|
|
|
A BILL TO BE ENTITLED
|
|
AN ACT
|
|
relating to practices and professions regulated by the Texas |
|
Appraiser Licensing and Certification Board. |
|
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: |
|
SECTION 1. Section 1103.002, Occupations Code, is amended |
|
to read as follows: |
|
Sec. 1103.002. PURPOSE. The purpose of this chapter is to: |
|
(1) conform state law relating to the regulation of |
|
real estate appraisers to the requirements adopted under Title XI, |
|
Financial Institutions Reform, Recovery, and Enforcement Act of |
|
1989; and |
|
(2) enforce standards for the appraisal of real |
|
property. |
|
SECTION 2. Section 1103.003(1), Occupations Code, is |
|
amended to read as follows: |
|
(1) "Appraisal" means, regardless of whether prepared |
|
for a federally related transaction: |
|
(A) an opinion [estimate] of value; or |
|
(B) the act or process of developing an opinion |
|
of [estimating] value. |
|
SECTION 3. Section 1103.004(b), Occupations Code, is |
|
amended to read as follows: |
|
(b) This chapter does not prohibit: |
|
(1) a person authorized by law from performing an |
|
evaluation of real property for or providing an evaluation of real |
|
property to another person; or |
|
(2) [a real estate broker or salesperson licensed
|
|
under Chapter 1101 but not certified or licensed under this chapter
|
|
from performing an appraisal in a transaction other than a
|
|
federally related transaction;
|
|
[(3)
the requirement that a person who is not
|
|
certified or licensed under this chapter be licensed as a real
|
|
estate broker or salesperson to perform an appraisal in a
|
|
transaction other than a federally related transaction; or
|
|
[(4)] a real estate broker [or salesperson] licensed |
|
under Chapter 1101 or a salesperson acting under the authority of a |
|
sponsoring broker from providing to another person a written |
|
analysis, [giving an] opinion, or conclusion relating to the |
|
estimated price of real property if the analysis, [if the] opinion, |
|
or conclusion: |
|
(A) is not referred to as an appraisal; [and] |
|
(B) is given in the ordinary course of the |
|
broker's or salesperson's business; and |
|
(C) is related to the actual or potential |
|
acquisition, disposition, encumbrance, or management of an |
|
interest in [to:
|
|
[(i)
a potential seller or third party
|
|
regarding the recommended listing price of real property; or
|
|
[(ii)
a potential purchaser or third party
|
|
regarding the recommended purchase price of] real property. |
|
SECTION 4. Section 1103.101(b), Occupations Code, is |
|
amended to read as follows: |
|
(b) The board may delegate to the commissioner the |
|
responsibility for administering this chapter, including the |
|
approval of consent orders and agreements. |
|
SECTION 5. Section 1103.151, Occupations Code, is amended |
|
to read as follows: |
|
Sec. 1103.151. RULES RELATING TO CERTIFICATES AND LICENSES. |
|
The board may adopt: |
|
(1) rules for certifying or licensing an appraiser or |
|
approving an appraiser trainee in this state that are in accordance |
|
with this chapter and consistent with applicable federal law; |
|
(2) rules relating to the education and experience |
|
required for certifying or licensing an appraiser or approving an |
|
appraiser trainee that are consistent with the guidelines |
|
recognized by the Appraiser Qualifications Board; |
|
(3) rules relating to the examination required by |
|
Subchapter F; and |
|
(4) rules relating to procedures for the timely |
|
renewal of a certificate, [or] license, or trainee approval. |
|
SECTION 6. 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) a [an annual] renewal fee for an appraiser |
|
trainee; |
|
(7) a fee for filing a request for a return to active |
|
status; and |
|
(8) other appropriate fees. |
|
SECTION 7. Subchapter D, Chapter 1103, Occupations Code, is |
|
amended by adding Sections 1103.157 and 1103.158 to read as |
|
follows: |
|
Sec. 1103.157. GIFTS, GRANTS, AND DONATIONS. The board may |
|
solicit, accept, and administer gifts, grants, and donations of any |
|
kind from any public or private source for the purposes of this |
|
chapter. |
|
Sec. 1103.158. EXPERT WITNESS TESTIMONY BY BOARD MEMBER. |
|
Notwithstanding Section 572.051, Government Code, a board member |
|
may testify as an expert witness in an action concerning a violation |
|
of the Uniform Standards of Professional Appraisal Practice. |
|
SECTION 8. Section 1103.201, Occupations Code, is amended |
|
to read as follows: |
|
Sec. 1103.201. CERTIFICATE OR LICENSE REQUIRED. (a) A |
