State of Illinois
2017 and 2018


Introduced 2/9/2017, by Sen. Chuck Weaver


225 ILCS 454/1-10
225 ILCS 454/5-10
225 ILCS 454/5-27
225 ILCS 454/5-50
225 ILCS 454/5-70
225 ILCS 454/5-75
225 ILCS 454/5-85
225 ILCS 454/25-10
225 ILCS 454/30-5
225 ILCS 454/30-15
225 ILCS 454/30-20
225 ILCS 454/30-10 rep.

    Amends the Real Estate License Act of 2000. Abolishes the Real Estate Education Advisory Council. Transfers functions of the Council to the Real Estate Administration and Disciplinary Board or the Department of Financial and Professional Regulation. Allows the Department to make continuing education requirements for licensed leasing agents without the advice of the Advisory Council and Board. Makes changes to the membership and terms of the Board. Allows the Secretary of the Department of Financial and Professional Regulation to establish temporary or permanent committees of the Board. Effective immediately.

LRB100 05772 SMS 15795 b






SB1531LRB100 05772 SMS 15795 b

1    AN ACT concerning regulation.
2    Be it enacted by the People of the State of Illinois,
3represented in the General Assembly:
4    Section 5. The Real Estate License Act of 2000 is amended
5by changing Sections 1-10, 5-10, 5-27, 5-50, 5-70, 5-75, 5-85,
625-10, 30-5, 30-15, and 30-20 as follows:
7    (225 ILCS 454/1-10)
8    (Section scheduled to be repealed on January 1, 2020)
9    Sec. 1-10. Definitions. In this Act, unless the context
10otherwise requires:
11    "Act" means the Real Estate License Act of 2000.
12    "Address of record" means the designated address recorded
13by the Department in the applicant's or licensee's application
14file or license file as maintained by the Department's
15licensure maintenance unit. It is the duty of the applicant or
16licensee to inform the Department of any change of address, and
17those changes must be made either through the Department's
18website or by contacting the Department.
19    "Advisory Council" means the Real Estate Education
20Advisory Council created under Section 30-10 of this Act.
21    "Agency" means a relationship in which a broker or
22licensee, whether directly or through an affiliated licensee,
23represents a consumer by the consumer's consent, whether



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1express or implied, in a real property transaction.
2    "Applicant" means any person, as defined in this Section,
3who applies to the Department for a valid license as a managing
4broker, broker, or leasing agent.
5    "Blind advertisement" means any real estate advertisement
6that does not include the sponsoring broker's business name and
7that is used by any licensee regarding the sale or lease of
8real estate, including his or her own, licensed activities, or
9the hiring of any licensee under this Act. The broker's
10business name in the case of a franchise shall include the
11franchise affiliation as well as the name of the individual
13    "Board" means the Real Estate Administration and
14Disciplinary Board of the Department as created by Section
1525-10 of this Act.
16    "Branch office" means a sponsoring broker's office other
17than the sponsoring broker's principal office.
18    "Broker" means an individual, partnership, limited
19liability company, corporation, or registered limited
20liability partnership other than a leasing agent who, whether
21in person or through any media or technology, for another and
22for compensation, or with the intention or expectation of
23receiving compensation, either directly or indirectly:
24        (1) Sells, exchanges, purchases, rents, or leases real
25    estate.
26        (2) Offers to sell, exchange, purchase, rent, or lease



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1    real estate.
2        (3) Negotiates, offers, attempts, or agrees to
3    negotiate the sale, exchange, purchase, rental, or leasing
4    of real estate.
5        (4) Lists, offers, attempts, or agrees to list real
6    estate for sale, rent, lease, or exchange.
7        (5) Buys, sells, offers to buy or sell, or otherwise
8    deals in options on real estate or improvements thereon.
9        (6) Supervises the collection, offer, attempt, or
10    agreement to collect rent for the use of real estate.
11        (7) Advertises or represents himself or herself as
12    being engaged in the business of buying, selling,
13    exchanging, renting, or leasing real estate.
14        (8) Assists or directs in procuring or referring of
15    leads or prospects, intended to result in the sale,
16    exchange, lease, or rental of real estate.
17        (9) Assists or directs in the negotiation of any
18    transaction intended to result in the sale, exchange,
19    lease, or rental of real estate.
20        (10) Opens real estate to the public for marketing
21    purposes.
22        (11) Sells, rents, leases, or offers for sale or lease
23    real estate at auction.
24        (12) Prepares or provides a broker price opinion or
25    comparative market analysis as those terms are defined in
26    this Act, pursuant to the provisions of Section 10-45 of



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1    this Act.
2    "Brokerage agreement" means a written or oral agreement
3between a sponsoring broker and a consumer for licensed
4activities to be provided to a consumer in return for
5compensation or the right to receive compensation from another.
6Brokerage agreements may constitute either a bilateral or a
7unilateral agreement between the broker and the broker's client
8depending upon the content of the brokerage agreement. All
9exclusive brokerage agreements shall be in writing.
10    "Broker price opinion" means an estimate or analysis of the
11probable selling price of a particular interest in real estate,
12which may provide a varying level of detail about the
13property's condition, market, and neighborhood and information
14on comparable sales. The activities of a real estate broker or
15managing broker engaging in the ordinary course of business as
16a broker, as defined in this Section, shall not be considered a
17broker price opinion if no compensation is paid to the broker
18or managing broker, other than compensation based upon the sale
19or rental of real estate.
20    "Client" means a person who is being represented by a
22    "Comparative market analysis" is an analysis or opinion
23regarding pricing, marketing, or financial aspects relating to
24a specified interest or interests in real estate that may be
25based upon an analysis of comparative market data, the
26expertise of the real estate broker or managing broker, and



