Rep. Norm Thurston — Voting Record

Bill

Number

S.B. 30 (2016GS)

Sponsor

Sen. Bramble, C.

Final action

Governor Signed 3/17/2016

Outcome

Became law — signed by Gov. Gary R. Herbert

Summary

What it does

• This bill:
• defines "concurrence";
• if concurrence is required, provides that the director or division has final authority if the Construction Services Commission and the director or division cannot reach concurrence;
• clarifies when concurrence between the director or division and the Securities Commission is required;
• provides that the director or division has final authority if the Security Commission and the director or division cannot reach concurrence;
• repeals outdated language;
• provides that the director or division has final authority if provisions related to the Division of Real Estate require concurrence and concurrence cannot be reached;
• requires concurrence of the division if the Real Estate Appraiser Licensing and Certification Board makes rules related to appraised management services or companies;
• provides that the Real Estate Commission may not make certain rules without concurrence by the Division of Real Estate; and
• makes technical changes.

Every vote on this bill

Bill text

DEPARTMENT OF COMMERCE BOARDS, COMMITTEES,
AND COMMISSIONS CONCURRENCE AMENDMENTS
GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Curtis S. Bramble
House Sponsor: 
Val L. Peterson
LONG TITLE
General Description:
This bill modifies provisions related to when concurrence with a board, committee, or
commission is required.
Highlighted Provisions:
This bill:
▸ defines "concurrence";
▸ if concurrence is required, provides that the director or division has final authority if
the Construction Services Commission and the director or division cannot reach
concurrence;
▸ clarifies when concurrence between the director or division and the Securities
Commission is required;
▸ provides that the director or division has final authority if the Security Commission
and the director or division cannot reach concurrence;
▸ repeals outdated language;
▸ provides that the director or division has final authority if provisions related to the
Division of Real Estate require concurrence and concurrence cannot be reached;
▸ requires concurrence of the division if the Real Estate Appraiser Licensing and
Certification Board makes rules related to appraised management services or
companies;
▸ provides that the Real Estate Commission may not make certain rules without
concurrence by the Division of Real Estate; and
▸ makes technical changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
None
Utah Code Sections Affected:
AMENDS:
58-55-103
, as last amended by Laws of Utah 2010, Chapter 286
61-1-12
, as last amended by Laws of Utah 2009, Chapter 351
61-1-14
, as last amended by Laws of Utah 2010, Chapter 218
61-1-15.5
, as last amended by Laws of Utah 2009, Chapter 351
61-2e-304
, as enacted by Laws of Utah 2009, Chapter 269
61-2e-305
, as enacted by Laws of Utah 2009, Chapter 269
61-2f-103
, as last amended by Laws of Utah 2014, Chapter 350
61-2f-203
, as last amended by Laws of Utah 2013, Chapter 426
61-2f-204
, as last amended by Laws of Utah 2014, Chapter 350
61-2f-206
, as last amended by Laws of Utah 2013, Chapter 292
61-2f-306
, as renumbered and amended by Laws of Utah 2010, Chapter 379
61-2f-307
, as renumbered and amended by Laws of Utah 2010, Chapter 379
ENACTS:
61-1-18.8
, Utah Code Annotated 1953
61-2-205
, Utah Code Annotated 1953
Be it enacted by the Legislature of the state of Utah:
Section 1. Section 
58-55-103
 is amended to read:
58-55-103.
Construction Services Commission created -- Functions --
Appointment -- Qualifications and terms of members -- Vacancies -- Expenses -- Meetings
-- Concurrence.
(1) (a) There is created within the division the Construction Services Commission.
(b) The commission shall:
(i) with the concurrence of the director, make reasonable rules under Title 63G,
Chapter 3, Utah Administrative Rulemaking Act, to administer and enforce this chapter which
are consistent with this chapter including:
(A) licensing of various licensees;
(B) examination requirements and administration of the examinations, to include
approving and establishing a passing score for applicant examinations;
(C) standards of supervision for students or persons in training to become qualified to
obtain a license in the trade they represent; and
(D) standards of conduct for various licensees;
(ii) approve or disapprove fees adopted by the division under Section 
63J-1-504
;
(iii) except where the boards conduct them, conduct all administrative hearings not
delegated to an administrative law judge relating to the licensing of any applicant;
(iv) except as otherwise provided in Sections 
38-11-207
 and 
58-55-503
, with the
concurrence of the director, impose sanctions against licensees and certificate holders with the
same authority as the division under Section 
58-1-401
;
(v) advise the director on the administration and enforcement of any matters affecting
the division and the construction industry;
(vi) advise the director on matters affecting the division budget;
(vii) advise and assist trade associations in conducting construction trade seminars and
industry education and promotion; and
(viii) perform other duties as provided by this chapter.
(2) (a) Initially the commission shall be comprised of the five members of the
Contractors Licensing Board and two of the three chair persons from the Plumbers Licensing
Board, the Alarm System Security and Licensing Board, and the Electricians Licensing Board.
(b) The terms of office of the commission members who are serving on the Contractors
Licensing Board shall continue as they serve on the commission.
(c) Beginning July 1, 2004, the commission shall be comprised of nine members
appointed by the executive director with the approval of the governor from the following
groups:
(i) one member shall be a licensed general engineering contractor;
(ii) one member shall be a licensed general building contractor;
(iii) two members shall be licensed residential and small commercial contractors;
(iv) three members shall be the three chair persons from the Plumbers Licensing Board,
the Alarm System Security and Licensing Board, and the Electricians Licensing Board; and
(v) two members shall be from the general public, provided, however that the certified
public accountant on the Contractors Licensing Board will continue to serve until the current
term expires, after which both members under this Subsection (2)(c)(v) shall be appointed from
the general public.
(3) (a) Except as required by Subsection (3)(b), as terms of current commission
members expire, the executive director with the approval of the governor shall appoint each
new member or reappointed member to a four-year term ending June 30.
(b) Notwithstanding the requirements of Subsection (3)(a), the executive director with
the approval of the governor shall, at the time of appointment or reappointment, adjust the
length of terms to stagger the terms of commission members so that approximately 1/2 of the
commission members are appointed every two years.
(c) A commission member may not serve more than two consecutive terms.
(4) The commission shall elect annually one of its members as chair, for a term of one
year.
(5) When a vacancy occurs in the membership for any reason, the replacement shall be
appointed for the unexpired term.
(6) A member may not receive compensation or benefits for the member's service, but
may receive per diem and travel expenses in accordance with:
(a) Section 
63A-3-106
;
(b) Section 
63A-3-107
; and
(c) rules made by the Division of Finance pursuant to Sections 
63A-3-106
 and
63A-3-107
.
