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A BILL TO BE ENTITLED
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AN ACT
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relating to requirements for correspondence courses for licensing |
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as a real estate broker, salesperson, or inspector. |
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BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
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SECTION 1. Chapter 1101, Occupations Code, is amended by |
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adding Subchapter G-1 to read as follows: |
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SUBCHAPTER G-1. REGISTRATION OF CORRESPONDENCE COURSE |
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Sec. 1101.331. DEFINITIONS. In this subchapter: |
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(1) "Educational institution" means an accredited |
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college or university authorized under this chapter or Chapter 1102 |
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to offer a real estate or real estate inspection educational course |
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or program of study using a third-party marketing firm. |
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(2) "Correspondence course" means a distance learning |
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course offered by an educational institution as a noncredit course |
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that consists primarily of text material. The term does not include |
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a program or course offered by an educational institution as part of |
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the institution's degree granting program that is recorded as a |
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credit on an official transcript issued by the institution. |
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Sec. 1101.332. REGISTRATION REQUIRED. A correspondence |
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course is not acceptable as a core real estate course or continuing |
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education course under this chapter or a core real estate |
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inspection course or continuing education course under Chapter 1102 |
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unless the educational institution offering the course holds a |
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certificate of registration issued by the commission under this |
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subchapter. |
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Sec. 1101.333. APPLICATION; ISSUANCE OF CERTIFICATE. (a) |
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An educational institution may submit an application to hold a |
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certificate of registration under this subchapter by applying to |
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the commission on the form prescribed by the commission. The |
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application must include: |
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(1) the institution's name, address, telephone number, |
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and any other contact information required by the commission; |
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(2) the name, address, and telephone number of the |
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person in an academic department of the institution who reviews and |
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approves real estate correspondence course content and ensures the |
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educational integrity of the course before information about the |
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course is submitted to the commission for the commission's |
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approval; |
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(3) the name, address, and telephone number of any |
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additional person responsible for administering the course or |
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program of study that has as a component a correspondence course; |
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(4) the name, address, and telephone number of any |
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marketing firm or proprietary real estate course provider that is |
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associated with providing the course at the institution; |
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(5) the institution's accreditation information and |
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evidence to demonstrate that the accreditation is acceptable to the |
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commission; |
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(6) information on the ownership or copyright |
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interests in the correspondence course materials; |
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(7) the name of the person designated to issue the |
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official completion certificate on a student's successful |
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completion of the course and the procedure for timely issuance of |
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the certificate if the regular procedures cannot be followed |
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because of an institutional holiday or break or for other reasons; |
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and |
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(8) a statement by a representative of the institution |
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attesting that the institution will uphold the professional and |
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academic standards required for completion of an approved |
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correspondence course. |
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(b) An educational institution that holds a certificate of |
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registration issued under this subchapter shall notify the |
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commission of any changes to the information provided under |
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Subsection (a) not later than the 30th day after the date of the |
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change. |
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(c) The commission shall issue a certificate of |
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registration to an educational institution that meets the |
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applicable requirements of this chapter, Chapter 1102, and |
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commission rules. The commission may not unreasonably deny the |
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issuance of a certificate of registration to an educational |
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institution that otherwise meets the applicable requirements under |
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this chapter, Chapter 1102, and commission rules. |
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Sec. 1101.334. CERTIFICATE EXPIRATION AND RENEWAL; FEES. |
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(a) The commission may issue or renew a certificate of registration |
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for a period not to exceed 24 months. |
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(b) The commission may charge a fee for the issuance of a |
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certificate of registration under this subchapter in an amount that |
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is reasonable and necessary to cover the costs of administering |
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this subchapter. |
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Sec. 1101.335. APPROVAL OF CORRESPONDENCE COURSE OR PROGRAM |
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OF STUDY. (a) An educational institution that holds a certificate |
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of registration issued under this subchapter shall submit to the |
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commission, for approval of a correspondence course or program of |
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study offered by the institution, a letter describing the course or |
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program. The letter must: |
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(1) be on the institution's letterhead; and |
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(2) be signed by a representative of the institution |
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who is responsible for supervising correspondence course content |
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and approval under this subchapter. |
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(b) On receipt of the letter, the commission shall add an |
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approved correspondence course or program of study to the |
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commission's list of approved correspondence courses or programs |
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for that educational institution. |
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(c) An educational institution that holds a certificate of |
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registration issued under this subchapter may not submit a |
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correspondence course or program of study to the commission for |
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approval by the commission unless the course or program has been |
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reviewed by a member of the institution's academic department. The |
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person reviewing the course or program must examine the content, |
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educational quality, and standards of the course or program to |
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ensure that the course or program complies with the applicable |
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provisions of this chapter, Chapter 1102, and commission rules. |
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Sec. 1101.336. CORRESPONDENCE COURSE REQUIREMENTS. (a) An |
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educational institution may not offer a correspondence course under |
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this subchapter unless the course: |
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(1) is based primarily on information found in a |
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textbook; |
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(2) provides each student with the option of |
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completing the course requirements using a paper format; |
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(3) provides each student with printed copies of |
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material that constitutes a significant portion of the course; |
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(4) is divided into multiple units of instruction |
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unless the course is a continuing education course or a core real |
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estate inspection course that is four hours or less in duration; |
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(5) provides a diagnostic assessment of each student's |
