78(R) HB 3489 - House Committee Report version


                                                                                
78R10008 SMH-D


By:  Flores                                                       H.B. No. 3489

Substitute the following for H.B. No. 3489:                                   

By:  Jones of Lubbock                                         C.S.H.B. No. 3489



A BILL TO BE ENTITLED

AN ACT

relating to the regulation of the practice of appraising real 
property; providing administrative, civil, and criminal penalties.
	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:                        
	SECTION 1.  Section 1103.156(a), Occupations Code, is 
amended to read as follows:
	(a)  The board may establish reasonable fees to administer 
this chapter, including:
		(1)  an application fee for a certificate or license;                         
		(2)  an examination fee;                                                      
		(3)  a renewal fee for a certificate or license;                              
		(4)  a registration fee for a nonresident real estate 
appraiser;            
		(5)  an application fee for an appraiser trainee;                             
		(6)  an annual renewal fee for an appraiser trainee; 
[and] 
		(7)  a fee for filing a request for a return to active 
status; and   
		(8)  other appropriate fees.                                           
	SECTION 2.  Subchapter E, Chapter 1103, Occupations Code, is 
amended by adding Sections 1103.212 and 1103.213 to read as 
follows:
	Sec. 1103.212.  EXTENSION OF TIME TO COMPLETE REQUIRED 
CONTINUING EDUCATION.  (a)  The board by rule may establish 
procedures under which a person may obtain an extension of time to 
complete continuing education required to renew the person's 
certificate or license.
	(b)  The board may require a person under this section to:              
		(1)  pay an additional fee, not to exceed $200, on or 
before the date the certificate or license is scheduled to expire; 
and
		(2)  complete the required continuing education not 
later than the 60th day after the date the certificate or license is 
scheduled to expire.
	(c)  Notwithstanding the other provisions of this section, a 
person must complete the required continuing education before 
performing an appraisal in a federally related transaction.
	Sec. 1103.213.  INACTIVE CERTIFICATE OR LICENSE.  (a)  The 
board may place on inactive status the certificate or license of an 
appraiser if the appraiser:
		(1)  is not acting as an appraiser;                                    
		(2)  is not sponsoring an appraiser trainee;  and                      
		(3)  submits a written application to the board before 
the expiration date of the appraiser's certificate or license.
	(b)  The board may place on inactive status the certificate 
or license of an appraiser whose certificate or license has expired 
if the appraiser applies for inactive status on a form prescribed by 
the board not later than the first anniversary of the expiration 
date of the appraiser's certificate or license.
	(c)  An appraiser applying for inactive status shall 
terminate the appraiser's association with each appraiser trainee 
sponsored by the appraiser by giving written notice to each 
appraiser trainee before the 30th day preceding the date the 
appraiser applies for inactive status.
	(d)  An appraiser on inactive status:                                   
		(1)  may not perform any activity regulated under this 
chapter;      
		(2)  must pay annual renewal fees; and                                 
		(3)  is not required to pay the annual registry fee 
described by Section 1103.156(b).
	(e)  The board shall maintain a list of each appraiser whose 
certificate or license is on inactive status.
	(f)  The board shall remove an appraiser's certificate or  
license from inactive status if the appraiser:
		(1)  submits an application to the board;                              
		(2)  pays the required fee; and                                        
		(3)  submits proof of complying with the continuing 
education requirements of Section 1103.211 during the two years 
preceding the date the application under Subdivision (1) is filed.
	SECTION 3.  Section 1103.451, Occupations Code, is amended 
by adding Subsection (d) to read as follows:
	(d)  The board, on its own motion, may file a formal 
complaint against a person who engages in an activity for which a 
certificate or license is required under this chapter without 
holding a certificate or license.  This subchapter and Subchapter K 
apply to a complaint filed under this subsection in the same manner 
as they apply to a complaint filed under Subsection (b).
	SECTION 4.  Section 1103.551(a), Occupations Code, is 
amended to read as follows:
	(a)  The board may institute an action in its own name 
against any person, including a person who is not certified or 
licensed under this chapter, to enjoin a violation of this chapter 
or a rule adopted by the board under this chapter.
	SECTION 5.  Section 1103.552(b), Occupations Code, is 
amended to read as follows:
	(b)  The person [appraiser] on whom the penalty is imposed 
shall pay the penalty not later than the 20th day after the date of 
the final disposition of the contested case.
	SECTION 6.  The heading to Section 1103.553, Occupations 
Code, is amended to read as follows:
	Sec. 1103.553.  CIVIL PENALTY FOR FILING FRIVOLOUS 
COMPLAINT.         
	SECTION 7.  Subchapter L, Chapter 1103, Occupations Code, is 
amended by adding Section 1103.5535 to read as follows:
	Sec. 1103.5535.  CIVIL PENALTY FOR ENGAGING IN ACTIVITY 
WITHOUT REQUIRED CERTIFICATE OR LICENSE.  (a)  A person who receives 
consideration for engaging in an activity for which a certificate 
or license is required under this chapter and who does not hold a 
certificate or license is liable for a civil penalty.
	(b)  The amount of a civil penalty imposed under this section 
may not be less than the amount of money equal to the value of the 
consideration received or more than three times the amount of money 
equal to the value of the consideration received.
	(c)  At the request of the board, the attorney general or a 
district or county attorney may bring an action in district court to 
recover a civil penalty under this section.
	(d)  A civil penalty recovered in an action under this 
section shall be deposited in the state treasury.
	SECTION 8.  The heading to Section 1103.554, Occupations 
Code, is amended to read as follows:
	Sec. 1103.554.  CRIMINAL PENALTY FOR MISREPRESENTING 
QUALIFICATIONS.  
	SECTION 9.  Subchapter L, Chapter 1103, Occupations Code, is 
amended by adding Section 1103.5545 to read as follows:
	Sec. 1103.5545.  CRIMINAL PENALTY FOR ENGAGING IN ACTIVITY 
WITHOUT REQUIRED CERTIFICATE OR LICENSE.  (a)  A person commits an 
offense if the person engages in an activity for which a certificate 
or license is required under this chapter without holding a 
certificate or license.
	(b)  An offense under this section is a Class A misdemeanor.            
	SECTION 10.  This Act takes effect September 1, 2003.