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1such other factors as the broker or managing broker may deem
2appropriate in developing or preparing such analysis or
3opinion. The activities of a real estate broker or managing
4broker engaging in the ordinary course of business as a broker,
5as defined in this Section, shall not be considered a
6comparative market analysis if no compensation is paid to the
7broker or managing broker, other than compensation based upon
8the sale or rental of real estate.
9    "Compensation" means the valuable consideration given by
10one person or entity to another person or entity in exchange
11for the performance of some activity or service. Compensation
12shall include the transfer of valuable consideration,
13including without limitation the following:
14        (1) commissions;
15        (2) referral fees;
16        (3) bonuses;
17        (4) prizes;
18        (5) merchandise;
19        (6) finder fees;
20        (7) performance of services;
21        (8) coupons or gift certificates;
22        (9) discounts;
23        (10) rebates;
24        (11) a chance to win a raffle, drawing, lottery, or
25    similar game of chance not prohibited by any other law or
26    statute;



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1        (12) retainer fee; or
2        (13) salary.
3    "Confidential information" means information obtained by a
4licensee from a client during the term of a brokerage agreement
5that (i) was made confidential by the written request or
6written instruction of the client, (ii) deals with the
7negotiating position of the client, or (iii) is information the
8disclosure of which could materially harm the negotiating
9position of the client, unless at any time:
10        (1) the client permits the disclosure of information
11    given by that client by word or conduct;
12        (2) the disclosure is required by law; or
13        (3) the information becomes public from a source other
14    than the licensee.
15    "Confidential information" shall not be considered to
16include material information about the physical condition of
17the property.
18    "Consumer" means a person or entity seeking or receiving
19licensed activities.
20    "Continuing education school" means any person licensed by
21the Department as a school for continuing education in
22accordance with Section 30-15 of this Act.
23    "Coordinator" means the Coordinator of Real Estate created
24in Section 25-15 of this Act.
25    "Credit hour" means 50 minutes of classroom instruction in
26course work that meets the requirements set forth in rules



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1adopted by the Department.
2    "Customer" means a consumer who is not being represented by
3the licensee but for whom the licensee is performing
4ministerial acts.
5    "Department" means the Department of Financial and
6Professional Regulation.
7    "Designated agency" means a contractual relationship
8between a sponsoring broker and a client under Section 15-50 of
9this Act in which one or more licensees associated with or
10employed by the broker are designated as agent of the client.
11    "Designated agent" means a sponsored licensee named by a
12sponsoring broker as the legal agent of a client, as provided
13for in Section 15-50 of this Act.
14    "Dual agency" means an agency relationship in which a
15licensee is representing both buyer and seller or both landlord
16and tenant in the same transaction. When the agency
17relationship is a designated agency, the question of whether
18there is a dual agency shall be determined by the agency
19relationships of the designated agent of the parties and not of
20the sponsoring broker.
21    "Employee" or other derivative of the word "employee", when
22used to refer to, describe, or delineate the relationship
23between a sponsoring broker and a managing broker, broker, or a
24leasing agent, shall be construed to include an independent
25contractor relationship, provided that a written agreement
26exists that clearly establishes and states the relationship.



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1All responsibilities of a broker shall remain.
2    "Escrow moneys" means all moneys, promissory notes or any
3other type or manner of legal tender or financial consideration
4deposited with any person for the benefit of the parties to the
5transaction. A transaction exists once an agreement has been
6reached and an accepted real estate contract signed or lease
7agreed to by the parties. Escrow moneys includes without
8limitation earnest moneys and security deposits, except those
9security deposits in which the person holding the security
10deposit is also the sole owner of the property being leased and
11for which the security deposit is being held.
12    "Electronic means of proctoring" means a methodology
13providing assurance that the person taking a test and
14completing the answers to questions is the person seeking
15licensure or credit for continuing education and is doing so
16without the aid of a third party or other device.
17    "Exclusive brokerage agreement" means a written brokerage
18agreement that provides that the sponsoring broker has the sole
19right, through one or more sponsored licensees, to act as the
20exclusive designated agent or representative of the client and
21that meets the requirements of Section 15-75 of this Act.
22    "Inoperative" means a status of licensure where the
23licensee holds a current license under this Act, but the
24licensee is prohibited from engaging in licensed activities
25because the licensee is unsponsored or the license of the
26sponsoring broker with whom the licensee is associated or by



