Speak up, be heard and make an impact!
Transcription
Speak up, be heard and make an impact!
PUBLIC POLICY FORUM Taxpayers Bill of Rights BEST OF LEGAL HOTLINE The facts on buyer agency October 2004 $5.00 A PUBLICATION OF THE WISCONSIN REALTORS ASSOCIATION ® NEWS.WRA.ORG New DRL Agency Brochure New brochure delivers a clearer explanation of agency laws page 9 License Renewal What you should know as the end of the biennium approaches page 11 Public Hearings for Revised Pier Rules DNR hits the road in November to hear from waterfront property owners page 20 New Committee to Study Septage Disposal Issues Commitee hopes to clarify standards regarding disposal page 28 2004 ELECTION Speak up, be heard and make an impact! YO U R S O U R C E F O R T H E L AT E S T R E A L E S TAT E N E W S ���������������������������������������� �������������������������������������������������������������������������������������������� ���������������������������������������������������������������� ������������������������������������������������������������������������������� ����������������������������������������������������������������������������������������� ���������������������������������������������������������������������������������������� ������������������������������������������������������������������������ ���������������������������������������������������������������������������� ����� ������������������ ���������������������������� ������������������ ���������������������������������������� ��������������������� WISCONSIN REAL REAL ESTATE ESTATE MAGAZINE MAGAZINE WISCONSIN THE OFFICIAL OFFICIAL PUBLICATION PUBLICATION OF OF THE THE WISCONSIN WISCONSIN REALTORS REALTORS®® ASSOCIATION ASSOCIATION THE OCTOBER 2004 MARCH 2004 VOL. 20, 21, NO. NO. 71 VOL. Contents COVER ELECTION FEATURES 22 NOTHING ELSE YOU DO NOVEMBER 2 WILL BE MORE IMPORTANT. Voting is not only important because it is the foundation of our democracy, it’s important because it directly impacts your state, your community, your business and your family. 7 Legal Hotline – Buyer Agency Frequently asked questions regarding FSBO transactions and the collection of buyer agency fees 9 DRL Plain-English Agency Brochure Coming Soon! The WRA and the DRL have worked together to create a document that provides a clearer explanation of Wisconsin’s agency law. 11 License Renewal Don’t let your license run out! Here are a few pointers to keep in mind as the end of the biennium approaches. 20 Public Hearings Set for Revised Pier Rules Advisory group takes its revised rules on the road looking for feedback from waterfront property owners. DEPARTMENTS 2 3 Member Benefits WRA’s PRoFIT program is designed especially for REALTORS® 14 Classes are filling up! Register today to complete your 20032004 CE requirements Inside the WRA An update from WRA President, Bill Malkasian 4 Chairman’s Corner 5 Meet the 2004-2005 Executive Committee A fond fairwell from your 2003-2004 Chairman 13 In the Spotlight Mike Spranger WISCONSIN REAL ESTATE MAGAZINE, October 2004 Education Update 18 TABOR Debate to Resume in ‘05 24 Quality of Life Update Wisconsin housing costs 28 WisDot Appeals Trans 233 Decision WRA continues to fight for property owners’ rights 28 Septage Disposal Study Committee hopes to clarify standards regarding disposal 1 REAL ESTATE m e m b e r b e n e f i t s Wisconsin Real Estate Magazine is published by the WISCONSIN REALTORS® ASSOCIATION Walter Hellyer, CRB, CRS, GRI, Chairman corky@propertydoor.com Kitty Jedwabny, CRB, CRS, Chair-Elect rjedwabny@new.rr.com Jeff Kitchen, CRS, GRI, Treasurer kitchen@powerweb.net future REALTORS® Deserve a Better Retirement Plan. W isconsin REALTORS® Association members can take advantage of the WRA PRoFIT (Planned Retirement Future Investment Trust) program developed by WRA and Marshall & Ilsley Trust Company N.A., a top-rated retirement plan provider according to PLANSPONSOR magazine’s D.C. survey. The WRA PRoFIT program is an IRS-approved retirement plan with key features real estate agents will appreciate: Investment Flexibility 18 investment choices from premier fund families allow you to establish and maintain a diversified retirement portfolio. 24/7 Account Access (including the ability to change your investment allocation) via www.mitrust.com, the MI Retirement (voice response) line or a “live” retirement specialist. To learn more or to rollover from your current retirement savings plan call: B.T. Thomas, Marshall & Ilsley Trust Company N.A. (608) 232-2052 Debbie Thacker, Wisconsin REALTORS® Association (800) 279-1972 2 William E. Malkasian, CAE, President wem@wra.org Editorial Staff William E. Malkasian Publisher Robert Uhrina Managing Editor Erin Glodowski and Emily Patterson Publication Editors Wisconsin Real Estate Magazine, USPS 597850, ISSN 1096—9829, is published monthly by the WISCONSIN REALTORS® ASSOCIATION, 4801 Forest Run Road, Ste. 201, Madison, WI 53704. Periodical postage paid in Madison, WI and additional mailing offices. An annual subscription rate of $5 is included in membership dues and a copy is mailed to every paid REALTOR® and affiliate member of the association. Nonmember subscription rate: $60. POSTMASTER: please send address changes to the WISCONSIN REALTORS® ASSOCIATION, 4801 Forest Run Rd. Ste. 201, Madison WI 537047337 Permission to reprint or quote any material from this issue is hereby granted, provided the Wisconsin Real Estate Magazine is given proper credit in all articles or commentaries, and the WISCONSIN REALTORS® ASSOCIATION is provided with a copy of any reprint. Contact 4801 Forest Run Rd., Suite 201 Madison, WI, 53704-7337 (608) 241-2047 • (800) 279-1972 legal hotline: (608) 242-2296 • (800) 799-4468 general fax: (608) 241-2901 products/education fax: (608) 241-5168 legal hotline fax: (608) 242-2279 president fax: (608) 242-2267 wra@wra.org www.wra.org WISCONSIN REAL ESTATE MAGAZINE, October 2004 Inside the wra with Bill Malkasian W Bill Malkasian WRA President This year alone, we have seen more than 3,400 new members enter the world of organized real estate. We are now approaching 17,000 total members – our highest membership in more than 100 years of service. With such a great year, there’s reason to be excited! hat a great real estate year it has been. While other business markets are still recuperating, the real estate industry has been in a wonderful state of growth here in Wisconsin. First, we see interest rates drop to an all-time low, making it easier than ever for consumers to capture the American dream of home ownership. Then, monthly housing sales break all-time records as the industry continues to gain momentum. Next, the National Association of REALTORS® (NAR) announces the “1,000,000 members strong” campaign in April, letting Washington know REALTORS® have one of the most powerful collective voices in the country. In Wisconsin, our numbers run parallel to what is happening nationally. This year alone, we have seen more than 3,400 new members enter the world of organized real estate. We are now approaching 17,000 total members – our highest membership in more than 100 years of service. With such a great year, there’s reason to be excited! Now, summer comes to a close, and October marks the beginning of color season around the state. For the WRA, October is the changing of the guard – a new fiscal year. We say goodbye to a dear friend and colleague, Corky Hellyer, who has served as Chairman of the Board during the 2003-2004 fiscal year. Corky is a long-time member of our Board and Executive Committee and will now serve in 2005 as our Past Chairman. We thank him for his years of service, leadership and dedication to the WRA. Next, we welcome our new Chairman, Kitty Jedwabny, manager-owner of Coldwell Banker, the Real Estate Group in Appleton. Kitty has participated in numerous REALTOR® committees at the local, state and national level and was named local board REALTOR® of the Year in 1997. Nationally, Kitty has served on the Risk Management Committee for NAR and was recognized with the RPAC Designated Service award in 1995, 1996 and 2000. Under her direction, many great challenges lie ahead. The annual convention, which kicks off on October 10, signals a new year, and the strategic initiatives mapped out in May will begin. Looking ahead to next month, be sure to vote on November 2. I’ve heard many people say their vote doesn’t count because it’s just one voice in a crowd. Always remember the election of 2002 and what happened in Florida. It’s a testament that even the most important elections can be won by narrow margins. It’s your chance to speak up, be heard and make a difference! Now, strap in and buckle up for an exciting year. There are many great initiatives in store for you this year (and we’ll announce them in upcoming issues of the magazine). In the meantime, we hope to see you at the annual convention in Appleton. Be sure to join us for some fun and take advantage of opportunities for networking, education and catching up with old friends. Bill Malkasian WISCONSIN REAL ESTATE MAGAZINE, October 2004 news.wra.org 3 CHAIRMAN’S Corner with Walter “Corky” Hellyer R osendale, Wisconsin, is a typical rural community with loads of charm. I have gotten to know it well. Imogene at the Amoco station calls me by name. You see, she sees my magnetic calendar attached to her cash register. My routine visits to Rosendale will become more sporadic now that my term as WRA chairman comes to a close. Will I miss them? Will I miss the trips to Madison? Not at first, as my posterior is dragging and road worn. However, as time goes on … I will miss the WRA office and the wonderful group Bill Malkasian has assembled to take care of the organized REALTOR® side of the equation. Some members are astonished at the number of employees at the WRA. Once you have had the chance to evaluate the work they turn out, one wonders how they do it. Most REALTOR® members are too busy to grasp what it takes to answer more than 8,000 Legal Hotline calls, formulate the educational opportunities and conventions, study more than 2,000 pieces of legislation that come up each year in Madison and even more in Washington, D.C., and develop all of the communication pieces sent to our members. They do such a good job, and I can tell you, that on my many trips to Washington and NAR Conventions all I hear is praise for our association and the job we’re doing. “Mr. Bill” is the most sought-after association executive in the country for his sage advice and counsel. It makes a chairman proud to be part of the WRA. Thanks to each and