REQUIRES TWO-THIRDS MAJORITY VOTE (§ 10)
A.B. 327
- *AB327*
ASSEMBLY BILL NO. 327–ASSEMBLYWOMAN CONSIDINE
MARCH 17, 2023
____________
Referred to Committee on Commerce and Labor
SUMMARY—Revises provisions governing real property.
(BDR 54-139)
FISCAL NOTE: Effect on Local Government: No.
Effect on the State: Yes.
~
EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.
AN ACT relating to real property; providing for the permitting and
regulation of landlord property managers by the Real
Estate Division of the Department of Business and
Industry; setting forth requirements for a landlord
property manager to obtain a permit to engage in property
management; providing a penalty; and providing other
matters properly relating thereto.
Legislative Counsel’s Digest:
Existing law provides for the licensure and regulation of real estate brokers,
1
real estate broker-salespersons and real estate salespersons and for the permitting
2
and regulation of property managers by the Real Estate Division of the Department
3
of Business and Industry. (Chapter 645 of NRS) With certain exceptions, existing
4
law prohibits a person from acting as a property manager in this State unless the
5
person has obtained from the Division a license as a real estate broker, real estate
6
broker-salesperson or real estate salesperson and a permit to engage in property
7
management. (NRS 645.230)
8
Existing law defines “property management” to mean, in general, the physical,
9
administrative or financial maintenance and management of real property for
10
valuable consideration pursuant to a property management agreement. (NRS
11
645.019) Section 6 of this bill revises that definition to include the performance of
12
such activities when engaged in by a person in the regular course of providing four
13
or more dwelling units located on real property owned by the person for occupancy
14
by others. Section 3 of this bill designates a person who provides four or more
15
dwelling units located on real property owned by the person for occupancy by
16
others and who engages in property management with respect to those properties as
17
a “landlord property manager.” Section 8 of this bill prohibits a person from acting
18
as a landlord property manager unless the person has obtained from the Division a
19
permit to engage in property management.
20
Existing law authorizes only a person who is licensed as a real estate broker,
21
real estate broker-salesperson or real estate salesperson to apply for and be issued a
22
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permit to engage in property management. (NRS 645.6052) Section 10 of this bill
23
authorizes a person who provides four or more dwelling units located on real
24
property owned by the person for occupancy by others to apply for and be issued a
25
permit to engage in property management. Section 10 requires such a person who
26
wishes to obtain a permit to engage in property management to file and maintain a
27
surety bond and meet certain other requirements.
28
Under existing law, an owner or lessor of property who engages in property
29
management or conducts certain activities with respect to the property in the
30
regular course of or as an incident to the management of or investment in the
31
property is exempt from the provisions of existing law governing property
32
managers and other persons regulated by the Division. (NRS 645.0445) Section 7
33
of this bill excludes landlord property managers from that exemption.
34
Sections 9, 11-15 and 17-20 of this bill add references to a landlord property
35
manager and a permit to engage in property management to certain provisions of
36
existing law governing property managers and other persons licensed by the
37
Division and licenses issued by the Division so that landlord property managers are
38
treated the same as property managers and licensees for certain purposes, including,
39
without limitation, for the purposes of certain investigations and the imposition of
40
certain disciplinary action.
41
Existing law authorizes the Commission to take certain disciplinary action
42
against a person who holds a permit to engage in property management and who
43
takes certain action in connection with a property for which the person has obtained
44
a property management agreement. (NRS 645.633) Section 16 of this bill specifies
45
that such provisions apply only to a licensed real estate broker, real estate broker-
46
salesperson or real estate salesperson who holds a permit to engage in property
47
management.
48
Existing law exempts from the provisions of existing law providing for the
49
registration and regulation of asset management companies and the permitting and
50
regulation of asset managers a person or broker who has a current permit to engage
51
in property management. (NRS 645H.160) Section 20 of this bill specifies that the
52
exemption applies only to a licensed real estate broker, real estate broker-
53
salesperson or real estate salesperson who holds a permit to engage in property
54
management.
55
Sections 2-4 of this bill define words and terms for the purposes of this bill.
56
Section 5 of this bill makes a conforming change to indicate the proper placement
57
of sections 2-4 in the Nevada Revised Statutes.
58
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
Section 1. Chapter 645 of NRS is hereby amended by adding
1
thereto the provisions set forth as sections 2, 3 and 4 of this act.
