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FCC CLARIFIES DO-NOT-CALL RULES ON FSBO’S & EXPIRED LISTINGS
On February 18, 2005, the Federal Communications Commission (FCC) issued an Order addressing certain issues raised in NAR’s Petition for Reconsideration of the Commission’s 2003 Telephone Consumer Protection Act (TCPA, a.k.a. Do-Not-Call) rules. Specifically, NAR requested that the FCC clarify that calls to “For Sale By Owner” (FSBO) and expired listings fall outside the scope of the Do-Not-Call rules. The FCC did clarify that calls to FSBOs by real estate professionals representing a potential buyer are not a telephone solicitation, so long as the purpose of the calls are to discuss the potential sale of the property to the represented buyer. Unfortunately, the FCC declined to exempt from the Do-Not-Call rules calls to expired listings and to FSBOs for the purpose of offering services to residential subscribers (homeowners). The FCC also denied exemptions of Do-Not-Call rules that were requested by Independent Insurance Agents, the Direct Marketing Association and other professional associations. In issuing the Order, the FCC made a strong statement indicating its unwillingness to consider further exemptions of entities or calls from the Do-Not-Call rules.

CONGRESSMAN SEES NEED FOR MORE COMPETITION IN REAL ESTATE INDUSTRY
U.S. House Financial Services Committee Chairman Michael Oxley, R-Ohio, has asked the U.S. Government Accountability Office to study whether the real estate industry needs more competition. "For those of us who particularly believe in the value of the legislative process, it is frankly frustrating for a chairman or any member of an authorizing committee to be faced with appropriation riders that freeze or even override what the Congress determined was in the best interests of our economy and the financial services marketplace," Oxley said during an Exchequer Club luncheon. Although he did not mention the National Association of REALTORS® by name, Oxley appeared to criticized the group for lobbying in recent years to get amendments added to appropriations bills to bar national banking conglomerates from the real estate brokerage and property management business. [Editor's note: Authorizing legislation backed by NAR that would permanently ban national banking conglomerates from real estate brokerage and management attracted the co-sponsorship of more than a majority of members in the House in 2004, but was not brought to the floor for a vote. In reintroducing the bill in 2005, Rep. Ken Calvert, R-Calif., said, "A majority of Members of the House of Representatives have previously expressed their doubts about (banks in real estate). Simply put, Congress did not intend for banks to engage in real estate management or brokerage."]
Source: American Banker (02/17/05); Blackwell, Rob

BUSH BUDGET WOULD YIELD BENEFITS FOR REAL ESTATE
President Bush submitted his Fiscal-Year 2006 budget recommendations to Congress on February 7. It proposes several useful recommendations that would benefit real estate and Realtors alike. These include:
1. Create a tax credit that would provide an incentive for construction of affordable housing that would be available for purchase.

2.Extend the 15% capital gains tax rate beyond 2008 and make it permanent.

3. Extend the repeal of the estate tax beyond 2010 and repeal it permanently.

4. Enact tax incentives that would make it easier for individuals with no health insurance to acquire affordable insurance and/or to create Health Savings Accounts.

5. Assure that flood mitigation grants from the Federal Emergency Management Administration (FEMA) are not taxed as income.

6. Extend the deduction for brownfield cleanup expenditures beyond 2005 and make it permanent.

With tax reform and Social Security reform high on the agenda, it is not yet known when these more specific budget recommendations will be considered.