every one of you for your help during this past year. I’d also like to thank the Executive Committee: Steve Beers, Kitty Jedwabny, Jeff Kitchen, Kevin 4 McKillip, Roger Rushman and Mike Siegel. Your valued input and cooperation helped us get through some “sticky wickets,” and I think our conclusions served the association well. Your time and camaraderie are truly appreciated. Thanks in no smaller measure to the directors to whom the final vote fell. For your leadership and dedication, I owe a debt of gratitude. I look forward to continuing as a director and working with you. Our organization wouldn’t be worth its salt without the many who served on committees and especially those who agreed to chair committees. Thank you all for sharing your valuable time and knowledge to further the cause of our association. Thanks also to the local board presidents and their fellow officers for bringing their thoughts and concerns to our attention along with their association executives – many, many thanks You’re a very important part of the network and fiber that holds our association together, and your service is greatly appreciated. To Kitty, Jeff and Roger, our incoming officers, my very best wishes in the coming year. The task won’t get any easier as the business is becoming more and more complex and there are many major decisions to be made both legislatively and politically. It won’t be easy, my friends, but I know you’ll meet the challenge and handle it with commitment and courage. To all of the membership, I extend my most sincere thanks for the opportunity you have given to me to serve as your chairman. In my travels, I have had the pleasure to meet many of you, and each time I do, it makes me more proud to be a REALTOR®. Happy trails ahead to each and every one of you. WISCONSIN REAL ESTATE MAGAZINE, October 2004 Introducing... The 2004-2005 Executive Committee From Left: Roger Rushman, Treasurer Steve Beers, Vice President First Weber Group, Realtors®, Delafield CRB, Keefe Real Estate, Lake Geneva Michael Spranger, Director-Vice President Jeff Kitchen, Chairman-Elect ABR, CRS, GRI, Mike Spranger Real Estate, Inc. Wisconsin Rapids CRS, GRI, Century 21 Affiliated, Beaver Dam Kevin McKillip, Vice President Susan Mathews, Director-Vice President Bear Realty, Inc., Burlington SRES, Mardi O’Brien Real Estate, Madison Kitty Jedwabny, Chairman of the Board William Malkasian, President CRB, CRS, Coldwell Banker The Real Estate Group, Appleton CAE, Wisconsin REALTORS® Association WISCONSIN REAL ESTATE MAGAZINE, October 2004 5 REACH MORE HOME BUYER S With GRH FINANCIN G Affordable 100% LTV Financing Financing Options For Borrowers Who are Credit Worthy, Yet Lack Cash Reserves • • • • • • No down payment, cash reserves, or monthly mortgage insurance are required. Closing costs and repairs can be financed up to the appraised value of the home. Affordable 30 year fixed rate financing offered by more than 150 lenders in WI. Eligible areas include rural areas and non-MSA communities under 20,000 population. Moderate income guidelines apply and vary with household size and county. Rural Development approval is usually within 2 business days. Over 1,600 families benefited from Wisconsin Rural Development’s Single Family Housing Program last year! USDA Rural Development 1.866.GRH.3600 www.rurdev.usda.gov/wi USDA is an equal opportunity provider and employer Best of the Legal Hotline BU YER AGENC Y BY DEBBI CONRAD & TRACY RUCKA S ome of the most frequently asked Legal Hotline questions about buyer agency involve For Sale Buy Owner (FSBO) transactions and the collection of buyer agency fees. BUYER Agency in FSBO Transactions Agency Agreement Required The owners of a property are willing to sell, but they do not want a oneparty listing because they don’t want to pay commission. An interested buyer is willing to pay a commission if the broker writes an offer. How should the parties proceed? The broker must have an agency relationship with either the buyer or the seller before showing the property, writing an offer or performing any other real estate brokerage services. The broker may enter into a WB-36 buyer agency contract with the buyer or a listing contract with the seller to create the necessary agency relationship. An agent is telling a couple that in order to be represented by a buyer’s agent, they have to sign a buyer agency contract; they can’t just initial an agency disclosure form. The agent says she can only work for the seller if the buyers won’t sign the buyer agency contract. Is this correct? Yes. The buyer agency relationship is created by entering into a WB-36 Buyer Agency/Tenant Representation Agreement. An agency disclosure form does not create buyer agency. Agency Disclosure What agency disclosures must a buyer’s agent give to the seller in a FSBO transaction? Licensees acting as buyer’s agents must notify the seller of the buyer agency relationship per § RL 24.07(8). Notification must take place upon (1) the first contact with the seller where information regarding the seller or transaction is being exchanged, (2) a showing or (3) any other negotiation with the seller, whichever one occurs first. The agent’s buyer agency must be confirmed in writing in the offer to purchase (line 1). Similar requirements are found in the Code of Ethics, Standard of Practice 16-11. If the buyer’s agent is going to provide any brokerage services to the seller, as a subagent, the agent must give the seller an agency disclosure form advising the seller that the buyer is the agent’s client and ask the seller to sign the form to acknowledge receipt. Providing Brokerage Services to the Seller A buyer’s agent is writing an offer on a FSBO property. What information and advice can the broker give the sellers? Can the broker interpret the contract for the sellers? The buyer is the agent’s client. The seller is the customer and is owed the duties owed to all parties in a transaction under Wis. Stat. § 452.133(1). The agent must disclose material adverse facts, provide Continued on pg. 8 WISCONSIN REAL ESTATE MAGAZINE, October 2004 7 Continued from pg. 7 accurate information about market conditions upon request, and present all proposals in an objective and unbiased manner. Like all licensees, regardless of agency status, the agent cannot give advice or opinions regarding the legal rights and obligations of a party, the legal effect of a contract or conveyance, or the status of title to a property, per § RL 16.05. The agent may give a general explanation of the provisions in approved forms when completing or delivering a form to a party. If the buyer’s agent were to enter into a listing with the seller, a multiple representation would be created and the agent would not be able to place the interests of one client ahead of the interests of the other client in negotiations. The agent would draft documents to accomplish the respective intent of the parties, and continue to present all offers and proposals in an unbiased and objective manner and keep the confidences of the respective parties. The buyer and the seller would not enjoy the undivided loyalty provided a client outside of dual agency. As an alternative, the agent may continue to work with the buyer while the seller retains an attorney for legal advice and representation in the transaction. Compensation Issues Buyer Agency Does Not Equate with Procuring Cause A buyer looked at a property listed on the MLS with a co-broke agent, but now wants to hire another agent from a third firm as a buyer’s agent. Can the agent work as a buyer’s agent and earn the compensation offered on the MLS even though the co-broke agent introduced the property to the buyer? The agent may enter into a buyer agency agreement and work with the buyer as a client, but whether the agent will receive the compensation offered on the MLS will depend upon procuring cause. Buyer agency does not trump procuring cause-the buyer’s agent will not be procuring cause just because he has a buyer agency relationship. The buyer’s agent can draft the offer, but the buyer may end up paying the buyer’s broker’s fee directly to the buyer if the buyer’s agent is not procuring cause. Before the buyer enters into the buyer agency agreement, the agent should explain to the buyer that choosing buyer agency may increase the cost of the transaction for the buyer. Failure to explain this to a buyer client is arguably a failure to disclose material information in violation of Wis. Stat. § 452.133. Seller Pays Buyer’s Broker Fee The seller received an offer drafted by a buyer’s agent. The offer included an addendum asking the seller to pay the buyer’s brokerage fee and rejecting the MLS offer of compensation. Can a buyer’s broker’s compensation be 8 addressed in this manner in an offer to purchase? A buyer’s broker may ethically suggest or recommend that the buyer ask the seller to pay some or all of the buyer’s broker’s fee pursuant to Article 16 of the Code of Ethics and NAR Case Interpretation #16-12. The buyer may condition the offer upon the seller paying the buyer’s broker’s fee on behalf of the buyer, as a seller’s expense at closing. The buyer’s broker must have been authorized by the buyer in the WB-36 to accept compensation from the owner or the owner’s agent to comply with RL24.05(1). See Legal Updates 99.06 (www.wra.org/LU9906) and 02.01 (www.wra.org/LU0201) for further discussion of this issue. Seller Response The buyer is asking the seller to pay the buyer agent’s fee in a provision of the offer to purchase. Is the seller required to pay that fee in addition to the listing commission? Although the buyer may ask the seller to pay all or a portion of the buyer agency fee, the seller is not required to agree to these terms and conditions. The seller may counter the offer to remove this provision. Some sellers, however, may be reluctant to do this for fear that any adverse response will scare away the buyer, and sellers may wish to go ahead and pay the additional fee. The seller also may counter the offer to increase the purchase price by an amount sufficient to cover the seller’s payment of the buyer’s broker’s fee. A seller might wish to counter the amount of the fee. For further discussion of these options, see pages 5-8 of Legal Update 99.06 (www.wra.org/LU9906). Additional Compensation May a buyer’s broker draft an offer to purchase that requests the seller to pay an additional percentage of the sales price to the broker’s company at the time of closing and still receive the compensation paid by the listing broker via the MLS? An agent may