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1whom he or she is employed is currently expired, revoked,
2suspended, or otherwise rendered invalid under this Act.
3    "Interactive delivery method" means delivery of a course by
4an instructor through a medium allowing for 2-way communication
5between the instructor and a student in which either can
6initiate or respond to questions.
7    "Leads" means the name or names of a potential buyer,
8seller, lessor, lessee, or client of a licensee.
9    "Leasing Agent" means a person who is employed by a broker
10to engage in licensed activities limited to leasing residential
11real estate who has obtained a license as provided for in
12Section 5-5 of this Act.
13    "License" means the document issued by the Department
14certifying that the person named thereon has fulfilled all
15requirements prerequisite to licensure under this Act.
16    "Licensed activities" means those activities listed in the
17definition of "broker" under this Section.
18    "Licensee" means any person, as defined in this Section,
19who holds a valid unexpired license as a managing broker,
20broker, or leasing agent.
21    "Listing presentation" means a communication between a
22managing broker or broker and a consumer in which the licensee
23is attempting to secure a brokerage agreement with the consumer
24to market the consumer's real estate for sale or lease.
25    "Managing broker" means a broker who has supervisory
26responsibilities for licensees in one or, in the case of a



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1multi-office company, more than one office and who has been
2appointed as such by the sponsoring broker.
3    "Medium of advertising" means any method of communication
4intended to influence the general public to use or purchase a
5particular good or service or real estate.
6    "Ministerial acts" means those acts that a licensee may
7perform for a consumer that are informative or clerical in
8nature and do not rise to the level of active representation on
9behalf of a consumer. Examples of these acts include without
10limitation (i) responding to phone inquiries by consumers as to
11the availability and pricing of brokerage services, (ii)
12responding to phone inquiries from a consumer concerning the
13price or location of property, (iii) attending an open house
14and responding to questions about the property from a consumer,
15(iv) setting an appointment to view property, (v) responding to
16questions of consumers walking into a licensee's office
17concerning brokerage services offered or particular
18properties, (vi) accompanying an appraiser, inspector,
19contractor, or similar third party on a visit to a property,
20(vii) describing a property or the property's condition in
21response to a consumer's inquiry, (viii) completing business or
22factual information for a consumer on an offer or contract to
23purchase on behalf of a client, (ix) showing a client through a
24property being sold by an owner on his or her own behalf, or
25(x) referral to another broker or service provider.
26    "Office" means a broker's place of business where the



SB1531- 11 -LRB100 05772 SMS 15795 b

1general public is invited to transact business and where
2records may be maintained and licenses displayed, whether or
3not it is the broker's principal place of business.
4    "Person" means and includes individuals, entities,
5corporations, limited liability companies, registered limited
6liability partnerships, and partnerships, foreign or domestic,
7except that when the context otherwise requires, the term may
8refer to a single individual or other described entity.
9    "Personal assistant" means a licensed or unlicensed person
10who has been hired for the purpose of aiding or assisting a
11sponsored licensee in the performance of the sponsored
12licensee's job.
13    "Pocket card" means the card issued by the Department to
14signify that the person named on the card is currently licensed
15under this Act.
16    "Pre-license school" means a school licensed by the
17Department offering courses in subjects related to real estate
18transactions, including the subjects upon which an applicant is
19examined in determining fitness to receive a license.
20    "Pre-renewal period" means the period between the date of
21issue of a currently valid license and the license's expiration
23    "Proctor" means any person, including, but not limited to,
24an instructor, who has a written agreement to administer
25examinations fairly and impartially with a licensed
26pre-license school or a licensed continuing education school.



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1    "Real estate" means and includes leaseholds as well as any
2other interest or estate in land, whether corporeal,
3incorporeal, freehold, or non-freehold, including timeshare
4interests, and whether the real estate is situated in this
5State or elsewhere.
6    "Regular employee" means a person working an average of 20
7hours per week for a person or entity who would be considered
8as an employee under the Internal Revenue Service eleven main
9tests in three categories being behavioral control, financial
10control and the type of relationship of the parties, formerly
11the twenty factor test.
12    "Secretary" means the Secretary of the Department of
13Financial and Professional Regulation, or a person authorized
14by the Secretary to act in the Secretary's stead.
15    "Sponsoring broker" means the broker who has issued a
16sponsor card to a licensed managing broker, broker, or a
17leasing agent.
18    "Sponsor card" means the temporary permit issued by the
19sponsoring broker certifying that the managing broker, broker,
20or leasing agent named thereon is employed by or associated by
21written agreement with the sponsoring broker, as provided for
22in Section 5-40 of this Act.
23(Source: P.A. 98-531, eff. 8-23-13; 98-1109, eff. 1-1-15;
2499-227, eff. 8-3-15.)
25    (225 ILCS 454/5-10)



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1    (Section scheduled to be repealed on January 1, 2020)
2    Sec. 5-10. Requirements for license as leasing agent.
3    (a) Every applicant for licensure as a leasing agent must
4meet the following qualifications:
5        (1) be at least 18 years of age;
6        (2) be of good moral character;
7        (3) successfully complete a 4-year course of study in a
8    high school or secondary school or an equivalent course of
9    study approved by the Illinois State Board of Education;
10        (4) personally take and pass a written examination
11    authorized by the Department sufficient to demonstrate the
12    applicant's knowledge of the provisions of this Act
13    relating to leasing agents and the applicant's competence
14    to engage in the activities of a licensed leasing agent;
15        (5) provide satisfactory evidence of having completed
16    15 hours of instruction in an approved course of study
17    relating to the leasing of residential real property. The
18    course of study shall, among other topics, cover the
19    provisions of this Act applicable to leasing agents; fair
20    housing issues relating to residential leasing;
21    advertising and marketing issues; leases, applications,
22    and credit reports; owner-tenant relationships and
23    owner-tenant laws; the handling of funds; and
24    environmental issues relating to residential real
25    property;
26        (6) complete any other requirements as set forth by