2
Sec. 2. “Dwelling unit” has the meaning ascribed to it in
3
NRS 118A.080.
4
Sec. 3. “Landlord property manager” means a person who
5
provides four or more dwelling units located on real property
6
owned by the person for occupancy by others pursuant to rental
7
agreements and who is engaged in property management with
8
respect to those properties.
9
Sec. 4. “Rental agreement” has the meaning ascribed to it in
10
NRS 118A.160.
11
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Sec. 5. NRS 645.0005 is hereby amended to read as follows:
1
645.0005 As used in this chapter, unless the context otherwise
2
requires, the words and terms defined in NRS 645.001 to 645.042,
3
inclusive, and sections 2, 3 and 4 of this act have the meanings
4
ascribed to them in those sections.
5
Sec. 6. NRS 645.019 is hereby amended to read as follows:
6
645.019 “Property management” means the physical,
7
administrative or financial maintenance and management of real
8
property, or the supervision of such activities [for] , either:
9
1. For a fee, commission or other compensation or valuable
10
consideration, pursuant to a property management agreement [.] ; or
11
2. By a person who engages in such activities in the regular
12
course of providing four or more dwelling units located on real
13
property owned by the person for occupancy by others pursuant to
14
rental agreements.
15
Sec. 7. NRS 645.0445 is hereby amended to read as follows:
16
645.0445 1. The provisions of this chapter do not apply to,
17
and the terms “real estate broker” and “real estate salesperson” do
18
not include, any:
19
(a) Owner or lessor of property [,] who is not a landlord
20
property manager, or any regular employee of such a person, who
21
performs any of the acts mentioned in NRS 645.030, 645.040,
22
645.230 and 645.260, with respect to the property in the regular
23
course of or as an incident to the management of or investment in
24
the property. For the purposes of this subsection, “management”
25
means activities which tend to preserve or increase the income from
26
the property by preserving the physical desirability of the property
27
or maintaining high standards of service to tenants. The term does
28
not include sales activities.
29
(b) Employee of a real estate broker while engaged in the
30
collection of rent for or on behalf of the broker.
31
(c) Person while performing the duties of a property manager for
32
a property, if the person maintains an office on the property and
33
does not engage in property management with regard to any other
34
property.
35
(d) Person while performing the duties of a property manager
36
for a common-interest community governed by the provisions of
37
chapter 116 of NRS, an association of a condominium hotel
38
governed by the provisions of chapter 116B of NRS, a
39
condominium project governed by the provisions of chapter 117 of
40
NRS, a time share governed by the provisions of chapter 119A of
41
NRS, or a planned unit development governed by the provisions
42
of chapter 278A of NRS, if the person is a member in good standing
43
of, and, if applicable, holds a current certificate, registration or other
44
similar form of recognition from, a nationally recognized
45
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organization or association for persons managing such properties
1
that has been approved by the Real Estate Division by regulation.
2
(e) Person while performing the duties of a property manager for
3
property used for residential housing that is subsidized either
4
directly or indirectly by this State, an agency or political subdivision
5
of this State, or the Federal Government or an agency of the Federal
6
Government.
7
2. The provisions of this chapter do not apply to:
8
(a) Any bank, thrift company, credit union, trust company,
9
savings and loan association or savings bank or any mortgage or
10
farm loan association licensed under the laws of this State or of the
11
United States, with reference to property it has acquired for
12
development, for the convenient transaction of its business, or as a
13
result of foreclosure of property encumbered in good faith as
14
security for a loan or other obligation it has originated or holds.
15
(b) A corporation which, through its regular officers who
16
receive no special compensation for it, performs any of those acts
17
with reference to the property of the corporation.
18
(c) The services rendered by an attorney at law in the
19
performance of his or her duties as an attorney at law.
20
(d) A receiver, trustee in bankruptcy, administrator or executor,
21
or any other person doing any of the acts specified in NRS 645.030
22
under the jurisdiction of any court.
23
(e) A trustee acting under a trust agreement, deed of trust or
24
will, or the regular salaried employees thereof.
25
(f) The purchase, sale or locating of mining claims or options
26
thereon or interests therein.
27
(g) The State of Nevada or a political subdivision thereof.
