S 693 Session 110 (1993-1994)
S 0693 General Bill, By L.E. Richter
A Bill to amend Sections 40-60-20 through 40-60-140, Code of Laws of South
Carolina, 1976, so as to provide certain definitions; establish parameters for
practice by state licensed real estate appraisers, state certified residential
real estate appraisers and appraiser apprentices; provide for composition of
the South Carolina Real Estate Appraisers Board; provide for appointment of a
director; provide for application, licensure, permitting and continuing
education fees for appraiser apprentices, state registered real estate
appraisers, state licensed real estate appraisers, and state certified real
estate appraisers; to provide for qualifications, criteria for individuals to
become licensed, permitted, registered or certified to practice in the area of
real estate appraisal; to provide for regulatory and investigatory authority
of the State Real Estate Appraisers Board; to amend Chapter 60, Title 40 of
the 1976 Code by adding Section 40-60-145, so as to require that the Real
Estate Appraisers Board adopt the Uniform Standards of Professional Appraisal
Practice as its operating guide; and to amend Sections 40-60-150 through
40-60-210, so as to establish complaint investigation procedures for the
Board; to provide for regulation of the use of the titles of appraiser
apprentice, state registered real estate appraiser, state licensed real estate
appraisers, and state certified real estate appraiser.
04/14/93 Senate Introduced and read first time SJ-6
04/14/93 Senate Referred to Committee on Labor, Commerce and
Industry SJ-6
A BILL
TO AMEND SECTIONS 40-60-20 THROUGH 40-60-140, CODE OF
LAWS OF SOUTH CAROLINA, 1976, SO AS TO PROVIDE
CERTAIN DEFINITIONS; ESTABLISH PARAMETERS FOR
PRACTICE BY STATE LICENSED REAL ESTATE APPRAISERS,
STATE CERTIFIED RESIDENTIAL REAL ESTATE APPRAISERS
AND APPRAISER APPRENTICES; PROVIDE FOR COMPOSITION
OF THE SOUTH CAROLINA REAL ESTATE APPRAISERS
BOARD; PROVIDE FOR APPOINTMENT OF A DIRECTOR;
PROVIDE FOR APPLICATION, LICENSURE, PERMITTING AND
CONTINUING EDUCATION FEES FOR APPRAISER
APPRENTICES, STATE REGISTERED REAL ESTATE
APPRAISERS, STATE LICENSED REAL ESTATE APPRAISERS,
AND STATE CERTIFIED REAL ESTATE APPRAISERS; TO
PROVIDE FOR QUALIFICATIONS, CRITERIA FOR INDIVIDUALS
TO BECOME LICENSED, PERMITTED, REGISTERED OR
CERTIFIED TO PRACTICE IN THE AREA OF REAL ESTATE
APPRAISAL; TO PROVIDE FOR REGULATORY AND
INVESTIGATORY AUTHORITY OF THE STATE REAL ESTATE
APPRAISERS BOARD; TO AMEND CHAPTER 60, TITLE 40 OF
THE 1976 CODE BY ADDING SECTION 40-60-145, SO AS TO
REQUIRE THAT THE REAL ESTATE APPRAISERS BOARD
ADOPT THE UNIFORM STANDARDS OF PROFESSIONAL
APPRAISAL PRACTICE AS ITS OPERATING GUIDE; AND TO
AMEND SECTIONS 40-60-150 THROUGH 40-60-210, SO AS TO
ESTABLISH COMPLAINT INVESTIGATION PROCEDURES FOR
THE BOARD; TO PROVIDE FOR REGULATION OF THE USE OF
THE TITLES OF APPRAISER APPRENTICE, STATE REGISTERED
REAL ESTATE APPRAISER, STATE LICENSED REAL ESTATE
APPRAISERS, AND STATE CERTIFIED REAL ESTATE
APPRAISER.
Be it enacted by the General Assembly of the State of South Carolina:
SECTION 1. Sections 40-60-20 through 40-60-140 of the 1976 Code
are amended to read:
"Section 40-60-20. As used in this chapter, unless the context
requires otherwise:
(1) `Analysis' means a study of real estate or real property other than
one estimating value.
(2) `Appraisal' or `real estate appraisal' means an analysis, opinion,
or conclusion as to the value of identified real estate or specified
interests in real estate, including a feasibility study, marketability study,
or other study or analysis that involves the rendering of an analysis,
opinion, or conclusion of value performed for a fee or other
consideration, including valuation or evaluation performed for a person
who advises, consults, or prepares.
(3) `Appraisal Foundation' means the Appraisal Foundation
established on November 30, 1987, as a not for profit corporation under
the laws of Illinois.
(34) `Appraisal report' means any communication,
written or oral, of an appraisal. The testimony of an appraiser dealing
with the appraiser's analyses, conclusions, or opinions concerning
identified real property is deemed to be an oral appraisal report.
(45) `Appraisal subcommittee' means the designees
of the heads of the federal financial institutions regulatory agencies
established by the Federal Financial Institutions Examination Council
Act of 1978 (12 U.S.C. Section 3301, et seq.), as amended.
(56) `Appraiser' means a person who is a state
registered real estate appraiser, a state licensed real estate appraiser,
or a state certified real estate appraiser, or an appraiser
apprentice.
(7) `Appraiser Apprentice' means a person who holds a valid permit
as an appraiser apprentice issued under the provisions of this
chapter.
(68) `Board' means the South Carolina Real Estate
Appraisers Board established pursuant to the provisions of this chapter.
(79) `Commission' means the South Carolina Real
Estate Commission.
(8) `Commissioner' means the South Carolina Real Estate
Commissioner.
(10) `Director' means the chief administrative employee of the
board.
(911) `Evaluation assignment' means an engagement
for which an appraiser is employed or retained to give an analysis,
opinion, or conclusion that relates to the nature, quality, or utility of
identified real estate or identified real property.
(1012) `Federally related transaction' means any
real estate related financial transaction which:
(a) a federal financial institution regulatory agency or the
Resolution Trust Corporation engages in, contracts for, or regulates; and
(b) requires the services of an appraiser.
(1113) `Independent appraisal assignment' means
an engagement for which an appraiser is employed or retained to act, or
would be perceived by third parties or the public as acting, as a
disinterested third party in rendering an unbiased analysis, opinion, or
conclusion relating to the nature, quality, value, or utility of identified
real estate or identified real property.
(1214) `Person' means individuals, corporations,
partnerships, or associations, foreign and domestic.
(1315) `Real estate' means an identified parcel of
land, including improvements, if any.
(1416) `Real estate appraisal activity' means the act
or process of valuation of real estate or real property and preparing an
appraisal report.
(1517) `Real property' means one or more defined
interests, benefits, and rights inherent in the ownership of real estate.
(1618) `Specialized services' means services other
than independent appraisal assignments which are performed by an
appraiser. Specialized services may include marketing, financing, and
feasibility studies, valuations, analyses, opinions, and conclusions given
in connection with activities such as real estate brokerage, mortgage
banking, real estate counseling, and real estate tax counseling.
(19) `Standards of professional appraisal practice' means the
uniform standards of professional appraisal practice as adopted by the
Appraisal Standards Board of the Appraisal Foundation and adopted by
the board.
(1720) `State' includes any state, district, territory,
possession, or province of the United States or Canada.