SB1531- 14 -LRB100 05772 SMS 15795 b

1    rule; and
2        (7) present a valid application for issuance of an
3    initial license accompanied by a sponsor card and the fees
4    specified by rule.
5    (b) No applicant shall engage in any of the activities
6covered by this Act until a valid sponsor card has been issued
7to such applicant. The sponsor card shall be valid for a
8maximum period of 45 days after the date of issuance unless
9extended for good cause as provided by rule.
10    (c) Successfully completed course work, completed pursuant
11to the requirements of this Section, may be applied to the
12course work requirements to obtain a managing broker's or
13broker's license as provided by rule. The Board Advisory
14Council may recommend through the Board to the Department and
15the Department may adopt requirements for approved courses,
16course content, and the approval of courses, instructors, and
17schools, as well as school and instructor fees. The Department
18may establish continuing education requirements for licensed
19leasing agents, by rule, with the advice of the Advisory
20Council and Board.
21(Source: P.A. 99-227, eff. 8-3-15.)
22    (225 ILCS 454/5-27)
23    (Section scheduled to be repealed on January 1, 2020)
24    Sec. 5-27. Requirements for licensure as a broker.
25    (a) Every applicant for licensure as a broker must meet the



SB1531- 15 -LRB100 05772 SMS 15795 b

1following qualifications:
2        (1) Be at least 21 years of age. After April 30, 2011,
3    the minimum age of 21 years shall be waived for any person
4    seeking a license as a broker who has attained the age of
5    18 and can provide evidence of the successful completion of
6    at least 4 semesters of post-secondary school study as a
7    full-time student or the equivalent, with major emphasis on
8    real estate courses, in a school approved by the
9    Department;
10        (2) Be of good moral character;
11        (3) Successfully complete a 4-year course of study in a
12    high school or secondary school approved by the Illinois
13    State Board of Education or an equivalent course of study
14    as determined by an examination conducted by the Illinois
15    State Board of Education which shall be verified under oath
16    by the applicant;
17        (4) (Blank);
18        (5) Provide After April 30, 2011, provide satisfactory
19    evidence of having completed 90 hours of instruction in
20    real estate courses approved by the Department Advisory
21    Council, 15 hours of which must consist of situational and
22    case studies presented in the classroom or by other
23    interactive delivery method between the instructor and the
24    students;
25        (6) Personally take and pass a written examination
26    authorized by the Department;



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1        (7) Present a valid application for issuance of a
2    license accompanied by a sponsor card and the fees
3    specified by rule.
4    (b) The requirements specified in items (3) and (5) of
5subsection (a) of this Section do not apply to applicants who
6are currently admitted to practice law by the Supreme Court of
7Illinois and are currently in active standing.
8    (c) No applicant shall engage in any of the activities
9covered by this Act until a valid sponsor card has been issued
10to such applicant. The sponsor card shall be valid for a
11maximum period of 45 days after the date of issuance unless
12extended for good cause as provided by rule.
13    (d) All licenses should be readily available to the public
14at their place of business.
15    (e) An individual holding an active license as a managing
16broker may return the license to the Department along with a
17form provided by the Department and shall be issued a broker's
18license in exchange. Any individual obtaining a broker's
19license under this subsection (e) shall be considered as having
20obtained a broker's license by education and passing the
21required test and shall be treated as such in determining
22compliance with this Act.
23(Source: P.A. 98-531, eff. 8-23-13; 98-1109, eff. 1-1-15;
2499-227, eff. 8-3-15.)
25    (225 ILCS 454/5-50)



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1    (Section scheduled to be repealed on January 1, 2020)
2    Sec. 5-50. Expiration and renewal of managing broker,
3broker, or leasing agent license; sponsoring broker; register
4of licensees; pocket card.
5    (a) The expiration date and renewal period for each license
6issued under this Act shall be set by rule. Except as otherwise
7provided in this Section, the holder of a license may renew the
8license within 90 days preceding the expiration date thereof by
9completing the continuing education required by this Act and
10paying the fees specified by rule.
11    (b) An individual whose first license is that of a broker
12received after April 30, 2011, must provide evidence of having
13completed 30 hours of post-license education in courses
14approved by the Department Advisory Council, 15 hours of which
15must consist of situational and case studies presented in the
16classroom or by other interactive delivery method between the
17instructor and the students, and personally take and pass an
18examination approved by the Department prior to the first
19renewal of their broker's license.
20    (c) Any managing broker, broker, or leasing agent whose
21license under this Act has expired shall be eligible to renew
22the license during the 2-year period following the expiration
23date, provided the managing broker, broker, or leasing agent
24pays the fees as prescribed by rule and completes continuing
25education and other requirements provided for by the Act or by
26rule. Beginning on May 1, 2012, a managing broker licensee,



