The Wisconsin Department of Safety and Professional Services (DSPS) regulates and licenses more than 208 different types of credentials, including real estate licensees. The DSPS has issued more than 430,000 Wisconsin real estate licenses, making the WRA and its members the fourth-largest license holder. 

For this reason, efficiency at the DSPS has been a regular message the WRA has communicated to the DSPS, the Wisconsin Legislature and the governor. Real estate license holders have more regular contact with the DSPS. From communicating a transfer to a new firm, to consenting to an audit of a trust fund, to a notice of termination, Wisconsin REALTORS^® are often on the DSPS website. Therefore, we often support the technology initiatives the DSPS proposes in the state budget to improve the customer experience as a license holder regulated by the DSPS. 

The new online system, LicensE, is one of the ways the DSPS worked to create a more streamlined and efficient experience in the license application and renewal process. Admittedly, the system is not perfect, but it was improved from the old method of faxing and emailing various forms to the DSPS that required manual input of licensee information. LicensE offers a function to upload documents, removing the opportunity for human error as well as saving DSPS staff time. The WRA continues to work with the DSPS on improving the LicensE system to reduce your frustration and to increase the speed in which the DSPS can complete tasks.

First time using the new system

The 2023-24 biennium will be the first time in which real estate license holders will renew using the new LicensE system. There will undoubtedly be hiccups. In addition to using LicensE for the first time in your renewal process, you will also potentially be able to take advantage of another new DSPS pilot program tool to help with your renewal process. 

Why do we have to take CE?  

Continuing education for real estate licensees (CE) is necessary to protect the public to ensure licensees are competent to practice and are informed and educated regarding changes in laws, regulations and practices related to their industry. As the licensing entity, the DSPS is responsible for confirming that all real estate licensing education has been completed.

Currently, an audit is the only mechanism for the DSPS to confirm compliance. However, audits come at a cost. For illustration: in recent years, after it was suggested home inspectors were not completing the required CE, the DSPS audited the entire group. Around 760 individuals were audited, costing the DSPS approximately $20,000.

Due to the amount of staff time and associated costs required for an audit, the DSPS does not actively audit real estate licensees. More than 30,000 real estate licensees in the state of Wisconsin are subject to auditing. To conduct a full audit of real estate licensees would be a substantial cost, likely upwards of $500,000. Rather than an audit, the DSPS relies on the honor system, which requires licensees at the time of license renewal to provide the date(s) of CE completion, name of education provider and attest to course completion. This current process is fraught with potential misrepresentation.

It is unreasonable and unrealistic to expect the DSPS to audit the entire profession regularly or to require the certificate of completion be provided for each course at the time of renewal. Such an obligation would bog down the DSPS by mismanaging staff time and increasing costs.

Pilot program: auto-population of WRA CE courses

If you have renewed your license before with the DSPS, you may recall a portion of the renewal process in which you include all the CE courses you are required to complete at the time of renewal. To help create a faster and more efficient process, the 2023-25 state budget created a pilot program for a private sector solution to ensure greater compliance, better consumer protection and reduce government costs. This program allows the WRA to certify that students who complete WRA courses have satisfied state requirements at the time of renewal.  

Common questions

What will the pilot program look like? 

While it is not entirely clear exactly what this will look like once implemented, the goal is to automatically populate the CE courses completed with the WRA as the licensee goes through the renewal process. Keep in mind that as a license holder, you must still complete the renewal process, which includes attesting to the information, disclosing criminal convictions and confirming other details.

What will happen to the pilot program after this biennium? 

If the pilot program is successful for the 2023-24 license renewal, the intent is to have the program available to any education provider that meets certain qualification standards. This is a huge step in creating an efficient and streamlined renewal process for real estate license holders by eliminating the manual insertion of information relating to the completion of the 18 hours of CE. If this solution works, the DSPS could allow other pre-qualified education providers to participate in this program by confirming individuals have completed the required CE at renewal and certifying licensees who complete courses with them as a provider has satisfied state requirements.  

Are pilot programs like this unusual? 

No. In addition to other pilot programs instituted at the DSPS in the healthcare field, the concept of “assurance” is not unique at the DSPS or at other state agencies. For example, to boost efficiency and encourage the protection of wetlands, the Department of Natural Resources (DNR) created the Wetland Delineation Professional Assurance Initiative. Participation in the assurance program is voluntary, and the program applies to Wisconsin permits and state-mandated local programs.