(7) (a) The commission shall meet at least monthly unless the director determines
otherwise.
(b) The director may call additional meetings at the director's discretion, upon the
request of the chair, or upon the written request of four or more commission members.
(8) (a) Five members constitute a quorum for the transaction of business.
(b) If a quorum is present when a vote is taken, the affirmative vote of commission
members present is the act of the commission.
(9) The commission shall comply with the procedures and requirements of Title 13,
Chapter 1, Department of Commerce, and Title 63G, Chapter 4, Administrative Procedures
Act, in all of its adjudicative proceedings.
(10) (a) For purposes of this Subsection (10), "concurrence" means the entities given a
concurring role must jointly agree for the action to be taken.
(b) If a provision of this chapter requires concurrence between the director or division
and the commission and no concurrence can be reached, the director or division has final
authority.
(c) When this chapter requires concurrence between the director or division and the
commission:
(i) the director or division shall report to and update the commission on a regular basis
related to matters requiring concurrence; and
(ii) the commission shall review the report submitted by the director or division under
this Subsection (10)(c) and concur with the report, or:
(A) provide a reason for not concurring with the report; and
(B) provide recommendations to the director or division.
Section 2. Section 
61-1-12
 is amended to read:
61-1-12.
Denial, suspension, and revocation of registration.
(1) [
Upon approval by a majority
] 
With the concurrence
 of the commission, the
director, by means of an adjudicative proceeding conducted in accordance with Title 63G,
Chapter 4, Administrative Procedures Act, may issue a stop order that denies effectiveness to,
or suspends or revokes the effectiveness of, any securities registration statement and may
impose a fine if the director finds that the order is in the public interest and that:
(a) the registration statement, as of its effective date or as of any earlier date in the case
of an order denying effectiveness, or an amendment under Subsection 
61-1-11
(10) as of its
effective date, or a report under Subsection 
61-1-11
(9), is incomplete in a material respect, or
contains a statement that was, in the light of the circumstances under which it was made, false
or misleading with respect to a material fact;
(b) this chapter, or a rule, order, or condition lawfully imposed under this chapter, is
willfully violated, in connection with the offering, by:
(i) the person filing the registration statement;
(ii) the issuer, a partner, officer, or director of the issuer, a person occupying a similar
status or performing similar functions, or a person directly or indirectly controlling or
controlled by the issuer, but only if the person filing the registration statement is directly or
indirectly controlled by or acting for the issuer; or
(iii) an underwriter;
(c) subject to Subsection (5), the security registered or sought to be registered is the
subject of an administrative stop order or similar order, or a permanent or temporary injunction
of a court of competent jurisdiction entered under another federal or state act applicable to the
offering;
(d) the issuer's enterprise or method of business includes or would include activities
that are illegal where performed;
(e) the offering has worked or tended to work a fraud upon purchasers or would so
operate;
(f) the offering is or would be made with unreasonable amounts of underwriters' and
sellers' discounts, commissions, or other compensation, or promoters' profits or participation,
or unreasonable amounts or kinds of options;
(g) when a security is sought to be registered by coordination, there is a failure to
comply with the undertaking required by Subsection 
61-1-9
(2)(d); or
(h) the applicant or registrant has failed to pay the proper filing fee.
(2) The director may enter an order under this section but may vacate the order if the
director finds that the conditions that prompted its entry have changed or that it is otherwise in
the public interest to do so.
(3) The director may not issue a stop order against an effective registration statement
on the basis of a fact or transaction known to the division when the registration statement
became effective unless the proceeding is instituted within the 120 days after the day on which
the registration statement becomes effective.
(4) A person may not be considered to have violated Section 
61-1-7
 or 
61-1-15
 by
reason of an order or sale effected after the entry of an order under this section if that person
proves by a preponderance of the evidence that the person did not know, and in the exercise of
reasonable care could not have known, of the order.
(5) (a) The director may not commence agency action against an effective registration
statement under Subsection (1)(c) more than one year from the day on which the order or
injunction on which the director relies is issued.
(b) The director may not enter an order under Subsection (1)(c) on the basis of an order
or injunction entered under the securities act of another state unless that order or injunction is
issued on the basis of facts that would constitute a ground for a stop order under this section at
the time the director commences the agency action.
Section 3. Section 
61-1-14
 is amended to read:
61-1-14.
Exemptions.
(1) The following securities are exempt from Sections 
61-1-7
 and 
61-1-15
:
(a) a security, including a revenue obligation, issued or guaranteed by the United
States, a state, a political subdivision of a state, or an agency or corporate or other
instrumentality of one or more of the foregoing, or a certificate of deposit for any of the
foregoing;
(b) a security issued or guaranteed by Canada, a Canadian province, a political
subdivision of a Canadian province, an agency or corporate or other instrumentality of one or
more of the foregoing, or another foreign government with which the United States currently
maintains diplomatic relations, if the security is recognized as a valid obligation by the issuer
or guarantor;
(c) a security issued by and representing an interest in or a debt of, or guaranteed by, a
depository institution organized under the laws of the United States, or a depository institution
or trust company supervised under the laws of a state;
(d) a security issued or guaranteed by a public utility or a security regulated in respect
of its rates or in its issuance by a governmental authority of the United States, a state, Canada,
or a Canadian province;
(e) (i) a federal covered security specified in the Securities Act of 1933, Section
18(b)(1), 15 U.S.C. [
Section
] 
Sec.
 77r(b)(1), or by rule adopted under that provision;
(ii) a security listed or approved for listing on another securities market specified by
rule under this chapter;
(iii) any of the following with respect to a security described in Subsection (1)(e)(i) or
(ii):
(A) a put or a call option contract;
(B) a warrant; or
(C) a subscription right on or with respect to the security;
(iv) an option or similar derivative security on a security or an index of securities or
foreign currencies issued by a clearing agency that is:
(A) registered under the Securities Exchange Act of 1934; and
(B) listed or designated for trading on a national securities exchange, or a facility of a
national securities association registered under the Securities Exchange Act of 1934;
(v) an offer or sale, of the underlying security in connection with the offer, sale, or
exercise of an option or other security that was exempt when the option or other security was
written or issued; or