SB1531- 18 -LRB100 05772 SMS 15795 b

1broker, or leasing agent whose license has been expired for
2more than 2 years but less than 5 years may have it restored by
3(i) applying to the Department, (ii) paying the required fee,
4(iii) completing the continuing education requirements for the
5most recent pre-renewal period that ended prior to the date of
6the application for reinstatement, and (iv) filing acceptable
7proof of fitness to have his or her license restored, as set by
8rule. A managing broker, broker, or leasing agent whose license
9has been expired for more than 5 years shall be required to
10meet the requirements for a new license.
11    (d) Notwithstanding any other provisions of this Act to the
12contrary, any managing broker, broker, or leasing agent whose
13license expired while he or she was (i) on active duty with the
14Armed Forces of the United States or called into service or
15training by the state militia, (ii) engaged in training or
16education under the supervision of the United States
17preliminary to induction into military service, or (iii)
18serving as the Coordinator of Real Estate in the State of
19Illinois or as an employee of the Department may have his or
20her license renewed, reinstated or restored without paying any
21lapsed renewal fees if within 2 years after the termination of
22the service, training or education by furnishing the Department
23with satisfactory evidence of service, training, or education
24and it has been terminated under honorable conditions.
25     (e) The Department shall establish and maintain a register
26of all persons currently licensed by the State and shall issue



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1and prescribe a form of pocket card. Upon payment by a licensee
2of the appropriate fee as prescribed by rule for engagement in
3the activity for which the licensee is qualified and holds a
4license for the current period, the Department shall issue a
5pocket card to the licensee. The pocket card shall be
6verification that the required fee for the current period has
7been paid and shall indicate that the person named thereon is
8licensed for the current renewal period as a managing broker,
9broker, or leasing agent as the case may be. The pocket card
10shall further indicate that the person named thereon is
11authorized by the Department to engage in the licensed activity
12appropriate for his or her status (managing broker, broker, or
13leasing agent). Each licensee shall carry on his or her person
14his or her pocket card or, if such pocket card has not yet been
15issued, a properly issued sponsor card when engaging in any
16licensed activity and shall display the same on demand.
17    (f) The Department shall provide to the sponsoring broker a
18notice of renewal for all sponsored licensees by mailing the
19notice to the sponsoring broker's address of record, or, at the
20Department's discretion, by an electronic means as provided for
21by rule.
22    (g) Upon request from the sponsoring broker, the Department
23shall make available to the sponsoring broker, either by mail
24or by an electronic means at the discretion of the Department,
25a listing of licensees under this Act who, according to the
26records of the Department, are sponsored by that broker. Every



SB1531- 20 -LRB100 05772 SMS 15795 b

1licensee associated with or employed by a broker whose license
2is revoked, suspended, terminated, or expired shall be
3considered as inoperative until such time as the sponsoring
4broker's license is reinstated or renewed, or the licensee
5changes employment as set forth in subsection (c) of Section
65-40 of this Act.
7(Source: P.A. 98-531, eff. 8-23-13; 99-227, eff. 8-3-15.)
8    (225 ILCS 454/5-70)
9    (Section scheduled to be repealed on January 1, 2020)
10    Sec. 5-70. Continuing education requirement; managing
11broker or broker.
12    (a) The requirements of this Section apply to all managing
13brokers and brokers.
14    (b) Except as otherwise provided in this Section, each
15person who applies for renewal of his or her license as a
16managing broker or broker must successfully complete 6 hours of
17real estate continuing education courses approved by the
18Department Advisory Council for each year of the pre-renewal
19period. In addition, beginning with the pre-renewal period for
20managing broker licensees that begins after the effective date
21of this Act, those licensees renewing or obtaining a managing
22broker's license must successfully complete a 12-hour broker
23management continuing education course approved by the
24Department each pre-renewal period. The broker management
25continuing education course must be completed in the classroom



SB1531- 21 -LRB100 05772 SMS 15795 b

1or by other interactive delivery method between the instructor
2and the students. Successful completion of the course shall
3include achieving a passing score as provided by rule on a test
4developed and administered in accordance with rules adopted by
5the Department. No license may be renewed except upon the
6successful completion of the required courses or their
7equivalent or upon a waiver of those requirements for good
8cause shown as determined by the Secretary with the
9recommendation of the Advisory Council. The requirements of
10this Article are applicable to all managing brokers and brokers
11except those managing brokers and brokers who, during the
12pre-renewal period:
13        (1) serve in the armed services of the United States;
14        (2) serve as an elected State or federal official;
15        (3) serve as a full-time employee of the Department; or
16        (4) are admitted to practice law pursuant to Illinois
17    Supreme Court rule.
18    (c) (Blank).
19    (d) A person receiving an initial license during the 90
20days before the renewal date shall not be required to complete
21the continuing education courses provided for in subsection (b)
22of this Section as a condition of initial license renewal.
23    (e) The continuing education requirement for brokers and
24managing brokers shall consist of a core curriculum and an
25elective curriculum, to be established by the Department
26Advisory Council. In meeting the continuing education



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1requirements of this Act, at least 3 hours per year or their
2equivalent, 6 hours for each two-year pre-renewal period, shall
3be required to be completed in the core curriculum. In
4establishing the core curriculum, the Department Advisory
5Council shall consider subjects that will educate licensees on
6recent changes in applicable laws and new laws and refresh the
7licensee on areas of the license law and policy that the
8Department policy that the Advisory Council deems appropriate,
9and any other areas that the Department Advisory Council deems
10timely and applicable in order to prevent violations of this
11Act and to protect the public. In establishing the elective
12curriculum, the Department Advisory Council shall consider
13subjects that cover the various aspects of the practice of real
14estate that are covered under the scope of this Act. However,
15the elective curriculum shall not include any offerings
16referred to in Section 5-85 of this Act.
17    (f) The subject areas of continuing education courses
18approved by the Department Advisory Council may include without
19limitation the following:
20        (1) license law and escrow;
21        (2) antitrust;
22        (3) fair housing;
23        (4) agency;
24        (5) appraisal;
25        (6) property management;
26        (7) residential brokerage;