(1821) `State certified real estate appraiser' means
a person who holds a valid certificate as either a state certified
residential real estate appraiser or a state certified general real estate
appraiser issued under the provisions of this chapter.
(22) `State certified general real estate appraiser' means a person
who holds a valid certificate as a state certified general real estate
appraiser issued under the provisions of this chapter.
(23) `State certified residential real estate appraiser' means a
person who holds a valid certificate as a state certified residential real
estate appraiser issued under the provisions of this chapter.
(1924) `State licensed real estate appraiser' means
a person who holds a valid license as a state licensed real estate
appraiser issued under the provisions of this chapter.
(2025) `State registered real estate appraiser' means
a person who holds a valid registration as a state registered real
estate appraiser issued under the provisions of this chapter.
(2126) `Valuation' means an estimate of the value
of real estate or real property.
(2227) `Valuation assignment' means an
engagement for which an appraiser is employed or retained to give an
analysis, opinion, or conclusion that estimates the value of an identified
parcel of real estate or identified real property at a particular point in
time.
(2328) `Timberland' means forest land that is
producing, or is capable of producing, timber as a crop.
(2429) `Market analysis' means a study of real
estate market conditions for a specific type of property.
Section 40-60-30. (A) Except as provided in Section 40-60-40, it
is unlawful for a person to engage in real estate appraisal activity in this
State after December 31, 1991, without first obtaining a
permit, registration, license, or certification as provided in this
chapter.
(B) Real estate appraisers are authorized to engage in the following
types of real estate appraisal activity:
(1) A state registered real estate appraiser is authorized to engage
in any type of real estate appraisal activity which does not involve a
federally-related transaction.
(2) A state licensed real estate appraiser is authorized to engage
in any type of real estate appraisal activity which is not required
pursuant to federal law to be performed by a state certified real estate
appraiser.
(3) A state certified residential real estate appraiser is
authorized to engage in any type of real estate appraisal activity which
is not prohibited by federal law or the guidelines established by the
Appraisal Subcommittee.
(34) A state certified general real estate
appraiser is authorized to engage in any type of real estate appraisal
activity.
(5) (a) An appraiser apprentice may assist a state licensed
real estate appraiser, state certified residential real estate appraiser, or
state certified general real estate appraiser in the performance of an
appraisal provided that he is actively and personally supervised by the
licensed or certified appraiser and provided further that any appraisal
report rendered in connection with the appraisal is reviewed by the
supervising appraiser and includes the signature of the supervising
appraiser.
(b) An appraiser apprentice is authorized only to assist a state
licensed real estate appraiser, state certified residential real estate
appraiser, or state certified general real estate appraiser in the
performance of an appraisal assignment that is within the scope of
permitted real estate appraisal assignments for each of the three
classifications.
(c) A state registered real estate appraiser or state transitionally
licensed real estate appraiser may not act as the supervising appraiser of
an appraiser apprentice."
SECTION 2. Sections 40-60-50 through 40-60-80 of the 1976 Code
are amended to read:
"Section 40-60-50. (A) There is created the South Carolina
Real Estate Appraisers Board which consists of seven members. All
members must be residents of this State. One member must be a public
member who may not be connected in any way with the practice of real
estate appraisal, real estate brokerage, or mortgage lending. One
member must be a licensed real estate broker who is not a real estate
appraiser. One member must be actively engaged in mortgage lending,
representing supervised financial institutions, who is not a real estate
licensee or a real estate appraiser and who also must not be connected
in any way with the brokerage of real estate, the appraisal of real estate,
or the review of real estate appraisals. Four members must be real estate
appraisers who have been actively engaged in real estate appraisal for at
least three years. In appointing real estate appraisers to the board, while
not automatically excluding other appraisers, the Governor shall give
preference to real estate appraisers whose primary source of income is
derived from appraising real estate and not real estate brokerage.
(B) The Governor shall appoint the members of the board, upon the
advice and consent of the Senate, with consideration given to
appropriate geographic representation and to areas of appraisal expertise.
The appointments made when the Senate is not in session are effective
until the Senate confirms or denies that appointment.
(C) Each real estate appraiser member of the board appointed after
July 1, 1992, must be a state certified real estate appraiser or a state
licensed real estate appraiser. At least two of the appraiser members
appointed after July 1, 1992 1993, must be state
certified general real estate appraisers.
(D) The term of each member of the board is three years and until
their successors are appointed and qualified. In the event of a vacancy,
the Governor shall appoint a person to fill the vacancy, and the person
so appointed shall serve for the remainder of the unexpired term.
(E) Upon expiration of their terms, members of the board shall
continue to hold office until the appointment and qualification of their
successors. No person may serve as a member of the board for more
than two consecutive terms. The Governor, after giving notice and
opportunity for a hearing, may remove from office a member of the
board for:
(1) inability to perform or neglecting to perform the duties
required of members;
(2) incompetence; or
(3) dishonest conduct.
(F) The members of the board shall annually elect a chairman from
among the members to preside at board meetings.
(G) The board shall meet at least once each calendar quarter, or as
often as is necessary, and remain in session as long as the chairman
considers it necessary to give full consideration to the business before
the board. A quorum of the board is four members. Members of the
board or support staff, in a spirit of cooperation, may confer with similar
boards of other states, attend interstate meetings, and generally do those
acts and things as may seem advisable in the advancement of the
profession and the standards of real estate appraisal activity.
(H) Members of the board are entitled to per diem, subsistence, and
mileage as is provided by law for state boards, committees, and
commissions.
(I) The board shall establish policy and promulgate regulations
consistent with this chapter and through its regulations shall have the
full power to regulate the issuance of permits, registrations,
licenses, and certifications, to discipline appraisers in any manner
permitted by this chapter, to establish further qualification for
permits, registrations, licenses, and certifications consistent
with this chapter, to regulate approved courses and course providers or
sponsors, and to establish standards for real estate appraisals consistent
with the standards recognized by the appraisal subcommittee.
(J) The board shall prepare specifications for all licensing and
certification examinations, solicit bids and enter into contracts with one
or more persons, educational testing services, or organizations for the
preparation of a bank of questions and answers for licensing and
certification examinations and administer or contract for the
administration of examinations in those places and at those times as
considered appropriate.
(K) The commission shall supply staff support for the board. The
commissioner shall serve as chief executive officer of the board and
shall establish appropriate procedures for administering this chapter and
prescribe those duties for his assistants as may be necessary in the
administration and enforcement of this chapter.
(K) The board shall hire a director who is vested with the
administration of the provisions of this act. The director shall serve at
the pleasure of the board at such salary as may be provided by law, and
may employ additional assistants at such salaries as may be authorized
by law. The director shall prescribe such duties for the assistants as may
be necessary in the administration and enforcement of this chapter.
(L) The support staff of the commission may serve the board in
an advisory capacity. From its funds, the board shall pay its share
of the expense of the maintenance and operation of the office of the
commission and the utilization of the commission staff in the
administration and enforcement of this chapter in an amount agreed
upon by the board and commission.
Section 40-60-60. (A) A person desiring to act as a state licensed or
state certified real estate appraiser must file an application for
examination, licensure, or certification with the board. A person desiring
to act as a state registered real estate appraiser must file an application
for registration with the board. A person desiring to act as an
appraiser apprentice must file an application for a permit with the
board. The applications must be in the form and detail the board
prescribes.