(vi) an option or a derivative security designated by the Securities and Exchange
Commission under Securities Exchange Act of 1934, Section 9(b), 15 U.S.C. [
Section
] 
Sec.
78i(b);
(f) (i) a security issued by a person organized and operated not for private profit but
exclusively for religious, educational, benevolent, charitable, fraternal, social, athletic, or
reformatory purposes, or as a chamber of commerce or trade or professional association; and
(ii) a security issued by a corporation organized under Title 3, Chapter 1, General
Provisions Relating to Agricultural Cooperative Associations, and a security issued by a
corporation to which that chapter is made applicable by compliance with Section 
3-1-21
;
(g) an investment contract issued in connection with an employees' stock purchase,
option, savings, pension, profit-sharing, or similar benefit plan;
(h) a security issued by an investment company that is registered, or that has filed a
registration statement, under the Investment Company Act of 1940; and
(i) a security as to which the director, by rule or order, finds that registration is not
necessary or appropriate for the protection of investors.
(2) The following transactions are exempt from Sections 
61-1-7
 and 
61-1-15
:
(a) an isolated nonissuer transaction, whether effected through a broker-dealer or not;
(b) a nonissuer transaction in an outstanding security, if as provided by rule of the
division:
(i) information about the issuer of the security as required by the division is currently
listed in a securities manual recognized by the division, and the listing is based upon such
information as required by rule of the division; or
(ii) the security has a fixed maturity or a fixed interest or dividend provision and there
is no default during the current fiscal year or within the three preceding fiscal years, or during
the existence of the issuer and any predecessors if less than three years, in the payment of
principal, interest, or dividends on the security;
(c) a nonissuer transaction effected by or through a registered broker-dealer pursuant to
an unsolicited order or offer to buy;
(d) a transaction between the issuer or other person on whose behalf the offering is
made and an underwriter, or among underwriters;
(e) a transaction in a bond or other evidence of indebtedness secured by a real or
chattel mortgage or deed of trust, or by an agreement for the sale of real estate or chattels, if the
entire mortgage, deed of trust, or agreement, together with all the bonds or other evidences of
indebtedness secured thereby, is offered and sold as a unit;
(f) a transaction by an executor, administrator, sheriff, marshal, receiver, trustee in
bankruptcy, guardian, or conservator;
(g) a transaction executed by a bona fide pledgee without a purpose of evading this
chapter;
(h) an offer or sale to one of the following whether the purchaser is acting for itself or
in a fiduciary capacity:
(i) a depository institution;
(ii) a trust company;
(iii) an insurance company;
(iv) an investment company as defined in the Investment Company Act of 1940;
(v) a pension or profit-sharing trust;
(vi) other financial institution or institutional investor; or
(vii) a broker-dealer;
(i) an offer or sale of a preorganization certificate or subscription if:
(i) no commission or other remuneration is paid or given directly or indirectly for
soliciting a prospective subscriber;
(ii) the number of subscribers acquiring a legal or beneficial interest therein does not
exceed 10;
(iii) there is no general advertising or solicitation in connection with the offer or sale;
and
(iv) no payment is made by a subscriber;
(j) subject to Subsection (6), a transaction pursuant to an offer by an issuer of its
securities to its existing securities holders, if:
(i) no commission or other remuneration, other than a standby commission is paid or
given directly or indirectly for soliciting a security holder in this state; and
(ii) the transaction constitutes:
(A) the conversion of convertible securities;
(B) the exercise of nontransferable rights or warrants;
(C) the exercise of transferable rights or warrants if the rights or warrants are
exercisable not more than 90 days after their issuance;
(D) the purchase of securities under a preemptive right; or
(E) a transaction other than one specified in Subsections (2)(j)(ii)(A) through (D) if:
(I) the division is furnished with:
(Aa) a general description of the transaction;
(Bb) the disclosure materials to be furnished to the issuer's securities holders in the
transaction; and
(Cc) a non-refundable fee; and
(II) the division does not, by order, deny or revoke the exemption within 20 working
days after the day on which the filing required by Subsection (2)(j)(ii)(E)(I) is complete;
(k) an offer, but not a sale, of a security for which a registration statement is filed under
both this chapter and the Securities Act of 1933 if no stop order or refusal order is in effect and
no public proceeding or examination looking toward such an order is pending;
(l) a distribution of securities as a dividend if the person distributing the dividend is the
issuer of the securities distributed;
(m) a nonissuer transaction effected by or through a registered broker-dealer where the
broker-dealer or issuer files with the division, and the broker-dealer maintains in the
broker-dealer's records, and makes reasonably available upon request to a person expressing an
interest in a proposed transaction in the security with the broker-dealer information prescribed
by the division under its rules;
(n) a transaction not involving a public offering;
(o) an offer or sale of "condominium units" or "time period units" as those terms are
defined in Title 57, Chapter 8, Condominium Ownership Act, whether or not to be sold by
installment contract, if the following are complied with:
(i) Title 57, Chapter 8, Condominium Ownership Act, or if the units are located in
another state, the condominium act of that state;
(ii) Title 57, Chapter 11, Utah Uniform Land Sales Practices Act;
(iii) Title 57, Chapter 19, Timeshare and Camp Resort Act; and
(iv) Title 70C, Utah Consumer Credit Code;
(p) a transaction or series of transactions involving a merger, consolidation,
reorganization, recapitalization, reclassification, or sale of assets, if the consideration for
which, in whole or in part, is the issuance of securities of a person or persons, and if:
(i) the transaction or series of transactions is incident to a vote of the securities holders
of each person involved or by written consent or resolution of some or all of the securities
holders of each person involved;
(ii) the vote, consent, or resolution is given under a provision in:
(A) the applicable corporate statute or other controlling statute;
(B) the controlling articles of incorporation, trust indenture, deed of trust, or
partnership agreement; or
(C) the controlling agreement among securities holders;
(iii) (A) one person involved in the transaction is required to file proxy or
informational materials under Section 14(a) or (c) of the Securities Exchange Act of 1934 or
Section 20 of the Investment Company Act of 1940 and has so filed;
(B) one person involved in the transaction is an insurance company that is exempt from
filing under Section 12(g)(2)(G) of the Securities Exchange Act of 1934, and has filed proxy or
informational materials with the appropriate regulatory agency or official of its domiciliary
state; or
(C) all persons involved in the transaction are exempt from filing under Section
12(g)(1) of the Securities Exchange Act of 1934, and file with the division such proxy or
informational material as the division requires by rule;
(iv) the proxy or informational material is filed with the division and distributed to all