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1        (8) farm property management;
2        (9) rights and duties of sellers, buyers, and brokers;
3        (10) commercial brokerage and leasing; and
4        (11) real estate financing.
5    (g) In lieu of credit for those courses listed in
6subsection (f) of this Section, credit may be earned for
7serving as a licensed instructor in an approved course of
8continuing education. The amount of credit earned for teaching
9a course shall be the amount of continuing education credit for
10which the course is approved for licensees taking the course.
11    (h) Credit hours may be earned for self-study programs
12approved by the Department Advisory Council.
13    (i) A managing broker or broker may earn credit for a
14specific continuing education course only once during the
15prerenewal period.
16    (j) No more than 6 hours of continuing education credit may
17be taken in one calendar day.
18    (k) To promote the offering of a uniform and consistent
19course content, the Department may provide for the development
20of a single broker management course to be offered by all
21continuing education providers who choose to offer the broker
22management continuing education course. The Department may
23contract for the development of the 12-hour broker management
24continuing education course with an outside vendor or
25consultant and, if the course is developed in this manner, the
26Department or the outside consultant shall license the use of



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1that course to all approved continuing education providers who
2wish to provide the course.
3    (l) Except as specifically provided in this Act, continuing
4education credit hours may not be earned for completion of pre
5or post-license courses. The approved 30-hour post-license
6course for broker licensees shall satisfy the continuing
7education requirement for the pre-renewal period in which the
8course is taken. The approved 45-hour brokerage administration
9and management course shall satisfy the 12-hour broker
10management continuing education requirement for the
11pre-renewal period in which the course is taken.
12(Source: P.A. 98-531, eff. 8-23-13; 99-227, eff. 8-3-15;
1399-728, eff. 1-1-17.)
14    (225 ILCS 454/5-75)
15    (Section scheduled to be repealed on January 1, 2020)
16    Sec. 5-75. Out-of-state continuing education credit. If a
17renewal applicant has earned continuing education hours in
18another state or territory for which he or she is claiming
19credit toward full compliance in Illinois, the Department
20Advisory Council shall review, approve, or disapprove those
21hours based upon whether the course is one that would be
22approved under Section 5-70 of this Act, whether the course
23meets the basic requirements for continuing education under
24this Act, and any other criteria that is provided by statute or



SB1531- 25 -LRB100 05772 SMS 15795 b

1(Source: P.A. 91-245, eff. 12-31-99.)
2    (225 ILCS 454/5-85)
3    (Section scheduled to be repealed on January 1, 2020)
4    Sec. 5-85. Offerings not meeting continuing education
5requirements. The following offerings do not meet the
6continuing education requirements:
7        (1) Examination preparation offerings, except as
8    provided in Section 5-70 of this Act.
9        (2) Offerings in mechanical office and business skills
10    such as typing, speed reading, memory improvement,
11    advertising, or psychology of sales.
12        (3) Sales promotion or other meetings held in
13    conjunction with the general business of the attendee or
14    his or her employer.
15        (4) Meetings that are a normal part of in-house staff
16    or employee training.
17    The offerings listed in this Section do not limit the
18Department's Advisory Council's authority to disapprove any
19course that fails to meet the standards of this Article 5 or
20rules adopted by the Department.
21(Source: P.A. 96-856, eff. 12-31-09.)
22    (225 ILCS 454/25-10)
23    (Section scheduled to be repealed on January 1, 2020)
24    Sec. 25-10. Real Estate Administration and Disciplinary



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1Board; duties. There is created the Real Estate Administration
2and Disciplinary Board. The Board shall be composed of 14 9
3persons appointed by the Governor. Members shall be appointed
4to the Board subject to the following conditions:
5        (1) All members shall have been residents and citizens
6    of this State for at least 6 years prior to the date of
7    appointment.
8        (2) Eight Six members shall have been actively engaged
9    as managing brokers or brokers or both for at least the 10
10    years prior to the appointment.
11        (3) Three members of the Board shall be public members
12    who represent consumer interests.
13        (4) One member shall be a representative of a licensed
14    real estate education provider.
15        (5) One member shall be a representative of an Illinois
16    real estate trade organization.
17        (6) One member shall be a representative of an
18    institution of higher education that offers pre-license
19    and continuing education courses.
20    None of these members shall be (i) a person who is licensed
21under this Act or a similar Act of another jurisdiction, (ii)
22the spouse or family member of a licensee, (iii) a person who
23has an ownership interest in a real estate brokerage business,
24or (iv) a person the Department determines to have any other
25connection with a real estate brokerage business or a licensee.
26    The members' terms shall be 4 years or until their