(B) Each application for examination, permit, registration,
licensure, or certification as a real estate appraiser, or for the renewal of
a permit, registration, license, or certification, must be
accompanied by the appropriate fee which must be prescribed by the
board by regulation.
(C) No fee or portion of a fee required pursuant to this chapter may
be refunded.
(D) The board may transmit to the appropriate federal authority, at
least annually, a roster of individuals who have become state licensed
real estate appraisers and state certified real estate appraisers and must
collect and transmit any information or fees established under Public
Law 101-73, Title XI, Real Estate Appraisal Reform Amendments. The
board may collect a processing fee necessary to carry out its function
under this subsection.
(E) The commissioner director shall issue a
permit, registration, license, or certification to engage in the
practice of real estate appraising to all applicants who are qualified
under, and who comply with, all the requirements of this chapter and all
regulations promulgated by the board. The permit, registration,
license, or certification remains the property of the State and, upon
suspension or revocation of the permit, registration, license, or
certification must be returned immediately to the commissioner
director with any related pocket card. Permits,
Registrations registrations, licenses, and certifications
expire on June thirtieth of each year.
(F) A An appraiser apprentice, state registered real
estate appraiser, state licensed real estate appraiser, or a state certified
real estate appraiser who fails or refuses, after written notice from the
board to apply for renewal and pay the fee and all penalties imposed, is
practicing without a permit, registration, license, or certification
and is subject to the penalties provided therefor in this chapter and any
civil or criminal penalties authorized by law.
(G) A An appraiser apprentice, state registered real
estate appraiser, state licensed real estate appraiser, or a state certified
real estate appraiser under this chapter who fails to apply for the renewal
of his permit, registration, license, or certification and pay the
required fee on or before the date of its expiration shall pay a late
penalty established by regulation in addition to the renewal fee.
(H) The board, through its regulations, may establish those other
reasonable fees to aid in the enforcement and administration of this
chapter.
(I) Any check which is presented to the board as payment for any
fee which the board is permitted to charge under this chapter and which
is returned unpaid may be cause for denial of a permit,
registration, license, or certification or for imposing any sanction
permitted by this chapter.
(J) Except as provided for in subsection (D), all fees collected
pursuant to the provisions of this chapter must be deposited by the board
in the state general fund.
Section 40-60-65. The following temporary fees must be
charged by and paid to the board until the board establishes fees by
regulation, at which time this section no longer has any force or effect:
(1) An application fee of one hundred dollars for each real estate
appraiser registration;
(2) An application fee of two hundred dollars for each real estate
appraiser license or certification;
(3) A renewal fee of one hundred dollars for each real estate
appraiser registration;
(4) A renewal fee of two hundred dollars for each real estate
appraiser license or certification;
(5) A license or certification examination fee not to exceed one
hundred dollars as determined by the board without the requirement of
a regulation. The board may direct applicants to pay the fee, or any
portion thereof, directly to a third party who has contracted to administer
the examination;
(6) A replacement fee of twenty-five dollars for each real estate
appraiser registration, license, or certification where the original is lost
or destroyed;
(7) A fee of fifteen dollars for each change of personal name;
(8) A fee of thirty dollars to reinstate each registration, license, or
certification during the same year it was canceled;
(9) A fee of seventy-five dollars for each registration, license, or
certification filing for inactive status for each year inactive status is
granted;
(10) A fee of seventy-five dollars to activate a registration, license,
or certification from inactive status;
(11) A late penalty of twenty-five dollars shall apply from July first
through July thirty-first for each registration, license, or certification not
timely renewed. A late penalty of fifty dollars shall apply from August
first through August thirty-first. After August thirty-first, the
registration, license, or certification which has not been properly
renewed must be canceled, except that after August thirty-first, any
person seeking to reinstate his registration, license, or certification
before the next renewal period may do so upon payment of a late penalty
of two hundred fifty dollars;
(12) A fee of fifteen dollars for each attestation of registration,
license, or certification status;
(13) A fee not to exceed two hundred dollars per course as
determined by the board without the requirement of a regulation for the
approval of courses required by Section 40-60-70 and a renewal fee of
one hundred dollars a year. No fees may be charged for the approval or
renewal of courses which are part of a degree program and are offered
by an accredited college, university, technical college, community
college, or junior college;
(14) A fee of two hundred dollars for instructor approval and a
renewal fee of two hundred dollars per year provided that no fees may
be charged for instructor approval or renewal if the courses taught by the
instructor are offered as part of a degree program by an accredited
college, university, technical college, community college, or junior
college. The board shall have the authority to set and adjust fees
necessary for its operation. The fees charged by the board shall not
exceed the amounts indicated below:
(1) an application fee of one hundred fifty dollars for each real estate
appraiser registration;
(2) an application fee of three hundred dollars for each real estate
appraiser license, certification, or apprentice permit;
(3) an application fee of seventy-five dollars for each temporary
practice permit;
(4) a renewal fee of one hundred fifty dollars for each real estate
appraiser registration;
(5) a renewal fee of three hundred dollars for each real estate
appraiser license, certification, or apprentice permit;
(6) a license or certification examination fee of one hundred fifty
dollars. The board may direct applicants to pay the fee, or any portion
thereof, directly to a third party who has contracted to administer the
examination;
(7) a replacement fee of thirty-five dollars for each real estate
appraiser apprentice permit, registration, license, or certification where
the original is lost or destroyed;
(8) a fee of twenty dollars for each change of personal name;
(9) a fee of forty-five dollars to reinstate each permit, registration,
license, or certification during the same year it was canceled;
(10) a fee of one hundred ten dollars for each permit, registration,
license, or certification filing for inactive status for each year inactive
status is granted;
(11) a fee of one hundred ten dollars to activate a permit, registration,
license, or certification from inactive status;
(12) a late penalty of thirty-five dollars shall apply from July first
through July thirty-first for each permit, registration, license, or
certification not timely renewed. A late penalty of seventy-five dollars
shall apply from August first through August thirty-first. After August
thirty-first, the permit, registration, license, or certification which has not
been properly renewed must be canceled, except that after August
thirty-first, any person seeking to reinstate his permit, registration,
license, or certification before the next renewal period may do so upon
payment of a late penalty of three hundred seventy-five dollars;
(13) a fee of twenty dollars for each attestation of apprentice permit,
registration, license, or certification status;
(14) a fee of three hundred dollars per course for the approval of
courses required by Sections 40-60-70 and 40-60-80 and a renewal fee
of one hundred fifty dollars a year. No fees may be charged for the
approval or renewal of courses which are part of a degree program and
are offered by an accredited college, university, technical college,
community college, or junior college;
(15) a fee of seventy-five dollars for each course reviewed by the
board pursuant to Section 40-60-80(C).
(16) a fee of three hundred dollars for instructor approval and a
renewal fee of three hundred dollars per year provided that no fees may
be charged for instructor approval or renewal if the courses taught by the
instructor are offered as part of a degree program by an accredited
college, university, technical college, community college, or junior
college;
(17) a fee of seventy-five dollars to upgrade from one appraiser
category to another;
(18) a fee of seventy-five dollars for the issuance of a roster of
appraisers;
(19) a fee of one hundred ten dollars for a diskette containing a roster
of appraisers;
(20) a fee of one hundred twenty-five dollars for labels containing the
addresses of appraisers or examination applicants;
(21) a service charge of twenty dollars regarding a check or
instrument which is presented to the board as payment for any fee which
the board is permitted to charge and which is dishonored or returned
unpaid.
