Chairperson Gale convened a meeting of the Nebraska Real Estate Commission at 9:05 a.m. on December 20, 2007, in the Goldenrod Room of the Ramada Limited South, located at 1511 Centerpark Road in Lincoln, Nebraska. All of the members of the Real Estate Commission were present. Also present were Director Les Tyrrell, Deputy Director for Education and Licensing Teresa Hoffman, Deputy Director for Enforcement Terry Mayrose, and Administrative Assistant Monica Rut. Greg Barton, Special Assistant Attorney General and Counsel to the Commission was present for the Perry M. Platisha show-cause hearing.

Director Tyrrell presented a public notice and proofs of publication thereof relating to this meeting, all of which are attached to and made a part of these minutes. Chairperson Gale reported that all Commissioners had been notified of the meeting simultaneously, in writing, and that a proposed tentative agenda accompanied the notification.

Chairperson Gale pointed out to those in attendance that a public copy of the materials being used during the meeting and a copy of the Open Meetings Act were available to the public on the counsel table in the meeting room, and that the procedures followed were in accordance with the Open Meetings Act. Chairperson Gale asked that guests sign the guest list.

Director Tyrrell noted that agenda items 15b-Governor= s Deficit Appropriation Bill - Wages and Health Insurance had been added since the tentative agenda was mailed to the Commissioners. Agenda item 11a-Complaint 2007-012 - Commission vs. Kevin Dean Irish Hearing was continued and the times were changed for 11b-Show-Cause Hearing on SC2007-003, Commission vs. Perry M. Platisha and 12a-Informal Special Appearance for Ryan Jones - Salesperson Applicant.

The minutes of the Commission meeting held on October 11, 2007, were considered.

Director Tyrrell presented the Receipts and Expenditures Reports for October and November. Copies of said reports are attached to and made a part of these minutes. Director Tyrrell noted that an explanation page was included in each report.

The cash fund balance as of October 31, 2007, was $582,823.55, which compared to a cash fund balance of $767,646.99 on October 31, 2006.

Commissioner Leisey indicated that the Commission= s goal was to reduce the cash fund balance and felt the balance was on target. Director Tyrrell noted that the cash fund balance on September 1 of each year should cover approximately five months of expenses.

The cash fund balance as of November 30, 2007, was $729,857.33, which compared to a cash fund balance of $893,888.57 on November 30, 2006.

Director Tyrrell presented the Renewal Report. A copy of said report is attached to and made a part of these minutes.

Director Tyrrell noted that the renewal season went well and the pocket cards had already been delivered to the post office along with the letters to the licensees who did not renew.

No action was necessary on this report.

Specialized Registrations

Director Tyrrell presented a Specialized Registrations Report which included the registration of amendments to the time-share registration for Fairfield Orlando at Bonnet Creek. A copy of said report is attached to and made a part of these minutes.

A motion was made by Bohrer and seconded by Grady to approve the amendments to the registration as presented. Motion carried with Bohrer, Dover, Grady, Griess, Leisey, Poskochil, and Gale voting aye.

Deputy Director Hoffman presented for ratification the Nonresident Licenses and Resident Licenses Issued to Persons Holding Licenses in Other Jurisdictions Report, a copy of which is attached to and made a part of these minutes.

Deputy Director Hoffman presented for ratification the October and November Examination Reports, copies of which are attached to and made a part of these minutes.

Commissioner Griess asked if the Commission Staff had been satisfied with the performance of the simulation portion of the broker examination. Deputy Director Hoffman indicated that statistics are kept on the examinations given. However, there are not enough statistics to draw reliable conclusions. Deputy Director Hoffman also indicated that when individuals fail multiple parts of the examination, it is likely to be a weakness of the individuals not the examination.