receive commission from multiple sources. The WB-36 Buyer Agency/Tenant Representation Agreement may be negotiated so the buyer will pay the buyer agent a success fee. This amount may be reduced by amounts the broker receives from the seller or the listing broker. If the success fee is in excess of the amount paid by the seller and the listing broker, the buyer will be obligated to pay the remainder of the success fee. Buyer’s brokers should be clear when drafting offer to purchase provisions to specify whether the amounts being paid pursuant to the offer are in addition to - or in place of - the compensation offered by the listing broker. The buyer’s broker should advise the listing broker directly if the buyer’s broker is waiving off the compensation offered by the listing broker. WISCONSIN REAL ESTATE MAGAZINE, October 2004 Legal Matters Coming Soon: DRL Plain-English Agency Brochure T BY RICK STAFF he WRA will soon be publishing a Department of Regulation and Licensing (DRL) Plain English Agency Brochure. The WRA and the DRL have worked closely together to create a document that provides licensees and consumers a clearer explanation of Wisconsin’s agency law than is provided in the statutory agency disclosure form. target of the brochure will likely be customers working with agents because the brochure (as published by the WRA) provides a statutory agency disclosure to the customer. Clients receive the agency disclosure in a listing or in a buyer agency agreement, but they may also appreciate the information in the brochure. The brochure has been developed in response to the concern of licensees and consumers that the statutory agency disclosure is too legalistic. The brochure is not a mandatory form, rather, a clearer explanation of agency law for those who may wish to use it. The version published by the WRA will begin with the language of the DRL brochure and will also include the statutory agency disclosure form and additional consumer information. A two-part agency disclosure is inserted into the center of the WRA’s version of the brochure. The disclosure process is the same when using a brochure or the standard agency disclosure form. When a licensee provides the brochure to a customer the licensee asks the customer to acknowledge receipt of the agency disclosure by initialing the agency disclosure form inserted into the brochure. The consumer can also insert confidential information, etc. Once the form is initialed, the agent tears out the original and the consumer gets the brochure with their copy of the agency disclosure. If a consumer prefers to not initial the form, the agent can note the delivery date and that the consumer chose not to initial the form, take the original copy of the agency disclosure for the agent’s files and give the consumer the brochure. Agency Brochure Q&A What is the purpose of the DRL Plain-English Agency Brochure? The DRL brochure is designed to provide licensees and consumers a clearer explanation of the agency responsibilities of real estate licensees than can be found in the current agency disclosure form. The WRA version of the brochure also includes the standard agency disclosure form as an insert so that a consumer who receives the DRL Plain-English Agency Brochure also receives the agency disclosure form required by Wisconsin license law (Note: delivery of the DRL version of the brochure does not substitute for delivery of an agency disclosure). The WRA brochure also contains additional consumer information, mostly in the form of links to information found on the WRA’s Web site and elsewhere. Who is the intended audience of the DRL Plain-English Agency Brochure? How is the Agency Disclosure provided to customers? Where can I get a copy of the DRL or WRA version of the Plain-English Agency Brochure? The DRL will have a copy of the brochure on their Web site at: http://drl.wi.gov/index.htm The WRA’s version will be available October 11, 2004. Cost for a package of 20 is $16 - plus shipping and tax; volume discounts are available for quantities of 40 and 100. To order by credit card, please go to www.wra.org/BRPEAG. If you are ordering by check, a copy of the WRA’s order form can be printed from the link above and submitted with payment. Both consumers and licensees will benefit from the plain language explanation provided by the form. The primary WISCONSIN REAL ESTATE MAGAZINE, October 2004 news.wra.org 9 ���������������� ���������������� ��������������� ������������������������ ������������� ��� ������������������������������ �� ��� ��� �� �� ���� ��� ��� ���� ������������������� �������������������� ��������������������������� �� ��� ��� �� ��� ��� ��� �� ��� ����������� ������ ���������������������������� �� ��� ��� ��� ��� ��� ��� �� �� ��� ������������� ��������������������������� ����������������������������� ������ ��������������������������� �� �� �� �� ��� ��� ��� ��� ��� ����� ����� ����������������������������� ������������������������������� � ��� ����������������������� ����������������������������� � ������������������������������ ��� ��� ��� ��� �� ��� ��� ��� ��� ������ ������������������ ���������������������������� ����������������������� ����������� ���� �� � ��� ��������������������� ���� ��� ��� ��� �� ��� � ��� ����������������������� �� ��� ���������������������������� �� ��� ����������������������� ��������������������������� ����������������������������� ��� ��� ������������� ���� �� ���� ��� ��� ���� �� �� �������������� ��� ��������������������� ���������� ��� ��� ��� �� ��� ��� ��� ��� �� ������������������������������ ����������������� ����������������������������������� ����������������������������� ������������������������������� ��� ����������� �� ��� �� ����������������������� ��� ��� � �� �� �� �� ��������������������� � ��� �� ����������������� ������������������������������� ���������������������������� ������������ ��������������������� ���� ��������������������� ���� ������������������������������������������������������������������������������������������������� ������������������������������������������������������������������������������������������������� ���������������������������������������������������������������������������������������������������� ���������������������������������������������������������������������������������������������������� ��������������������������������������������������������������������������������������� ����� �������������������������������������������������������������������������������������������������� ������������������������������ ������������ ������������������ ������������������������������� ������������������������������������ �������������������������� ������������������������������� ����������������������������� ��������������������������� ������������������������������ ���������������������� real estate LICENSE RENEWAL BY DEBBI CONRAD R eal estate license renewal applications, including a statement certifying completion of the required continuing education (CE) coursework, must be filed with the Department of Regulation and Licensing (DRL) by December 31, 2004. A renewal application is considered filed upon receipt by the DRL. Individuals failing to meet the December 31, 2004 deadline will be unlicensed as of January 1, 2005 and CANNOT PRACTICE REAL ESTATE until they complete the renewal process and receive their new licenses. Here are some pointers to keep in mind when renewing your real estate license. CE Courses The CE renewal requirement may be met either by having passed the “test-out” exam given between July 1, 2003, and June 30, 2004, or by haven taken 12 hours of DRL-approved CE and passing the course examinations. The required CE consists of four courses of at least three hours in length. All renewing licensees must complete Course 1 regarding contract and forms issues, Course 2 regarding environmental and disclosure issues, Course 3 regarding new developments and a Course 4 option. Course 4A addresses the formation of offers of cooperation and compensation, while Course 4B covers DRL practices guidelines and broker ethics. Course 4B is designed to satisfy the National Association of REALTORS® (NAR’s) mandatory quadrennial ethics training requirement for REALTORS®. Live, video (Internet exam) and self-study (Internet exam) CE courses are still available from the WRA. See pages 16-17 of this issue or go to www.wra.org/Education/courses.asp#results for the 2003-2004 CE course schedule and registration page. Individuals failing CE course examinations may retake the courses and examinations for credit. Licensees do not need to submit any course certificates with their renewal applications. The course certificates may later be requested by the DRL, however, for their random license renewal audit. The CE renewal requirement does not apply to licensees who received an original Wisconsin real estate salesperson or broker’s license during the 2003-2004 biennium. NAR Quadrennial Ethics Training All REALTORS® are required to complete 2.5 hours of ethics training between January 1, 2000, and December 31, 2004. Mem- bers who have joined since January 1, 2000 and who completed the new member Code of Ethics orientation course need not complete any additional ethics training. All continuing members who joined the WRA before January 1, 2000 must complete the 2.5 hours of NAR-approved ethics training. Failure to complete the required periodic ethics training is a membership duty violation for which REALTOR® membership shall be suspended until such time as the required training is completed. Any member who attended a WRA-sponsored 2001-2002 CE Course 2 or 2003-2004 CE Course 4B has met the NAR quadrennial training requirements. REALTORS® may use the “MyWRA” function at www.wra.org/myWRA/myWRA.asp to see if they completed one of these courses. REALTORS® attending continuing education provided by any other sponsor must contact the sponsor to determine if the course was taught to meet NAR standards. REALTORS® who have not yet met the NAR quadrennial ethics requirements may complete the training online for free, courtesy of the NAR. The free online quadrennial ethics course is available on the NAR Web site at www.realtor.org/mempolweb.nsf (click on Quadrennial REALTOR® Ethics Training – Online course). For a schedule and registration for the WRA’s 2003-2004 CE Course 4B-DRL Practice Guidelines & Broker Ethics, go to www.wra.org/Education/courses.asp#CE4B. Online Renewal As was the case during the 2002 renewal cycle, licensees will be able to renew their real estate licenses over the Internet. Internet