Section 40-60-70. (A) (1) In order to qualify as a state registered
real estate appraiser, an applicant must:
(a) hold a real estate broker-in-charge, broker, or salesman
license issued pursuant to Chapter 57 of Title 40;
(b) submit appropriate registration fees.
(2) Failure to meet either requirement provided in item (1) of this
subsection is grounds for denial of a registration without a hearing.
(B) (1) In order to qualify as an appraiser apprentice, an
applicant must:
(a) have attained the age of eighteen years;
(b) be a resident of the State of South Carolina unless that
person has fully complied with the provisions of Section 40-60-100;
(c) furnish evidence that he will be supervised by an appraiser
that is licensed or certified by the board;
(d) furnish evidence that he has successfully completed not less
than seventy-five classroom hours in a course or courses of study related
to real estate appraisal approved by the board which must include
coverage of standards of professional appraisal practice;
(i) A classroom hour is defined as fifty minutes out of each
sixty-minute segment.
(ii) Credit toward the classroom-hour requirement only may
be granted where the length of the educational offering is at least fifteen
hours, and the individual successfully completes an examination
pertinent to that educational offering.
(iii) Credit for the classroom-hour requirement may be
obtained from the following:
(a.) accredited colleges or universities;
(b.) technical, community, or junior colleges;
(c.) real estate appraisal or real estate related
organizations;
(d.) state or federal agencies or commissions;
(e.) proprietary schools;
(f.) other providers regulated and approved by the board.
(iv) Various appraisal courses may be credited toward the
seventy-five classroom-hour education requirement. Applicants must
demonstrate that their education involved coverage of all topics listed
below with particular emphasis on the appraisal of one to four unit
residential properties:
(a.) influences on real estate value;
(b.) legal considerations in appraisal;
(c.) types of value;
(d.) economic principles;
(e.) real estate markets and analysis;
(f.) valuation process;
(g.) property description;
(h.) highest and best use analysis;
(i.) appraisal statistical concepts;
(j.) sales comparison approach;
(k.) site value;
(1.) cost approach;
(m.) income approach;
-gross rent multiplier analysis
-estimation of income and expenses
-operating expense ratios
(n.) valuation of partial interests;
(o.) appraisal standards and ethics.
(2) Failure to meet any of the requirements provided in item (1)
of this subsection is grounds for denial of an apprentice permit without
a hearing.
(3) An appraiser apprentice may renew his annual permit five
times only. At the end of the fifth renewal period the permit is canceled
automatically without any action by the board, unless the appraiser
apprentice can demonstrate to the satisfaction of the board sufficient
cause for his permit not to be canceled. Any person who engages in real
estate appraisal activity after this cancellation is practicing without a
permit and is subject to the penalties provided in this chapter and any
other civil or criminal penalties provided by law.
(BC)(1) In order to qualify as a state licensed real
estate appraiser, an applicant must:
(a) have attained the age of eighteen years;
(b) be a resident of the State of South Carolina unless that
person has fully complied with the provisions of Section 40-60-100;
(c) furnish evidence that he has successfully completed not less
than seventy-five classroom hours in a course or courses of study related
to real estate appraisal approved by the board which must include
coverage of standards of professional appraisal practice;
(i) A classroom hour is defined as fifty minutes out of
each sixty-minute segment.
(ii) Credit toward the classroom-hour requirement only may
be granted where the length of the educational offering is at least fifteen
hours, and the individual successfully completes an examination
pertinent to that educational offering.
(iii) Credit for the classroom-hour requirement may be
obtained from the following:
(a.) accredited colleges or universities;
(b.) technical, community, or junior colleges;
(c.) real estate appraisal or real estate related
organizations;
(d.) state or federal agencies or commissions;
(e.) proprietary schools;
(f.) other providers regulated and approved by the board.
(iv) Various appraisal courses may be credited toward the
seventy-five classroom-hour education requirement. Applicants must
demonstrate that their education involved coverage of all topics listed
below with particular emphasis on the appraisal of one to four unit
residential properties:
(a.) influences on real estate value;
(b.) legal considerations in appraisal;
(c.) types of value;
(d.) economic principles;
(e.) real estate markets and analysis;
(f.) valuation process;
(g.) property description;
(h.) highest and best use analysis;
(i.) appraisal statistical concepts;
(j.) sales comparison approach;
(k.) site value;
(1.) cost approach;
(m.) income approach;
-gross rent multiplier analysis;
-estimation of income and expenses;
-operating expense ratios;
(n.) valuation of partial interests;
(o.) appraisal standards and ethics.
(d) demonstrate the equivalent of two years appraisal
experience. If requested, experience documentation in the form of
reports or file memoranda should be available to support the claim for
experience;
(i) A year is defined in terms of hours within a calendar
year. One thousand hours constitutes a year of appraisal experience. A
minimum of two calendar years is required. Hours may be treated as
cumulative in order to achieve the necessary two thousand hours of
appraisal experience.
(ii) Acceptable appraisal experience may include, but is not
limited to, fee and staff appraisal, ad valorem tax appraisal, review
appraisal, appraisal analysis, real estate counseling, highest and best use
analysis, feasibility analysis/study, and teaching of appraisal courses.
This should not be construed as limiting experience credit to only those
individuals who are state certified or state licensed.
(iii) The verification for experience credit claimed by an
applicant must be by affidavit on forms prescribed by the board.
(e) after meeting the above requirements, stand for and
pass an examination administered or approved by the board.
(f) the only prerequisite to sit for the examination is
completion of the education/classroom hour requirement.
(2) Failure to meet any of the requirements provided in item (1) of
this subsection is grounds for denial of license without a hearing.
(3) (a) An applicant seeking to qualify as a state licensed real
estate appraiser who lacks either the education or the experience
requirements, but not both, provided in item (1) of this subsection may
apply for a transitional license. for a limited period of no
more than twenty-four months. Within twenty-four months from the
date of issuance of a transitional license, the licensee must submit proof
of successful completion of all of the educational or experience
requirements. Transitional licenses may not be issued to applicants
pursuant to this item (3) subsequent to December 31, 1993.
(b) If proof of successful completion of the required education
or experience is not provided within twenty-four months, the license is
canceled automatically without any action by the board. Any person who
engages in real estate appraisal activity after this cancellation is
practicing without a license and is subject to the penalties provided in
this chapter and any other civil or criminal penalties provided by law.
(c) No license which has been canceled may be reinstated until
it is established to the satisfaction of the board that all educational and
experience requirements of the board have been met. (d) The
board is authorized to modify any requirements of this item in order to
bring these requirements into conformity of any guidelines established
by the appraisal subcommittee.
(D) (1) In order to qualify as a state certified residential real
estate appraiser, an applicant must:
(a) have attained the age of eighteen years;
(b) be a resident of the State of South Carolina unless that
person has fully complied with the provisions of Section 40-60-100;
(c) furnish evidence that he has successfully completed not less
than one hundred five classroom hours in a course or courses of study
related to real estate appraisal approved by the board which must include
coverage of standards of professional appraisal practice and which may
include the seventy-five classroom hours required for the state licensed
real estate appraiser classification;
(i) a classroom hour is defined as fifty minutes out of
each sixty-minute segment.