securities holders entitled to vote in the transaction or series of transactions at least 10 working
days [
prior to
] 
before
 any necessary vote by the securities holders or action on any necessary
consent or resolution; and
(v) the division does not, by order, deny or revoke the exemption within 10 working
days after filing of the proxy or informational materials;
(q) subject to Subsection (7), a transaction pursuant to an offer to sell securities of an
issuer if:
(i) the transaction is part of an issue in which there are not more than 15 purchasers in
this state, other than those designated in Subsection (2)(h), during any 12 consecutive months;
(ii) no general solicitation or general advertising is used in connection with the offer to
sell or sale of the securities;
(iii) no commission or other similar compensation is given, directly or indirectly, to a
person other than a broker-dealer or agent licensed under this chapter, for soliciting a
prospective purchaser in this state;
(iv) the seller reasonably believes that all the purchasers in this state are purchasing for
investment; and
(v) the transaction is part of an aggregate offering that does not exceed $1,000,000, or a
greater amount as prescribed by a division rule, during any 12 consecutive months;
(r) a transaction involving a commodity contract or commodity option;
(s) a transaction in a security, whether or not the security or transaction is otherwise
exempt if:
(i) the transaction is:
(A) in exchange for one or more outstanding securities, claims, or property interests; or
(B) partly for cash and partly in exchange for one or more outstanding securities,
claims, or property interests; and
(ii) the terms and conditions are approved by the director after a hearing under Section
61-1-11.1
;
(t) a transaction incident to a judicially approved reorganization in which a security is
issued:
(i) in exchange for one or more outstanding securities, claims, or property interests; or
(ii) partly for cash and partly in exchange for one or more outstanding securities,
claims, or property interests;
(u) a nonissuer transaction by a federal covered investment adviser with investments
under management in excess of $100,000,000 acting in the exercise of discretionary authority
in a signed record for the account of others; and
(v) a transaction as to which the division finds that registration is not necessary or
appropriate for the protection of investors.
(3) A person filing an exemption notice or application shall pay a filing fee as
determined under Section 
61-1-18.4
.
(4) [
Upon approval by a majority
] 
With the concurrence
 of the commission, the
director, by means of an adjudicative proceeding conducted in accordance with Title 63G,
Chapter 4, Administrative Procedures Act, may deny or revoke an exemption specified in
Subsection (1)(f) or (g) or in Subsection (2) with respect to:
(a) a specific security, transaction, or series of transactions; or
(b) a person or issuer, an affiliate or successor to a person or issuer, or an entity
subsequently organized by or on behalf of a person or issuer generally and may impose a fine if
the director finds that the order is in the public interest and that:
(i) the application for or notice of exemption filed with the division is incomplete in a
material respect or contains a statement which was, in the light of the circumstances under
which it was made, false or misleading with respect to a material fact;
(ii) this chapter, or a rule, order, or condition lawfully imposed under this chapter has
been willfully violated in connection with the offering or exemption by:
(A) the person filing an application for or notice of exemption;
(B) the issuer, a partner, officer, or director of the issuer, a person occupying a similar
status or performing similar functions, or a person directly or indirectly controlling or
controlled by the issuer, but only if the person filing the application for or notice of exemption
is directly or indirectly controlled by or acting for the issuer; or
(C) an underwriter;
(iii) subject to Subsection (8), the security for which the exemption is sought is the
subject of an administrative stop order or similar order, or a permanent or temporary injunction
or a court of competent jurisdiction entered under another federal or state act applicable to the
offering or exemption;
(iv) the issuer's enterprise or method of business includes or would include activities
that are illegal where performed;
(v) the offering has worked, has tended to work, or would operate to work a fraud upon
purchasers;
(vi) the offering is or was made with unreasonable amounts of underwriters' and sellers'
discounts, commissions, or other compensation, or promoters' profits or participation, or
unreasonable amounts or kinds of options;
(vii) an exemption is sought for a security or transaction that is not eligible for the
exemption; or
(viii) the proper filing fee, if required, has not been paid.
(5) (a) An order under Subsection (4) may not operate retroactively.
(b) A person may not be considered to have violated Section 
61-1-7
 or 
61-1-15
 by
reason of an offer or sale effected after the entry of an order under this Subsection (5) if the
person sustains the burden of proof that the person did not know, and in the exercise of
reasonable care could not have known, of the order.
(6) The exemption created by Subsection (2)(j) is not available for an offer or sale of a
security to an existing securities holder who has acquired the holder's security from the issuer
in a transaction in violation of Section 
61-1-7
.
(7) As to a security, a transaction, or a type of security or transaction, the division may:
(a) withdraw or further condition the exemption described in Subsection (2)(q); or
(b) waive one or more of the conditions described in Subsection (2)(q).
(8) (a) The director may not institute a proceeding against an effective exemption under
Subsection (4)(b) more than one year from the day on which the order or injunction on which
the director relies is issued.
(b) The director may not enter an order under Subsection (4)(b) on the basis of an order
or injunction entered under another state act unless that order or injunction is issued on the
basis of facts that would constitute a ground for a stop order under this section at the time the
director enters the order.
Section 4. Section 
61-1-15.5
 is amended to read:
61-1-15.5.
Federal covered securities.
(1) The division by rule or order may require the filing of any of the following
documents with respect to a covered security under Section 18(b)(2) of the Securities Act of
1933:
(a) [
prior to
] 
before
 the initial offer of federal covered security in this state, a notice
form as prescribed by the division or all documents that are part of a federal registration
statement filed with the Securities and Exchange Commission under the Securities Act of
1933, together with a consent to service of process signed by the issuer and a filing fee as
determined under Section 
61-1-18.4
;
(b) after the initial offer of such federal covered security in this state, all documents
that are part of an amendment to a federal registration statement filed with the U.S. Securities
and Exchange Commission under the Securities Act of 1933, which shall be filed concurrently
with the division;
(c) a report of the value of federal covered securities offered or sold in this state,
together with a filing fee as determined under Section 
61-1-18.4
; and
(d) a notice filing under this section shall be effective for one year and shall be
renewed annually in order to continue to offer or sell the federal covered securities for which
the notice was filed.
(2) With respect to a security that is a covered security under Section 18(b)(4)(D) of