28
Sec. 8. NRS 645.230 is hereby amended to read as follows:
29
645.230 1. It is unlawful for any person, limited-liability
30
company, partnership, association or corporation to engage in the
31
business of, act in the capacity of, advertise or assume to act as, a:
32
(a) Real estate broker, real estate broker-salesperson or real
33
estate salesperson within the State of Nevada without first obtaining
34
the appropriate license from the Real Estate Division as provided for
35
in this chapter;
36
(b) Property manager within the State of Nevada without first
37
obtaining from the Real Estate Division as provided for in this
38
chapter a license as a real estate broker, real estate broker-
39
salesperson or real estate salesperson and a permit to engage in
40
property management;
41
(c) Designated property manager within the State of Nevada
42
without complying with the provisions of NRS 645.6055;
43
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(d) Landlord property manager within the State of Nevada
1
without first obtaining from the Real Estate Division as provided
2
for in this chapter a permit to engage in property management;
3
(e) Business broker within the State of Nevada without first
4
obtaining from the Real Estate Division as provided for in this
5
chapter a license as a real estate broker, real estate broker-
6
salesperson or real estate salesperson and a permit to engage in
7
business as a business broker issued pursuant to the provisions of
8
NRS 645.863; or
9
[(e)] (f) Designated business broker within the State of Nevada
10
without complying with the provisions of NRS 645.867.
11
2. The Real Estate Division may prefer a complaint for a
12
violation of this section before any court of competent jurisdiction
13
and may assist in presenting the law or facts upon any trial for a
14
violation of this section.
15
3. The district attorney of each county shall prosecute all
16
violations of this section in their respective counties in which
17
violations occur, unless prosecuted by the Attorney General. Upon
18
the request of the Administrator, the Attorney General shall
19
prosecute any violation of this section in lieu of the district attorney.
20
Sec. 9. NRS 645.358 is hereby amended to read as follows:
21
645.358 1. In addition to any other requirements set forth in
22
this chapter:
23
(a) A natural person who applies for the issuance of a license as
24
a real estate broker, broker-salesperson or salesperson or a permit to
25
engage in property management shall include the social security
26
number of the applicant in the application submitted to the Division.
27
(b) A natural person who applies for the issuance or renewal of a
28
license as a real estate broker, broker-salesperson or salesperson or
29
a permit to engage in property management shall submit to the
30
Division the statement prescribed by the Division of Welfare and
31
Supportive Services of the Department of Health and Human
32
Services pursuant to NRS 425.520. The statement must be
33
completed and signed by the applicant.
34
2. The Division shall include the statement required pursuant to
35
subsection 1 in:
36
(a) The application or any other forms that must be submitted
37
for the issuance or renewal of the license [;] or permit; or
38
(b) A separate form prescribed by the Division.
39
3. A license as a real estate broker, broker-salesperson or
40
salesperson or a permit to engage in property management may not
41
be issued or renewed by the Division if the applicant is a natural
42
person who:
43
(a) Fails to submit the statement required pursuant to subsection
44
1; or
45
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(b) Indicates on the statement submitted pursuant to subsection
1
1 that the applicant is subject to a court order for the support of a
2
child and is not in compliance with the order or a plan approved by
3
the district attorney or other public agency enforcing the order for
4
the repayment of the amount owed pursuant to the order.
5
4. If an applicant indicates on the statement submitted pursuant
6
to subsection 1 that the applicant is subject to a court order for the
7
support of a child and is not in compliance with the order or a plan
8
approved by the district attorney or other public agency enforcing
9
the order for the repayment of the amount owed pursuant to the
10
order, the Division shall advise the applicant to contact the district
11
attorney or other public agency enforcing the order to determine the
12
actions that the applicant may take to satisfy the arrearage.
13
Sec. 10. NRS 645.6052 is hereby amended to read as follows:
14
645.6052 1. A person who is licensed pursuant to this chapter
15
as a real estate broker, real estate broker-salesperson or real estate
16
salesperson may apply to the Real Estate Division for a permit to
17
engage in property management.
18
2. A person who provides four or more dwelling units located
19
on real property owned by the person for occupancy by others
20
pursuant to rental agreements may apply to the Real Estate
21
Division for a permit to engage in property management with
22
respect to those properties.
23
3. An applicant for a permit must:
24
(a) Furnish proof satisfactory to the Division that the applicant
25
has successfully completed at least 24 classroom hours of
26
instruction in property management; and
27
(b) Comply with all other requirements established by the
28
Commission for the issuance of a permit.