renewal is available at http://prd4p.it.state.wi.us/renewal/logon. In order to renew online, licensees will need their credential number and the PIN number that appear on the renewal application, which REALTORS® will receive in the mail. Tax Delinquencies and Support Obligations The DRL uses a licensee’s Social Security number or a company’s Federal Employer Tax Identification Number (FEIN) to check with the Department of Revenue (DOR) and determine whether the renewing licensee has any delinquent state tax payments. Those with delinquent taxes (not including property taxes) are given 10 days to pay the amounts due, or enter into a payment License Renewal Cont. on pg. 19 WISCONSIN REAL ESTATE MAGAZINE, October 2004 11 HOME Plus Loan THINK YOU need a down payment TO PURCHASE YOUR Think first home? again. Check out WHEDA ����������������������������������������������� ���������������������������������������������� ���������������������������������������������� ���������������������������������������� Call 1-800-334-6873 or go to www.wheda.com �������������������������������� ���������������������������������������� ������������������������������������� ���������������������������������������� ������������� ��������������������������� ���������������������������� ���������������������������������� �������������� ��������������������������������������� ���������������������������������������������������� ����������������������������������������� ��� ������������������������������������������������� ������������������������������������������������������ ���������������� �������� �� ���� ����������� ��������������������������������������������������� ���������������������� In the Spotlight Mike Spranger, ABR, CRS, GRI WRA Director - Vice President Mike began working as a salesperson in 1981, and opened Mike Spranger Real Estate, Inc. in 1991. He works with his wife Dawn in their 11-person office in Wisconsin Rapids. In addition to serving on the WRA Executive committee, Mike is a Past President of the Central Wisconsin Board of REALTORS® and Central Wisconsin MLS and has served on many state and local committees. He has two adult sons, Chris and Brian. WREM: How did you get into the business? After high school, I completed a vocational program for residential construction, and with economic conditions as they were in 1979, I decided to pursue an associate degree in business- real estate. It seemed like a natural fit. After graduation in 1981, I began my sales career. WREM: What qualities do you think make a successful REALTOR®? Ambition, but not aggressive ambition. In residential real estate, our success is dependent on developing new business sources AND cooperation with our competitors. We must continuously seek an edge, while respecting others in the industry. Maintaining good working relationships with competitors will enhance financial rewards and respect from outside the industry as well. REALTORS® must be responsive. Successful agents respond quickly and address issues at the first possible opportunity. It’s also important to be community minded and active in your community. Giving back helps develop an ownership and overall good feeling about the area you serve. WREM: What tips would you give to a REALTOR® starting out in the business? Develop a plan and execute it. You can only get there if you know where you are going and have developed work habits to get there. Watch successful agents and learn from them. Commit to the business by building your competence. Minimum standards are for those that expect minimum results. Continually seek to improve yourself. Associate with positive-thinking people. These people typically have high aspirations and may even take you to levels beyond those you thought possible. modify our services to provide value. WREM: Where do you see your own business in the next several years? The WRA has become a strong player in the political arena. As RPAC contributions continue to reach record levels, it’s obvious that the members recognize its importance. We must continue to mobilize our membership on the issues though. An educated membership will increase our political impact significantly. Also, in our litigious society, brokers will continue to need the legal and educational support of the WRA. The challenge for us will be to recognize the varied needs of all our members and deliver valued services to them regardless of company size or affiliation. Having a college-age son that has expressed interest in the business, the upcoming years will be interesting. We now have a mix of experienced agents that have been with us for more than 10 years as well as some talented rookies. The next few years will bring some retirements, and replacing the experience will be a challenge. WREM: What changes do you see happening in the industry in the coming year? Watching consolidations and mergers around the state and across the country, I think many medium and small brokers wonder how and when it may affect them. The consumer’s embrace of the Internet will keep challenging us to REAL ESTATE MAGAZINE July 2004 WISCONSIN WISCONSIN REAL ESTATE MAGAZINE , O,CTOBER 2004 While access to technology has become easier and more affordable, there has been reluctance by many in learning more than the basics to get by. Those that choose to learn the technology to improve their efficiency will continue to gain market share. WREM: As a member of the WRA’s Executive Committee, how do you see the WRA’s role changing in the coming years? 13 13 13 Education & Products Start recruits on the road to success Put your recruits on track to obtaining their real estate license for the state of Wisconsin by having them complete the WRA’s 8-day Accelerated 72-hour sales program. Courses will be held at the WRA in Madison on November 1-4 and 8-11, 2004, as well as January 10-13 and 17-20, 2005. As soon as recruits complete the course, they may register to take their exam to earn their real estate license. Brokers, help recruits get started by purchasing a coupon for $10 that recruits can redeem for $50 off their registration fee. This course is also available in self-study formats on video and via the Internet. Visit www.wra.org/SalesPLcourses for more information. RRS Resort and Recreation Specialist November 10-11 • Sturgeon Bay This two-day designation class will teach you how to: • Use and develop buyer profiles for each customer • Discover customer motivations and sell to them • Develop systems and techniques to find prospective buyers • Utilize the power of the Internet to give better service • Develop profitable and effective business relationships with out-of-town buyers and sellers • Create successful marketing systems for recreation and resort properties • Effectively market properties using superior staging, pricing and target market techniques Visit www.wra.org/RRSCourses for more information. Earn your ABR and stand as a buyer’s agent out Join more than 40,000 members who are succeeding as Accredited Buyer Representatives (ABR). Get accredited as an ABR and move ahead with specialized courses. Start your ABR designation by attending a class on November 4-5, 2004 in Kenosha. This is one of the hottest classes right now … because Buyer Agency is becoming more and more the way buyers want to do business. This two-day course covers agency, service delivery, marketing and promotion, and negotiation and risk management. This course fulfills Course 4 of your 2003-2004 continuing education requirement. Visit www.wra.org/ABRcourses for more information. 14 WISCONSIN REAL ESTATE MAGAZINE, October 2004 Education & Products Education Registration Form CONTACT INFORMATION Name ________________________________________________ Firm name ___________________________________________ Address_______________________________________________ City ______________________ State _______ Zip ___________ Phone (W)______________________ (H)____________________ *e-mail address________________________________________ SS# or WRA member # _________________________________ DATES AND FEES - Fill in information for course attending GRI and Appraisal CE Don’t miss these upcoming dates Earn the designation that makes a difference and increase your income. According to the data in the 2003 National Association of REALTORS® Profile, 19 percent of all REALTORS® have earned the GRI designation and earn over $33,200 more annually than non-designees. Mark your calendar for the WRA’s Designation Week in Green Bay, February 14-17, 2005, and select either GRI Course 2 or GRI Couse 3. Visit www.wra.org/GRIcourses for more information. In order to renew your appraiser license, you are required to complete 28 hours of continuing education in each biennium. Seven of these hours must be USPAP education. The biennium ends on December 31, 2005. Sign up now for these Appraisal CE courses: • December 1, 2004; Appleton – Real Estate Fraud: The Appraiser’s Responsibilities and Liabilities – 7 hours • December 2, 2004; Brookfield – Analyzing Operating Expenses – 7 hours • December 3, 2004; Madison – Expanding Your Range of Services – 7 hours Visit www.wra.org/APCEcourses for more information. WISCONSIN REAL ESTATE MAGAZINE, October 2004 Course _______________________________________________ Location ______________________________________________ Date _________________________________________________ *Confirmation will be sent by e-mail or you may check My WRA at www.wra.org to verify course registration. PAYMENT Total $________ Enclosed is my check made payable to the WRA Charge my VISA/MasterCard (circle one) Card number_________________________ Exp. date ________ Register by Mail: WISCONSIN REALTORS® ASSOCIATION 4801 Forest Run Road, Suite 201 Madison, WI 53704-7337 Register by Phone: (800) 279-1972 or (608) 241-2047 Register by Fax: (608) 241-5168 Online Registration: www.wra.org CANCELLATION POLICY: The WRA reserves the right to cancel a course if not filled. Cancellations must be made in writing prior to the start of the course and will be refunded, minus a $25 administrative fee. Registrations cannot be transferred from person to person. 15 For A SN2E0A05KWRPA CEaleEnKdar, Continuing Education Sales & Marketing Management Prelicense Education at the .org/ go to www.wra a WR Acalend r Education & Products Nonmembers pay an additional fee for all courses. ** Fee until day of class – additional fee charged at the door. # Fee for all four modules. *** Completion of two 1-day classes required to receive credit for CRS designation * Must be postmarked or received by WRA 14 days prior to start of class Calendar Date Course Time Location Regular Reg.