The proposed Senate Bill SB0275, authored by State Senator James Merritt, Jr (Rep), will change the face of real estate licensing as we know it.  For the better or worse is yet to be determined. After reading, highlighting and re-reading the bill, here are some of the significant changes that will happen SHOULD the SB0275 pass and become law.

• The effective date: July 1, 2014;
• The “trigger” date for most of the actions is July 1, 2012
• There will be only one license, “broker”
• The new licenses will be three years in duration
• Initial licensing will require 90 hours of class
• Continuing Education will be 12 hours per year
• If you want to own your own real estate brokerage you will have to become a “Managing broker”
• To become a Managing broker you will be required to take 24 hours of real estate management education (curriculum yet to be determined by the commission)
• A broker must be under a Managing broker for TWO years before application to become a Managing broker
• If you are a salesperson on July 1, 2012 you will be required to wait the two years to become a Managing broker (see previous point)
• If you are a Principal broker on July 1, 2012 you will automatically become a Managing Broker
• If you are a broker (AB license) you be exempt from the two year requirement to become a Managing broker
• During the initial two years of your licensing, you will be required to take an additional 30 hours of post-education classes instead of your CE

Therefore the best scenario (in order) in my opinion:

1) To be a Principal broker by 7/1/2012 to become automatically a Managing broker under the news laws
2) To have a broker (AB) license to avoid the TWO year requirement of your license under a Managing broker

If your goal to remain a salesperson, eventually elevated to a broker, AND never want to start out on your own, these changes will impact you very little and be virtually transparent to you and your career.

These are the major changes (as I see them).  Here is the link for the proposed SB 0275