OREC Commission Comment

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Oklahoma Real Estate Commission

 September 2018

October Commission Meeting to be Held at OAR Conference

Each year, the Commission likes to go "on the road" and take our meeting to new locations and new audiences across the state.  This year, we will be in downtown Oklahoma City for our October meeting in conjunction with the Oklahoma Association of Realtors' Education Conference and Trade Show. All licensed attendees will receive a required Code and Rules continuing education credit at no charge!  Please join us at 1:30 p.m. on Tuesday, October 9 at the Plaza Ballroom on the 2nd floor of the Sheraton Oklahoma City Downtown Hotel located at 1 North Broadway. Parking is available in the garage adjacent to the hotel, and daily parking rates apply.  Please allow adequate time for downtown traffic, parking and arriving at the ballroom prior to the start of the meeting.

Chairman's Corner


Doug Emde, OREC Chairman

I want to express my appreciation to my fellow Commissioners for electing me to be the Chairman of the Oklahoma Real Estate Commission.  It’s truly an honor to have the opportunity to serve on the Commission and in this capacity as the Chairman. 

I also want to extend my sincere thanks to our Commissioners that have rotated off the commission.  Theresa Stewart Smith, Steve Oliver and Stephen Sherman all worked tirelessly to continue to improve our industry and they all have helped educate me as to the duties and demands of being a Commissioner.    They executed their oaths of office with exemplary service and are role models for us all.   With the exit of those three, we are now welcoming three new Commissioners to the office.  Dr. David Chapman, a real estate professsor at the University of Central Oklahoma, Mack Barnes, a second-generation Commissioner with the Charles Barnes School of Real Estate , and Monica Wittrock, attorney with First American Title have jumped right in with both feet and provided great input on current issues.   I’m sure that they will be extremely helpful in guiding this organization going forward.

As we move toward our Contract Forms annual deadline, the Commission will be seeking input from the licensees on changes to our state contracts.   The contracts will be available soon for your review and comments would be appreciated before our November meeting where those changes would be adopted. 

Finally, one of our major duties is the enforcement of license law.  Our investigations department responds to every complaint filed with the commission regarding licensed and unlicensed people involved in real estate transaction.  We have added an additional investigator this month to help manage the workload.  After the investigation is completed, if there is evidence that a law might have been violated,  the matter is forwarded to a formal hearing.  Each month formal hearings are held for alleged violations of the code and rules.    The decision of the hearing officer is then forwarded to the Commission where each month decisions are made and penalties are assessed based on this information.   Both the hearings and the Commission meetings are open to the public, so we invite you to attend and observe how the system works to protect the public.

License Regulation

Permanent Rule Changes Effective September 15, 2018

OREC's permanent rules dealing with broker associate licensure, broker experience requirement and team name registration have been approved with an effective date of September 15.  These rules repeat the emergency rules filed in 2017, so they are not new to Oklahoma real estate regulation; however they are not permanently codified.  

An updated PDF of the new Code & Rules will be available shortly at www.orec.ok.gov.  Click here for instructions on placing bulk orders of Oklahoma License Code and Rules Book from the OU Printing, Mailing and Document Services. 

Emergency Rules Effective November 1, 2018

In addition to the permanent rules, the Governor has also approved emergency rules with an effective date of November 1.  These new emergency rules were necessary after HB2933 was passed by the legislature earlier this year with an effective date of November 1.  This new law required all licensing boards to waive specific license fees for low-income individuals.  The emergency rules state that a "low-income individual" means an individual who is enrolled in a state or federal public assistance program, or whose household adjusted gross income is below 140% of the federal poverty line.  For low-income individuals, an one-time one-year waiver of license fees shall be granted.  The applicant must provide satisfactory evidence of qualification for the low-income waiver upon submission of their application for an Oklahoma real estate license. 

Team Registration Reminder

As of November 1, 2017, all real estate teams are required to register with the Oklahoma Real Estate Commission for a one-time fee of $100.  As a reminder, a team is any two or more licensees who work under the supervision of the same broker, work together on real estate transactions to provide brokerage services, represent themselves to the public as being part of a team and designated by a team name.  If you are advertising under a team name, including on social media, that team must be registered with the OREC.