Commissioner Dover asked if the reports were generated by the testing company or the Commission Office. Deputy Director Hoffman indicated that the examination company provided the statistical report and the Commission Office generated the accompanying graphs. Commissioner Dover inquired as to whether similar statistics could be compiled for each topical subsection of the multiple-choice examination. Deputy Director Hoffman explained that a percentage-based comparison between subsections could be deceiving as subsections are weighted differently and contain different numbers of items. Most important is the performance of individual items and any irregularities in these would be reported to staff by the examination company.

Deputy Director Hoffman presented for ratification the Pre-License Education Instructor Approval Report, a copy of which is attached to and made a part of these minutes.

Deputy Director Hoffman presented for ratification the Continuing Education Activity Approval Report, a copy of which is attached to and made a part of these minutes.

Deputy Director Hoffman presented for ratification the Continuing Education Instructor Approval Report, a copy of which is attached to and made a part of these minutes.

Commissioner Leisey asked if there were approved courses on A short sales@ . Deputy Director Hoffman indicated that there were courses on foreclosures offered by current providers. Deputy Director Hoffman also indicated that the Nebraska REALTORS7 Association had offered two or three courses on foreclosures and A short sales@ .

Commissioner Grady requested that the Commission discuss broker price opinions at the next meeting. Commissioner Dover suggested Commissioner Grady compile a summary of what he had encountered regarding broker price opinions. Director Tyrrell noted that there had been articles on this topic in previous issues of the A Commission Comment@ newsletter and suggested an article could be placed in a future newsletter, if warranted.

After review, a motion was made by Griess and seconded by Bohrer to ratify the three reports. Motion carried with Bohrer, Dover, Grady, Griess, Leisey, Poskochil, and Gale voting aye.

Deputy Director Hoffman presented a Continuing Education Activity Rejection Report, a copy of which is attached to and made a part of these minutes.

Director Tyrrell noted that this report included continuing education rejections which were brought back for explanation from the October Commission Meeting. Deputy Director Hoffman explained that the course entitled A Client Focused Communications@ had been rejected due to content not being approved in the past which included body language; the course entitled A Agency - The Big Picture@ had been rejected due to content not being consistent with Nebraska Agency Relationship Statutes; and the course entitled A Homeowner= s Association Management@ had been rejected as it was not an activity regulated under Nebraska statutes.

No action was necessary on this report.

Director Tyrrell presented a summary report of the pending complaints, which included a list of licensees presently under disciplinary action or on appeal. A copy of said report is attached to and made a part of these minutes.

No action was necessary on this report.

The following sworn complaints and investigative matters were presented to the Commission:

Item B Complaint 2007-027

There were no Stipulation and Consent Orders to be presented at the meeting.

The Hearing regarding Complaint 2007-012, Commission vs. Kevin Dean Irish was continued at the request of the Complainant= s Counsel.

A Hearing was held on December 20 at 9:35 a.m., in the matter of SC2007-003. Greg Barton, Special Assistant Attorney General and Counsel to the Commission, appeared for the Complainant. Respondent Perry M. Platisha was not present but chose to appear by Exhibit.

After Opening Statements, Counsel Barton offered fifteen Exhibits. Counsel Barton withdrew his offer of one of the Exhibits, the other fourteen were received by Chairperson Gale. Counsel Barton upon the request of Mr. Platisha, jointly offered one Exhibit which was received by Chairperson Gale.

Counsel Barton called Teresa Hoffman as a witness.

After closing argument had been presented, Chairperson Gale declared the Hearing concluded and gathered the original exhibits.

Prior to any motion the following occurred:

Commissioner Leisey did not agree with the language in the law which stated that failure to complete a three-hour course by nonresident licensees should result in the revocation of their license. He indicated that, should Mr. Platisha= s license be revoked, he would like to see a letter written to Mr. Platisha stating that reapplication would be permitted. He did not feel that revocation fit the crime.

Commissioner Griess indicated that the law did not require automatic revocation, rather to hear why the license should not be revoked. She indicated that she did not agree with the way the language read in the law. However, the Commissioners= duties require them to uphold the law as it was written. She felt that a significant punishment should apply to Mr. Platisha since he showed no regard for following the rules.

