Amended in Senate August 19, 2016

Amended in Senate August 15, 2016

Amended in Senate June 22, 2016

Amended in Senate June 20, 2016

Amended in Assembly May 27, 2016

Amended in Assembly April 18, 2016

Amended in Assembly April 4, 2016

California Legislature—2015–16 Regular Session

Assembly Bill No. 1807

Introduced by Assembly Member Bonta

February 8, 2016

An act to amend Section 10083.2 of the Business and Professions Code, relating to real estate licensees, and making an appropriation therefor.

LEGISLATIVE COUNSEL’S DIGEST

AB 1807, as amended, Bonta. Real estate licensees.

The Real Estate Law provides for the licensure and regulation of real estate brokers and real estate salespersons by the Bureau of Real Estate, headed by the Real Estate Commissioner. Fees charged and collected under the Real Estate Law, except as otherwise provided, are deposited into the Real Estate Fund and continuously appropriated for use by the commissioner, as specified. Existing law requires the commissioner to provide on the Internet specific information regarding the status of every license issued by the department.

This bill would authorize the commissioner, upon petition by a licensee accompanied by a specified fee, to remove from the posting of discipline an item that has been posted on the bureau’s Internet Web site for at least 10 years and for which the licensee provides evidence of rehabilitation indicating that the notice is no longer required to prevent a credible risk to members of the public utilizing licensed activity of the licensee. The bill would require the commissioner, in evaluating a petition, to take into consideration other violations that present a credible risk to the members of the public since the posting of discipline requested for removal, as specified. Because the fees collected pursuant to these provisions would be deposited in the Real Estate Fund, which is continuously appropriated, the bill would make an appropriation. The bill would also authorize the bureau to develop, through regulations, the amount of the fee and the minimum information to be included in a licensee’s petition, including, but not limited to, a written justification and evidence of rehabilitation. The bill would require the petition process to commence January 1, begin delete 2018, or upon completion of regulations to implement the process, whichever comes first. end delete begin insert 2018. The bill would require the bureau to maintain a list of all licensees whose disciplinary records are altered as a result of the petition process and to update the list and make it available to other licensing bodies, as specified. end insert

begin insert

This bill would incorporate additional changes in Section 10083.2 of the Business and Professions Code proposed by AB 2330, that would become operative only if AB 2330 and this bill are both chaptered and become effective on or before January 1, 2017, and this bill is chaptered last.

end insert

Vote: majority. Appropriation: yes. Fiscal committee: yes. State-mandated local program: no.

The people of the State of California do enact as follows:

SECTION 1.  

The Legislature finds and declares the following:

(a) It is appropriate for the Bureau of Real Estate to continue
to report on its license verification Internet Web page when
discipline has been imposed upon a begin delete licensee for conduct that
indicates a credible risk of financial or physical harm to members
of the public in the future. end delete begin insert licensee. end insert

(b) It is appropriate for the Bureau of Real Estate to consider
and grant on a case-by-case basis a licensee’s petition to
discontinue the reporting of past disciplinary actions when the
petitioning licensee has demonstrated to the satisfaction of the
Real Estate Commissioner that the continued reporting is no longer
required in order to avoid or reduce such a risk to the public.

(c) The Bureau of Real Estate may require a petitioner to pay
in advance of consideration a fee to defray costs associated with
consideration of the petition.

(d) Nothing in this act shall be construed to authorize or require
the destruction of public records maintained pursuant to the
California Public Records Act (Chapter 3.5 (commencing with
Section 6250) of Division 7 of Title 1 of the Government Code),
or to refuse a request for production of such a record.

(e) The Legislature intends by this act to establish a process by
which a licensee may petition the Bureau of Real Estate to remove
a notice of past discipline from the license verification Internet
Web page of the bureau.

SEC. 2.  

Section 10083.2 of the Business and Professions Code
is amended to read:

10083.2.  

(a) The commissioner shall provide on the Internet
information regarding the status of every license issued by the
department in accordance with the California Public Records Act
(Chapter 3.5 (commencing with Section 6250) of Division 7 of
Title 1 of the Government Code) and the Information Practices
Act of 1977 (Chapter 1 (commencing with Section 1798) of Title
1.8 of Part 4 of Division 3 of the Civil Code). The public
information to be provided on the Internet shall include information
on suspensions and revocations of licenses issued by the
department and accusations filed pursuant to the Administrative
Procedure Act (Chapter 3.5 (commencing with Section 11340) of
Part 1 of Division 3 of Title 2 of the Government Code) relative
to persons or businesses subject to licensure or regulation by the
department. The information shall not include personal information,
including home telephone number, date of birth, or social security
number. The commissioner shall disclose a licensee’s address of
record. However, the commissioner shall allow a licensee to
provide a post office box number or other alternate address, instead
of his or her home address, as the address of record. This section
shall not preclude the commissioner from also requiring a licensee
who has provided a post office box number or other alternative
mailing address as his or her address of record to provide a physical
business address or residence address only for the department’s
internal administrative use and not for disclosure as the licensee’s
address of record or disclosure on the Internet.

(b) For purposes of this section, “Internet” has the meaning set
forth in paragraph (6) of subdivision (f) of Section 17538.

(c) Upon petition by a licensee accompanied by a fee sufficient
to defray costs associated with consideration of a petition, the
commissioner may remove from the posting of discipline described
in subdivision (a) an item that has been posted on the bureau’s
Internet Web site for no less than 10 years and for which the
licensee provides evidence of rehabilitation indicating that the
notice is no longer required in order to prevent a credible risk to
members of the public utilizing licensed activity of the licensee.
In evaluating a petition, the Commissioner shall take into
consideration other violations that present a credible risk to the
members of the public since the posting of discipline requested
for removal.