Although more than 400 teams have registered, there are many teams out there who have not.  We have several investigations against teams and brokerages for failing to register and will continue to investigate these complaints as they are brought forward.  To avoid investigation and possible sanctions, please make sure your real estate team is registered.  Click here for more information on team registration, and click here to download the team registration form. 

Reminder:  Contests, Sweepstakes and Drawings are Prohibited

OREC continues to receive questions concerning contests, sweepstakes and drawings. 

Oklahoma statutes are very clear regarding this: 858-312(12) states it is a cause for suspension or revocation of a license for, “Soliciting, selling, or offering, ‘free lots,’ conducting lotteries or contests, or offering prizes for the purpose of influencing a purchaser or prospective purchaser of real estate.” It is a violation of our statues to market or advertise your services by using drawings for gift cards or other items. 

However, a broker may promote a seller incentive with the consent of the seller. The marketing must clearly indicate the incentive is offered by the seller and not by the licensee and that the promotion only applies to a seller’s particular property or properties. 

Further, it is a violation of our statutes to pay or offer to pay a commission or any other thing of value to an unlicensed person for performing licensed activities. This includes referrals. Referral fees can only be paid to a licensed person or entity. A licensee may not solicit or market a referral program soliciting consumers to enter a drawing for prizes. 

Education and Events

Upcoming OREC Educational Offerings

All real estate licensees are invited to attend two seminars being offered across the state by the Oklahoma Real Estate Commission. These seminars are offered at no charge to Oklahoma licensees and are underwritten by the Oklahoma Real Estate Education and Recovery Fund. To receive credit for the courses you must be on time and present for the entire class. 

Class dates and locations are as follows:

October 5 - McAlester
Kiamichi Technology Center, 301 Kiamichi Drive

October 11 - Sapulpa
Central Technology Center, 1720 S Main Street

October 26 - Lawton
Great Plains Technology Center, 4500 SW Lee Boulevard

November 9 - Woodward
High Plains Technology Center, 3921 34th Street

9:00 a.m. to Noon 
OREC Code and Rules  presented by OREC Deputy Director Sherry Kueffler
3 hours CAR Credit - required subject

1:00 p.m. to 4:00 p.m.
Social Media Do's and Don'ts  presented by N2R Media - attendees should bring phones and/or laptops and be prepared to participate in different social media platforms
3 hours HOT Credit - required subject

Each workshop is limited to 100 attendees, and registration is strongly recommended as the OREC cannot guarantee availability without a confirmed registration.  To register email orec.help@orec.ok.gov

Industry Updates

Thank You Outgoing Commissioners

Commissioners Steve Oliver, Theresa Stewart Smith and Stephen Sherman all ended their terms as Commissioners on June 30, 2018.  Commissioners Oliver of Claremore and Stewart Smith of Ada both served for four years, Commissioner Sherman of Oklahoma City served for 12 years.  Their expertise, knowledge and insight have been valuable to all real estate licensees.  The State of Oklahoma thanks them for their immeasurable service. 

Welcome New OREC Commissioners

Three new Commissioners joined the Oklahoma Real Estate Commission with terms begining July 1, 2018 and ending June 30, 2022.


Commissioner Mack Barnes is a third generation real estate licensee, raised in Choctaw, Oklahoma. He attended Oklahoma City University and the University of Oklahoma. Barnes grew up helping his family’s business, Barnes Real Estate School, where he now teaches continuing education and serves as the Director. He currently serves on the Oklahoma Real Estate Commission's Education and Advisory Committee. Mack and his wife, Lindsay, have been married for 13 years, and they have two children, Claire and Sam. Barnes' father, Charles H. Barnes, served on the Oklahoma Real Estate Commission from 2004-2014.  In his spare time, he enjoys spending time with his family and producing ministry podcasts and videos.