Commissioner Leisey felt that a suitable punishment would be to complete two continuing education courses. Director Tyrrell noted that in a similar hearing the licensee had been placed on inactive status until the required course and a second course had been completed within certain periods of time.

Commissioner Poskochil felt that a suitable punishment would be to require that Mr. Platisha maintain an inactive license for a period of time, such as one year. He indicated that Mr. Platisha signed documents which stated he understood the law and he chose not to comply with it, which was disrespectful.

Chairperson Gale was concerned with Mr. Platisha= s actions and pointed out that he had not appeared before the Commission to provide an explanation as to why his license should not be revoked. He noted that Mr. Platisha indicated through correspondence that he had purchased property in Nebraska and planned on establishing and conducting business in Nebraska, but chose to ignore the requirements of the law. He felt that if Mr. Platisha could purchase property and study the market in Nebraska, then he could have completed the course. He also felt that Mr. Platisha had an indifference to authority or perhaps a sense that the law did not apply to him. Chairperson Gale indicated that the rules needed to be followed.

Commissioner Grady felt that Mr. Platisha did not deserve a real estate license in Nebraska but would be willing to listen to alternatives to revocation.

Chairperson Gale asked if the licensee was required to remain on inactive status for three years, would the license automatically be restored to active status after the three years or another period of time set out by the Commission. Director Tyrrell indicated that a license would not normally be placed on inactive status for a period of time, it would either be revoked, suspended, or placed on probation.

Commissioner Leisey felt that Mr. Platisha must have been in good standing with his resident jurisdiction or a Nebraska license would not have been issued to him. Commissioner Poskochil indicated that Mr. Platisha knew what had been required of him and had been notified of the requirements. Commissioner Poskochil felt that Mr. Platisha did not take Nebraska License Law seriously and did not think Mr. Platisha should be allowed to practice real estate or be employed as a real estate licensee in Nebraska.

Commissioner Bohrer agreed with the general discussion, and felt Mr. Platisha clearly did not meet the burden of proof in this case. He felt Mr. Platisha had plenty of notice to meet the education requirement. He concurred with Counsel Barton that Mr. Platisha made a very feeble attempt to provide proof for his case and gave no excuse why he could not complete the required course. He also indicated that the law reads the license should be revoked unless the licensee had shown cause.

A motion was made by Poskochil and seconded by Dover that Mr. Platisha had not shown cause and his real estate license should be revoked.

Chairperson Gale indicated that if Mr. Platisha reapplied for a real estate license he should be required to appear before the Commission as a special appearance.

Motion carried with Bohrer, Dover, Grady, Griess, Leisey, Poskochil, and Gale voting aye.

Chairperson Gale directed Counsel Barton to prepare the Order.

Chairperson Gale indicated that the Respondent should be notified that the costs incurred for the court reporter and any witness fees would be billed to the Respondent, as provided for in 305 NAC Chapter 4, and that the Respondent would have thirty days from the date of the Order to reimburse the Commission for said costs.

Chairperson Gale announced that all exhibits related to this hearing would be retained in the Commission office.

The Hearing was adjourned at 10:26 a.m.

Director Tyrrell presented an exhibit which included: correspondence regarding Mr. Jones= special appearance; a summary of Mr. Jones= situation; correspondence requesting additional information regarding Mr. Jones= salesperson application; additional answers to questions on the salesperson application form; Mr. Jones= criminal history report; and his salesperson application form. A copy of said exhibit is attached to and made a part of these minutes. Mr. Jones was present.

Chairperson Gale reviewed the procedure for informal special appearances.

Mr. Jones explained that he had been involved in the real estate industry for approximately twelve years in relocations. He noted that he helped with administration and management of properties for the past eight to nine years. He indicated that the pre-license education courses had been completed at Randall School of Real Estate. He also explained that on the first real estate application which was submitted to the Real Estate Commission he had a minor in possession on his record which he had not reported. He also indicated that he waited approximately three to four years later to file another application on which he also did not include the DUI= s which showed up on the background check.