29
[3.] 4. In addition to the requirements prescribed in
30
subsection 3, an applicant for a permit to engage in property
31
management pursuant to subsection 2 must file with the
32
application, and thereafter maintain in force while so permitted, a
33
surety bond. The surety bond must be:
34
(a) In an amount set forth by the Commission by regulation;
35
(b) A standard form and approved by the Director as to the
36
terms and conditions; and
37
(c) Conditioned so that the principal will comply with the
38
provisions of this chapter and the rules and regulations adopted by
39
the Commission.
40
5. A permit issued to an applicant described in subsection 1
41
expires, and may be renewed, at the same time as the license of the
42
holder of the permit.
43
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6. A permit issued to an applicant described in subsection 2
1
expires 1 year after it is issued and may be renewed in accordance
2
with regulations adopted by the Commission.
3
[4.] 7. An applicant for the renewal of a permit must:
4
(a) [Furnish] In the case of a real estate broker, real estate
5
broker-salesperson or real estate sales person, furnish proof
6
satisfactory to the Division that the applicant has successfully
7
completed at least 3 of the hours of the continuing education
8
required for the renewal of his or her license pursuant to the
9
regulations adopted by the Commission pursuant to NRS 645.575 in
10
an approved educational course, seminar or conference concerning
11
property management; and
12
(b) Comply with all other requirements established by the
13
Commission for the renewal of a permit.
14
[5.] 8. The Commission may adopt such regulations as it
15
determines are necessary to carry out the provisions of this section.
16
The regulations may, without limitation:
17
(a) Establish additional requirements for the issuance or renewal
18
of a permit.
19
(b) Establish fees for the issuance and renewal of a permit and
20
fees to pay the costs of:
21
(1) Any examination for a permit, including any costs which
22
are necessary for the administration of such an examination.
23
(2) Any investigation of an applicant’s background.
24
(c) Set forth standards of education for the approval of a course
25
of instruction to qualify an applicant for a permit.
26
Sec. 11. NRS 645.6058 is hereby amended to read as follows:
27
645.6058 1. Except as otherwise provided in subsection 3, all
28
fees, penalties and fines received by the Division pursuant to the
29
provisions of NRS 645.6052 to 645.6058, inclusive, must be
30
deposited with the State Treasurer for credit to the Division. The
31
money must be used by the Division for the administration of the
32
provisions of NRS 645.6052 to 645.6058, inclusive.
33
2. The Division may delegate to a hearing officer or panel its
34
authority to take any disciplinary action against property managers
35
[,] or landlord property managers, impose and collect fines
36
pursuant to the disciplinary action and deposit the money with the
37
State Treasurer for credit to the Division.
38
3. If a hearing officer or panel is not authorized to take
39
disciplinary action pursuant to subsection 2, the Division shall
40
deposit the money collected from the imposition of penalties and
41
fines collected from property managers and landlord property
42
managers with the State Treasurer for credit to the State General
43
Fund. The Division may present a claim to the State Board of
44
Examiners for recommendation to the Interim Finance Committee if
45
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money is needed to pay an attorney’s fee or the costs of an
1
investigation, or both.
2
Sec. 12. NRS 645.610 is hereby amended to read as follows:
3
645.610 The Administrator may investigate the actions of any
4
real estate broker, broker-salesperson, salesperson, landlord
5
property manager, owner-developer or any person who acts in any
6
such capacity within this State.
7
Sec. 13. NRS 645.615 is hereby amended to read as follows:
8
645.615 1. A licensee, property manager , landlord property
9
manager or owner-developer shall notify the Division in writing if
10
he or she is convicted of, or enters a plea of guilty, guilty but
11
mentally ill or nolo contendere to:
12
(a) A felony relating to the practice of the licensee, property
13
manager , landlord property manager or owner-developer; or
14
(b) Any crime involving fraud, deceit, misrepresentation or
15
moral turpitude.
16
2. A licensee, property manager , landlord property manager
17
or owner-developer shall submit the notification required by
18
subsection 1:
19
(a) Not more than 10 days after the conviction or entry of the
20
plea of guilty, guilty but mentally ill or nolo contendere; and
21
(b) When submitting an application to renew a license, permit or
22
registration issued pursuant to this chapter.
23
Sec. 14. NRS 645.620 is hereby amended to read as follows:
24
645.620 The Division shall maintain in each district office a
25
public docket or other record in which it shall record from time to
26
time as made:
27
1. The rulings or decisions upon all complaints filed with that
28
district office.
29
2. All investigations instituted by that district office in the first
30
instance, upon or in connection with which any hearing has been
31
held, or in which the permittee or licensee charged has made no
32
defense.