the Securities Act of 1933, the division by rule or order may require the issuer to file a notice
on SEC Form D and a consent to service of process signed by the issuer no later than 15 days
after the first sale of such covered security in this state, together with a filing fee as determined
under Section 
61-1-18.4
.
(3) The division by rule or order may require the filing of a document filed with the
Securities and Exchange Commission under the Securities Act of 1933, with respect to a
covered security under Securities Act of 1933, Section 18(b)(3) or (4), together with a filing fee
as determined under Section 
61-1-18.4
.
(4) [
Upon approval by a majority of the commission,
] 
With the concurrence of the
commission,
 the director, by means of an adjudicative proceeding conducted in accordance
with Title 63G, Chapter 4, Administrative Procedures Act, may issue a stop order suspending
the offer and sale of a federal covered security, except a covered security under Section
18(b)(1) of the Securities Act of 1933, if the director finds that the order is in the public interest
and there is a failure to comply with any condition established under this section.
(5) The division by rule or order may waive any or all of the provisions of this section.
Section 5. Section 
61-1-18.8
 is enacted to read:
 61-1-18.8.
Concurrence under this chapter.
(1) For purposes of this section, "concurrence" means the entities given a concurring
role must jointly agree for the action to be taken.
(2) Except for Section 
61-1-18.7
, if a provision of this chapter requires concurrence
between the director or division and the commission and no concurrence can be reached, the
director or division has final authority.
(3) When this chapter requires concurrence between the director or division and the
commission:
(a) the director or division shall report to and update the commission on a regular basis
related to matters requiring concurrence; and
(b) the commission shall review the report submitted by the director or division under
this Subsection (3) and concur with the report, or:
(i) provide a reason for not concurring with the report; and
(ii) provide recommendations to the division or director.
Section 6. Section 
61-2-205
 is enacted to read:
 61-2-205.
Concurrence.
(1) If a provision under this title requires concurrence between the director or division
and a commission or board created under this title and no concurrence can be reached, the
director or division has final authority.
(2) When this title requires concurrence between the director or division and a
commission or board:
(a) the director or division shall report to and update the commission or board on a
regular basis related to matters requiring concurrence; and
(b) the commission or board shall review the report submitted by the director or
division under this Subsection (2) and concur with the report, or:
(i) provide a reason for not concurring with the report; and
(ii) provide recommendations to the director or division.
Section 7. Section 
61-2e-304
 is amended to read:
61-2e-304.
Required disclosure.
(1) Before an appraisal management company may receive money from a client for a
real estate appraisal activity requested by the client, the appraisal management company shall
disclose to the client the total compensation that the appraisal management company pays to
the appraiser who performs the real estate appraisal activity.
(2) The board
, with the concurrence of the division,
 may define by rule made in
accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act:
(a) what constitutes the total compensation that an appraisal management company
pays to an appraiser who performs a real estate appraisal activity, except that the rules shall
provide for disclosing this amount:
(i) as a dollar amount; or
(ii) as a percentage of the total amount charged to a client by an appraisal management
company;
(b) the method an appraisal management company is required to use in calculating the
figures described in Subsection (2)(a); and
(c) the form and content of the disclosure required by Subsection (1).
Section 8. Section 
61-2e-305
 is amended to read:
61-2e-305.
Employee requirements.
(1) Subsection (2) applies to an individual who:
(a) (i) is an employee of an appraisal management company; or
(ii) works on behalf of an appraisal management company; and
(b) (i) selects an appraiser for the performance of a real estate appraisal activity for the
appraisal management company; or
(ii) reviews a completed appraisal.
(2) (a) An individual described in Subsection (1) is required to be appropriately trained
and qualified in the performance of an appraisal, as determined by 
rule made by
 the board [
by
rule made
]
, with the concurrence of the division,
 in accordance with Title 63G, Chapter 3, Utah
Administrative Rulemaking Act.
(b) For purposes of an individual described in Subsection (1) who reviews the work of
an appraiser, to comply with this Subsection (2), the individual shall demonstrate knowledge of
the applicable appraisal standards, as determined by 
rule made by
 the board [
by rule made
]
,
with the concurrence of the division,
 in accordance with Title 63G, Chapter 3, Utah
Administrative Rulemaking Act.
Section 9. Section 
61-2f-103
 is amended to read:
61-2f-103.
Real Estate Commission.
(1) There is created within the division a Real Estate Commission. The commission
shall:
(a) 
subject to concurrence by the division and
 in accordance with Title 63G, Chapter 3,
Utah Administrative Rulemaking Act, make rules for the administration of this chapter that are
not inconsistent with this chapter, including:
(i) licensing of:
(A) a principal broker;
(B) an associate broker; and
(C) a sales agent;
(ii) registration of:
(A) an entity; and
(B) a branch office;
(iii) prelicensing and postlicensing education curricula;
(iv) examination procedures;
(v) the certification and conduct of:
(A) a real estate school;
(B) a course provider; or
(C) an instructor;
(vi) proper handling of money received by a licensee under this chapter;
(vii) brokerage office procedures and recordkeeping requirements;
(viii) property management;
(ix) standards of conduct for a licensee under this chapter;
(x) a rule made under Section 
61-2f-307
 regarding an undivided fractionalized
long-term estate; and
(xi) if the commission
, with the concurrence of the division,
 determines necessary, a
rule as provided in Subsection 
61-2f-306
(3) regarding a legal form;
(b) establish, with the concurrence of the division, a fee provided for in this chapter,
except a fee imposed under Part 5, Real Estate Education, Research, and Recovery Fund Act;
(c) conduct an administrative hearing not delegated by the commission to an
administrative law judge or the division relating to the:
(i) licensing of an applicant;
(ii) conduct of a licensee;
(iii) the certification or conduct of a real estate school, course provider, or instructor
regulated under this chapter; or
(iv) violation of this chapter by any person;
(d) with the concurrence of the director, impose a sanction as provided in Section
61-2f-404
;
(e) advise the director on the administration and enforcement of a matter affecting the
division and the real estate sales and property management industries;
(f) advise the director on matters affecting the division budget;
(g) advise and assist the director in conducting real estate seminars; and
(h) perform other duties as provided by this chapter.
(2) (a) Except as provided in Subsection (2)(b), a state entity may not, without the
concurrence of the commission, make a rule that changes the rights, duties, or obligations of
buyers, sellers, or persons licensed under this chapter in relation to a real estate transaction
