BILL ANALYSIS                                                                                                                                                                                                    �



                                                                  SB 875
                                                                  Page  1

          Date of Hearing:   August 8, 2012

                        ASSEMBLY COMMITTEE ON APPROPRIATIONS
                                Felipe Fuentes, Chair

                     SB 875 (Price) - As Amended:  June 6, 2012 

          Policy Committee:                              Business and 
          Professions  Vote:                            9 - 0 

          Urgency:     No                   State Mandated Local Program: 
          Yes    Reimbursable:              No

           SUMMARY  

          This bill expands the authority of the Department of Real Estate 
          (DRE) Commissioner to bar individuals from participating in 
          licensing examinations for specified reasons. Specifically, this 
          bill: 

          1)Allows the Commissioner to bar from participation in an 
            examination for licensure a real estate salesperson or real 
            estate broker, or specified unlicensed persons, under 
            specified circumstances.

          2)Provides that persons suspended or barred from a position of 
            employment, management, or control under existing law are also 
            barred from participating in examinations for licensure.

          3)Requires a person who submits a petition for reinstatement of 
            a license or reduction of a penalty to submit his or her 
            fingerprints with the petition.

          4)Requires DRE, upon denial of an application for a license or a 
            license endorsement, to proceed under statutes governing the 
            denial, suspension and revocation of licenses issued by the 
            boards and bureaus within the Department of Consumer Affairs 
            (DCA), which require a statement of issues or a notification 
            of denial.

          5)Provides that no person shall cheat on, subvert, or attempt to 
            subvert a licensing examination given by the DRE.  Defines 
            cheating and subverting.

           FISCAL EFFECT  








                                                                  SB 875
                                                                  Page  2


          Costs associated with this legislation are minor and absorbable 
          within existing resources. 

           COMMENTS  

           Rationale  . The intent of this legislation is to provide DRE with 
          additional authority by allowing the Commissioner to bar 
          individuals from sitting for licensing examinations under 
          certain circumstances.  A general provision of the Business and 
          Professions Code authorizes all of the regulatory boards and 
          bureaus within DCA to deny a license to an applicant by issuing 
          a notice of denial.  The notice of denial must meet certain 
          criteria, including providing for the applicant to request a 
          hearing on the denial before the Office of Administrative 
          Hearings.  This bill grants DRE that same authority.
           Analysis Prepared by  :    Julie Salley-Gray / APPR. / (916) 
          319-2081