33
3. Denials of applications made to that district office for
34
examination , permitting or licensing.
35
Sec. 15. NRS 645.630 is hereby amended to read as follows:
36
645.630 1. The Commission may require a licensee, property
37
manager , landlord property manager or owner-developer to pay an
38
administrative fine of not more than $10,000 for each violation he or
39
she commits or suspend, revoke, deny the renewal of or place
40
conditions upon his or her license, permit or registration, or impose
41
any combination of those actions, at any time if the licensee,
42
property manager , landlord property manager or owner-developer
43
has, by false or fraudulent representation, obtained a license, permit
44
or registration, or , for a licensee, property manager or
45
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owner-developer, the licensee, property manager or owner-
1
developer, whether or not acting as such, is found guilty of:
2
(a) Making any material misrepresentation.
3
(b) Making any false promises of a character likely to influence,
4
persuade or induce.
5
(c) Accepting a commission or valuable consideration as a real
6
estate broker-salesperson or salesperson for the performance of any
7
of the acts specified in this chapter or chapter 119 or 119A of NRS
8
from any person except the licensed real estate broker with whom he
9
or she is associated or the owner-developer by whom he or she is
10
employed.
11
(d) Representing or attempting to represent a real estate broker
12
other than the broker with whom he or she is associated, without the
13
express knowledge and consent of the broker with whom he or she
14
is associated.
15
(e) Failing to maintain, for review and audit by the Division,
16
each brokerage agreement and property management agreement
17
governed by the provisions of this chapter and entered into by the
18
licensee.
19
(f) Failing, within a reasonable time, to account for or to remit
20
any money which comes into his or her possession and which
21
belongs to others.
22
(g) If he or she is required to maintain a trust account:
23
(1) Failing to balance the trust account at least monthly; and
24
(2) Failing to submit to the Division an annual accounting of
25
the trust account as required in NRS 645.310.
26
(h) Commingling the money or other property of his or her
27
clients with his or her own or converting the money of others to his
28
or her own use.
29
(i) In the case of a broker-salesperson or salesperson, failing to
30
place in the custody of his or her licensed broker or owner-
31
developer, as soon as possible, any deposit or other money or
32
consideration entrusted to him or her by any person dealing with
33
him or her as the representative of his or her licensed broker.
34
(j) Accepting other than cash as earnest money unless that fact is
35
communicated to the owner before his or her acceptance of the offer
36
to purchase and that fact is shown in the receipt for the earnest
37
money.
38
(k) Upon acceptance of an agreement, in the case of a broker,
39
failing to deposit any check or cash received as earnest money
40
before the end of the next banking day unless otherwise provided in
41
the purchase agreement.
42
(l) Inducing any party to a brokerage agreement, property
43
management agreement, agreement of sale or lease to break it in
44
order to substitute a new brokerage agreement, property
45
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management agreement, agreement of sale or lease with the same or
1
another party if the inducement to make the substitution is offered to
2
secure personal gain to the licensee or owner-developer.
3
2. An order that imposes discipline and the findings of fact and
4
conclusions of law supporting that order are public records.
5
Sec. 16. NRS 645.633 is hereby amended to read as follows:
6
645.633 1. The Commission may take action pursuant to
7
NRS 645.630 against any person subject to that section who is
8
guilty of any of the following acts:
9
(a) Willfully using any trade name, service mark or insigne of
10
membership in any real estate organization of which the licensee is
11
not a member, without the legal right to do so.
12
(b) Violating any order of the Commission, any agreement with
13
the Division, any of the provisions of this chapter, chapter 116, 119,
14
119A, 119B, 645A or 645C of NRS or any regulation adopted
15
pursuant thereto.
16
(c) Paying a commission, compensation or a finder’s fee to any
17
person for performing the services of a broker, broker-salesperson
18
or salesperson who has not secured a license pursuant to this
19
chapter. This subsection does not apply to payments to a broker who
20
is licensed in his or her state of residence.
21
(d) A conviction of, or the entry of a plea of guilty, guilty but
22
mentally ill or nolo contendere to:
23
(1) A felony relating to the practice of the licensee, property
24
manager or owner-developer; or
25
(2) Any crime involving fraud, deceit, misrepresentation or
26
moral turpitude.
27
(e) Guaranteeing, or having authorized or permitted any person
28
to guarantee, future profits which may result from the resale of real
29
property.