(ii) credit toward the classroom-hour requirement only may
be granted where the length of the educational offering is at least fifteen
hours, and the individual successfully completes an examination
pertinent to that educational offering.
(iii) credit for the classroom-hour requirement may be
obtained from the following:
(a.) accredited colleges or universities;
(b.) technical, community, or junior colleges;
(c.) real estate appraisal or real estate related
organizations;
(d.) state or federal agencies or commissions;
(e.) proprietary schools;
(f.) other providers regulated and approved by the board;
(iv) various appraisal courses may be credited toward the one
hundred five classroom-hour education requirement. Applicants must
demonstrate that their education involved coverage of all topics listed
below with particular emphasis on the appraisal of one to four unit
residential properties:
(a.) influences on real estate value;
(b.) legal considerations in appraisal;
(c.) types of value;
(d.) economic principles;
(e.) real estate markets and analysis;
(f.) valuation process;
(g.) property description;
(h.) highest and best use analysis;
(i.) appraisal statistical concepts;
(j.) sales comparison approach;
(k.) site value;
(1.) cost approach;
(m.) income approach;
-gross rent multiplier analysi;s
-estimation of income and expense;s
-operating expense ratios;
-direct capitalization;
(n.) valuation of partial interests;
(o.) appraisal standards and ethics;
(d) demonstrate the equivalent of two years appraisal
experience. If requested, experience documentation in the form of
reports or file memoranda should be available to support the claim for
experience;
(i) a year is defined in terms of hours within a calendar year.
One thousand hours constitutes a year of appraisal experience. A
minimum of two calendar years is required. Hours may be treated as
cumulative in order to achieve the necessary two thousand hours of
appraisal experience;
(ii) acceptable appraisal experience may include, but is not
limited to, fee and staff appraisal, ad valorem tax appraisal, review
appraisal, appraisal analysis, real estate counseling, highest and best use
analysis, feasibility analysis/study, and teaching of appraisal courses.
This should not be construed as limiting experience credit to only those
individuals who are state certified or state licensed;
(iii) the verification for experience credit claimed by an
applicant must be by affidavit on forms prescribed by the board;
(e) stand for and pass an examination administered or approved
by the board;
(f) the only requirement to sit for the examination is
completion of the education/classroom hour requirement.
(2) Failure to meet any of the requirements provided in item (1)
of this subsection is grounds for denial of certification without a
hearing.
(CE)(1) In order to qualify as a state certified
general real estate appraiser, an applicant must:
(a) have attained the age of eighteen years;
(b) be a resident of the State of South Carolina unless that
person has fully complied with the provisions of Section 40-60-100;
(c) furnish evidence that he has successfully completed not less
than one hundred sixty-five classroom hours in a course or courses of
study related to real estate appraisal approved by the board which must
include coverage of standards of professional appraisal practice and
which may include the seventy-five classroom hours required for the
state licensed real estate appraiser classification or the one hundred
five classroom hours required for the state certified residential real estate
appraiser classification;
(i) A classroom hour is defined as fifty minutes out of each
sixty-minute segment.
(ii) Credit toward the classroom-hour requirement only may
be granted where the length of the educational offering is at least fifteen
hours, and the individual successfully completes an examination
pertinent to that educational offering.
(iii) Credit for the classroom-hour requirement may be
obtained from the following:
(a.) accredited colleges or universities;
(b.) technical, community, or junior colleges;
(c.) real estate appraisal or real estate related
organizations;
(d.) state or federal agencies or commissions;
(e.) proprietary schools;
(f.) other providers regulated and approved by the board.
(iv) Various appraisal courses may be credited toward the one
hundred sixty-five classroom-hour education requirement. Applicants
must demonstrate that their education involved coverage of all topics
listed below with particular emphasis on the appraisal of nonresidential
properties. Residential is defined as one to four residential units:
(a.) influences on real estate value;
(b.) legal considerations in appraisal;
(c.) types of value;
(d.) economic principles;
(e.) real estate markets and analysis;
(f.) valuation process;
(g.) property description;
(h.) highest and best use analysis;
(i.) appraisal math and statistics;
(j.) sales comparison approach;
(k.) site value;
(l.) cost approach;
(m.) income approach;
-estimation of income and expenses;
-operating statement ratios;
-direct capitalization;
-cash flow estimates;
-measures of cash flo;w
-discounted cash flow analysis;
(n.) valuation of partial interests;
(o.) appraisal standards and ethics;
(p.) narrative report writing.
(d) demonstrate the equivalent of two years appraisal experience.
If requested, experience documentation in the form of reports or file
memoranda should be available to support the claim for experience;
(i) A year is defined in terms of hours within a calendar
year. One thousand hours constitutes a year of appraisal experience. A
minimum of two calendar years is required. Hours may be treated as
cumulative in order to achieve the necessary two thousand hours of
appraisal experience.
(ii) The applicant, for two years' experience credit, must have
accumulated a total of two thousand hours of appraisal experience of
which at least fifty percent (one thousand hours) must be in
nonresidential appraisal work. Residential is defined as one to four
residential units.
(iii) Acceptable appraisal experience may include, but is not
limited to, fee and staff appraisal, ad valorem tax appraisal, review
appraisal, appraisal analysis, real estate counseling, highest and best use
analysis, feasibility analysis/study, and teaching of appraisal courses.
This should not be construed as limiting experience credit to only those
individuals who are state certified or state licensed.
(iv) The verification for experience credit claimed by an
applicant must be by affidavit on forms prescribed by the board.
(e) after meeting the above requirements, stand for and
pass an examination administered or approved by the board.
(f) the only prerequisite to sit for the examination is
completion of the education/classroom hour requirement.
(2) Failure to meet any of the requirements provided in item (1)
of this subsection is grounds for denial of certification without a hearing.
(DF) Failure to complete any of the educational
requirements as provided in this chapter is grounds for denial of
permit, registration, license, or certification or denial of renewal
of permit, registration, license, or certification without further
hearing. No fees or portion of fees paid may be refunded if any
appraiser fails to meet the continuing education provisions of this
chapter.
(EG) The board is authorized to waive or to modify
any experience, examination, or education requirements established in
this chapter for appraisers in order to bring those requirements into
conformity with any requirements established by the appraisal
subcommittee.
(FH) Any applicant who does not become licensed
or certified within one hundred eighty days five years
after passing the examination must retake the examination in order to
qualify for the license or certification sought.
Section 40-60-80. (A) As a prerequisite to renewal of a
permit, registration, license, or certification, an appraiser shall
present evidence satisfactory to the board of having met the continuing
education requirements established by this chapter or regulation.
(B) The basic continuing education requirement for renewal of a
permit, registration, license, or certification is completion by
the applicant of ten classroom hours of instruction in courses or seminars
which have been approved by the board for each year of the renewal
period.
(1) A classroom hour is defined as fifty minutes out of each
sixty-minute segment.
(2) Credit toward the classroom-hour requirement only may be
granted where the length of the educational offering is at least two
hours.
