Stricken language would be deleted from and underlined language would be added to present law.
1 State of Arkansas
2 94th General Assembly A Bill
3 Regular Session, 2023 HOUSE BILL 1700
4
5 By: Representative McGrew
6 By: Senator Caldwell
7
8 For An Act To Be Entitled
9 AN ACT TO EXEMPT PROPERTY MANAGERS FROM LICENSURE BY
10 THE ARKANSAS REAL ESTATE COMMISSION; TO AMEND THE
11 REAL ESTATE LICENSE LAW; AND FOR OTHER PURPOSES.
12
13
14 Subtitle
15 TO EXEMPT PROPERTY MANAGERS FROM
16 LICENSURE BY THE ARKANSAS REAL ESTATE
17 COMMISSION; AND TO AMEND THE REAL ESTATE
18 LICENSE LAW.
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21 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS:
22
23 SECTION 1. Arkansas Code § 17-42-103(13), concerning the definition of
24 "unlicensed real estate activity" under the Real Estate License Law, is
25 amended to read as follows:
26 (13)(A) “Unlicensed real estate activity” means offering or
27 engaging in any practice, act, or operation set forth in subdivision (10) of
28 this section without a valid active Arkansas license issued by the
29 commission.
30 (B) "Unlicensed real estate activity" does not include
31 acting as a property manager if a person has complied with § 17-42-104.
32
33 SECTION 2. Arkansas Code § 17-42-103, concerning definitions under the
34 Real Estate License Law, is amended to add an additional subdivision to read
35 as follows:
36 (14) "Property manager" means an individual who for a salary,
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1 commission, or compensation of any kind or with the intent or expectation of
2 receiving valuable consideration engages in the business of leasing, renting,
3 or subleasing real estate located in this state on behalf of an owner,
4 lessor, or potential lessee and who:
5 (A) Accepts employment by or on behalf of the owner,
6 lessor, or potential lessee of real estate to promote or conduct the leasing
7 or subleasing of the real estate;
8 (B) Negotiates or attempts to negotiate the lease of any
9 real estate located in this state or of the improvements on any real estate
10 located in this state;
11 (C) Engages in the business of promoting the lease or
12 rental of real estate located in this state;
13 (D) Assists in completing real estate lease contracts or
14 property management agreements;
15 (E) Procures tenants for owners of real estate located in
16 this state;
17 (F) Aids or offers to aid for a fee any person in locating
18 or obtaining any real estate for lease in this state;
19 (G) Makes the advertising of real property for lease
20 available by public display to potential tenants;
21 (H) Shows rental or leaseable properties to potential
22 tenants;
23 (I) In conjunction with property management
24 responsibilities, acts as a liaison between the owners of real estate and a
25 tenant or potential tenant;
26 (J) In conjunction with property management
27 responsibilities, generally oversees the inspection, maintenance, and upkeep
28 of leased real estate belonging to others;
29 (K) In conjunction with property management
30 responsibilities, collects rents or attempts to collect rents for any real
31 estate located in this state;
32 (L) Pays a fee, commission, or other compensation to a
33 licensed broker, salesperson, or property manager for referral of the name of
34 a prospective lessor or lessee of real property;
35 (M) Receives a fee, commission, or other compensation from
36 a licensed real estate broker, salesperson, or property management broker for
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 HB1700
1 referring the name of a prospective lessor or lessee of real property; or
2 (N) Advertises or represents to the public that the
3 individual is engaged in any of the activities referred to in this
4 subdivision;
5
6 SECTION 3. Arkansas Code § 17-42-104(a), concerning exemptions to Real
7 Estate License Law, is amended to add an additional subdivision to read as
8 follows:
9 (11) A person not licensed under this chapter who performs any
10 of the acts described in § 17-42-103(14) and:
11 (A)(i) Has two (2) or more years of property management
12 experience managing fifty (50) or more rental units; or
13 (ii) Is certified as a property manager from a
14 national certification institute;
15 (B) Has not been convicted of or plead guilty to a felony;
16 and
17 (C) Has a one hundred thousand dollar ($100,000) fidelity
18 bond.
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Statutes affected:
HB 1700: 17-42-103(13), 17-42-103, 17-42-104(a)