business activity or activities or an order to
suspend all business operations to a person who is engaged in
or has engaged in continued or repeated violations of the Real
Estate Law. In any of these circumstances, the sanctions
authorized under this bill shall be separate from, and in
addition to, all other administrative, civil or criminal
penalties.
4)Specify that the Commissioner may apply to superior court to
compel payment and compliance with the Commissioner's orders,
after exhausting the review procedures provided by the bill.
5)Require, rather than permit, disciplinary action by the
Commissioner if a person fails to comply with the terms of a
citation or pay a fine within a reasonable time period.
6)Remove a provision requiring citations or fine assessments to
inform licensees of a right to a hearing to contest the
citation or assessment.
AB 278
Page 2
EXISTING LAW :
1)Establishes the Real Estate Law, which provides for the
regulation and licensure of real estate brokers and
salespersons by the Department of Real Estate under the
Commissioner.
2)Authorizes the Commissioner, upon his or her own motion, and
requires the Commissioner upon the verified complaint in
writing of any person, to investigate the actions of a real
estate licensee who has engaged in specified acts. If the
Commissioner finds that a licensee has committed those acts,
the Commissioner may suspend or revoke the license of the
licensee or impose specified monetary penalties.
AS PASSED BY THE ASSEMBLY , this bill authorized the Commissioner
to adopt regulations for issuing citations to those who violate
the Real Estate Law or any regulation under that law, and set
the maximum allowable administrative fine at $1,000 for each
inspection or each investigation made with respect to a
violation.
FISCAL EFFECT : According to the Senate Appropriations
Committee, pursuant to Senate Rule 28.8, negligible state costs.
COMMENTS : This bill is similar to the version that passed the
Assembly, with amendments that recast the bill's provisions,
increase the maximum allowable administrative fine from $1,000
to $2,500, and make a number of other changes to the
Commissioner's authority to issue citations established by this
bill.
Analysis Prepared by : Angela Mapp / B.,P. & C.P. / (916)
319-3301
FN:
0002805