No. 28900 (Amendment): R162-8-3. School Application for Certification

DAR File No.: 28900
Filed: 07/28/2006, 08:47
Received by: NL

 

RULE ANALYSIS

Purpose of the rule or reason for the change:

Currently, real estate prelicensing schools may spend the time and money to register a proposed school name with the Division of Corporations, only to later find out that the name is not acceptable to the Division of Real Estate when they apply to the Division of Real Estate for certification of their prelicensing school.

 

Summary of the rule or change:

The prelicensing schools who want to be certified by the Division of Real Estate will be required to seek approval of the school name from the Division of Real Estate before registering the business name with the Division of Corporations.

 

State statutory or constitutional authorization for this rule:

Subsection 61-2-5.5(1)(a)(ii)

 

Anticipated cost or savings to:

the state budget:

None--State government agencies do not operate real estate prelicensing schools, and therefore, the timing of the approval of the names of prelicensing schools has no impact on State government.

 

local governments:

None--Local governments are not involved in the approval of names of real estate prelicensing schools, or the timing of same. Therefore, the rules regulating when the name of a prelicensing school must be approved and by whom have no impact on local governments.

 

other persons:

The only persons who are affected by this rule change are the owners of a school that intends to offer real estate prelicensing education. This rule will not cost them any money and may actually save them money since they will be required to obtain name approval from the Division of Real Estate before they incur the expense of registering a school name with the Division of Corporations that they may not be permitted to use.

 

Compliance costs for affected persons:

Since this rule merely changes the timing of obtaining name approval from the Division of Real Estate, the rule change will not result in additional costs for the owners of real estate schools.

 

Comments by the department head on the fiscal impact the rule may have on businesses:

No fiscal impact to businesses is anticipated by this filing other than a possible cost-savings to real estate schools as indicated in the rule summary. Francine A. Giani, Executive Director

 

The full text of this rule may be inspected, during regular business hours, at the Division of Administrative Rules, or at:

Commerce
Real Estate
HEBER M WELLS BLDG
160 E 300 S
SALT LAKE CITY UT 84111-2316

 

Direct questions regarding this rule to:

Shelley Wismer at the above address, by phone at 801-530-6761, by FAX at 801-530-6749, or by Internet E-mail at [e-mail]

 

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

09/14/2006

 

This rule may become effective on:

09/22/2006

 

Authorized by:

Derek Miller, Director

 

 

RULE TEXT

R162. Commerce, Real Estate.

R162-8. Prelicensing Education.

R162-8-3. School Application for Certification.

8.3 A school offering prelicensing education must be certified by the Division of Real Estate before providing any education. Each school requesting approval of an educational program designed to meet the prelicensing education requirements must make application for approval on the form prescribed by the Division. The application must include the application fee, as authorized by Section 61-2-9(5)(d), and the following information which will be used in determining the school's eligibility for approval:

8.3.1 Name, phone number and address of the school, school director, and all owners of the school;

8.3.1.1 A real estate school shall obtain approval of the name under which it intends to provide prelicensing education prior to registering that name with the Division of Corporations of the Department of Commerce as a real estate education provider.

8.3.2 A description of the type of school and a description of the school's physical facilities;

8.3.2.1 All courses must be taught in an appropriate classroom facility and not in any private residence, except for courses approved for specific home-study purposes.

8.3.3 A comprehensive course outline including a description of the course, the length of time to be spent on each subject area broken into class periods, and a minimum of three to five learning objectives for every three hours of classroom time, and applicable application fee;

8.3.3.1 All courses of study will meet the minimum standards set forth in the State of Utah Standard Course Outline provided for each approved course. The school may alter the sequence of presentation of the required topics.

8.3.3.2 All courses of study will meet the minimum hourly requirement of that course. A credit hour is defined as 50 minutes of supervised contact by a certified instructor within a 60 minute time period. A 10 minute break will be given for each 50 minutes in class. Education credit will be limited to a maximum of eight credit hours per day. The limitation applies only to the credit a student may receive and is not intended to limit the number of classroom hours offered.

8.3.4 A list of each certified instructor and adjunct instructor the school intends to use and the instructor certification number which has been issued by the Division.

8.3.4.1 A college or university may use any faculty member to teach an approved course provided the instructor demonstrates to the satisfaction of the Division academic training or experience qualifying him to teach the course.

8.3.4.2 The school shall submit the name of any guest lecturer and a resume which defines the knowledge and expertise of the guest. Names shall be submitted prior to the guest being used by the school.

8.3.5 An itemization of methods of instruction, including lecture method, slide presentation, cassette, videotape, movie, or other method. Absent special approval from the Division:

8.3.5.1 Non-lecture methods of instruction will be limited to a total of 50% of the allotted credit hours.

8.3.5.2 Non-lecture methods of instruction will have an accompanying workbook for the student to complete during the viewing time. The schools shall submit copies of the workbooks to the Division.

8.3.5.3 Non-lecture methods of instruction will have a certified instructor available to answer questions within at least 24 hours after the presentation.

8.3.6 A copy of at least two final examinations of the course and the answer keys which are used to determine if the student has passed the exam, accompanied by an explanation of what the procedure is if the student fails the final examination and thereby fails the course.

8.3.6.1 A maximum of 10% of the required class time may be spent in testing, including practice tests and the final examination. A student cannot challenge a course or any part of a course of study in lieu of attendance.

8.3.7 A list of the titles, authors and publishers of all required textbooks;

8.3.7.1 All texts, workbooks, supplement pamphlets and any other materials must be appropriate and current in their application to the required course outline.

8.3.8 Days, times and locations of classes;

8.3.8.1 A college or a university may schedule its courses within the criteria of its regular schedule, for example, quarter, semester, or other. A college quarter hour credit is the equivalent of 10 classroom hours, and a college semester hour credit is the equivalent of 15 classroom hours.

8.3.9 A copy of the statement which shall be provided for each student outlining the days, times and locations of classes; the number of quizzes and examinations; the grading system, including methods of testing and standards of grading; the requirements for attendance; the school's evidence of notification to candidates of the qualifying questionnaire; and the school's refund policy.

8.3.9.1 The statement to the student shall state in capital letters no smaller than 1/4 inch the following language: "Any student attending the (school name) is under no obligation to affiliate with any of the real estate brokerages that may be soliciting for agents at this school."

8.3.10 Any other information as the Division may require.

 

KEY: real estate business

Date of Enactment or Last Substantive Amendment: [June 21, ]2006

Notice of Continuation: June 3, 2002

Authorizing, and Implemented or Interpreted Law: 61-2-5.5