** October 18-21, 2004 November 1-4; 8-11, 2004 36-Hour Broker 72-Hour Sales 8:00 am - 5:00 pm 8:00 am - 5:00 pm Madison Madison $255 (plus books) $325 (plus books) January 10-13; 17-20, 2005 72 Hour Sales 8:00 am – 5:00 pm Madison $325 (plus books) February 7-10, 2005 36 Hour Broker 8:00 am – 5:00 pm Milwaukee $255 (plus books) Date Course Location ***October 10, 2004 ***October 11, 2004 October 13-14, 2004 November 4-5, 2004 November 10-11, 2004 November 18-19, 2004 December 9-10, 2004 January 26-27, 2005 CRS 1-day - Marketing w/Microsoft Office Appleton CRS 1-day - Mastering the Art of Selling New Homes Appleton QuickStart Module 1 & 2 Madison Buyer Agency (ABR) Kenosha RRS (Recreational & Resort Course) Sturgeon Bay QuickStart Module 3 & 4 Madison QuickStart Module 1 & 2 Madison Quickstart Module 3 & 4 Madison Early Reg.* Regular Reg.** 240 (1) 260 299 240 (1) 240(1) 240(1) 159 159 240(1) 270 309 240(1) 240(1) 240(1) Date Course Time Location Registration Member** Non-Member** Oct. 4, 2004 Oct. 5, 2004 Oct. 5, 2004 Oct. 5, 2004 Oct. 6, 2004 Oct. 6, 2004 Oct. 6, 2004 Oct. 7, 2004 Oct. 7, 2004 Oct. 7, 2004 Oct. 12, 2004 2003-2004 CE 1 & 2 2003-04 CE 3 & 4B 2003-04 CE1 (video) 2003-04 CE 3 (video) 2003-04 CE 1 & 2 2003-04 CE 4A (video) 2003-2004 CE1 & 2 2003-04 CE 1 & 2 2003-04 CE4A (video) 2003-2004 CE 1 & 2 2003-04 CE2(video) 8:30 am – 4:30 pm 8:30 am – 4:30 pm 1:00 pm - 4:30 pm 12:30 pm – 3:00 pm 9:00 am – 5:00 pm 8:30 am – 12:00 pm 9:00 am - 5:00 pm 8:30 am – 4:30 pm 9:00 am - 12:30 pm 9:00 am - 5:00 pm 9:00 am - 12:30 pm Spooner Spooner Kenosha Sheboygan Milwaukee2 Sheboygan Madison-WRA Montello La Crosse Brookfield Kenosha 715-634-7550 715-634-7550 262-942-0592 920-457-7908 800-279-1972 920-457-7908 800-279-1972 608-297-7734 608-785-7744 800-279-1972 262-942-0592 Call for information Call for information Call for information Call for information $24/course $32/course Call for information $24/course $32/course Call for information Call for information $24/course $32/course Call for information Oct. 12, 2004 Oct. 13, 2004 Oct. 13, 2004 Oct. 13, 2004 Oct. 14, 2004 Oct. 14, 2004 Oct. 19, 2004 Oct. 19, 2004 Oct. 20, 2004 Oct. 20, 2004 Oct. 21, 2004 Oct. 21, 2004 Oct. 21, 2004 2003-04 CE1 (video) 9:00 am - 12:30 pm 2003-04 CE4C (commercial)9:00 am - 12:30 pm 2003-04 CE 1 & 2 (video) 8:30 am - 4:30 pm 2003-04 CE 1 & 2 9:00 am - 5:00 pm 2003-04 CE 3 & 4A 9:00 am - 5:00 pm 2003-04 CE4B (video) 9:00 am - 12:30 pm 2003-04 CE1 & 2 (video) 8:30 am – 4:30 pm 2003-04 CE 1 & 2 8:30 am – 4:30 pm 2003-04 CE3 & 4A (video) 8:30 am – 4:30 pm 2003-04 CE 3 & 4A 9:00 am - 5:00 pm 2003-04 CE 1 & 2 8:30 am - 4:30 pm 2003-04 CE3 (video) 9:00 am - 12:30 pm 2003-04 CE2 (video) 9:00 am - 12:30 pm La Crosse 608-785-7744 Madison 608-294-4097 Elkhorn 262-723-6851 Milwaukee1 800-279-1972 Milwaukee2 800-279-1972 Janesville 608-755-4854 Woodruff 715-356-3400 Green Bay 920-739-9108 Woodruff 715-356-3400 Wisconsin Dells 800-279-1972 Mosinee 800-279-1972 Kenosha 262-942-0592 La Crosse 608-785-7744 Call for information Call for information Call for information $24/course $32/course $24/course $32/course Call for information Call for information Call for information Call for information $24/course $32/course $24/course $32/course Call for information Call for information 1 – Four Point Sheraton, 4747 South Howell Avenue 2 – Manchester East, 7065 North Port Washington Road 16 WISCONSIN REAL ESTATE MAGAZINE, OCTOBER 2004 Continuing Education continued Calendar Nonmembers pay an additional fee for all courses. ** Fee until day of class – additional fee charged at the door. # Fee for all four modules. *** Completion of two 1-day classes required to receive credit for CRS designation * Must be postmarked or received by WRA 14 days prior to start of class Date Course Oct. 21, 2004 Oct. 21, 2004 Oct. 22, 2004 Oct. 25, 2004 Oct. 26, 2004 Oct. 26, 2004 Oct. 26, 2004 Oct. 27, 2004 Oct. 27, 2004 Oct. 27, 2004 Oct. 27, 2004 Oct. 28, 2004 Oct. 28, 2004 Oct. 29, 2004 Nov. 1, 2004 Time Location RegistrationMember** Non-Member** 2003-04 CE1 (video) 8:30 am – 12:00 pm 2003-2004 CE 3 & 4A 9:00 am - 5:00 pm 2003-04 CE 3 & 4A 8:30 am - 4:30 pm 2003-04 CE1 & 2 8:30 am – 4:30 pm 2003-04 CE4B (video) 9:00 am - 12:30 pm 2003-04 CE3 (video) 9:00 am - 12:30 pm 2003-04 CE3 & 4B 8:30 am - 4:30 pm 2003-04 CE2 (video) 8:30 am – 12:00 pm 2003-2004 CE3 & 4A 9:00 am - 5:00 pm 2003-04 CE 3 & 4A 9:00 am - 5:00 pm 2003-04 CE 3 & 4A (video) 8:30 am - 4:30 pm 2003-04 CE 1 & 2 8:30 am – 4:30 pm 2003-04 CE1 & 2 (video) 8:30 am – 4:30 pm 2003-04 CE 3 & 4A 8:30 am – 4:30 pm 2003-2004 CE1 (video) 9:00 am – 12:30 pm Sheboygan Brookfield Mosinee Rice Lake Kenosha La Crosse Rice Lake Sheboygan Madison-WRA Milwaukee1 920-457-7908 Call for information 800-279-1972 $24/course $32/course 800-279-1972 $24/course $32/course 715-634-7550 Call for information 262-942-0592 Call for information 608-785-7744 Call for information 715-634-7550 Call for information 920-457-7908 Call for information 800-279-1972 $24/course $32/course 800-279-1972 $24/course $32/course 262-723-6851 Call for more information 888-722-4922/651-774-5206 262-338-8114 Call for information 888-722-4922/651-774-5206 920-553-6227 Call for information Nov. 2, 2004 Nov. 2, 2004 Nov. 3, 2004 Nov. 4, 2004 2003-2004 CE2 (video) 2003-04 CE 3 & 4A 2003-04 CE 2 & 1 2003-2004 CE 2 & 1 9:00 am – 12:30 pm 8:30 am – 4:30 pm 9:00 am – 5:00 pm 9:00 am - 5:00 pm Manitowoc Green Bay Milwaukee2 Nov. 4, 2004 Nov. 4, 2004 Nov. 4, 2004 Nov. 5, 2004 2003-04 CE 3 & 4A 2003-04 CE4A (video) 2003-04 CE3 & 4A (video) 2003-04 CE1 (video) 8:30 am – 4:30 pm 9:00 am – 12:30 pm 8:30 am – 4:30 pm 9:00 am – 12:30 pm Nov. 8, 2004 Nov. 8, 2004 Nov. 9, 2004 Nov. 9, 2004 2003-2004 CE3 (video) 2003-04 CE3 (video) 2003-2004 CE4A (video) 2003-04 CE1 (video) Nov. 9, 2004 2003-04 CE1 & 2 (video) Nov. 9, 2004 Nov. 10, 2004 Nov. 10, 2004 Nov. 10, 2004 Nov. 11, 2004 Nov. 11, 2004 Nov. 11, 2004 Nov. 12, 2004 Nov. 12, 2004 Nov. 15, 2004 Nov. 16, 2004 Nov. 16, 2004 Nov. 16, 2004 Nov. 16, 2004 Nov. 17, 2004 2003-04 CE 1 & 2 8:30 am – 4:30 pm 2003-04 CE 4A & 3 9:00 am – 5:00 pm 2003-04 CE3 & 4A (video) 8:30 am – 4:30 pm 2003-04 CE4A (video) 8:30 am – 12:00 pm 2003-2004 CE4B (video) 9:00 am – 12:30 pm 2003-2004 CE 4A & 3 9:00 am - 5:00 pm 2003-04 CE3 & 4A (video) 8:30 am – 4:00 pm 2003-04 CE2 (video) 9:00 am – 12:30 pm 2003-04 CE4A (video) 8:30 am – 12:00 pm 2003-04 CE2 (video) 9:00 am – 12:30 pm 2003-2004 CE1 & 2 (video) 8:30 am - 4:30 pm 2003-2004 CE2 & 1 9:00 am - 5:00 pm 2003-04 CE1 & 2 (video) 8:30 am – 4:30 pm 2003-04 CE 3 & 4A 8:30 am – 4:30 pm 2003-04 CE3 &4A (video) 8:30 am – 4:30 pm Elkhorn Hudson West Bend Hudson Manitowoc Brookfield 920-553-6227 920-739-9108 800-279-1972 800-279-1972 Call for information Call for information $24/course $32/course $24/course $32/course Montello La Crosse West Bend Kenosha 608-297-7734 608-785-7744 262-338-8114 262-942-0592 Call for information Call for information Call for information Call for information 9:00 am – 12:30 pm 8:30 am – 12:00 pm 9:00 am – 12:30 pm 9:00 am – 12:30 pm Manitowoc Sheboygan Manitowoc La Crosse 920-553-6227 920-457-7908 920-553-6227 608-785-7744 Call for information Call for information Call for information Call for information 8:30 am – 4:30 pm Woodruff 715-356-3400 Call for information Appleton Milwaukee2 Woodruff Janesville Manitowoc Brookfield Janesville Kenosha Sheboygan La Crosse Grafton Madison-WRA Woodruff Appleton Woodruff 920-739-9108 800-279-1972 715-356-3400 608-755-4854 920-553-6227 800-279-1972 608-755-4854 262-942-0592 920-457-7908 608-785-7744 262-375-4730 800-279-1972 715-356-3400 920-739-9108 715-356-3400 Call for information $24/course $32/course Call for information Call for information Call for information $24/course $32/course Call for information Call for information Call for information Call for information Call for information $24/course $32/course Call for information Call for information Call for information 1 – Four Point Sheraton, 4747 South Howell Avenue 2 – Manchester East, 7065 North Port Washington Road 17 WISCONSIN REAL ESTATE MAGAZINE, October 2004 17 TABO Taxpayers Bill of Rights DEBATE TO RESUME IN JANUARY 2005 BY JOE MURRAY After failing to pass the “Taxpayers Bill of Rights” (TABOR) through the Wisconsin State Senate in July, former Senate Majority Leader Mary Panzer (R-West Bend) was crushed by her primary opponent, State Representative Glenn Grothmann (R-West Bend) by a whopping 4-1 margin in the September primary. In another primary fight, veteran state Representative Michael Lehman (R-Hartford) was narrowly defeated by little-known challenger Dan Pridemore. Both Republicans held similar positions on most issues except for TABOR, which Lehman opposed and Pridemore supported. While other issues were involved in the defeat of both Panzer and Lehman (especially the abortion issue in the Panzer race), it’s clear that when the newly elected legislature returns to Madison next January, the first order of business on the agenda will be passage of TABOR. It’s not clear which version of the bill will be voted on, but it’s a virtual certainty that TABOR will be the first significant issue debated in both houses of the legislature. Will it Pass? What isn’t clear is if TABOR (a constitutional amendment to limit state and local spending) will pass both houses of the legislature. Conventional political wisdom among Republican insiders and TABOR proponents says it will. After Panzer and Lehman were defeated in their primaries, State Representative Frank Lasee (R-Bellevue), a leading TABOR proponent said, “it’s never been so certain that TABOR is on its way. Opponents, beware.” State Senator-elect Glenn Grothmann (R-West Bend) also believes TABOR’s time has come, saying, “The people are not afraid of the Taxpayers Bill of Rights.” 