|
[Unless the person is certified under this chapter, a] person may |
|
not perform an appraisal of real estate unless the person is |
|
licensed or certified as an appraiser under this chapter, |
|
registered as a temporary out-of-state appraiser under this |
|
chapter, or acting as an appraiser trainee under the sponsorship of |
|
a certified appraiser. [:
|
|
[(1)
use the title "state-certified real estate
|
|
appraiser"; or
|
|
[(2)
refer to an appraisal prepared by the person as a
|
|
"certified appraisal."] |
|
(b) Unless the person holds the appropriate license or |
|
certification [is licensed under this chapter], a person may not: |
|
(1) use the title "state-certified real estate |
|
appraiser" or "state-licensed real estate appraiser"; or |
|
(2) refer to an appraisal performed [prepared] by the |
|
person as a "certified appraisal" or "licensed appraisal." |
|
SECTION 9. Subchapter E, Chapter 1103, Occupations Code, is |
|
amended by adding Section 1103.2015 to read as follows: |
|
Sec. 1103.2015. GENERAL APPLICATION REQUIREMENTS. An |
|
applicant for a license or certificate issued under this chapter |
|
shall provide the board with the applicant's current mailing |
|
address, telephone number, and e-mail address, if available. |
|
SECTION 10. Section 1103.206(b), Occupations Code, is |
|
amended to read as follows: |
|
(b) The board shall adopt a reliable method to verify the |
|
evidence of appraisal experience submitted by an applicant for a |
|
certificate or license. The method must include the review of |
|
appraisal experience of all applicants for certification and must |
|
rely on appropriate sampling techniques that are applied to not |
|
more than five percent of the license applications received by the |
|
board. An applicant whose application is selected for verification |
|
has at least 60 days after the date of selection to prepare any |
|
records requested by the board. The board may not require the |
|
applicant to provide more information than the information the |
|
board may obtain under Section 1103.207. |
|
SECTION 11. Sections 1103.209(a), (e), (f), and (g), |
|
Occupations Code, are amended to read as follows: |
|
(a) The board shall [may] issue a reciprocal certificate or |
|
license to an applicant from another state if: |
|
(1) the appraiser licensing and certification program |
|
of the other state is in compliance with 12 U.S.C. Section 3331 et |
|
seq.; |
|
(2) the appraiser holds a valid license or certificate |
|
from a state whose requirements for licensure or certification meet |
|
or exceed the licensure or certification requirements of this |
|
state; and |
|
(3) the appraiser satisfies the board as to the |
|
appraiser's honesty, trustworthiness, and integrity [under terms
|
|
adopted by the board to an applicant who is certified or licensed
|
|
under the laws of another state having certification or licensing
|
|
requirements that the board determines have not been disapproved by
|
|
the Appraiser Qualifications Board.
The terms must comply with the
|
|
minimum criteria for obtaining a certificate or license recognized
|
|
by the Appraiser Qualifications Board]. |
|
(e) An applicant for a certificate or license under this |
|
chapter who is not a resident of this state must submit with the |
|
application an irrevocable consent that states that service of |
|
process in an action against the applicant arising out of the |
|
applicant's activities as a certified or licensed appraiser in this |
|
state may be made by delivery of the process to the commissioner if |
|
the plaintiff in the action, using due diligence, cannot obtain |
|
personal service on the applicant. If process is served as provided |
|
by this subsection, the commissioner shall immediately send a copy |
|
of the material served on the commissioner [by regular mail] to the |
|
certified or licensed appraiser at the appraiser's address of |
|
record [principal place of business and residence address]. |
|
(f) The board shall request verification from the state in |
|
which the applicant is certified or licensed to confirm that the |
|
applicant's certificate or license is valid, active, and in good |
|
standing. The board may not issue a reciprocal certificate or |
|
license without that verification. |
|
(g) A reciprocal certificate or license expires on the |
|
second anniversary of the last day of the month in which it was |
|
[earlier of:
|
|
[(1)
the expiration date of the certificate or license
|
|
held by the applicant in the state in which the applicant is
|
|
certified or licensed; or
|
|