SB1531- 27 -LRB100 05772 SMS 15795 b

1successor is appointed, and the expiration of their terms shall
2be staggered. No member shall be reappointed to the Board for a
3term that would cause his or her cumulative service to the
4Board to exceed 12 years. Appointments to fill vacancies shall
5be for the unexpired portion of the term. The membership of the
6Board should reasonably reflect the geographic distribution of
7the licensee population in this State. In making the
8appointments, the Governor shall give due consideration to the
9recommendations by members and organizations of the
10profession. The Governor may terminate the appointment of any
11member for cause that in the opinion of the Governor reasonably
12justifies the termination. Cause for termination shall include
13without limitation misconduct, incapacity, neglect of duty, or
14missing 4 board meetings during any one calendar year. Each
15member of the Board may receive a per diem stipend in an amount
16to be determined by the Secretary. Each member shall be paid
17his or her necessary expenses while engaged in the performance
18of his or her duties. Such compensation and expenses shall be
19paid out of the Real Estate License Administration Fund. The
20Secretary shall consider the recommendations of the Board on
21questions involving standards of professional conduct,
22discipline, and examination of candidates under this Act. The
23Secretary may establish temporary or permanent committees of
24the Board and may consider the recommendations of the Board on
25questions involving criteria for the licensing and renewal of
26pre-license schools, pre-license instructors, continuing



SB1531- 28 -LRB100 05772 SMS 15795 b

1education schools, and continuing education instructors;
2pre-license school and continuing education curricula;
3standards of educational criteria; and qualifications for
4licensure and renewal of professions, schools, courses and
5instructors. The Department, after notifying and considering
6the recommendations of the Board, if any, may issue rules,
7consistent with the provisions of this Act, for the
8administration and enforcement thereof and may prescribe forms
9that shall be used in connection therewith. Eight Five Board
10members shall constitute a quorum. A quorum is required for all
11Board decisions. The Department is authorized to adopt any rule
12that may be necessary for the implementation of this Section.
13(Source: P.A. 98-1109, eff. 1-1-15; 99-227, eff. 8-3-15.)
14    (225 ILCS 454/30-5)
15    (Section scheduled to be repealed on January 1, 2020)
16    Sec. 30-5. Licensing of pre-license schools, school
17branches, and instructors.
18    (a) No person shall operate a pre-license school or school
19branch without possessing a valid pre-license school or school
20branch license issued by the Department. No person shall act as
21a pre-license instructor at a pre-license school or school
22branch without possessing a valid pre-license instructor
23license issued by the Department. Every person who desires to
24obtain a pre-license school, school branch, or pre-license
25instructor license shall make application to the Department in



SB1531- 29 -LRB100 05772 SMS 15795 b

1writing in form and substance satisfactory to the Department
2and pay the required fees prescribed by rule. In addition to
3any other information required to be contained in the
4application, every application for an original license shall
5include the applicant's Social Security number, which shall be
6retained in the agency's records pertaining to the license. As
7soon as practical, the Department shall assign a customer's
8identification number to each applicant for a license.
9    Every application for a renewal or restored license shall
10require the applicant's customer identification number.
11    The Department shall issue a pre-license school, school
12branch, or pre-license instructor license to applicants who
13meet qualification criteria established by rule. The
14Department may refuse to issue, suspend, revoke, or otherwise
15discipline a pre-license school, school branch, or pre-license
16instructor license or may withdraw approval of a course offered
17by a pre-license school for good cause. Disciplinary
18proceedings shall be conducted by the Board in the same manner
19as other disciplinary proceedings under this Act.
20    (b) All pre-license instructors must teach at least one
21course within the period of licensure or take an instructor
22training program approved by the Department in lieu thereof. A
23pre-license instructor may teach at more than one licensed
24pre-license school.
25    (c) The term of license for pre-license schools, branches,
26and instructors shall be 2 years as established by rule.



SB1531- 30 -LRB100 05772 SMS 15795 b

1    (d) The Department or the Advisory Council may, after
2notice, cause a pre-license school or instructor to attend an
3informal conference before the Board Advisory Council for
4failure to comply with any requirement for licensure or for
5failure to comply with any provision of this Act or the rules
6for the administration of this Act. The Board Advisory Council
7shall make a recommendation to the Department Board as a result
8of its findings at the conclusion of any such informal
10    (e) For purposes of this Section, the term "pre-license"
11shall also include the 30-hour post-license course required to
12be taken to retain a broker's license.
13(Source: P.A. 96-856, eff. 12-31-09; 97-400, eff. 1-1-12.)
14    (225 ILCS 454/30-15)
15    (Section scheduled to be repealed on January 1, 2020)
16    Sec. 30-15. Licensing of continuing education schools;
17approval of courses.
18    (a) Only continuing education schools in possession of a
19valid continuing education school license may provide real
20estate continuing education courses that will satisfy the
21requirements of this Act. Pre-license schools licensed to offer
22pre-license education courses for brokers, managing brokers,
23or leasing agents shall qualify for a continuing education
24school license upon completion of an application and the
25submission of the required fee. Every entity that desires to



SB1531- 31 -LRB100 05772 SMS 15795 b

1obtain a continuing education school license shall make
2application to the Department in writing in forms prescribed by
3the Department and pay the fee prescribed by rule. In addition
4to any other information required to be contained in the
5application, every application for an original or renewed
6license shall include the applicant's Social Security number.
7    (b) The criteria for a continuing education license shall
8include the following:
9        (1) A sound financial base for establishing,
10    promoting, and delivering the necessary courses. Budget
11    planning for the School's courses should be clearly
12    projected.
13        (2) A sufficient number of qualified, licensed
14    instructors as provided by rule.
15        (3) Adequate support personnel to assist with
16    administrative matters and technical assistance.
17        (4) Maintenance and availability of records of
18    participation for licensees.
19        (5) The ability to provide each participant who
20    successfully completes an approved program with a
21    certificate of completion signed by the administrator of a
22    licensed continuing education school on forms provided by
23    the Department.
24        (6) The continuing education school must have a written
25    policy dealing with procedures for the management of
26    grievances and fee refunds.



