BILL ANALYSIS Ó AB 2540 Page 1 Date of Hearing: May 7, 2014 ASSEMBLY COMMITTEE ON APPROPRIATIONS Mike Gatto, Chair AB 2540 (Dababneh) - As Amended: April 23, 2014 Policy Committee: Business and Professions Vote: 14 - 0 Urgency: No State Mandated Local Program: Yes Reimbursable: No SUMMARY This bill, as proposed to be amended, requires real estate brokers and real estate salespersons to supply the Bureau of Real Estate (BRE) with valid contact information as part of their examination and license applications and to inform the Real Estate Commissioner (Commissioner) of any change in the broker or salesperson's contact information within 30 days. FISCAL EFFECT Minor and absorbable costs to the Bureau of Real Estate in the Department of Consumer Affairs. COMMENTS 1)Purpose . BRE does not have the legislative authority to require licensees to provide and maintain valid e-mail addresses and telephone numbers. Thus, all communications are handled by mail. According to the author, this bill empowers BRE to require licensees to supply valid contact information as part of their license application or renewal materials, making it possible for BRE to collect email addresses and telephone numbers. Currently, BRE has less than 15,000 valid e-mail addresses -- out of a licensee population of over 400,000. Due to state budget constraints, the BRE no longer mails out the Real Estate Bulletin to licensees. Instead, the BRE posts the Bulletin on their website and e-mails it to the few available email addresses. AB 2540 Page 2 This bill is intended to lower BRE's postal mail costs and increase communication efficiency between the licensee and BRE. Additionally, licensees will benefit from up-to-date knowledge of notices, warnings and other relevant information essential to licensing and business practices. Analysis Prepared by : Jennifer Swenson / APPR. / (916) 319-2081