(3) Credit for the classroom-hour requirement may be obtained
from the following:
(a) accredited colleges or universities;
(b) technical, community, or junior colleges;
(c) real estate appraisal or real estate related organizations;
(d) state or federal agencies or commissions;
(e) proprietary schools;
(f) other providers regulated and approved by the board.
(C) Appraisers may request to receive credit for continuing
education for a course that has not been approved by the board.
However, such credit may be granted only if the appraiser provides
satisfactory proof of course completion and the board finds that the
course meets the criteria set for continuing education courses with
regard to subject matter, course length, instructor qualification and
student attendance.
(CD) A permit, registration, license, or
certification of an appraiser that has been suspended may not be reissued
until the applicant for reissuance presents evidence of completion of the
continuing education required by this section.
(DE) No appraiser whose permit,
registration, license, or certification has been placed on inactive status
is allowed to reactivate a permit, registration, license, or
certification unless the provisions of this section are met in addition to
any other requirements of this chapter. Before applying to reactivate a
permit, registration, license, or certification, the appraiser must
obtain the equivalent of ten classroom hours of instruction in courses or
seminars which cover real estate related appraisal topics for each year
that the permit, registration, license, or certification has been on
inactive status."
SECTION 3. Section 40-60-100 of the 1976 Code is amended to read:
"Section 40-60-100. (A) Every applicant for
permitting, registration, licensure, or certification under this
chapter who is not a resident of South Carolina shall submit, with the
application for permitting, registration, licensure, or
certification, an irrevocable consent that service of process upon the
applicant may be made by delivery of the process to the commissioner,
if, in an action against the applicant in a court of South Carolina arising
out of the applicant's activities as an appraiser, the plaintiff, in the
exercise of due diligence, may not effect personal service upon the
applicant.
(B) A nonresident of South Carolina who has complied with the
provisions of subsection (A) of this section may obtain a
permit, registration, license, or certification by conforming to
all of the provisions of this chapter relating to the permit,
registration, license, or certification sought.
(C) A person who is licensed or certified to practice real estate
appraising in other states shall submit an attestation of licensure or
certification from the real estate appraiser regulatory authority of the
other jurisdictions at the time of filing an application for examination
and copies of the records of any disciplinary actions taken against the
applicant's license or certification. In the application for examination,
all questions of equivalency of academic and experience requirements
of other states must be determined by the commissioner and, at the
discretion of the commissioner, the nonresident applicant must comply
with additional requirements specified by the commissioner.
(D) The commissioner director, with concurrence of
the board, may enter into reciprocal agreements with real estate
appraiser regulatory authorities of other jurisdictions which provide for
waivers of education requirements or examinations if the board
considers the education and examination requirements of another
jurisdiction to be substantially equivalent to the requirements of this
chapter and its regulations."
SECTION 4. Sections 40-60-120 through 40-60-140 of the 1976 Code
is amended to read:
"Section 40-60-120. (A) The board shall prescribe the form
of a wall certificate to denote that an individual is an appraiser
apprentice, a state registered real estate appraiser, a state licensed
real estate appraiser, a state certified residential real estate
appraiser, or a state certified general real estate appraiser,
as the case may be. The board shall mail the wall certificate to the
appraiser whose duty it is to display the wall certificate conspicuously
in the appraiser's place of business. The board also shall prepare and
deliver a pocket card indicating that the person whose name appears
thereon is an appraiser apprentice, a state registered real estate
appraiser, a state licensed real estate appraiser, a state certified
residential real estate appraiser, or a state certified general
real estate appraiser.
(B) A permit, registration, license, or certification issued
under authority of this chapter must bear a number assigned by the
board. When signing an appraisal report, an appraiser apprentice
shall place his permit number adjacent to or immediately below his title
of `Appraiser Apprentice'. When signing an appraisal report, a state
registered real estate appraiser shall place his registration
number adjacent to or immediately below his title of `State Registered
Real Estate Appraiser'. When signing an appraisal report, a state licensed
real estate appraiser shall place his license number adjacent to or
immediately below his title of `State Licensed Real Estate Appraiser'.
When signing an appraisal report, a state certified residential real
estate appraiser shall place his certificate number adjacent to or
immediately below his title of `State Certified Residential Real Estate
Appraiser'. When signing an appraisal report, a state certified
general real estate appraiser shall place his certificate number
adjacent to or immediately below his title of `State Certified
General Real Estate Appraiser'. The permit,
registration, license, or certificate number must be used in all statements
of qualification, contracts, or other instruments used by the appraiser
when reference is made to his apprentice, registered, licensed,
or certified status.
(C) All real estate appraisals given in connection with
federally-related transactions in this State must be in writing and contain
the permit, registration, license or certification number assigned
by the board to the real estate appraiser.
(D) Wall certificates and pocket cards shall remain the property of
the State and, upon any suspension or revocation of a permit,
registration, license, or certification pursuant to this chapter, the
individual holding the related wall certificate or pocket card immediately
shall return the wall certificate or pocket card to the
commissioner director.
Section 40-60-130. (A) State A state permit,
registration, licensure, or certification is granted only to persons who
bear a good reputation for honesty, trustworthiness, integrity, and
competence to transact real estate appraisal activity in a manner as to
safeguard the interest of the public and only after satisfactory proof of
the qualifications has been presented to the board.
(B) Where an applicant for a permit, registration, license,
or certification has been convicted in a court of competent jurisdiction
of this or any other state, district, or territory of the United States, or of
a foreign country of the offense of forgery, embezzlement, obtaining
money under false pretenses, theft, extortion, or conspiracy to defraud
or other like offense, has been convicted of a felony or a crime involving
moral turpitude, or pled nolo contendere to any such offense, the
untrustworthiness of the applicant and the conviction in itself may be a
sufficient ground for refusal of granting a permit, registration,
license, or certification. As used in this chapter, `felony' includes any
offense which, if committed in this State, would be deemed a felony,
without regard to its designation elsewhere. As used in this chapter,
`conviction' includes a finding or verdict of guilty or a plea of guilty
regardless of whether an appeal of the conviction has been sought. An
applicant for a permit, registration, license, or certification who
has been convicted of any offense enumerated in this subsection may be
registered, licensed, or certified by the board only if:
(1) at least five years have passed since the applicant was
convicted, sentenced, or released from any incarceration, whichever is
later;
(2) no criminal charges are pending against the applicant; and
(3) the applicant presents to the board satisfactory proof that the
applicant now bears a good reputation for honesty, trustworthiness,
integrity, and competence to transact real estate appraisal activity in a
manner to safeguard the interests of the public.
(C) If an applicant has been denied a permit, registration,
license, or certification or his permit, registration, license, or
certification to practice or conduct any regulated profession, business,
or vocation has been suspended by any occupational licensing body of
this State, any other state, any foreign country, or any court or lawful
agency thereof, or if the applicant has been guilty of conduct or practices
in this State or elsewhere which would have been grounds for
suspending his permit, registration, license, or certification
under this chapter had the applicant then been permitted,
registered, licensed, or certified, the applicant is considered not to be
qualified unless, because of lapse of time and subsequent good conduct
and reputation, or other reason considered sufficient, it appears to the
board that the interest of the public is not likely to be endangered by the
granting of a permit, registration, license, or certification.
