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Real Estate Commission declines to waive continuing-education penalty; legal counsel says board authority limited

2769904 · February 5, 2025
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Summary

The Real Estate Commission (Department of Consumer Protection) declined at the meeting to grant relief from recently applied continuing-education penalty fees and was told by legal counsel that the board’s waiver authority over legislatively imposed penalties is limited and must be verified.

Two licensees asked the Real Estate Commission (Department of Consumer Protection) to waive or rebate recently applied penalties tied to late continuing-education (CE) completion.

Francine Brown told the commission she missed the CE deadline after her brother’s death in October 2024 and asked for relief from what she described as an “exorbitant” penalty tied to late CE completion. “I had a death in the family...it has affected me, and I wasn't able to take the continuing ed classes in a timely fashion,” Brown said. Brown said she completed the CE online and sought only relief from the additional CE penalty, not the standard late renewal fee for a license.

Commission members and staff said the CE late-penalty and late-renewal fees are set by statute and regulation. Legal counsel (Annalisa) told the commission there is a hardship-waiver regulation that may apply in narrow categories — for example, specified medical or military service exceptions — and that the board’s ability to waive a legislatively instituted penalty may be limited and required verification. Annalisa said she would confirm whether the commission has authority to waive the specific statutory penalty in each case.

For one applicant who had already paid the penalty (discussed as Mr. Lovely in the record), the commission considered a request for a credit or rebate. After discussion the commission entertained a motion to deny the request; the motion was seconded and carried. The recorded in-meeting voice vote registered two affirmative voices on the record and the chair announced denial of the request. Commissioners instructed staff to follow up with the legal division to confirm statutory authority and, in the interim, to discuss possible payment-plan arrangements with applicants who demonstrate hardship.

Commissioners also noted the division has conducted outreach (presentations and emails) about the new CE timing and said most licensees complied; the penalties were intended to be a deterrent to noncompliance, one commissioner said. Staff offered to look at individualized payment arrangements in some cases and legal counsel said she would verify the precise statutory/regulatory scope of commission waiver authority.

Action taken at the meeting: commissioners voted to deny the refund/credit request that was on the agenda (motion moved, seconded, outcome: denied). No authority to unilaterally cancel statutory penalty amounts was established during the session; legal will follow up.

Votes at a glance - Motion: Deny requested credit/refund for paid CE penalty (applicant discussed in the record) - Mover/Second: not specified on the record - Vote tally (on-record voices): yes 2, no 0, abstain 0 - Outcome: denied - Notes: Legal counsel to verify statutory authority; staff to consider payment-plan options where hardship is shown.

The commission asked legal counsel to report back and asked staff to inform applicants of payment-plan possibilities where feasible.