between private parties.
(b) Subsection (2)(a) does not apply to a rule made:
(i) under Title 31A, Insurance Code, or Title 7, Financial Institutions Act; or
(ii) by the Department of Commerce or any division or other rulemaking body within
the Department of Commerce.
(3) (a) The commission shall be comprised of five members appointed by the governor
and approved by the Senate.
(b) Four of the commission members shall:
(i) have at least five years' experience in the real estate business; and
(ii) hold an active principal broker, associate broker, or sales agent license.
(c) One commission member shall be a member of the general public.
(d) The governor may not appoint a commission member described in Subsection
(3)(b) who, at the time of appointment, resides in the same county in the state as another
commission member.
(e) At least one commission member described in Subsection (3)(b) shall at the time of
an appointment reside in a county that is not a county of the first or second class.
(4) (a) Except as required by Subsection (4)(b), as terms of current commission
members expire, the governor shall appoint each new member or reappointed member to a
four-year term ending June 30.
(b) Notwithstanding the requirements of Subsection (4)(a), the governor shall, at the
time of appointment or reappointment, adjust the length of terms to ensure that the terms of
commission members are staggered so that approximately half of the commission is appointed
every two years.
(c) Upon the expiration of the term of a member of the commission, the member of the
commission shall continue to hold office until a successor is appointed and qualified.
(d) A commission member may not serve more than two consecutive terms.
(e) Members of the commission shall annually select one member to serve as chair.
(5) When a vacancy occurs in the membership for any reason, the governor, with the
consent of the Senate, shall appoint a replacement for the unexpired term.
(6) A member may not receive compensation or benefits for the member's service, but
may receive per diem and travel expenses in accordance with:
(a) Section 
63A-3-106
;
(b) Section 
63A-3-107
; and
(c) rules made by the Division of Finance pursuant to Sections 
63A-3-106
 and
63A-3-107
.
(7) (a) The commission shall meet at least monthly.
(b) The director may call additional meetings:
(i) at the director's discretion;
(ii) upon the request of the chair; or
(iii) upon the written request of three or more commission members.
(8) Three members of the commission constitute a quorum for the transaction of
business.
Section 10. Section 
61-2f-203
 is amended to read:
61-2f-203.
Licensing requirements.
(1) (a) (i) The division shall determine whether an applicant with a criminal history
qualifies for licensure.
(ii) If the division, acting under Subsection (1)(a)(i), denies or restricts a license or
places a license on probation, the applicant may petition the commission for de novo review of
the application.
(b) Except as provided in Subsection (5), the commission shall determine all other
qualifications and requirements of an applicant for:
(i) a principal broker license;
(ii) an associate broker license; or
(iii) a sales agent license.
(c) The division, with the concurrence of the commission, shall require and pass upon
proof necessary to determine the honesty, integrity, truthfulness, reputation, and competency of
each applicant for an initial license or for renewal of an existing license.
(d) (i) The division, with the concurrence of the commission, shall require an applicant
for:
(A) a sales agent license to complete an approved educational program consisting of
the number of hours designated by rule made by the commission with the concurrence of the
division, except that the rule may not require less than 120 hours; and
(B) an associate broker or a principal broker license to complete an approved
educational program consisting of the number of hours designated by rule made by the
commission with the concurrence of the division, except that the rule may not require less than
120 hours.
(ii) An hour required by this section means 50 minutes of instruction in each 60
minutes.
(iii) The maximum number of program hours available to an individual is eight hours
per day.
(e) The division, with the concurrence of the commission, shall require the applicant to
pass an examination approved by the commission covering:
(i) the fundamentals of:
(A) the English language;
(B) arithmetic;
(C) bookkeeping; and
(D) real estate principles and practices;
(ii) this chapter;
(iii) the rules established by the commission 
with the concurrence of the division
; and
(iv) any other aspect of Utah real estate license law considered appropriate.
(f) (i) Three years' full-time experience as a sales agent or its equivalent is required
before an applicant may apply for, and secure a principal broker or associate broker license in
this state.
(ii) The commission shall establish by rule[
,
] made in accordance with Title 63G,
Chapter 3, Utah Administrative Rulemaking Act, 
subject to concurrence by the division,
 the
criteria by which the commission will accept experience or special education in similar fields
of business in lieu of the three years' experience.
(2) (a) The division, with the concurrence of the commission, may require an applicant
to furnish a sworn statement setting forth evidence satisfactory to the division of the applicant's
reputation and competency as set forth by rule.
(b) The division shall require an applicant to provide the applicant's [
Social Security
]
social security
 number, which is a private record under Subsection 
63G-2-302
(1)(i).
(3) (a) An individual who is not a resident of this state may be licensed in this state if
the person complies with this chapter.
(b) An individual who is not a resident of this state may be licensed as an associate
broker or sales agent in this state by:
(i) complying with this chapter; and
(ii) being employed or engaged as an independent contractor by or on behalf of a
principal broker who is licensed in this state, regardless of whether the principal broker is a
resident of this state.
(4) (a) The division and commission shall treat an application to be relicensed of an
applicant whose real estate license is revoked as an original application.
(b) In the case of an applicant for a new license as a principal broker or associate
broker, the applicant is not entitled to credit for experience gained before the revocation of a
real estate license.
(5) (a) Notwithstanding Subsection (1)(b), the commission may delegate to the division
the authority to:
(i) review a class or category of applications for initial or renewed licenses;
(ii) determine whether an applicant meets the licensing criteria in Subsection (1); and
(iii) approve or deny a license application without concurrence by the commission.
(b) (i) If the commission delegates to the division the authority to approve or deny an
application without concurrence by the commission and the division denies an application for
licensure, the applicant who is denied licensure may petition the commission for de novo
review of the application.
(ii) An applicant who is denied licensure pursuant to this Subsection (5) may seek
agency review by the executive director only after the commission has reviewed the division's
denial of the applicant's application.
Section 11. Section 
61-2f-204
 is amended to read:
61-2f-204.
 Licensing fees and procedures -- Renewal fees and procedures.
(1) (a) Upon filing an application for an examination for a license under this chapter,
the applicant shall pay a nonrefundable fee established in accordance with Section 
63J-1-504
for admission to the examination.