30
(f) Failure to include a fixed date of expiration in any written
31
brokerage agreement or failure to leave a copy of such a brokerage
32
agreement or any property management agreement with the client.
33
(g) Accepting, giving or charging any undisclosed commission,
34
rebate or direct profit on expenditures made for a client.
35
(h) Gross negligence or incompetence in performing any act for
36
which the person is required to hold a license pursuant to this
37
chapter, chapter 119, 119A or 119B of NRS.
38
(i) Any other conduct which constitutes deceitful, fraudulent or
39
dishonest dealing.
40
(j) Any conduct which took place before the person became
41
licensed which was in fact unknown to the Division and which
42
would have been grounds for denial of a license had the Division
43
been aware of the conduct.
44
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(k) Knowingly permitting any person whose license has been
1
revoked or suspended to act as a real estate broker, broker-
2
salesperson or salesperson, with or on behalf of the licensee.
3
(l) Recording or causing to be recorded a claim pursuant to the
4
provisions of NRS 645.8701 to 645.8811, inclusive, that is
5
determined by a district court to be frivolous and made without
6
reasonable cause pursuant to NRS 645.8791.
7
2. The Commission may take action pursuant to NRS 645.630
8
against a person who is subject to that section for the suspension or
9
revocation of a real estate broker’s, broker-salesperson’s or
10
salesperson’s license issued by any other jurisdiction.
11
3. The Commission may take action pursuant to NRS 645.630
12
against any person who:
13
(a) Is licensed pursuant to this chapter as a real estate broker,
14
a real estate broker-salesperson or a real estate salesperson;
15
(b) Holds a permit to engage in property management issued
16
pursuant to NRS 645.6052; and
17
[(b)] (c) In connection with any property for which the person
18
has obtained a property management agreement pursuant to
19
NRS 645.6056:
20
(1) Is convicted of violating any of the provisions of
21
NRS 202.470;
22
(2) Has been notified in writing by the appropriate
23
governmental agency of a potential violation of NRS 244.360,
24
244.3603 or 268.4124, and has failed to inform the owner of the
25
property of such notification; or
26
(3) Has been directed in writing by the owner of the property
27
to correct a potential violation of NRS 244.360, 244.3603 or
28
268.4124, and has failed to correct the potential violation, if such
29
corrective action is within the scope of the person’s duties pursuant
30
to the property management agreement.
31
4. The Division shall maintain a log of any complaints that it
32
receives relating to activities for which the Commission may take
33
action against a person holding a permit to engage in property
34
management pursuant to subsection 3.
35
Sec. 17. NRS 645.648 is hereby amended to read as follows:
36
645.648 1. If the Division receives a copy of a court order
37
issued pursuant to NRS 425.540 that provides for the suspension of
38
all professional, occupational and recreational licenses, certificates
39
and permits issued to a person who is the holder of a license as a
40
real estate broker, broker-salesperson or salesperson [,] or the
41
holder of a permit to engage in property management pursuant to
42
NRS 645.6052, the Division shall deem the license or permit issued
43
to that person to be suspended at the end of the 30th day after the
44
date on which the court order was issued unless the Division
45
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receives a letter issued to the holder of the license or permit by the
1
district attorney or other public agency pursuant to NRS 425.550
2
stating that the holder of the license or permit has complied with the
3
subpoena or warrant or has satisfied the arrearage pursuant to
4
NRS 425.560.
5
2. The Division shall reinstate a license as a real estate broker,
6
broker-salesperson or salesperson or a permit to engage in property
7
management pursuant to NRS 645.6052 that has been suspended
8
by a district court pursuant to NRS 425.540 if the Division receives
9
a letter issued by the district attorney or other public agency
10
pursuant to NRS 425.550 to the person whose license or permit
11
was suspended stating that the person whose license or permit was
12
suspended has complied with the subpoena or warrant or has
13
satisfied the arrearage pursuant to NRS 425.560.