18 The outcome in the Panzer and Lehman primaries will no doubt provide momentum for TABOR. But it may require the defeat of other incumbent legislators who oppose TABOR to get it through the State Senate. Former Majority Leader Mary Panzer and current Majority Leader Scott Fitzgerald (R-Juneau) said earlier this year that the Senate didn’t have the votes to pass TABOR. Panzer’s desperate and politically fatal attempt to pass TABOR in a July extraordinary session proved the votes were not there to pass the constitutional amendment in the upper house. With all Senate Democrats opposed to TABOR, it was up to Senate Republicans to reach a majority to pass the measure, and there just wasn’t enough support in the GOP caucus to pass it on first consideration. If all Senate Democrats continue to oppose TABOR, Senate Republicans must find at least three more votes to secure its passage. This means Republicans must pick-up State Senate seats with pro-TABOR candidates this fall, and convince one or two current members of their caucus, who oppose it, to support the amendment. Anti-TABOR Coalitions Organizing As the pro-TABOR forces pick and choose their fights in selected legislative races this fall, watch for the anti-TABOR coalition to gear up for a possible multi-year fight to convince voters the constitutional amendment to control taxes and spending is a bad idea. The anti-TABOR coalition will be spearheaded by WEAC, the state’s largest teachers’ union; AFSME, comprised of state and local public employees; the AFL-CIO; the UW-System; organizations representing municipal government; and others who depend on public funding to provide state and local services. It will also include most editorial page editors of the major daily newspapers. The coalition will warn taxpayers that passing a constitutional amendment to limit taxes and spending will increase class sizes for K-12 students, require local governments to scale WISCONSIN REAL ESTATE MAGAZINE, OCTOBER 2004 Public Policy Forum back on police and fire protection, make it difficult or impossible for government to respond to emergencies that harm or threaten their communities, and stop local government economic development projects. Why, they will argue, is the state eliminating “local control?” If the Republican-controlled legislature finds the votes to pass TABOR and send it to voters in Wisconsin for ratification in a statewide referendum, the anti-TABOR coalition will spend millions to defeat it. They will not only raise and spend significant amounts from in-state sources, it’s very likely their national organizations will contribute to the cause and attempt to convince voters to reject the constitutional amendment. Polling shows widespread support for TABOR (and the property tax “freeze”), with some hesitation depending on the issue. But polls only represent a snapshot of public opinion on a given issue at a given time, and voters can change their minds on popular issues if the arguments against it are framed correctly. Remember the proposed constitutional amendment to eliminate the uniformity clause in the State Constitution to reduce property taxes? In 1992 (and once before in 1989), proponents of this amendment were certain it would pass. After all, how could anyone in their right mind believe voters would reject property tax relief for homeowners? Opponents of the measure (WRA included) polled and found the weak spots in the arguments for the change, and ran a sophisticated and well-financed campaign against the amendment. Those who favored the change were shocked when voters rejected the proposed amendment by a 70-percent-to30-percent margin. Obviously property taxes in Wisconsin remain a hot political issue. Just ask former Milwaukee County Executive Tom Ament and seven former Milwaukee County Supervisors who were recalled from office after passing a pension sweetener that required property taxpayers to pick up the tab. Don’t forget “Mr. Freeze,” Representative Mark Honadel, the first Republican elected to a South Milwaukee Assembly district in 75 years in 2003 who ran on supporting the property tax issue. And Mary Panzer’s political collapse was due in large part to her handling of TABOR. Passage of a Taxpayers Bill of Rights may not be the slamdunk its proponents believe it is. Voters can, and do, change their minds when presented with credible evidence on both sides of an issue. But the problem with chronically high property taxes in Wisconsin requires voters to decide, one way or the other, if they really want state and local governments to reduce spending. Tom Ament, Al Foeckler, Mary Panzer and Michael Lehman would probably tell you voters are ready for TABOR. Either way, the public debate over TABOR will be a debate over, as conservative talk radio host Charlie Sykes puts it, “the most fundamentally transformational piece of conservative fiscal public policy to appear in Madison in decades, if not generations.” The debate has already begun. License Renewal Cont. from pg. 11 agreement with the DRL. If this is not done, the DRL will deny the license renewal and the applicant will have 30 days to file a written request for a hearing. A licensee will be given considerable time to exercise due process rights. However, a licensee may continue to practice during this time only if the licensee has filed a timely and complete application for renewal. Those with questions about their state tax status may contact their local DOR office or call (608) 266-8619. Social Security numbers and FEIN numbers will also be used to determine whether licensees have failed to pay family support or failed to comply with a warrant or subpoena related to paternity or support proceedings. Upon receiving a certification from the Department of Workforce Development (DWD) that the licensee is delinquent in making court-ordered support payments or has failed to comply with a related subpoena or warrant, a renewal license may be restricted or denied. Broker Responsibility Wis. Admin. Code § RL 17.07 places responsibility upon the broker/ employer to confirm that each sales agent in the company has renewed his or her real estate license. If an individual’s renewal application has WWISCONSIN EAL STATE AGAZINE , ,October ISCONSINRR EALEE STATEMM AGAZINE October2004 2004 not been filed timely with the DRL, a broker/employer may not permit the individual to practice real estate after December 31 until that individual’s license is renewed. Late Renewals Licensees who do not fulfill their CE requirements by December 31, 2004, may complete the CE courses after that date and file a late renewal application. Applications filed after December 31 must include the license application form (including the statement certifying completion of the CE requirement), the appropriate renewal fee and the $25 late fee. 19 19 Public Policy Forum Public Hearings Set for Revised Pier Rules BY TOM LARSON Public Hearings The DNR will be holding six public hearings around the state to get feedback from waterfront property owners on the proposed pier rules. The hearings will be held in the following locations: Eau Claire November 1, 2004 OL 1132, Old Library, UW-Eau Claire, 105 Garfield Ave., 6:00 p.m. (Video conference) Green Bay November 1, 2004 MAC137, Instructional Services Bldg., UW-Green Bay, 2420 Nicolet Dr., 6:00 p.m. (Video conference) Tomahawk November 3, 2004 Comfort Inn and Conference Center, 1738 Comfort Dr., 6:00 p.m. Hayward November 4, 2004 County Board Room, Sawyer Co. Courthouse, 10610 Main Street, 6:00 p.m. Waukesha November 9, 2004 Room 151, State Office Building, 141 NW Barstow Street, 6:00 p.m. Madison November 10, 2004 Room 027, GEF #2, 101 South Webster Street, 12:00 p.m. 20 T he Wisconsin Department of Natural Resources (DNR) has just completed a revised draft of administrative rules relating to the construction and placement of piers (Wis. Admin. Code Ch. NR 326). The rules were revised after the Wisconsin Legislature’s Joint Committee for Reviewing Administrative Rules (JCRAR) suspended emergency rules that would have made thousands of piers illegal throughout the state. Unlike the emergency rules, the revised rules are the work product of an advisory group consisting of waterfront property owners and representatives from the real estate industry, marine contractors, marinas, campgrounds and the environmental community. The advisory group met on a weekly basis for approximately two months to come up with a rule package that protects both the waterfront property owner’s right to place a pier and critical aquatic habitats from being destroyed. (Note – Two different permanent rule proposals will be presented at the public hearings – one drafted by the advisory group and the other drafted by the DNR, which is almost identical to the emergency rules suspended by JCRAR in July.) Rule Highlights Although an actual draft of the revised rules was not available at the time of publication, the advisory group has agreed to the following principles: • Most existing piers will be exempt from the permitting requirements. • Permits will not expire at the time of sale. • Most structures attached to piers will be allowed (benches, chairs, tables, ladders, flag poles, flower pots, etc.). • New piers located in “areas of special natural resource interest” or in areas with “public rights features” after April 19, 2004 will be required to obtain a general permit. Existing piers in these areas may qualify for an exemption. • The DNR will seek compliance with rule standards through various measures including design alternatives, relocation and down-sizing of piers where possible. Abatement of piers will be a last resort. • New and existing piers will be exempt from permitting requirement if they meet the following standards: Ø Up to 6-feet wide, may include an “L” or “T” shape; 120-square- foot deck at the lakeward end of the pier, one deck per property. Ø Up to two boat slips for less than 50 feet of frontage, three boat slips for first full 50 feet of frontage, and one WISCONSIN REAL ESTATE MAGAZINE, OCTOBER 2004 boat slip for every full 50 feet of frontage thereafter. Ø May not extend into the water more than 3 feet or to a point where there is adequate depth for mooring a boat or using a boat hoist. Ø New and existing piers that do not qualify for an exemp tion may obtain a general permit if they meet the follow ing requirements: n The pier was placed before January 1, 2004, and in place five of the last six years. n Up to 8 feet wide, may include “L” of “T” shape. n Deck may not exceed 200 square feet • All piers that do not qualify for exemption or general permit may seek an individual permit. The DNR will hold an open house from 4:00 p.m. to 6:00 p.m. prior to the hearings in Green Bay, Eau Claire, Merrill, Hayward and Waukesha and from 10:00 a.m. to noon in Madison. DNR staff will be available to answer questions regarding the proposed rules. A copy of the proposed rule may be reviewed and comments electroni- WISCONSIN REAL ESTATE MAGAZINE, October 2004 cally submitted at: http://adminrules.wisconsin.gov. (In the “search for” box, type in “NR 326” and then click on “search.”) Written comments on the proposed rule also may be submitted via U.S. mail to Ms. Liesa Lehmann, Bureau of Fisheries Management and Habitat Protection, P.O. Box 7921, Madison, WI 53707. Comments may be submitted until December 1, 2004. Written comments whether submitted electronically or by U.S. mail will have the same weight and effect as oral statements presented at the public hearings. Remaining Issues One rule provision that will likely generate discussion at the public hearings is the regulation of pre-existing piers that do not meet the dimensional requirements necessary to be exempt. Under the proposed rules, these piers may qualify for a general permit if they were in place before January 1, 1998, and were placed at least five of the last six years thereafter. Piers that were not in place during this time may still qualify for an individual permit, but will then be subject to public notice and closer scrutiny by the DNR. Because these piers are currently not subject to permitting requirements, and permits are never guaranteed, this provision will likely be of concern to affected property owners. For more information, please contact Tom Larson (tlarson@wra.org) at (608) 240-8254. 