SB1531- 32 -LRB100 05772 SMS 15795 b

1        (7) The continuing education school shall maintain
2    lesson plans and examinations for each course.
3        (8) The continuing education school shall require a 70%
4    passing grade for successful completion of any continuing
5    education course.
6        (9) The continuing education school shall identify and
7    use instructors who will teach in a planned program.
8    Suggested criteria for instructor selections include:
9            (A) appropriate credentials;
10            (B) competence as a teacher;
11            (C) knowledge of content area; and
12            (D) qualification by experience.
13        (10) The continuing education school shall provide a
14    proctor or an electronic means of proctoring for each
15    examination. The continuing education school shall be
16    responsible for the conduct of the proctor. The duties and
17    responsibilities of a proctor shall be established by rule.
18        (11) The continuing education school must provide for
19    closed book examinations for each course unless the
20    Department Advisory Council excuses this requirement based
21    on the complexity of the course material.
22    (c) Advertising and promotion of continuing education
23activities must be carried out in a responsible fashion,
24clearly showing the educational objectives of the activity, the
25nature of the audience that may benefit from the activity, the
26cost of the activity to the participant and the items covered



SB1531- 33 -LRB100 05772 SMS 15795 b

1by the cost, the amount of credit that can be earned, and the
2credentials of the faculty.
3    (d) The Department may or upon request of the Advisory
4Council shall, after notice, cause a continuing education
5school or instructor to attend an informal conference before
6the Board Advisory Council for failure to comply with any
7requirement for licensure or for failure to comply with any
8provision of this Act or the rules for the administration of
9this Act. The Board Advisory Council shall make a
10recommendation to the Department Board as a result of its
11findings at the conclusion of any such informal conference.
12    (e) All continuing education schools shall maintain these
13minimum criteria and pay the required fee in order to retain
14their continuing education school license.
15    (f) All continuing education schools shall submit, at the
16time of initial application and with each license renewal, a
17list of courses with course materials to be offered by the
18continuing education school. The Department, however, shall
19establish a mechanism whereby continuing education schools may
20apply for and obtain approval for continuing education courses
21that are submitted after the time of initial application or
22renewal. The Department shall provide to each continuing
23education school a certificate for each approved continuing
24education course. All continuing education courses shall be
25valid for the period coinciding with the term of license of the
26continuing education school. All continuing education schools



SB1531- 34 -LRB100 05772 SMS 15795 b

1shall provide a copy of the certificate of the continuing
2education course within the course materials given to each
3student or shall display a copy of the certificate of the
4continuing education course in a conspicuous place at the
5location of the class.
6    (g) Each continuing education school shall provide to the
7Department a monthly report in a format determined by the
8Department, with information concerning students who
9successfully completed all approved continuing education
10courses offered by the continuing education school for the
11prior month.
12    (h) The Department, upon the recommendation of the Board
13Advisory Council, may temporarily suspend a licensed
14continuing education school's approved courses without hearing
15and refuse to accept successful completion of or participation
16in any of these continuing education courses for continuing
17education credit from that school upon the failure of that
18continuing education school to comply with the provisions of
19this Act or the rules for the administration of this Act, until
20such time as the Department receives satisfactory assurance of
21compliance. The Department shall notify the continuing
22education school of the noncompliance and may initiate
23disciplinary proceedings pursuant to this Act. The Department
24may refuse to issue, suspend, revoke, or otherwise discipline
25the license of a continuing education school or may withdraw
26approval of a continuing education course for good cause.



SB1531- 35 -LRB100 05772 SMS 15795 b

1Failure to comply with the requirements of this Section or any
2other requirements established by rule shall be deemed to be
3good cause. Disciplinary proceedings shall be conducted by the
4Board in the same manner as other disciplinary proceedings
5under this Act.
6(Source: P.A. 99-227, eff. 8-3-15.)
7    (225 ILCS 454/30-20)
8    (Section scheduled to be repealed on January 1, 2020)
9    Sec. 30-20. Fees for continuing education school license;
10renewal; term. All applications for a continuing education
11school license shall be accompanied by a nonrefundable
12application fee in an amount established by rule. All
13continuing education schools shall be required to submit a
14renewal application, the required fee as established by rule,
15and a listing of the courses to be offered during the year to
16renew their continuing education school licenses. The term for
17a continuing education school license shall be 2 years and as
18established by rule. The fees collected under this Article 30
19shall be deposited in the Real Estate License Administration
20Fund and shall be used to defray the cost of administration of
21the program and per diem of the Board Advisory Council as
22determined by the Secretary.
23(Source: P.A. 96-856, eff. 12-31-09.)
24    (225 ILCS 454/30-10 rep.)



SB1531- 36 -LRB100 05772 SMS 15795 b

1    Section 10. The Real Estate License Act of 2000 is amended
2by repealing Section 30-10.
3    Section 99. Effective date. This Act takes effect upon
4becoming law.