14
Sec. 18. NRS 645.675 is hereby amended to read as follows:
15
645.675 The expiration or revocation of a license, permit or
16
registration by operation of law or by order or decision of the
17
Commission or a court of competent jurisdiction, or the voluntary
18
surrender of a license, permit or registration by a real estate broker,
19
real estate broker-salesperson, real estate salesperson, property
20
manager , landlord property manager or owner-developer does not:
21
1. Prohibit the Administrator, Commission or Division from
22
initiating or continuing an investigation of, or action or disciplinary
23
proceeding against, the real estate broker, real estate broker-
24
salesperson, real estate salesperson, property manager , landlord
25
property manager or owner-developer as authorized pursuant to the
26
provisions of this chapter or the regulations adopted pursuant
27
thereto; or
28
2. Prevent the imposition or collection of any fine or penalty
29
authorized pursuant to the provisions of this chapter or the
30
regulations adopted pursuant thereto against the real estate broker,
31
real estate broker-salesperson, real estate salesperson, property
32
manager , landlord property manager or owner-developer.
33
Sec. 19. NRS 645.740 is hereby amended to read as follows:
34
645.740 1. The Commission shall render an informal
35
decision on any complaint within 15 days after the final hearing
36
thereon and shall give notice in writing of the ruling or decision to
37
the applicant , permittee or licensee affected thereby within 60 days
38
after the final hearing thereon by certified mail to the last known
39
address of the person to whom the notice is sent.
40
2. If the ruling is adverse to the permittee or licensee, the
41
Commission shall also state in the notice the date upon which the
42
ruling or decision becomes effective, which date must not be less
43
than 30 days after the date of the notice.
44
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3. The decision of the Commission may not be stayed by any
1
appeal in accordance with the provisions of NRS 645.760, unless
2
the district court so orders upon motion of the permittee or licensee,
3
notice to the Division of the motion and opportunity for the Division
4
to be heard.
5
4. An appeal from a decision of the district court affirming the
6
revocation or suspension of a permit or license does not stay the
7
order of the Commission unless the district or appellate court, in its
8
discretion and upon petition of the permittee or licensee, after notice
9
and hearing orders such stay, and upon the filing of a bond for costs
10
in the amount of $1,000.
11
Sec. 20. NRS 645.760 is hereby amended to read as follows:
12
645.760 1. A ruling or decision of the Commission in any
13
disciplinary action is final when in favor of the permittee or
14
licensee.
15
2. If a ruling or decision is against the permittee or licensee,
16
the permittee or licensee is entitled to judicial review of the ruling
17
or decision in the manner provided by chapter 233B of NRS.
18
Sec. 21. NRS 645H.160 is hereby amended to read as follows:
19
645H.160 1. The provisions of this chapter which require a
20
certificate of registration or permit do not apply to a person [or
21
broker] who is licensed pursuant to chapter 645 of NRS as a real
22
estate broker, a real estate broker-salesperson or a real estate
23
salesperson and has a current permit to engage in property
24
management pursuant to chapter 645 of NRS.
25
2. A person [or broker] who is licensed pursuant to chapter
26
645 of NRS as a real estate broker, a real estate broker-
27
salesperson or a real estate salesperson and has a permit to engage
28
in property management pursuant to chapter 645 of NRS may
29
engage in the business of asset management if the provision of asset
30
management services is included in the property management
31
agreement entered into pursuant to NRS 645.6056.
32
3. Except as otherwise provided in subsection 1, a person or
33
broker who engages in the business of asset management must
34
comply with the provisions of this chapter and the recordkeeping
35
requirements of chapter 645 of NRS.
36
4. The provisions of this chapter do not apply to:
37
(a) A person who is a regular, full-time employee of a bank,
38
mortgage company, mortgage servicer as that term is defined in
39
NRS 645F.063, credit union, thrift company, savings and loan
40
association or savings bank, or any subsidiary thereof.
41
(b) A person who takes possession of property from a defendant
42
in connection with a judicial proceeding for eminent domain
43
brought pursuant to chapter 37 of NRS.
44
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Sec. 22. 1. Notwithstanding the amendatory provisions of
1
this act, a person who, on January 1, 2024, is engaged in the
2
activities of a landlord property manager may continue to engage in
3
the activities of a landlord property manager without obtaining a
4
permit to engage in property management issued pursuant to NRS
5
645.6052, as amended by section 10 of this act, until July 1, 2024.
6
2. As used in this section, “landlord property manager” has the
7
meaning ascribed to it in section 3 of this act.
8
Sec. 23. 1. This section becomes effective upon passage and
9
approval.
10
2. Sections 1 to 22, inclusive, of this act become effective:
11
(a) Upon passage and approval for the purpose of adopting any
12
regulations and performing any other preparatory administrative
13
tasks that are necessary to carry out the provisions of this act; and
14
(b) On January 1, 2024, for all other purposes.
15
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