21 Your turn. Speak. Be heard. Make an impact. F our years ago, after the delay and confusion surrounding the closest presidential election in history, it became cliché to say “every vote counts” and “you can make a difference.” But you know what? It’s true. And if the 2000 presidential election didn’t make the point strong enough, MICHAEL THEO we need look no further than the past two state legislative elections right here in Wisconsin to see why each of us should vote in November. As re-counters and courts were settling the 2000 presidential election, the following took place in the State Assembly races here in Wisconsin: • In Burnett and Polk counties, Republican challenger Pettis beat incumbent Democrat Duelholm by 452 votes out of 28,160 total votes. • In the Wood County-Marshfield area, Republican Lippert beat Democrat Vruwink in an open seat contest by 98 votes out of 24,038 votes cast. • In the Green Bay area, Republican Krawczyk beat Democrat Peggs in an open seat contest by 180 votes out of 21,976 total votes. • Also in Green Bay, Incumbent Democrat Ryba beat Republican challenger Weycker by just 56 votes out of 23,228 votes cast. rk ma r you cal end 22 And the pattern continued in the last legislative election in 2002. Look at the following State Senate outcomes: • In the Western Wisconsin-Eau Claire area, Republican challenger Ron Brown beat incumbent Democratic Senator Rod Moen by 539 votes out of 54,217 total votes. • In the Sheboygan-Manitowoc area, Republican challenger Joe Leibham defeated incumbent Democratic Senator Jim Baumgart by just 23 votes out of a total 55,413 votes. • In Racine County, Republican challenger Cathy Stepp beat incumbent Democratic Senator Kim Plache by 773 votes out of 49,961 total votes. These 2002 races gave the Republicans the majority in the State Senate. If a just 1,335 voters out of nearly 160,000 would have switched parties or not shown up at the polls that day in November, the Democrats would have remained in control of the Senate and given legislative history, the WRA’s legislative agenda would have continued to be thwarted in that house. This means bills like license reciprocity, e-commerce transactions, Trans 233 changes, limits on municipal fees, condo law revisions, expedited permit processing, comprehensive planning revisions and TIF reforms would have likely never passed last session. Just a handful of votes determined who won the presidency and who controlled the legislature. It’s likely an even smaller handful of votes determined your mayoral, county board, city council and school board elections too. The point is that voting should not be taken lightly or casually. Voting is not only important because it is the foundation of our democracy, it’s important because it directly impacts your state, your community, your business and your family. Most likely nothing else you do November 2 will be more important. It’s now your turn to make a difference. Vote. WISCONSIN REAL ESTATE MAGAZINE, October 2004 ������������� �������������������������������������� ����������������������������� ������������������������������ ������������������������������������������������������������������������ �������������������������� ��������������������������������������������������������������������������� �������������� �������������������������������������������������������������������������� ������������������� ���������������������������������������������������������������� ��������������������������������������������������� ��������������������������������� ������������������������������������������������������������ ������������������������������������������������� ��������������������������������������������������� �������������������������������������������������������� ������������������������������������������������� �������������������������������������������������������� ������ �������������������������������������������������������� ������� � ��������������������������������������������������������������� �������������������������������������������������������������������������� ���������������������������������������������������������������� ������������������������������������������������������������������������� � ��������� � ����������������������������������������������������������������������� �������������������������������������������������������������������� ���������������������������������������������������������������������� ����������������������������������������������������������������������������� ����������������������������������������������������������������������� ��������������������������������������������������������������� ���������������������������������������� Call 800-366-1177 or learn more online at helpusell.com Each Help-U-Sell office is independently owned & operated. This is not an offer. Offers are made only upon delivery of the current Offering Circular. Earnings or profits similar to any statement or inference contained herein are not assured. The success of a franchise is largely dependent on your own efforts. � � ������� �� ���� ����������������������� ����������� Preserving, Protecting, Promoting ...at Home W hen it comes to defining quality of life, very few people would fail to place home front and center. Its where families are born and raised and where lifelong warm memories reside. But along with the emotional associations that people attach to home, there are a number of practical considerations that have dramatic impacts on the ability of home to take its place at the heart of quality of life. It is here, where hard realities meet warm memories that the Wisconsin REALTORS® Association has an important role to play in enhancing the quality of life for the people of Wisconsin. When it comes to home, Wisconsin residents (almost eight out of ten of whom are homeowners) tell us 24 they want to preserve 1) the affordability of housing; 2) the quality of local services; and 3) the overall ambience of the places they call home. To do so, they say that we need to defend against rising costs by keeping taxes down and seeking alternative means of funding public education, resisting public policy initiatives that directly or indirectly increase the cost of housing, and supporting economic development. They want to see initiatives that will promote greater affordability of housing by supporting a strong supply of stock and removing existing barriers to homeownership while opposing new barriers. Here is how these goals of preserving, protecting and promoting the most important home-related qualities of life work together. WISCONSIN REAL ESTATE MAGAZINE, October 2004 ������� �� ���� ����������������������� ����������� The Cost of Housing The Peoples Agenda for protecting, preserving and promoting quality of life at home starts with affordability. People need homes they can afford in safe neighborhoods with good schools and high-quality services. These constitute the fundamental necessities. And while strong majorities (78% between August, 2002 and October, 2003) of people owning their own homes report that they are satisfied with the affordability associated with that home, satisfaction dropped significantly in February, 2004 to 63 percent. At the same time just one respondent in three reports being satisfied with the amount they pay in property taxes, and when taxes are figured into the cost of owning their homes, just 41 percent are satisfied with the overall affordability. On this topic, almost two-thirds of state residents say that making sure housing is affordable is very important to their quality of life. Hold the line on taxes Moreover, affordability of a home is defined not just by the cost of buying it, but by the taxes and cost of living issues associated with living in a community. And, respondents recognize that most actions taken by their elected representatives can have How satisfied are you with the cost of owning a home? Aug. 02 to Oct. 03 Feb. 04 WISCONSIN REAL ESTATE MAGAZINE, October 2004 serious implications for them. Two out of three state residents (67%) report that holding the line on taxes is very important to their quality of life and 74 percent say that it should be an urgent or high priority for elected officials. More than half of state residents (55%) say that finding alternative funding options for education is very important to their quality of life and 68 percent think it should be an urgent or high priority for their elected officials. Further, 81 percent say that more affordable housing would enhance their quality of life. Defend against proposals that increase the cost of housing Not only do people recognize that taxes affect their quality of life, but public policy and legislation do too. Fifty-eight percent of respondents say that avoiding policies and legislation that increase the cost of owning a home is a very important issue affecting them, and 58 percent say it should be an urgent or high priority for their elected officials. Expanding the tax base and supporting economic development While it is important to prevent adverse effects of policies and legislation on the cost of housing, the people of Wisconsin understand the importance of promoting initiatives that will expand the tax base. How satisfied are you with the cost of owning a home, including the amount you pay for property taxes? Feb. 04 Nine out of ten survey respondents agree that we need to attract new jobs, especially hightech jobs to strengthen the economy. Strong majorities believe that job opportunities and job security affect their quality of life at home (76% and 74% respectively). More than half of respondents (55%) say that supporting programs that encourage economic development are very important to their quality of life and three out of four people say it should be an urgent or high priority for their elected officials. 