Commissioner David Chapman holds the title of Associate Professor of Real Estate at the University of Central Oklahoma. He is the author of Lot Lines in The Journal Record, and writes a monthly column in the magazine Outlook. Dr. Chapman is founder of Realty1, LLC, an innovative real estate firm with divisions performing real estate brokerage, property management, resort construction and management, real estate investment and commercial and residential construction. The firm has employed as many as 30 employees and has sales in excess of $25 million annually. The Chapman’s also owned a mortgage company from 2006 to 2009 that produced loans in excess of $20 Million annually with 4 employees. He is currently President of The Central Oklahoma Commercial Association of Realtors and on the Board of Directors of Positively Paseo. Dr. Chapman's educational background consists of a PhD from Oklahoma State University, Master’s Certificate in Real Estate and Construction Management from the University of Denver, a Master’s Degree in Business Administration from Embry-Riddle Aeronautical University, and a Bachelor of Science degree in Mechanical Engineering Technology from Oklahoma State University. He is licensed by the FAA as a Commercial Pilot, Certified Flight Instructor as well as a Airframe and Powerplant mechanic.


Commissioner Monica Wittrock is Senior Vice President of Underwriting for the Direct Operations of First American Title Insurance Company, having previously managed operations in Oklahoma, Kansas, Missouri, Nebraska, Wisconsin and Minnesota.  She was previously in private practice in Oklahoma City, specializing in real estate, banking and commercial law. She is a member of the Oklahoma City Real Property Lawyers Group and serves on the Oklahoma Title Examination Standards Committee. She is a Director for FNB Community Bank and chairs the Compliance and Audit Committee.  Ms. Wittrock was a member of the Oklahoma Abstractors’ Board and served as its Chairman.  She currently serves as a Commissioner on the Oklahoma Real Estate Commission and attorney member to the Forms Committee.  She served as the Public Member on the Board of Licensure for Professional Engineers and Land Surveyors.   She also is a founding member and current executive board of CREW-OKC.  She was named Title Person of the Year by the Oklahoma Land Title Association and is a frequent speaker for the Oklahoma Bar Association, Oklahoma Land Title Association, Oklahoma Real Estate Commission and Oklahoma Mortgage Bankers Association.  Monica was an inaugural member of the Women in Leadership program of First American Title.  Monica is married to Kevin, who is a Certified Financial Planner, and they have two children, Sarah, who is an attorney in Oklahoma City and married to Mitchell, and Rob, who is a pediatrician in Tulsa and married to Jamie and parents to “Little Kevin”.  In her spare time, Monica is an avid musician, cyclist, crafter, and outdoor cook.

New Contracts Set for Review at October Commission Meeting, Effective Date of January 1, 2019

Traditionally the Contract Forms Committee presents their new batch of Oklahoma Forms and Contracts to the Commissioners during the October meeting, with an implementation date of November 1.  However, this year the process will work a bit differently.  The new and revised contracts and forms will be presented at the October 9 meeting, but this year will have an effective date of January 1, 2019.  The Commissioners will not adopt the contracts and forms in October, but will give time for the industry to submit feedback prior to final adoption and the January effective date.  Proposed changes to existing forms and introduction of new additions will be posted at orec.ok.gov after the October meeting to provide an opportunity for review by interested licensees.   

Disciplinary Actions

Watch for updated Disciplinary Actions in the next issue of Commission Comment.

A silent but significant part of the disciplinary process is the Oklahoma Real Estate Education and Recovery Fund.  Each year every Oklahoma real estate licensee pays $5 to the E&R fund, although this amount is typically assessed as a $15 fee on each three-year license.  These funds can be used to reimburse any claimant who has been been awarded monetary damages in an Oklahoma district court for a violation of the Oklahoma Real Estate License Code but is unable to collect from the licensee.    

In recent years, the E&R fund has seen a sharp increase in activity due to cases involving property management.  Over the past six years, the E&R fund has been able to reimburse almost $140,000 to consumers financially harmed by real estate licensees.  Ten real estate licenses were automatically revoked during this same time frame, as real estate licensees involved in these payouts are revoked per Oklahoma state law.

The E&R fund is capped at $250,000 annually, and should claims come before the Commission exceeding this amount, each Oklahoma real estate licensee may be assessed an additional $5.00 per fiscal year to help fund those claims.

For more information on the Education and Recovery Fund, please click here to read OREC's Code and Rules.  Information on the E&R fund begins on Page 27.