Chairperson Gale asked if Mr. Jones felt he had a drinking problem or considered himself an alcoholic. Mr. Jones indicated that he had a drinking problem and had received outpatient treatment and attended Alcoholics Anonymous. Mr. Jones also noted that he attended Alcoholics Anonymous as needed, approximately every other week.

Chairperson Gale asked how many DUI charges he had received. Mr. Jones indicated that he had received a second offense DUI. Chairperson Gale indicated that after the third offense he could receive a revocation of his driver= s license and asked Mr. Jones how long he lost his driver= s license for the second offense. Mr. Jones indicated that he lost his license for sixty days with the first offense and with the second offense he received a ninety-day suspension and a Breathalyzer machine in his vehicle.

Chairperson Gale asked where Mr. Jones received outpatient treatment and if it helped. Mr. Jones indicated that he received outpatient treatment through Dwite Pedersen which was completed last year. Mr. Jones noted that he still received support from Alcoholics Anonymous and the church.

Chairperson Gale asked Mr. Jones why he had not listed the DUI= s on his salesperson application form. Mr. Jones indicated that he was young and did not think it was of importance, nor was a misdemeanor a big deal, but he now understood that it was a big deal. Chairperson Gale asked if Mr. Jones was subject to probation. Mr. Jones indicated that he had not been for two or three years. Commissioner Leisey noted that he had taken treatment a year ago. Mr. Jones indicated that outpatient treatment could be as long as you wanted it to be and he chose to take the sixteen-month program. Mr. Jones indicated that there was a lapse in time from when he got into trouble and when he went to court.

Commissioner Leisey indicated that since his conviction it had been two and one-half years and wondered how often he attended treatment. Mr. Jones explained that there was no dedicated time, he completed workbooks, tapes and attended the program. Commissioner Poskochil asked if Mr. Jones had received certificates of completion. Mr. Jones indicated that he had received certificates and would supply a copy to the Commission. Commissioner Poskochil indicated that the Commission was only receiving verbal information from Mr. Jones and no proof had been provided. Mr. Jones indicated he could get the certificates. Commissioner Poskochil indicated that it would be helpful to have proof, either by receiving copies of the completion certificates or letters. Mr. Jones indicated that he does not want to sell real estate but wants the knowledge in order to get his appraiser license and open a brokerage. He indicated he would get whatever letters and certificates were needed.

Commissioner Grady felt Mr. Jones was on the right track. However, he was uncomfortable deciding whether he should receive a real estate license until additional information had been received. Mr. Jones asked if he would be able to provide the additional information by mail, fax, e-mail or if he would need to appear again before the Commission. Chairperson Gale indicated that Mr. Jones could reappear before the Commission at the January meeting if he could get the requested documents in that time frame. Chairperson Gale was concerned about the pattern Mr. Jones had taken with leaving out the DUI= s on his application form and felt that Mr. Jones should provide completion certificates for any inpatient and outpatient programs completed; letters from the probation officers; letters from Alcoholics Anonymous Group; and completion of the 12-step program may give reassurance to the Commissioners. Mr. Jones agreed. Commissioner Leisey concurred with Chairperson Gale.

Director Tyrrell indicated that a time could be set for Mr. Jones to reappear at the January Commission Meeting and explained that a letter could be sent to Mr. Jones requesting him to bring completion certificates for any inpatient and outpatient programs completed; a letter outlining his progress with Dwite Pedersen; a letter from his most recent probation officer; a letter of reference from his current employer; two or three general character reference letters; and, if possible, a letter from someone with Alcoholics Anonymous confirming his attendance.

Commissioner Poskochil indicated that any information that Mr. Jones could bring to his next special appearance would be helpful. Chairperson Gale indicated that after bringing the required information perhaps a good conversation could be held.

Deputy Director Hoffman presented an exhibit regarding the estimated costs of Commissioners and staff participating in regularly-attended meetings in 2008. A copy of said exhibit is attached to and made a part of these minutes.

