BILL ANALYSIS Ó SB 676 Page 1 Date of Hearing: August 21, 2013 ASSEMBLY COMMITTEE ON APPROPRIATIONS Mike Gatto, Chair SB 676 (Block) - As Amended: May 14, 2013 Policy Committee: Business and Professions Vote: 13 - 0 Banking 9 - 0 Urgency: No State Mandated Local Program: No Reimbursable: SUMMARY This bill authorizes the Bureau of Real Estate (BRE) to suspend or revoke the license of any real estate broker, real estate salesperson, or corporation licensed as a real estate broker if they knowingly destroy, alter, conceal mutilate, or falsify any books, accounts, or records that are required to be maintained. FISCAL EFFECT There are no significant costs associated with this legislation. COMMENTS Purpose . Existing law requires a real estate broker to maintain copies of all records connected with real estate transactions for three years. Failure to do so is a misdemeanor punishable by a fine not exceeding $10,000, or by imprisonment in the county jail not exceeding six months, or both. Presently, to revoke the real estate license of a licensee who destroys or alters these records requires that BRE prove that the act constitutes fraud or dishonest dealing. This is difficult when the records have been destroyed or altered. This bill will allow BRE to take administrative action directly. This bill provides direct authorization for BRE to suspend or revoke a real estate license if the licensee knowingly destroys or alters any records that are required to be maintained or are sought by the Real Estate Commissioner. SB 676 Page 2 Analysis Prepared by : Julie Salley-Gray / APPR. / (916) 319-2081