Original Notice.

     Preproposal statement of inquiry was filed as WSR 08-14-033.

     Title of Rule and Other Identifying Information: New rule WAC 308-124C-050 Home inspector referrals (by real estate licensees).

     Hearing Location(s): Department of Licensing, 2000th [2000 4th] Avenue West, 2nd Floor Conference Room, Olympia, WA, on November 25, 2008, at 10:00 a.m.

     Date of Intended Adoption: November 25, 2008, or after.

     Submit Written Comments to: Jerry McDonald, P.O. Box 2445, Olympia, WA 98507-2445, e-mail jmcdonald@dol.wa.gov, fax (360) 570-7051.

     Assistance for Persons with Disabilities: Contact Gale Mitchell by November 17, 2008, TTY (360) 664-8885 or (360) 664-6426.

     Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: To establish a mandatory procedure that ensures consumer rights when a real estate licensee refers a home inspector.

     Reasons Supporting Proposal: Mandated by section 24, chapter 119, Laws of 2008.

     Statutory Authority for Adoption: RCW 18.85.040(1) and section 24, chapter 119, Laws of 2008.

     Statute Being Implemented: RCW 18.85.035.

     Rule is not necessitated by federal law, federal or state court decision.

     Name of Proponent: Department of licensing, governmental.

     Name of Agency Personnel Responsible for Drafting, Implementation and Enforcement: Jerry McDonald, 2000 4th Avenue West, Olympia, WA, (360) 664-6524.

     No small business economic impact statement has been prepared under chapter 19.85 RCW. This rule is for individual licensees and not small business enterprises.

     A cost-benefit analysis is not required under RCW 34.05.328. The proposed change has no financial impact upon the department.

October 7, 2008

Jerry McDonald

Assistant Administrator

OTS-1964.1

NEW SECTION
WAC 308-124C-050   Home inspector referrals.   Each licensed designated broker will establish a written office policy that includes a procedure for referring home inspectors to buyers or sellers. The policy will address the consumer's right to freely pick a home inspector of the buyer's or seller's choice and prevent any collusion between the home inspector and a real estate licensee.

     If a licensee refers a home inspector to a buyer or seller that they have or have had a relationship including, but not limited to, a business or familial relationship, then full disclosure of the relations must be provided in writing prior to the buyer or seller using the services of the home inspector.

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