Chairperson Gale asked if the meetings were open for all members of the Commission to attend. Director Tyrrell indicated that in the past there had been no restrictions based on the travel budget that would prevent all Commissioners from attending the meetings.

Director Tyrrell reported that he had received no reports that any trust accounts had been compromised due to the laptop computer theft. Director Tyrrell explained that steps had been taken to increase security on the laptop computers currently used by the Trust Account Examiners and for future purchases. The laptops were scheduled to be replaced in July of 2008, and the new replacement laptop computer purchased, as well as future laptop computer purchases, would have fingerprint access, double password protection and an encrypted hard drive. The security steps that were implemented were suggested by the Chief Information Officer= s office and an employee at the Department of Banking who works with security for the Department. Director Tyrrell noted that the anticipated price of the replacement laptops with additional security features would not be more than the amount budgeted.

Commissioner Dover asked what staff members would have access to the laptop computers. Director Tyrrell indicated that only the examiner who uses the laptop computer and the Commission= s infrastructure support technician would be allowed access to the computers.

Commissioner Grady felt Director Tyrrell did a good job handling the situation and giving the A heads-up@ to brokers with trust accounts which might be jeopardized. Director Tyrrell noted that under statute, the notice was not required since the information was not identified as a breach of security. He indicated he received a lot of input from other individuals in order to make the decision. Chairperson Gale felt that sending the courtesy letter to the brokers was an open gesture and an accountable move.

No action was necessary on this report.

Director Tyrrell presented an exhibit of the proposed legislation to change provisions relating to nonresident real estate licensees.

Director Tyrrell indicated that the proposed legislation contained the language requested by the Commission and staff. Commissioner Poskochil indicated that he liked the way this legislative proposal was handled and agreed upon between the Nebraska REALTORS7 Association and the Commission.

The Commission determined by consensus that it would support the legislation as presented.

Director Tyrrell presented an exhibit which set forth the provisions of the Governor= s omnibus deficit appropriation bill which related to the Commission. A copy of said exhibit is attached to and made a part of these Minutes.

No action was necessary on this report.

Director Tyrrell noted that the applications for resident and nonresident salespersons and brokers were made available online effective November 1, 2007. Director Tyrrell indicated that to date very few had been received.

No action was necessary on this report.

Director Tyrrell presented the Trust Account Examination Evaluation Report - Third Quarter 2007. A copy of said report is attached to and made a part of these minutes.

Director Tyrrell reviewed some of the comments received and how the situations were handled. Chairperson Gale indicated that the examiners seemed to go the extra mile to help the brokers and took time to do more than just a trust account examination. Director Tyrrell noted that the examiners had become an educational arm of the Commission. It was a duty which they had taken on without any hesitation and the Commission was lucky to have these particular examiners. Chairperson Gale asked Director Tyrrell to extend compliments to the examiners on behalf of the Commission and thank them for the good work they have done.

No action was necessary on this report.

January 24-25, 2008 - Staybridge Suites, Lincoln
March 6-7, 2008 - Staybridge Suites, Lincoln
April 3-4, 2008 - Staybridge Suites, Lincoln

At 10:30 a.m., Chairperson Gale declared a brief recess, and reconvened the meeting at 10:50 a.m.

At 12:21 p.m., Chairperson Gale declared a brief recess, and reconvened the meeting at 12:35 p.m.

At 1:24 p.m., there being no further business to come before the Commission, a motion was made by Grady and seconded by Leisey that the meeting adjourn. Motion carried with Bohrer, Dover, Grady, Griess, Leisey, Poskochil, and Gale voting aye.

I, Les Tyrrell, Director of the Nebraska Real Estate Commission, do hereby certify that the foregoing minutes of the December 20, 2007, meeting of the Nebraska Real Estate Commission were available for inspection on January 3, 2008, in compliance with Section 84-1413(5) R.R.S. 1943, of Nebraska.

Respectfully submitted,
Les Tyrrell
Director