(D) If an applicant has been disbarred or his permit,
registration, license, or certification to practice or conduct any regulated
profession, business, or vocation has been revoked by any occupational
licensing body of this State, any other state, any foreign country, or any
court or lawful agency thereof, the applicant may be permitted,
registered, licensed, or certified by the board only if:
(1) at least two years have passed since the date that the
applicant's occupational registration, license, or certification were
revoked;
(2) no criminal charges are pending against the applicant at the
time of application; and
(3) the applicant presents to the board satisfactory proof that the
applicant now bears a good reputation for honesty, trustworthiness,
integrity, and competence to transact real estate appraisal activity in such
a manner as to safeguard the interests of the public.
(E) Where an applicant or an appraiser has been found guilty of a
violation of the Federal Fair Housing Law or the South Carolina Fair
Housing Law by an administrative law judge or a court of competent
jurisdiction and after any appeal of the conviction is concluded, the
conviction may be a sufficient ground for refusal of granting a
permit, registration, license, or certification or the imposition
of any sanction permitted by this chapter.
(F) Whenever any appraiser is convicted or pleads nolo contendere
to any offense enumerated in subsection (B) of this section, the appraiser
must notify the board within seven days of that conviction by certified
mail, return receipt requested. The appraiser's permit,
registration, license, or certification automatically must be revoked sixty
days after the conviction or plea unless the appraiser makes a written
request to the board for a hearing during that sixty-day period.
Following a hearing held pursuant to this subsection, the board may
impose upon that appraiser any sanction permitted by this chapter. (G) Where an applicant or an appraiser has made a false statement of
material fact on an application or caused to be submitted or been a party
to preparing or submitting any falsified application to the board, the
action may be a sufficient ground for the refusal, suspension, or
revocation of the permit, registration, license, or certification.
(H) Suspension or revocation of a permit, registration,
license, or certification, as provided by this chapter, also is grounds for
refusal to grant a permit, registration, license, or certification.
(I) The conduct provided for in subsections (A) through (E) of this
section which relates to the denial of a permit, registration,
license, or a certification to an applicant also is grounds for the
imposition of any sanction permitted by this chapter when the conduct
is that of an appraiser.
Section 40-60-140. (A) The board may, upon its own motion, and
shall, upon the written complaint of any aggrieved person, investigate
the activities of an applicant or a person permitted, registered,
licensed, or certified under this chapter and may deny, suspend, revoke,
or otherwise restrict a permit, registration, license, or
certification or impose either a public or private reprimand, other
discipline, or a fine not to exceed one thousand dollars per occurrence,
if the board finds an applicant, appraiser apprentice, state
registered real estate appraiser, state licensed real estate appraiser, or
state certified real estate appraiser has:
(1) failed to meet the minimum qualifications for a
permit, registration, licensure, or certification established by or
pursuant to the provisions of this chapter;
(2) procured or attempted to procure a permit,
registration, license, or certification under the act by knowingly making
a false statement, submitting false information, or making a material
misrepresentation in an application filed with the board or procured or
attempted to procure a permit, registration, license, or
certification through fraud or misrepresentation;
(3) paid money to a person to procure a permit,
registration, license, or certification other than the fees established
pursuant to the provisions of this chapter;
(4) performed an act in the practice of real estate appraising which
constitutes dishonest, fraudulent, or improper conduct;
(5) engaged in the business of real estate appraising under an
assumed or fictitious name;
(6) paid a finder's fee or a referral fee in connection with an
appraisal of real estate or real property in this State;
(7) made a false or misleading statement in that portion of a
written appraisal report that deals with professional qualifications or in
any testimony concerning professional qualifications;
(8) violated the confidential nature of governmental records to
which an appraiser gained access through employment or engagement
as an appraiser by a governmental agency;
(9) violated any of the standards for the development or
communication of real estate appraisals as promulgated by the board;
(10) failed or refused without good cause to exercise reasonable
diligence in developing an appraisal, preparing an appraisal report, or
communicating an appraisal;
(11) exhibited negligence or incompetence in developing an
appraisal, in preparing an appraisal report, or in communicating an
appraisal;
(12) accepted an independent appraisal assignment when the
employment itself or fee to be paid was contingent upon the appraiser's
reporting a predetermined estimate, analysis, valuation, opinion, or
conclusion, or upon the award, recovery, or consequences resulting from
the appraisal assignment;
(13) failed to retain for five years the original or a true copy of
each appraisal report prepared or signed by the appraiser and all
supporting data assembled and formulated by the appraiser in preparing
each appraisal report. The five-year period for retention of records is
applicable to each engagement of the services of the appraiser and
commences on the date of delivery of each appraisal report to the client
unless, within the five-year period, the appraiser is notified that the
appraisal or the appraisal report is involved in litigation, in which event
the five-year period for the retention of records commences on the date
of the final disposition of the litigation;
(14) failed upon reasonable request of an authorized investigator
of the board to make all records required to be maintained under the
provisions of this chapter available to the board for inspection and
copying by the board or failed to appear upon reasonable request for an
interview with an authorized investigator of the board;
(15) demonstrated bad faith, dishonesty, untrustworthiness, or
incompetency to act as an appraiser in a manner to endanger the interests
of the public;
(16) performed or attempted to perform any real estate appraisal
activity on property located in another state without first having
complied fully with that state's laws regarding real estate appraisal
activity;
(17) paid a fee or valuable consideration to a person for acts or
services performed in violation of this chapter;
(18) been convicted of a felony or a crime involving moral
turpitude or pled guilty or nolo contendere to any such offense;
(19) violated any provision of this chapter or any regulation
promulgated hereunder.
(B) When an appraiser has previously been sanctioned by the board
or by any other state's real estate appraiser regulatory authority, the
board may consider these prior sanctions in determining the severity of
a new sanction which may be imposed upon a finding that an appraiser
has violated a provision of this chapter or any of the regulations of the
board. The failure of an appraiser to comply with or to obey a final
order of the board may be cause for suspension or revocation of the
individual's permit, registration, license, or certification after
opportunity for a hearing.
(C) In a disciplinary proceeding based upon a civil judgment, an
appraiser must be afforded an opportunity to present matters in
mitigation and extenuation but may not collaterally attack the civil
judgment."
SECTION 5. Chapter 60, Title 40 of the 1976 Code is amended by
adding:
"Section 40-60-145. The board shall adopt the uniform
standards of professional appraisal practice, as adopted by the appraisal
standards board of the appraisal foundation and amended from time to
time. All appraiser apprentices and state registered, licensed, and
certified appraisers shall conform their professional conduct to these
standards of professional appraisal practice."
SECTION 6. Sections 40-60-150 through 40-60-170 of the 1976 Code
are amended to read:
"Section 40-60-150. (A) An appraiser who has had a
permit, registration, license, or certification revoked by the
board must not be issued a new permit, registration, license, or
certification within two years from and after the date of the revocation,
nor at any time thereafter except upon an affirmative vote of at least a
majority of the members of the board.
(B) A permit, registration, license, or certification of an
appraiser that has been revoked must not be reissued until the applicant
for reinstatement presents evidence of completion of the continuing
education required by this chapter.
(C) A license or certification of an appraiser that has been revoked
may not be reissued until the applicant for reinstatement successfully
completes the examination for licensure or certification.
Section 40-60-160. (A) Whenever a complaint filed with the board
involves an appraisal report which varies from a sales, lease, or
exchange price the board may, in its discretion, decline
to conduct an investigation.