[(2)
the first anniversary of the date the reciprocal
|
|
certificate or license is] issued. |
|
SECTION 12. Subchapter E, Chapter 1103, Occupations Code, |
|
is amended by adding Section 1103.2091 to read as follows: |
|
Sec. 1103.2091. PROBATIONARY CERTIFICATE, LICENSE, OR |
|
TRAINEE APPROVAL. (a) The board may issue a probationary |
|
certificate or license or approve an appraiser trainee on a |
|
probationary basis. |
|
(b) The board by rule shall adopt reasonable terms for |
|
issuing a probationary certificate or license and for approval of |
|
an appraiser trainee on a probationary basis. |
|
(c) A person who holds a probationary certificate or license |
|
or who is approved as an appraiser trainee under this section must |
|
disclose the probationary status to all clients before accepting an |
|
assignment. |
|
SECTION 13. Subchapter E, Chapter 1103, Occupations Code, |
|
is amended by adding Section 1103.2111 to read as follows: |
|
Sec. 1103.2111. LATE RENEWAL OF CERTIFICATE, LICENSE, OR |
|
TRAINEE APPROVAL. (a) A person whose certificate, license, or |
|
approval has been expired for 90 days or less may renew the |
|
certificate, license, or approval by paying to the board a fee equal |
|
to 1-1/2 times the required renewal fee. If a certificate, license, |
|
or approval has been expired for more than 90 days but less than six |
|
months, the person may renew the certificate, license, or approval |
|
by paying to the board a fee equal to two times the required renewal |
|
fee. |
|
(b) A certificate, license, or approval that is renewed |
|
under this section shall expire on the date that would apply had the |
|
certificate, license, or approval been timely renewed. |
|
(c) A person may not perform an appraisal in a federally |
|
related transaction while the person is not actively licensed or |
|
certified as an appraiser. |
|
(d) If a person's certificate, license, or approval has been |
|
expired six months or longer, the person may not renew the |
|
certificate, license, or approval. The person may obtain a new |
|
certificate, license, or approval by complying with the |
|
requirements and procedures for an original application. |
|
SECTION 14. Section 1103.258(b), Occupations Code, is |
|
amended to read as follows: |
|
(b) An applicant who fails the examination three |
|
consecutive times may not apply for reexamination or submit a new |
|
license application unless the applicant submits evidence |
|
satisfactory to the board that the applicant has completed |
|
additional education, as prescribed by the board, since the date |
|
the applicant last took the examination [has not successfully
|
|
completed the examination before the first anniversary of the date
|
|
the application was initially accepted by the board must submit a
|
|
new application and pay the required application fee]. |
|
SECTION 15. Subchapter G, Chapter 1103, Occupations Code, |
|
is amended by adding Section 1103.304 to read as follows: |
|
Sec. 1103.304. EXTENSION OF REGISTRATION. A person may |
|
obtain a 90-day extension of a temporary registration under this |
|
subchapter by completing an extension form approved by the board |
|
and paying any required fee. The board may grant only one extension |
|
for each temporary registration. |
|
SECTION 16. Subchapter H, Chapter 1103, Occupations Code, |
|
is amended by adding Section 1103.356 to read as follows: |
|
Sec. 1103.356. RENEWAL OF APPRAISER TRAINEE APPROVAL. A |
|
person may renew an approval as an appraiser trainee by: |
|
(1) paying the renewal fee established by the board; |
|
(2) providing evidence satisfactory to the board of |
|
completion of any required continuing education; and |
|
(3) meeting any other renewal requirement established |
|
by the board. |
|
SECTION 17. The heading to Section 1103.403, Occupations |
|
Code, is amended to read as follows: |
|
Sec. 1103.403. CONTACT INFORMATION [OFFICE LOCATION]. |
|
SECTION 18. Section 1103.403(b), Occupations Code, is |
|
amended to read as follows: |
|
(b) Not later than the 10th day after the date an [a
|
|
certified or licensed] appraiser changes the appraiser's address, |
|
e-mail address, or telephone number [moves from a previously
|
|
designated address], the appraiser shall: |
|
[(1)] notify the board of the change [new office
|
|
location on a form prescribed by the board;] and |
|
[(2)] pay any required [a] fee [set by the board]. |
|
SECTION 19. Subchapter K, Chapter 1103, Occupations Code, |
|
is amended by adding Sections 1103.5011 and 1103.5012 to read as |
|
follows: |
|
Sec. 1103.5011. NOTICE OF VIOLATION AND PENALTY. (a) The |
