By: Kuempel H.B. No. 2378       A BILL TO BE ENTITLED   AN ACT   relating to the licensing and regulation of real estate inspectors;   reducing a fee.          BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:          SECTION 1.  Sections 1102.001(1), (5), and (7), Occupations   Code, are amended to read as follows:                (1)  "Apprentice inspector" means a person who is in   training under the direct supervision of a professional inspector   [or a real estate inspector] to become qualified to perform real   estate inspections.                (5)  "Qualifying ["Core] real estate inspection   course" means an educational course approved by the commission that   relates to real estate inspection, including a course on structural   items, electrical items, mechanical systems, plumbing systems,   roofing, business, law, standards of practice, report writing,   appliances, or ethics.                (7)  "License" means an apprentice inspector license[,   real estate inspector license,] or professional inspector license.          SECTION 2.  Section 1102.101, Occupations Code, is amended   to read as follows:          Sec. 1102.101.  APPRENTICE INSPECTOR LICENSE REQUIRED. A   person may not act or attempt to act as an apprentice inspector in   this state for a buyer or seller of real property unless the person:                (1)  holds an apprentice inspector license under this   chapter; and                (2)  is under the direct supervision of a [real estate   inspector or] professional inspector.          SECTION 3.  Section 1102.104, Occupations Code, is amended   to read as follows:          Sec. 1102.104.  SUPERVISION. For the purposes of this   chapter, a person performing a real estate inspection or preparing   a report of a real estate inspection is under[:                [(1)]  direct supervision if the person is instructed   and controlled by a professional inspector [or real estate   inspector] who is:                (1) [(A)]  responsible for the actions of the person;                (2) [(B)]  available if needed to consult with or   assist the person; and                (3) [(C)]  physically present at the time and place of   the inspection[; and                [(2)  indirect supervision if the person is instructed   and controlled by a professional inspector who is:                      [(A)  responsible for the actions of the person;   and                      [(B)  available if needed to consult with or   assist the person].          SECTION 4.  Section 1102.109, Occupations Code, is amended   to read as follows:          Sec. 1102.109.  ELIGIBILITY FOR PROFESSIONAL INSPECTOR   LICENSE. To be eligible for a professional inspector license, an   applicant must:                (1)  at the time of application have:                      (A)  held an apprentice [a real estate] inspector   license for at least 12 months; and                      (B)  performed at least 175 real estate   inspections under direct [indirect] supervision;                (2)  submit evidence satisfactory to the commission of   successful completion of at least 120 [40] classroom hours of   qualifying [core] real estate inspection courses[, in addition to   the hours required by Section 1102.108];                (3)  demonstrate competence based on the examination   under Subchapter D; and                (4)  satisfy the commission as to the applicant's   honesty, trustworthiness, integrity, and competence.          SECTION 5.  Section 1102.111, Occupations Code, is amended   to read as follows:          Sec. 1102.111.  SUBSTITUTE REQUIREMENTS. (a)  The   commission by rule shall provide for substitution of relevant   experience and additional education in place of:                (1)  the number of real estate inspections required for   licensing; and                (2)  the requirement that an applicant be[:                      [(A)]  licensed as an apprentice inspector   [before being licensed as a real estate inspector; or                      [(B)  licensed as a real estate inspector before   being licensed as a professional inspector].          (b)  Rules adopted under Subsection (a) may not require an   applicant to:                (1)  complete more than 320 additional hours of   qualifying [core] real estate inspection courses;                (2)  complete more than 40 hours of field work, if the   applicant completes correspondence or other course provided by   alternative means; or                (3)  have more than seven years of relevant experience.          SECTION 6.  Section 1102.113, Occupations Code, is amended   to read as follows:          Sec. 1102.113.  ELIGIBILITY AS SPONSOR. A professional   inspector may sponsor an apprentice inspector [or a real estate   inspector] only if the professional inspector provides sufficient   proof to the commission that the professional inspector has   completed at least 200 real estate inspections as a professional   inspector.          SECTION 7.  