(b) An applicant for a principal broker, associate broker, or sales agent license shall
pay a nonrefundable fee as determined by the commission with the concurrence of the division
under Section 
63J-1-504
 for issuance of an initial license or license renewal.
(c) A license issued under this Subsection (1) shall be issued for a period of not less
than two years as determined by the division with the concurrence of the commission.
(d) (i) Any of the following applicants shall comply with this Subsection (1)(d):
(A) a new sales agent applicant;
(B) a principal broker applicant; or
(C) an associate broker applicant.
(ii) An applicant described in this Subsection (1)(d) shall:
(A) submit fingerprint cards in a form acceptable to the division at the time the license
application is filed; and
(B) consent to a criminal background check by the Utah Bureau of Criminal
Identification and the Federal Bureau of Investigation regarding the application.
(iii) The division shall request the Department of Public Safety to complete a Federal
Bureau of Investigation criminal background check for each applicant described in this
Subsection (1)(d) through the national criminal history system or any successor system.
(iv) The applicant shall pay the cost of the criminal background check and the
fingerprinting.
(v) Money paid to the division by an applicant for the cost of the criminal background
check is nonlapsing.
(e) (i) A license issued under Subsection (1)(d) is conditional, pending completion of
the criminal background check.
(ii) A license is immediately and automatically revoked if the criminal background
check discloses the applicant fails to accurately disclose a criminal history involving:
(A) the real estate industry; or
(B) a felony conviction on the basis of an allegation of fraud, misrepresentation, or
deceit.
(iii) If a criminal background check discloses that an applicant fails to accurately
disclose a criminal history other than one described in Subsection (1)(e)(ii), the division:
(A) shall review the application; and
(B) in accordance with rules made by the division pursuant to Title 63G, Chapter 3,
Utah Administrative Rulemaking Act, may:
(I) place a condition on a license;
(II) place a restriction on a license;
(III) revoke a license; or
(IV) refer the application to the commission for a decision.
(iv) A person whose conditional license is automatically revoked under Subsection
(1)(e)(ii) or whose license is conditioned, restricted, or revoked under Subsection (1)(e)(iii)
may have a hearing after the action is taken to challenge the action. The hearing shall be
conducted in accordance with Title 63G, Chapter 4, Administrative Procedures Act.
(v) The director shall designate one of the following to act as the presiding officer in a
hearing described in Subsection (1)(e)(iv):
(A) the division; or
(B) the division with the concurrence of the commission.
(vi) The decision on whether relief from an action under this Subsection (1)(e) will be
granted shall be made by the presiding officer.
(vii) Relief from an automatic revocation under Subsection (1)(e)(ii) may be granted
only if:
(A) the criminal history upon which the division based the revocation:
(I) did not occur; or
(II) is the criminal history of another person;
(B) (I) the revocation is based on a failure to accurately disclose a criminal history; and
(II) the applicant has a reasonable good faith belief at the time of application that there
was no criminal history to be disclosed; or
(C) the division fails to follow the prescribed procedure for the revocation.
(viii) If a license is revoked or a revocation under this Subsection (1)(e) is upheld after
a hearing, the individual may not apply for a new license until at least 12 months after the day
on which the license is revoked.
(2) (a) (i) A license expires if it is not renewed on or before its expiration date.
(ii) As a condition of renewal, an active licensee shall demonstrate competence by
completing 18 hours of continuing education within a two-year renewal period subject to rules
made by the commission, with the concurrence of the division.
(iii) In making a rule described in Subsection (2)(c)(ii), the division and commission
shall consider:
(A) evaluating continuing education on the basis of competency, rather than course
time;
(B) allowing completion of courses in a significant variety of topic areas that the
division and commission determine are valuable in assisting an individual licensed under this
chapter to increase the individual's competency; and
(C) allowing completion of courses that will increase a licensee's professional
competency in the area of practice of the licensee.
(iv) The division may award credit to a licensee for a continuing education requirement
of this Subsection (2)(a) for a reasonable period of time upon a finding of reasonable cause,
including:
(A) military service; or
(B) if an individual is elected or appointed to government service, the individual's
government service during which the individual spends a substantial time addressing real estate
issues subject to conditions established by rule made in accordance with Title 63G, Chapter 3,
Utah Administrative Rulemaking Act.
(b) For a period of 30 days after the day on which a license expires, the license may be
reinstated:
(i) if the applicant's license was inactive on the day on which the applicant's license
expired, upon payment of a renewal fee and a late fee determined by the commission with the
concurrence of the division under Section 
63J-1-504
; or
(ii) if the applicant's license was active on the day on which the applicant's license
expired, upon payment of a renewal fee and a late fee determined by the commission with the
concurrence of the division under Section 
63J-1-504
, and providing proof acceptable to the
division and the commission of the licensee having:
(A) completed the hours of education required by Subsection (2)(a); or
(B) demonstrated competence as required under Subsection (2)(a).
(c) After the 30-day period described in Subsection (2)(b), and until six months after
the day on which an active or inactive license expires, the license may be reinstated by:
(i) paying a renewal fee and a late fee determined by the commission with the
concurrence of the division under Section 
63J-1-504
;
(ii) providing to the division proof of satisfactory completion of six hours of continuing
education:
(A) in addition to the requirements for a timely renewal; and
(B) on a subject determined by the commission by rule 
with the concurrence of the
division and
 made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking
Act; and
(iii) providing proof acceptable to the division and the commission of the licensee
having:
(A) completed the hours of education required under Subsection (2)(a); or
(B) demonstrated competence as required under Subsection (2)(a).
(d) After the six-month period described in Subsection (2)(c), and until one year after
the day on which an active or inactive license expires, the license may be reinstated by:
(i) paying a renewal fee and a late fee determined by the commission with the
concurrence of the division under Section 
63J-1-504
;
(ii) providing to the division proof of satisfactory completion of 24 hours of continuing
education:
(A) in addition to the requirements for a timely renewal; and
(B) on a subject determined by the commission by rule made in accordance with Title
63G, Chapter 3, Utah Administrative Rulemaking Act
, subject to concurrence by the division
;
and
(iii) providing proof acceptable to the division and the commission of the licensee
having:
(A) completed the hours of education required by Subsection (2)(a); or
(B) demonstrated competence as required under Subsection (2)(a).