(B) A person authorized to conduct an investigation on behalf of the
board shall have access to and may examine any writings, documents,
or other material which may be related to an investigation.
(C) In the conduct of an investigation or proceeding under this
chapter, the chairman of the board, the commissioner
director, or any duly authorized assistant or deputy appointed
by the commissioner director, may issue subpoenas to
compel production of those writings, documents, or material on behalf
of the board. After the service of a notice of hearing, the chairman of
the board, commissioner director, or any duly
authorized assistant or deputy appointed by the commissioner
director may issue subpoenas to compel production of those
writings, documents, or material, either on behalf of the board or at the
request of a respondent. The commissioner director,
chairman of the board, the board, or the respondent may apply to the
circuit court of the county in which a person disobeying a subpoena
resides for an order requiring compliance. Failure to comply with an
order is punishable as for contempt of court.
(D) If technical assistance is required in an investigation due to its
complexity, the commissioner director may contract on
behalf of the board for consultant services provided:
(1) no member of the board or commission obtains financial gain
for himself through these consultant services;
(2) no person with whom a member of the board or commission
or a member of his household is employed or negotiating or has an
arrangement concerning prospective employment, may provide these
consultant services.
(E) The results of all investigations may be reported only to the
board or to the commissioner director and the records
of the investigations are not subject to subpoena in civil actions.
Records of investigations must be kept by the board and no part of any
investigative record may be released for any purpose other than a
hearing before the board or its designated hearing officer, review by
another law enforcement agency or lawful licensing authority upon
issuance of a subpoena from the agency or authority or at the discretion
of the board or the commissioner director,
review by the respondent after the service of a notice of hearing, or an
appeal of a decision by the board to a court of competent jurisdiction.
After service of a notice of hearing, a respondent has a right to obtain a
copy of the investigative record pertaining to the respondent.
(F) Whenever the board issues a disciplinary sanction pursuant to
the provisions of this chapter, the board shall publish the sanction in its
official newsletter unless the sanction is a private reprimand.
(G) The commissioner director shall maintain in his
main office a public docket or record, in which he shall record, from
time to time as made, the rulings or decisions upon all complaints filed
with the board and all investigations instituted by the board, upon or in
connection with which any hearing has been held, or in which a
an appraiser apprentice, state registered real estate appraiser, a
state licensed real estate appraiser, or state certified real estate appraiser
has made no defense unless the board issues a private reprimand in that
instance.
Section 40-60-170. (A) Before the board shall impose on any
appraiser any sanction permitted by this chapter or deny issuance of a
permit, registration, license, or certification to an applicant, it
shall provide for a hearing for the appraiser in accordance with the
Administrative Procedures Act.
(B) The date of the hearing must not be less than thirty nor more than
one hundred twenty days from the date after the appraiser or applicant
is notified of the charges against him.
(C) If an appraiser or applicant fails to appear at any hearing after
reasonable notice, the board may proceed to hear the evidence against
the appraiser or applicant and take action as if the appraiser or applicant
had been present. A notice of hearing or final decision of the board in
a disciplinary proceeding must be served upon the appraiser or applicant
by personal service or by certified mail, return receipt requested, to the
last known address of record with the board. If the material is returned
marked `unclaimed' or `refused' or is undeliverable and if the appraiser
or applicant may not be located after diligent effort, the commissioner
is considered to be the agent for the appraiser or applicant for the
purposes of this section, and service upon the commissioner is
considered service upon the appraiser or applicant.
(D) A decision by the board to revoke or suspend a permit,
registration, license, or certification or to restrict, limit, or otherwise
discipline a permit, registration, license, or certification holder
must be by majority vote of the total membership of the board. A
disciplinary action is subject to review by the circuit court upon petition
filed by the permit, registration, license, or certification holder
within thirty days from the date of delivery of the board's decision to the
permit, registration, license, or certification holder. A copy of
the petition must be served upon the commissioner
director.
(E) A person who has exhausted all administrative remedies
available within this chapter and who is aggrieved by a final decision of
the board is entitled to judicial review in accordance with the
Administrative Procedures Act. The review is limited to the record
established by the board hearing.
(F) No stay or supersedeas may be granted for more than six months
pending appeal from a decision by the board to revoke, suspend, or
otherwise restrict a permit, license, certification, or
registration."
SECTION 7. Sections 40-60-190 through 40-60-220 of the 1976 Code
are amended to read:
"Section 40-60-190. (A) No person other than a
an appraiser apprentice, state registered real estate appraiser, a
state licensed real estate appraiser, or a state certified real estate
appraiser shall assume or use the title or any title, designation, or
abbreviation likely to create the impression of state permitting,
registration, licensure, or certification as a real estate appraiser.
(B) `Appraiser apprentice', `State state
registered real estate appraiser', `state licensed real estate appraiser',
`state certified residential real estate appraiser', and `state
certified general real estate appraiser' only may be used to refer
to individuals who hold this permit, registration, license, or
certification and may not be used following or immediately in
connection with the name or signature of a firm, partnership,
corporation, or group or in that manner that it might be interpreted as
referring to a firm, partnership, corporation, group, or anyone other than
an individual holder of the permit, registration, license, or
certification.
(C) No permit, registration, license, or certification may be
issued under the provisions of this chapter to a corporation, partnership,
firm, or group.
Section 40-60-200. (A) A person who, directly or indirectly, with
the intention or upon the promise of receiving any valuable
consideration, offers, attempts, or agrees to perform or performs any
single act of real estate appraisal as defined in Section 40-60-20,
whether as a part of an appraisal or as an appraisal, is considered an
appraiser within the meaning of this chapter. The commission of a single
act by a person who is required to have a permit, registration,
license, or certification under this chapter but who is not
permitted, registered, licensed, or certified constitutes a
violation of this chapter.
(B) It is unlawful for any person, directly or indirectly, to engage in
or conduct the business of, or advertise or hold himself out as engaging
in or conducting the business of, or act in the capacity of, an appraiser
within this State without first obtaining a permit, registration,
license, or certification as provided in this chapter.
(C) A person acting as an appraiser within the meaning of this
chapter without a permit, registration, license, or certification
is guilty of a misdemeanor and, upon conviction, must be punished by
a fine of not more than five hundred dollars or imprisonment of not more
than six months, or both, in the discretion of the court.
Section 40-60-210. (A) The board may issue a cease and desist order
prohibiting a person from violating the provisions of this chapter by
engaging in the practice of an appraiser without a permit,
registration, license, or certification. The cease and desist order is final
ten days after it is issued unless the person to whom the order is issued
requests a hearing before the board.
(B) The violation of a cease and desist order of the board issued
under subsection (A) of this section subjects the person violating the
order to further proceedings before the board, and the board is
authorized to impose a fine not to exceed one thousand dollars for each
transaction constituting a violation of the order. Each day that a person
practices in violation of this chapter constitutes a separate violation.
(C) Initial judicial review of the decision of the board entered
pursuant to this section is available solely in the circuit court of the
county of domicile of the board.
(D) Nothing in this section may be construed to prohibit the board
from seeking remedies otherwise available by statute without first
seeking a cease and desist order in accordance with the provisions of this
section."
SECTION 8. This act takes effect upon approval by the Governor.
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