Section 1102.151(a), Occupations Code, is   amended to read as follows:          (a)  A license examination must evaluate competence in the   subject matter of each required qualifying [core] real estate   inspection course.          SECTION 8.  Section 1102.205(b), Occupations Code, is   amended to read as follows:          (b)  As a prerequisite for renewal of a [real estate   inspector license,] professional inspector license[,] or   apprentice inspector license, the inspector must participate in the   continuing education program and submit evidence satisfactory to   the commission of successful completion of at least 16 classroom   hours of qualifying [core] real estate inspection courses or   continuing education courses for each year of the license period   preceding the renewal.          SECTION 9.  Section 1102.251, Occupations Code, is amended   to read as follows:          Sec. 1102.251.  FEES. The commission shall charge and   collect reasonable and necessary fees to cover the cost of   administering this chapter for:                (1)  filing an original application for an apprentice   inspector license;                (2)  [filing an original application for a real estate   inspector license;                [(3)]  filing an original application for a   professional inspector license;                (3) [(4)]  renewal of an apprentice inspector license;                (4)  [(5)  renewal of a real estate inspector license;                [(6)]  renewal of a professional inspector license;                (5) [(7)]  a license examination;                (6) [(8)]  a request to change a place of business or to   replace a lost or destroyed license; and                (7) [(9)]  filing a request for issuance of a license   because of a change of name, return to active status, or change in   sponsoring professional inspector.          SECTION 10.  Section 1102.352(a), Occupations Code, is   amended to read as follows:          (a)  In addition to any other fees required by this chapter,   a person who submits an original application for a license under   this chapter [passes a license examination] must pay a fee not to   exceed $10 [$200]. The commission shall deposit the fee to the   credit of the fund before issuing the license.          SECTION 11.  Subchapter I, Chapter 1102, Occupations Code,   is amended by adding Section 1102.409 to read as follows:          Sec. 1102.409.  REAPPLICATION AFTER LICENSE REVOCATION,   DENIAL, OR SURRENDER. A person who has had the person's license   issued under this chapter revoked or application for a license   under this chapter denied after a hearing conducted under Section   1101.657 or who has surrendered the person's license issued under   this chapter to the commission may not reapply to the commission for   a license under this chapter before the second anniversary of the   date of the revocation, denial, or surrender.          SECTION 12.  The following provisions of the Occupations   Code are repealed:                (1)  Section 1102.001(10);                (2)  Section 1102.102;                (3)  Section 1102.108; and                (4)  Section 1102.110(a).          SECTION 13.  Section 1102.109, Occupations Code, as amended   by this Act, applies only to an application for a professional   inspector license submitted on or after September 1, 2021. An   application submitted before September 1, 2021, is governed by the   law in effect on the date the application was submitted, and the   former law is continued in effect for that purpose.          SECTION 14.  Section 1102.409, Occupations Code, as added by   this Act, applies only to a person who has the person's license   revoked or application for a license denied or who surrenders the   person's license on or after September 1, 2021. A revocation,   denial, or surrender that occurs before September 1, 2021, is   governed by the law in effect on the date of the revocation, denial,   or surrender, and the former law is continued in effect for that   purpose.          SECTION 15.  (a) Notwithstanding the repeal by this Act of   Section 1102.102, Occupations Code, a real estate inspector license   for which an application was submitted before September 1, 2021,   and that was issued under that former section before September 1,   2022, continues to be valid until the license expires and may be   renewed in accordance with the renewal requirements for that   license under Section 1102.203, Occupations Code, as those   requirements existed immediately before September 1, 2021, and the   former law is continued in effect for that purpose.          (b)  The changes in law made by this Act do not affect the   validity of a disciplinary action or other proceeding that was   initiated against a real estate inspector license holder before   September 1, 2021, and that is pending before a court or other   governmental entity on that date.          SECTION 16.  This Act takes effect September 1, 2021.