WSR 07-14-061



[ Filed June 29, 2007, 8:47 a.m. ]

Original Notice.

Preproposal statement of inquiry was filed as WSR 07-02-007.

Title of Rule and Other Identifying Information: WAC 308-124H-025 General requirements for course approval.

Hearing Location(s): 2000 4th Avenue, 2nd Floor Conference Room, Olympia, WA, on August 13, 2007, at 10:00 a.m.

Date of Intended Adoption: September 18, 2007, or after.

Submit Written Comments to: Jerry McDonald, P.O. Box 2445, Olympia, WA 98507, e-mail, fax (360) 570-7051, by August 1, 2007.

Assistance for Persons with Disabilities: Contact Marjorie Hatfield by August 1, 2007, TTY (360) 664-8885 or (360) 664-6526.

Purpose of the Proposal and Its Anticipated Effects, Including Any Changes in Existing Rules: (1) Reorganize for easier reading; (2) ensure that courses contain up-to-date information; and (3) ensure current topic areas are related to the practice of real estate.

Reasons Supporting Proposal: Update topic areas, ensure that the topic areas are related to the practice of real estate, clarification of courses that will not be approved for continuing education and better organization to find approved topic areas.

Statutory Authority for Adoption: RCW 18.85.040 (1) and (4).

Statute Being Implemented: RCW 18.85.040(4).

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. No impact on business enterprises - only affect individual licensees that are required to take continuing education to meet the renewal requirements.

A cost-benefit analysis is not required under RCW 34.05.328. The proposed changes have no financial impact on the department.

June 27, 2007

Jerry McDonald

Assistant Administrator


AMENDATORY SECTION(Amending WSR 03-02-001, filed 12/19/02, effective 1/19/03)

WAC 308-124H-025   General requirements for course approval.   Courses shall meet the following requirements:

(1) Be offered by a private entity approved by the director to operate as a school;

(2) Be offered by a tax-supported, public technical or community college or other institution of higher learning that certifies clock hours as indicated in RCW 18.85.010(9), consistent with the approval standards prescribed by the director and this chapter;

(3) Be offered by the Washington real estate commission;

(4) Have a minimum of three hours of course work or instruction for the student. A clock-hour is a period of fifty minutes of actual instruction;

(5) Provide practical information related to the practice of real estate in any of the following real estate topic areas: ((Fundamentals, practices, principles/essentials, real estate law, legal aspects, brokerage management, business management, taxation, appraisal, evaluating real estate and business opportunities, property management and leasing, construction and land development, ethics and standards of practice, real estate closing practices, current trends and issues, finance, hazardous waste and other environmental issues, commercial, real estate sales and marketing, instructor development or the use of computers and/or other technologies as applied to the practice of real estate;

(6))) (a) Department prescribed curricula:

(i) Fundamentals

(ii) Practices

(A) Residential

(B) Commercial

(iii) Real estate law

(iv) Brokerage management

(v) Business management

(vi) Core curriculum

(A) Residential

(B) Commercial

(C) Property management

(b) Open curricula:

(i) Legal aspects

(ii) Taxation

(iii) Appraisal

(iv) Evaluating real estate and business opportunities

(v) Property management and leasing

(vi) Construction and land development

(vii) Ethics and standards of practice

(viii) Real estate closing practices

(ix) Current trends and issues

(x) Principles/essentials

(xi) Finance

(xii) Hazardous waste and other environmental issues

(xiii) Commercial

(xiv) Real estate sales and marketing

(xv) Instructor development

(xvi) Consumer protection

(xvii) Cross cultural communication

(xviii) Advanced management practices

(xix) Use of computers and/or other technologies as applied to the practice of real estate

(6) Be under the supervision of an instructor approved to teach the topic area, who shall, at a minimum, be available to respond to specific questions from students on an immediate or reasonably delayed basis;

(7) The following types of courses will not be approved for clock hours: ((Course offerings in mechanical office and business skills, such as, keyboarding, speed-reading, memory improvement, language, and report writing; orientation courses for licensees, such as those offered by trade associations; and personal and sales motivation courses or sales meetings held in conjunction with a licensee's general business. Clock hours will not be awarded for any course time devoted to meals or transportation;

(8))) (a) Mechanical office and business skills, such as, keyboarding, speed-reading, memory improvement, grammar, and report writing;

(b) Standardized software programs such as word processing, e-mail, spreadsheets or data bases; an example: A course using spreadsheet program to demonstrate investment analysis would be acceptable, but a course teaching how to use a spreadsheet would not be acceptable;

(c) Orientation courses for licensees, such as those offered by trade associations;

(d) Personal and sales motivation courses or sales meetings held in conjunction with a licensee's general business;

(e) Courses that are designed or developed to serve other professions, unless each component of the curriculum and content specifically shows how a real estate licensee can utilize the information in the practice of real estate;

(f) Personal finance, etiquette, or motivational type courses;

(g) Courses that are designed to promote or offer to sell specific products or services to real estate licensees such as warranty programs, client/customer data base systems, software programs or other devices. Services or products can be offered during nonclock hour time, such as breaks or lunch time. Letterhead, logos, company names or other similar markings by itself, on course material are not considered promotional;

(h) Clock hours will not be awarded for any course time devoted to meals or transportation;

(8) Courses of thirty clock hours or more which are submitted for approval shall include a comprehensive examination(s) and answer key(s) of no fewer than three questions per clock hour with a minimum of ninety questions, and a requirement of passing course grade of at least seventy percent; essay question examination keys shall identify the material to be tested and the points assigned for each question;

(9) Include textbook or instructional materials approved by the director, which shall be kept accurate and current;

(10) Not have a title which misleads the public as to the subject matter of the course;

(11) The provider's course application shall identify learning objectives and demonstrate how these are related to the practice of real estate;

(12) Courses offering the prescribed core curriculum shall meet the requirements of WAC 308-124A-605;

(13) Only primary providers shall be approved to teach the prescribed core curriculum; and

(14) Course providers offering core curriculum within a course exceeding three clock hours must clearly indicate in the application for approval where the core curriculum elements are met in the course.

[Statutory Authority: RCW 18.85.040(1). 03-02-001, 308-124H-025, filed 12/19/02, effective 1/19/03. Statutory Authority: RCW 18.85.040(1), 43.24.086. 02-03-055, 308-124H-025, filed 1/10/02, effective 2/10/02. Statutory Authority: RCW 18.85.040 and The Governor's Order on Regulatory Improvement 97-02. 00-08-035, 308-124H-025, filed 3/29/00, effective 7/1/00. Statutory Authority: RCW 18.85.040 and chapter 18.86 RCW. 97-01-027, 308-124H-025, filed 12/10/96, effective 1/10/97. Statutory Authority: RCW 18.85.040 and SB 6284. 95-03-012, 308-124H-025, filed 1/5/95, effective 7/1/95. Statutory Authority: RCW 18.85.040. 91-23-006, 308-124H-025, filed 11/7/91, effective 12/8/91. Statutory Authority: RCW 18.85.040, [18.85].085, [18.85].090 and [18.85].095. 91-07-029, 308-124H-025, filed 3/14/91, effective 4/14/91. Statutory Authority: RCW 18.85.040. 90-10-010, 308-124H-025, filed 4/20/90, effective 8/1/90.]

Washington State Code Reviser's Office