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performance at regular intervals during each unit of instruction to |
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measure the student's acquired knowledge; and |
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(6) for a core real estate course or core real estate |
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inspection course, complies with the applicable provisions of this |
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chapter, Chapter 1102, or commission rules. |
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(b) An educational institution that holds a certificate of |
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registration issued under this subchapter and that offers as a |
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correspondence course a core real estate course described by |
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Section 1101.003(a)(1), (2), or (3) shall select a textbook for the |
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mandatory prelicensing courses on principles of real estate, law of |
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contracts, and law of agency from the commission's list of |
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acceptable published textbooks. |
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(c) An educational institution that holds a certificate of |
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registration under this subchapter shall establish reasonable |
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procedures to ensure that a student who completes the work for a |
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correspondence course is the student who is enrolled in the course. |
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(d) On completion of a correspondence course authorized |
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under this subchapter and before credit is granted for the course, a |
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student enrolled in the course shall attest in a written statement |
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submitted to the educational institution that the person enrolled |
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in and receiving credit for the course is the same person who |
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completed the required course work. |
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(e) An educational institution may not issue a |
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correspondence course completion certificate through the use of a |
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computer printout generated by a computer course program on |
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completion of the course. |
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Sec. 1101.337. CORRESPONDENCE COURSE FINAL EXAMINATION. (a) |
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An educational institution may not offer a correspondence course |
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under this subchapter unless the final examination questions for |
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the course: |
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(1) differ significantly from the questions used in |
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the diagnostic assessments for the course; and |
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(2) are kept confidential. |
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(b) Subsection (a)(2) does not prohibit a student from |
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reviewing under controlled conditions a final examination taken by |
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the student after the examination has been graded. |
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(c) A final examination for a correspondence course |
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approved under this subchapter may be conducted as an open or closed |
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book examination. Course credit may not be granted for the |
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correspondence course unless a student completes all diagnostic |
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assessments and successfully completes: |
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(1) a proctored final examination that is: |
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(A) administered under controlled conditions to |
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a student whose identity has been verified at a location and by an |
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official approved by the commission; and |
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(B) graded by the instructor, an approved |
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representative of the educational institution, or, for an |
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examination graded mechanically or electronically, by the use of |
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answer keys approved by the instructor or institution; or |
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(2) a final examination administered through the use |
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of a computer program with timed questions that verifies that the |
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person taking the examination is the student who enrolled in the |
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course or through another method approved by the commission to |
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verify the student's identity. |
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Sec. 1101.338. CORRESPONDENCE COURSE ETHICS. (a) An |
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educational institution that holds a certificate of registration |
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under this subchapter shall cooperate with the commission to |
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maintain the highest educational standards for real estate |
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education. The commission may suspend or revoke an educational |
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institution's certificate of registration issued under this |
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subchapter if: |
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(1) the institution does not supervise a |
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correspondence course or program; or |
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(2) a correspondence course does not comply with the |
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minimum correspondence course standards established by this |
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chapter, Chapter 1102, or commission rules. |
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(b) A representative of an educational institution that |
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holds a certificate of registration issued under this subchapter |
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shall sign an agreement to maintain the ethical and academic |
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standards required by the commission for correspondence courses and |
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programs of study under this chapter or Chapter 1102. |
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(c) An educational institution may not enter a business |
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relationship with an outside provider for the provider to offer a |
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correspondence course that: |
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(1) uses the name of the institution for a fee without |
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any additional institutional involvement in the creation or |
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administration of the course; or |
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(2) uses a textbook for a mandatory prelicensing core |
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real estate course that is not on the list of textbooks approved by |
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the commission. |
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(d) An educational institution that outsources the |
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creation, administration, or marketing of a correspondence course |
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or program of study to an outside provider or subcontractor is |
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responsible for the actions of the provider or subcontractor. |
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Sec. 1101.339. ADVERTISING. (a) In any print or electronic |
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advertisement of a correspondence course approved under this |
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subchapter, an educational institution that holds a certificate of |
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registration issued under this chapter shall ensure that the |
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institution's name or logo is prominently displayed in a manner |
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that adequately informs the consumer which institution is offering |
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the course. |
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(b) A broker, salesperson, or inspector licensed under this |
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subtitle may not participate in a student recruiting program that |
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advertises a real estate correspondence course or program of study |
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in a manner that compromises the integrity of the course or program |
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by: |
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(1) suggesting the course or program may be completed |
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in less time than the number of credit hours granted for successful |
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completion of the course or program; or |
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(2) providing answer keys to diagnostic assessments or |
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final examinations. |
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Sec. 1101.340. LICENSING EXAMINATION PASSING PERCENTAGE |
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DATA. The commission shall adopt rules requiring an educational |
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institution that holds a certificate of registration under this |
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subchapter to establish the program's graduate licensing |
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examination passage rate. |
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SECTION 2. (a) Not later than January 1, 2010, the Texas |
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Real Estate Commission shall adopt the rules required to implement |
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Subchapter G-1, Chapter 1101, Occupations Code, as added by this |
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Act. |
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(b) Notwithstanding Subchapter G-1, Chapter 1101, |
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Occupations Code, as added by this Act, an educational institution |
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providing a real estate correspondence course or program of study |
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is not required to comply with that subchapter before September 1, |
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2010. |
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SECTION 3. This Act takes effect September 1, 2009. |