Housing and Community Development (HCD) Practice Exam

What license status information may the department disclose upon written request?

1. Only the date the license expired

2. Names of principals only

3. Both names of principals and the status of the license

4. Confidential information only

The correct answer is: Both names of principals and the status of the license

The department has the authority to disclose comprehensive license status information upon a written request, which includes both the names of the principals associated with the license and the current status of that license. This transparency is crucial in promoting accountability and trust within the housing and community development sector. By providing this information, the department ensures that interested parties can verify qualifications and compliance with regulatory standards, which serves to enhance the integrity of the profession. In many regulatory environments, maintaining an updated record of who is responsible for a license and whether that license is active or has expired enables stakeholders to make informed decisions regarding business partnerships and community interactions. This level of disclosure aligns with public interest principles, aiming to foster a transparent marketplace. In contrast, limitations such as only revealing the date the license expired or names of principals by themselves would not provide a complete understanding of the license’s current status. Furthermore, restricting access to confidential information alone would undermine the need for transparency that stakeholders require. Providing full license status and the names of relevant principals creates an informed community that is essential for effective housing and community development practices.