(d) The bureau may develop, through regulations, the amount
of the fee and the minimum information to be included in a
licensee’s petition, including, but not limited to, a written
justification and evidence of rehabilitation pursuant to Section
482.

(e) “Posted” for purposes of this section is defined as the date
of disciplinary action taken by the bureau.

(f) The petition process described by subdivisions (c) and (d)
shall commence January 1, begin delete 2018, or upon completion of regulations
to implement the process, whichever comes first. end delete begin insert 2018. end insert

begin insert

(g) The bureau shall maintain a list of all licensees whose
disciplinary records are altered as a result of a petition approved
under subdivision (c). The bureau shall make the list accessible
to other licensing bodies. The bureau shall update and provide
the list to other licensing bodies as often as it modifies the records
displayed on its Internet Web site in response to petitions approved
under subdivision (c).

end insert

begin insert

begin insert SEC. 2.5. end insert   

end insert

begin insert Section 10083.2 of the end insert begin insert Business and Professions
Code end insert begin insert is amended to read: end insert

10083.2.  

(a)  begin insert (1) end insert begin insert   end insert The commissioner shall provide on the
Internet information regarding the status of every license issued
by the department in accordance with the California Public Records
Act (Chapter 3.5 (commencing with Section 6250) of Division 7
of Title 1 of the Government Code) and the Information Practices
Act of 1977 (Chapter 1 (commencing with Section 1798) of Title
1.8 of Part 4 of Division 3 of the Civil Code). begin delete The end delete

begin insert (2) end insert begin insert   end insert begin insert The end insert public information to be provided on the Internet shall
include information on suspensions and revocations of licenses
issued by the department and accusations filed pursuant to the
Administrative Procedure Act (Chapter 3.5 (commencing with
Section 11340) of Part 1 of Division 3 of Title 2 of the Government
Code) relative to persons or businesses subject to licensure or
regulation by the department. begin delete The end delete

begin insert (3) end insert begin insert   end insert begin insert The end insert information shall not include personal information,
including home telephone number, date of birth, or social security
number. The commissioner shall disclose a licensee’s address of
record. However, the commissioner shall allow a licensee to
provide a post office box number or other alternate address, instead
of his or her home address, as the address of record. This section
shall not preclude the commissioner from also requiring a licensee
who has provided a post office box number or other alternative
mailing address as his or her address of record to provide a physical
business address or residence address only for the department’s
internal administrative use and not for disclosure as the licensee’s
address of record or disclosure on the Internet.

begin insert

(4) The public information shall also include whether a licensee
is an associate licensee within the meaning of subdivision (b) of
Section 2079.13 of the Civil Code and, if the associate licensee is
a broker, identify each responsible broker with whom the licensee
is contractually associated as described in Section 10032 of this
code or Section 2079.13 of the Civil Code.

end insert

(b) For purposes of this section, “Internet” has the meaning set
forth in paragraph (6) of subdivision (f) of Section 17538.

begin insert

(c) Upon petition by a licensee accompanied by a fee sufficient
to defray costs associated with consideration of a petition, as
described in Section 10223, the commissioner may remove from
the posting of discipline described in subdivision (a) an item that
has been posted on the bureau’s Internet Web site for no less than
10 years and for which the licensee provides evidence of
rehabilitation indicating that the notice is no longer required in
order to prevent a credible risk to members of the public utilizing
licensed activity of the licensee. In evaluating a petition, the
commissioner shall take into consideration other violations that
present a credible risk to the members of the public since the
posting of discipline requested for removal.

end insert begin insert

(d) The bureau may develop, through regulations, the amount
of the fee and the minimum information to be included in a
licensee’s petition, including, but not limited to, a written
justification and evidence of rehabilitation pursuant to Section
482.

end insert begin insert

(e) “Posted” for purposes of this section is defined as the date
of disciplinary action taken by the bureau.

end insert begin insert

(f) The petition process described by subdivisions (c) and (d)
shall commence January 1, 2018.

end insert begin insert

(g) The bureau shall maintain a list of all licensees whose
disciplinary records are altered as a result of a petition approved
under subdivision (c). The commissioner shall make the list
accessible to other licensing bodies. The bureau shall update and
provide the list to other licensing bodies as often as it modifies the
records displayed on its Internet Web site in response to petitions
approved under subdivision (c).

end insert begin insert

(h) This section shall become operative January 1, 2018.

end insert

begin insert

begin insert SEC. 3. end insert   

end insert begin insert

Section 2.5 of this bill incorporates changes to Section
10083.2 of the Business and Professions Code proposed by both
this bill and Assembly Bill 2330. It shall only become operative if
(1) both bills are enacted and become effective on or before
January 1, 2017, (2) this bill amends Section 10083.2 of the
Business and Professions Code and Assembly Bill 2330 amends,
repeals, and adds the section but Section 10083.2 of the Business
and Professions Code, as added by Assembly Bill 2330 does not
become operative until January 1, 2018, and (3) this bill is enacted
after Assembly Bill 2330, in which case Section 10083.2 of the
Business and Professions Code, as amended by Section 2 of this
bill, shall remain operative only until January 1, 2018, at which
time Section 2.5 of this bill shall become operative.

end insert