25 Survey ��������� Government and the Quality of Local Services Although homeowners place a high level of importance on costs, they expect and appreciate high quality local services and would almost surely oppose measures that would diminish those services. The people of Wisconsin express strong satisfaction with and support for important local services. More than 80 percent of respondents are satisfied with the local police and fire protection afforded them. The vast majority feel safe in their neighborhoods. Furthermore, nine out of ten survey respondents (92%) report that local services contribute to their quality of life and 65 percent say that high-quality local services are very important to their quality of life. Seek alternative sources of funding for public schools Education too, is a basic necessity. Although our respondents bristle over property tax bills, they say that public schools are a good value. Between fall of 2002 and summer of 2004, satisfaction with the amount paid for public education and the services those taxes buy has risen from 53 percent to 67 percent. Moreover, three fourths of state residents report that the public school system contributes to their overall quality of live. At the same time, fewer than one person in four supports using property taxes as the primary funding source for public education. Forty percent say that we should use a mix of property taxes and alternative funding sources. The Ambience Finally, there is a category of factors affecting quality of life at home that are intangible. We have labeled these features ambience. These include the appearance of neighborhoods and communities, access to parks and shopping, entertainment and the arts, and the sense of community among neighbors. Although difficult to quantify, these characteristics, important and defining, promote the enjoyment and rewards of life in any community. Nine out of ten respondents are satisfied with the upkeep, maintenance and general appearance of their communities. More than two-thirds (71%) are satisfied that they have convenient access to parks and open spaces. Increase housing stock and remove barriers to homeownership Although people acknowledge that government has a role to play in making their lives safe, healthy and comfortable, they say that government can do more to improve their access to quality, affordable housing. There are two ways that communities and their elected leaders can do this. First, they can increase the supply of housing to keep the market competitive. Second, the nature and diversity of housing options is necessary to meet the needs of a desirably diverse workforce. As noted earlier, people believe taxes contribute to the cost of housing and must be a major consideration in considering proposals to remove barriers to homeownership. 26 Taken together, at home the Peoples Agenda calls for tax relief, but it also places a high priority on quality local services and efficient and effective government. Bringing together the resources and the public/private partnerships that will strengthen the overall quality of life at home is an important job that will have to be undertaken while balancing the need for high-quality services, ensuring an abundant supply of housing options, holding the line on taxes and keeping communities rewarding and comfortable places in which to live and work. WISCONSIN REAL ESTATE MAGAZINE, October 2004 REFERRALS 98 W % SU /R EF CC ER ES RA S LS S AR E YE ENC 0 2 ERI P EX Northern Wisconsin Wisconsin Referrals Referrals Northern Serving Vilas and Oneida Counties mark HILGENBERG crs • gri 920•469•4696 Pete Rondello and Becky Sanderson hilgenberg.greenbaymoves.com mhilgenberg@realtyexecutives.com 1-800-472-3410 GREEN BAY www.WeSellTheNorthwoods.com Coldwell Banker Mulleady, Inc. | Minocqua, Wisconsin ��������������� ��������������������� ������������� ������� ����� �������������� ����������������������� � Call “Corky” Hellyer CRB, CRS (866) 898-6444 P.O. Box 17– 1009 Bayshore Drive, Sister Bay, WI 54234 corky@propertydoor.com Visit my web site: www.corkyhellyer.com 6 Offices Serving Northwestern Wisconsin ��������������������� ������ ������ ����������� Door County Referrals? Boulder Junction • Mercer • Minocqua Manitowish Waters • Area Referrals Jim Tait III Boulder Jct. 877-385-2077 ������������������ �������������� ���������������� ���������������� � CLASSIFIEDS Jim Tait Sr. Minocqua 800-677-8248 www.jimtaitrealestate.com ist nd Specialist Lan V Vaacant La This is what I do –Work with the Pro Northern Wisconsin Listing and Selling Miller Land & Livestock www.masterjohn.com David and Reneé Masterjohn (800) 312-8847 (715) 635-8002 realty@masterjohn.com Auctioneers Appraisers Appraisal Services Serving Vilas, Oneida & Surrounding Counties Specializing in Log & Manufactured Homes Single Family • Farm & Ranch • Commercial Recreational • Raw Land Competitive Rates • Quick Turnaround Full Service On-line Appraisal Ordering Automatic Report Status Updates Primary & Secondary Mortgages Estate Planning • Divorce Settlement W3410 Dore Rd. Lyndon Station, WI 53944 Phone: (608) 524-0365 e-mail: auction@execpc.com Pat Van Hefty www.vanhefty.com Minocqua: 866-356-0043 Miller Land & LiveStock Co. Slow Moving Properties? Sellers Anxious? Use the auction method to sell property! For rates and additional information contact Ray Miller. www.raymiller.ws W3410 Dore Rd., Suite A Lyndon Station, WI 53844 (608) 588-3200 or (608) 524-0365 auction@jvlnet.com www.raymiller.ws auction company 265-053 Auctioneer 2070-052 Appraiser 1520-004 Public Policy WisDOT Appeals Trans. 233 Decision O n September 3, the Wisconsin Department of Transportation (WisDOT) formally appealed a Circuit Court’s decision relating to WisDOT’s land BY TOM LARSON division rules (Trans. 233). Earlier this year, the Dane County Circuit Court declared that WisDOT did not have the statutory authority to enact various provisions in Trans. 233 that expanded its review authority from 150 subdivisions per year to approximately 1,500 land divisions and sales along state highways. The circuit court also determined that sections of the rule relating to setbacks and special exceptions resulted a “taking” of private property in violation of the state and federal constitutions. Health Costs Making You MAD? There are a lot of positives to working for yourself, but a big negative is having to pay more for health insurance coverage because you’re not in a large corporation. Today that can change! Join together with others who need health insurance and enjoy affordable rates! To find out if you are eligible for the health insurance endorsed by The National Association for the SelfEmployed, visit my Web site at www.naseweb.com PIN# 1562 Call 800-841-9747 for more information! David Jensen - Agent Life and Health Insurance Company The circuit court’s decision was preceded by the Wisconsin Legislature’s Joint Committee for Reviewing Administrative Rules (JCRAR) two-year suspension of major portions of Trans. 233 last January, after concluding that the rule exceeded WisDOT’s statutory authority. Even if the Court of Appeals reverses the lower court’s decision, JCRAR’s suspension of major sections of Trans. 233 will continue to be in effect until May 2005, unless the legislature decides to reinstate those portions of the rule. The WRA and the 11 other trade associations that filed the lawsuit will continue to fight for the rights of property owners throughout the appeals process. For more information, please contact Tom Larson (tlarson@wra.org) at (608) 240-8254. Committee To Study Septage Disposal Issues BY TOM LARSON A Legislative Council Committee has been formed to study the issue of disposal of septage from private septic systems and holding tanks. The committee is chaired by Rep. John Ainsworth (R-Shawano) and was formed in response to concerns relating to the lack of clear standards regarding the disposal of septage, the need for more effective enforcement authority, and the associated costs and uncertainty related to septage treatment facilities. The study committee will be holding several meetings over the next few months and will likely develop a list of recommendations that will be included in legislation to be introduced next session. Some of the biggest threats to property owners include increased fees, reporting and maintenance requirements, and stronger enforcement authority. The WRA will continue to monitor the committee meetings. If you have any questions or concerns relating to the committee or the committee’s charge, please contact Tom Larson (tlarson@wra.org) at (608) 240-8254. Association Group Insurance Plans are underwritten by The MEGA Life and Health Insurance Company. Home Office: Oklahoma City, OK. Association membership required, benefits vary by state and membership level.M/NATL0248 Exp. 04/05 28 WISCONSIN REAL ESTATE MAGAZINE, October 2004 ����������� ��������������������������������� ���������� ����������������������������������������� ���������������������������������������� ��������������������������������� ���������������������������������� �� ���������������������������������������� ������������������������������������������ ������������������������ ����������������������������������� ������������������������������� �������������������������������� ��������������������������������� ������������������������������ ����������������������������� ������������������������������ ������������������������� ����������������������� �������������������� ������������ ������������������������������ ������������������������������������ ����������������������� ���������������� ������������������������������ Mortgage Guardian fast, affordable peace mind AND IT COMES WITH OF Check out WHEDA WHEDA IS THE ONLY FINANCING INSTITUTION IN WISCONSIN OFFERING MORTGAGE GUARDIAN. IT COVERS YOUR HOMEBUYER’S MONTHLY MORTGAGE PAYMENT FOR UP TO SIX MONTHS IF THEY LOSE THEIR JOB. THAT’S SIX MONTHS OF PROTECTION AND PEACE OF MIND SO YOUR CUSTOMERS CAN GET BACK ON THEIR FEET WITHOUT LOSING THEIR �������������������������������������� Call 1-800-334-6873 or go to www.wheda.com HOME. SOME RESTRICTIONS APPLY. TO LEARN MORE, CALL TODAY.
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