[REDLINE BEFORE RULEMAKING HEARING]
DEPARTMENT OF REGULATORY AGENCIES
DIVISION OF REAL ESTATE
REAL ESTATE COMMISSION
4 CCR 725-1

RULE E.  SEPARATE ACCOUNTS – RECORDS – ACCOUNTINGS - INVESTIGATIONS

Pursuant to and in compliance with Title 12, Article 61 and Title 24, Article 4, C.R.S. as amended, notice of proposed rulemaking is hereby given, including notice to the Attorney General of the State of Colorado and to all persons who have requested to be advised of the intention of the Colorado Real Estate Commission (the “Commission”) to promulgate rules, or to amend, repeal or repeal and re-enact the present rules of the Commission.  

STATEMENT OF BASIS

The statutory basis for the rules titled Rules of the Colorado Real Estate Commission is Part 1 of Title 12, Article 61, Colorado Revised Statutes, as amended.
  
STATEMENT OF PURPOSE

The purpose of this rule is to effectuate the legislative directive to promulgate necessary and appropriate rules in conformity with the state statutes of the real estate practice act.

SPECIFIC PURPOSE OF THIS RULEMAKING

The specific purpose of this rule is to establish the professional standards necessary to gain competence to practice real estate brokerage.

Proposed New, Amended and Repealed Rules

Deleted material shown struck through, new material shown ALL CAPS. Rules, or portions of rules, which are unaffected are reproduced.  

Proposed New, Amended and Repealed Rules

Rule E.  Separate Accounts – Records – Accountings - Investigations

E-47.	COMPETENCY
	ON EVERY OCCASION OF ENGAGING IN THE PRACTICE OF REAL ESTATE BROKERAGE, A BROKER MUST DETERMINE WHETHER HE OR SHE POSSESSES THE NECESSARY EXPERIENCE, TRAINING, AND/OR KNOWLEDGE TO PROVIDE BROKERAGE SERVICES AND MAINTAIN COMPLIANCE WITH THE APPLICABLE FEDERAL, STATE AND LOCAL LAWS, RULES, REGULATIONS AND ORDINANCES.  IF THE BROKER DOES NOT HAVE THE NECESSARY EXPERIENCE, TRAINING, AND/OR KNOWLEDGE, THE BROKER MUST:  DECLINE TO PROVIDE BROKERAGE SERVICES; OBTAIN THE NECESSARY EXPERIENCE, TRAINING AND/OR KNOWLEDGE; OR THE BROKER MUST SEEK THE ASSISTANCE OF ANOTHER LICENSED BROKER WHO DOES HAVE THE NECESSARY EXPERIENCE, TRAINING AND KNOWLEDGE.

[REDLINE AFTER RULEMAKING HEARING]

Rule E.  Separate Accounts – Records – Accountings - Investigations

E-47.	COMPETENCY
	ON EVERY OCCASION OF ENGAGING IN THE PRACTICE OF REAL ESTATE BROKERAGE, A BROKER MUST DETERMINE WHETHER HE OR SHE POSSESSES THE NECESSARY EXPERIENCE, TRAINING, AND KNOWLEDGE TO PROVIDE BROKERAGE SERVICES AND MAINTAIN COMPLIANCE WITH THE APPLICABLE FEDERAL, STATE AND LOCAL LAWS, RULES, REGULATIONS AND ORDINANCES.  IF THE BROKER DOES NOT HAVE THE NECESSARY EXPERIENCE, TRAINING, AND KNOWLEDGE, THE BROKER MUST:  DECLINE TO PROVIDE BROKERAGE SERVICES; OR OBTAIN THE NECESSARY EXPERIENCE, TRAINING AND KNOWLEDGE; OR OBTAIN THE ASSISTANCE OF THEIR SUPERVISING BROKER OR LEGAL COUNSEL, OR CO-LIST WITH ANOTHER LICENSED BROKER WHO DOES HAVE THE NECESSARY EXPERIENCE, TRAINING, AND KNOWLEDGE.