(e) The division shall relicense a person who does not renew that person's license
within one year as prescribed for an original application.
(f) Notwithstanding Subsection (2)(a), the division may extend the term of a license
that would expire under Subsection (2)(a) except for the extension if:
(i) (A) the person complies with the requirements of this section to renew the license;
and
(B) the renewal application remains pending at the time of the extension; or
(ii) at the time of the extension, there is pending a disciplinary action under this
chapter.
(3) (a) As a condition for the activation of an inactive license that was in an inactive
status at the time of the licensee's most recent renewal, the licensee shall supply the division
with proof of:
(i) successful completion of the respective sales agent or principal broker licensing
examination within six months before applying to activate the license; or
(ii) the successful completion of the hours of continuing education that the licensee
would have been required to complete under Subsection (2)(a) if the license had been on active
status at the time of the licensee's most recent renewal.
(b) The commission may, in accordance with Title 63G, Chapter 3, Utah
Administrative Rulemaking Act, 
subject to concurrence by the division,
 establish by rule:
(i) the nature or type of continuing education required for reactivation of a license; and
(ii) how long before reactivation the continuing education must be completed.
Section 12. Section 
61-2f-206
 is amended to read:
61-2f-206.
Registration of entity or branch office -- Certification of education
providers and courses -- Specialized licenses.
(1) (a) An entity may not engage in an activity described in Section 
61-2f-201
, unless it
is registered with the division.
(b) To register with the division under this Subsection (1), an entity shall submit to the
division:
(i) an application in a form required by the division;
(ii) evidence of an affiliation with a principal broker;
(iii) evidence that the entity is registered and in good standing with the Division of
Corporations and Commercial Code; and
(iv) a registration fee established by the commission with the concurrence of the
division under Section 
63J-1-504
.
(c) The division may terminate an entity's registration if:
(i) the entity's registration with the Division of Corporations and Commercial Code has
been expired for at least three years; and
(ii) the entity's license with the division has been inactive for at least three years.
(2) (a) A principal broker shall register with the division each of the principal broker's
branch offices.
(b) To register a branch office with the division under this Subsection (2), a principal
broker shall submit to the division:
(i) an application in a form required by the division; and
(ii) a registration fee established by the commission with the concurrence of the
division under Section 
63J-1-504
.
(3) (a) In accordance with rules made by the commission 
with the concurrence of the
division
, the division shall certify:
(i) a real estate school;
(ii) a course provider; or
(iii) an instructor.
(b) In accordance with rules made by the commission, [
and with the concurrence of the
commission
] 
subject to concurrence by the division
, the division shall certify a continuing
education course that is required under this chapter.
(4) (a) Except as provided by rule, a principal broker may not be responsible for more
than one registered entity at the same time.
(b) (i) In addition to issuing a principal broker license, associate broker license, or sales
agent license authorizing the performance of an act set forth in Section 
61-2f-201
, the division
may issue a specialized sales license or specialized property management license with the
scope of practice limited to the specialty.
(ii) An individual may hold a specialized license in addition to a license as a principal
broker, associate broker, or a sales agent.
(iii) The commission may adopt rules pursuant to Title 63G, Chapter 3, Utah
Administrative Rulemaking Act, 
subject to concurrence by the division,
 for the administration
of this Subsection (4), including:
(A) prelicensing and postlicensing education requirements;
(B) examination requirements;
(C) affiliation with real estate brokerages or property management companies; and
(D) other licensing procedures.
Section 13. Section 
61-2f-306
 is amended to read:
61-2f-306.
Rights and privileges of real estate licensees to fill out forms or
documents.
(1) Except as provided in Subsection (2), a real estate licensee may fill out only those
legal forms approved by the commission and the attorney general, and those forms provided by
statute.
(2) (a) (i) A principal broker may fill out any documents associated with the closing of
a real estate transaction.
(ii) A branch broker or associate broker may fill out any documents associated with the
closing of a real estate transaction if designated to fill out the documents by the principal
broker with whom the branch broker or associate broker is affiliated.
(b) A real estate licensee may fill out real estate forms prepared by legal counsel of the
buyer, seller, lessor, or lessee.
(c) If the commission and the attorney general have not approved a specific form for
the transaction, a principal broker, associate broker, or sales agent may fill out real estate forms
prepared by any legal counsel, including legal counsel retained by the brokerage to develop
these forms.
(3) The commission may
,
 by rule[
,
] made in accordance with Title 63G, Chapter 3,
Utah Administrative Rulemaking Act, 
subject to concurrence by the division,
 provide a process
for the approval of a legal form under this section by the commission and the attorney general.
Section 14. Section 
61-2f-307
 is amended to read:
61-2f-307.
Rulemaking required for offer or sale of an undivided fractionalized
long-term estate -- Disclosures -- Management agreement.
(1) (a) A licensee or certificate holder under this chapter who sells or offers to sell an
undivided fractionalized long-term estate shall comply with the disclosure requirements
imposed by [
rules
] 
rule
 made by the commission 
with the concurrence of the division
 under
this section.
(b) [
In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
the
] 
The
 commission shall [
make rules as to
]
, subject to concurrence by the division, establish,
by rule made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
the timing, form, and substance of disclosures required to be made by a licensee or certificate
holder under this section.
(2) [
In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
the commission shall make rules imposing requirements
] 
The commission shall, subject to
concurrence by the division, establish requirements, by rule made in accordance with Title
63G, Chapter 3, Utah Administrative Rulemaking Act,
 for a management agreement related to
an undivided fractionalized long-term estate that makes the offer or sale of the undivided
fractionalized long-term estate treated as a real estate transaction and not treated as an offer or
sale of a security under Chapter 1, Utah Uniform Securities Act.
[
(3) In accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act,
the commission shall make rules establishing:
]
(3) The commission shall, subject to concurrence by the division, establish, by rule
made in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act:
(a) the disclosures required in the sale or offer of an undivided fractionalized long-term
estate that is subject to a master lease;
(b) requirements for the management of a master lease on an undivided fractionalized
long-term estate; and
(c) the requirements on the structure of a master lease on an undivided fractionalized
long-term estate.