re minutes 9-16-2004

Others Present: Roger Hansen, Executive Officer; Pam Griebel, Assistant Attorney General; Susan Griffel, Education Director; Sylvia King, Staff and Jeff Evans, Staff.

Public: Dan Cornelison, Attorney (Iowa Realty / First Realty), Susan Boe, Attorney (Faegre and Benson), Martin Lee (Iowa Association of Realtors), Paul McLaughlin (Iowa Association of Realtors), Ken Clark (Coldwell Banker Mid-America Group, Realtors), Marilyn Cedarstrom (Coldwell Banker, Mid-America Group, Realtors), and Lynn Steele (Coldwell Banker Mid-America Group, Realtors)

The meeting was called to order at 9:15 a.m.

PUBLIC COMMENT

Hughes opened discussion on Iowa Realty's petition for declaratory order D04-02.

Boe, Cornelison, and Martin Lee spoke in favor of the petition and asked that the Commission agree to issue a declaratory order.

Griebel made two disclosures before responding. First, she has a current brokerage agreement with Iowa Realty, and second, two Commission members are employees or affiliated with petitioners. Marple and Daniels verified that they could each remain neutral on the issues. No one present objected to the participation of either Griebel or the two Commissioners. Griebel advised a declaratory order should not be issued as provided by Iowa Code section 17A.9(1) and administrative rules because the petition implicates the legal rights of third parties and does not contain hypothetical situations and in fact mirrors several issues contained in an previous petition, D04-01, filed by a different petitioner, that was withdrawn. Griebel recommended that the Commission consider forming a task force to pursue rule-making relating to the issues after providing opportunity for input from both the industry and the public.

Hughes asked for Hansen's opinion. Hansen agreed with Griebel, indicating the rule making process appeared to be the best course of action to address the issues.

Dawley moved, second O'Neill to not issue a declaratory order. Roll call vote as follows: O'Neill, aye; Marple, nay; Daniels, nay; Dawley, aye; and Hughes, aye. Motion carried 3-2.

Hughes announced that anyone interested in assisting in forming and serving on the task force should contact him. Lee, Steele, and Boe volunteered. Hughes indicated that he would appoint persons to the committee after other interested persons have had opportunity to make their interest known.

Lee reported the IAR has filed a lawsuit on Agentsbeware.com alleging violation of the license mandatory law.

McLaughlin reported approximately 500 persons attended the IAR Convention, held from October 11-14, 2004 in Cedar Rapids. He added the next IAR quarterly meeting is scheduled for December 7-9, 2004. Association activities include possible pursuit of minimum standards of practice legislation.

CLOSED SESSION

Motion made by Marple, second Daniels, to enter into closed session pursuant to Iowa Code 21.5(1)(d) and 21.5 (1)(f). Roll call vote as follows: Hughes, aye; O'Neill, aye; Daniels, aye; Marple, aye and Dawley, aye. Commission entered into closed session at 10:40 a.m. and returned to open session at 1:06 p.m.

CASE REVIEW

Motion made by Daniels, second O'Neill, to accept informal settlement on Cases A04-025 and 04-045/A04-036. Motion carried unanimously.

Motion made by Dawley, second O'Neill, to close Cases 04-072, 04-098, 04-040, 04-044, 04-110 and A04-163. Motion carried unanimously.

Motion made by Dawley, second Marple, to find probable cause on Cases
04-097, 04-027, A04-148 and A04-157. Motion carried unanimously.

MINUTES

Motion made by Marple, second Daniels, to approve September 16, 2004 minutes, with the following changes: Correct names from members present to read Hughes instead of O'Neill, and add the sentence "Motion made by Marple to
decline to issue the order as recommended by Griebel. Motion failed due to lack of a second". Motion carried unanimously.

MEETING SCHEDULE

Future IREC meetings are scheduled as follows:

Commission Meetings: Investigative Committee Meetings:

Thursday, December 2, 2004 Wednesday, December 1, 2004
(Hughes and Marple)
Thursday, January 13, 2005 Wednesday, January 12, 2005
Thursday, February 24, 2005 Wednesday, February 23, 2005
Thursday, April 14, 2005 Wednesday, April 13, 2005
Thursday, May 26, 2005 Wednesday, May 25, 2005
Thursday, July 14, 2005 Wednesday, July 13, 2005
Thursday, September 15, 2005 Wednesday, September 14, 2005
Thursday, November 3, 2005 Wednesday, November 2, 2005
Thursday, December 8, 2005 Wednesday, December 7, 2005

REQUEST FOR EXCEPTION

Griffel presented Frank Rayons' request for exception to home study continuing education limit (IAR 193E, 16.4(5)). It was determined that Rayons' license does not expire until 12-31-2005. Dawley moved, second O'Neill, not to make a determination now and advise Rayons that if necessary he may submit a request in 2005. Motion carried unanimously.

Griffel presented Stephanie Mendoza's request to enable her to sit for the salesperson exam past the one-year requirement as provided in Iowa Code section 543B.15(9). O'Neill moved, second Marple, to deny the request. Motion carried unanimously.

COMMISSION REPORTS

Marple reported he was present at a well-attended meeting with the Quad City Board of Realtors in Davenport on October 21, 2004. Hughes and Hansen were on the program, which was well received.

Dawley reported she spoke to the Skogman Commercial Group at a well-attended meeting.

STAFF REPORTS

Hansen distributed the latest version of Iowa Administrative Rule 193E and Iowa Code Chapter 543B to Commission members on CD and hard copy. He indicated that the division will soon be in the renewal season and progress is continuing with database conversion and network development. Hansen then distributed copies of a 1992 declaratory ruling relating to non-licensed activity questions.

MEETING ADJOURNED

Motion made by Dawley, second O'Neill, to adjourn. Motion carried unanimously. Meeting adjourned at 1:40 p.m.

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