|
commissioner may send an appraiser against whom a complaint has |
|
been filed a notice of violation including: |
|
(1) a summary of the alleged violation; |
|
(2) the recommended sanction, including the amount of |
|
any administrative penalty sought; and |
|
(3) a conspicuous notice that the respondent has the |
|
right to a hearing to contest the alleged violation, the |
|
recommended sanction, or both. |
|
(b) Not later than the 20th day after the date the person |
|
receives the notice under Subsection (a), the person may: |
|
(1) accept the commissioner's determination, |
|
including the recommended sanction; or |
|
(2) request in writing a hearing, to be held under |
|
Chapter 2001, Government Code, on the occurrence of the violation, |
|
the sanction, or both. |
|
Sec. 1103.5012. PENALTY TO BE PAID OR HEARING REQUESTED. If |
|
the person accepts the commissioner's determination, or fails to |
|
respond in a timely manner to the notice, the board by order shall |
|
approve the determination and order payment of the recommended |
|
penalty, impose the recommended sanction, or both. |
|
SECTION 20. Section 1103.518, Occupations Code, is amended |
|
to read as follows: |
|
Sec. 1103.518. ACTION AFTER HEARING. On conclusion of a |
|
contested case hearing and on submission of all written responses |
|
allowed under Section 1103.515, the administrative law judge shall: |
|
(1) make findings of fact and conclusions of law; and |
|
(2) issue to the board a proposal for decision that the |
|
board take one or more of the following actions: |
|
(A) dismiss the charges[, including issuing an
|
|
order declaring that the case file is confidential]; |
|
(B) suspend or revoke the appraiser's |
|
certificate or license or the appraiser trainee's approval; |
|
(C) impose a period of probation with or without |
|
conditions; |
|
(D) require the appraiser to submit to |
|
reexamination for a certificate or license; |
|
(E) require the appraiser or appraiser trainee to |
|
participate in additional professional education or continuing |
|
education; |
|
(F) issue a public or private reprimand or a |
|
warning; |
|
(G) issue a consent order; or |
|
(H) impose an administrative penalty as |
|
prescribed by Section 1103.552. |
|
SECTION 21. Section 1103.522, Occupations Code, is amended |
|
to read as follows: |
|
Sec. 1103.522. REINSTATEMENT OF CERTIFICATE OR LICENSE. |
|
[(a)] A person whose certificate or license has been [suspended or] |
|
revoked or a person who has surrendered a certificate or license |
|
issued by the board may not apply to the board for reinstatement |
|
until the second anniversary of the date of [as provided by the
|
|
order of suspension or] revocation or surrender. |
|
[(b)
If the order does not establish terms for
|
|
reinstatement, the appraiser may not:
|
|
[(1)
make an initial application for reinstatement
|
|
until the first anniversary of the effective date of the order; or
|
|
[(2)
make subsequent applications more often than once
|
|
every two years.] |
|
SECTION 22. Subchapter L, Chapter 1103, Occupations Code, |
|
is amended by adding Section 1103.5511 to read as follows: |
|
Sec. 1103.5511. TEMPORARY SUSPENSION. (a) The presiding |
|
officer of the board shall appoint a disciplinary panel consisting |
|
of three board members to determine whether a person's license or |
|
certification to practice under this chapter should be temporarily |
|
suspended. |
|
(b) If the disciplinary panel determines from the |
|
information presented to the panel that a person licensed or |
|
certified to practice under this chapter would, by the person's |
|
continued practice, constitute a continuing threat to the public |
|
welfare, the panel shall temporarily suspend the license or |
|
certification of that person. |
|
(c) A license or certification may be suspended under this |
|
section without notice or hearing on the complaint if: |
|
(1) institution of proceedings for a contested case |
|
hearing is initiated simultaneously with the temporary suspension; |
|
and |
|
(2) a hearing is held under Chapter 2001, Government |
|
Code, and this chapter as soon as possible. |
|
(d) A temporary suspension under this section automatically |
|
expires after 45 days if the board has not scheduled a hearing to |
|
take place within that time or if, at the board's request, the |
|
hearing is continued beyond the 45th day. |
|
(e) Notwithstanding Chapter 551, Government Code, the |
|
disciplinary panel may hold a meeting by telephone conference call |
|
if immediate action is required and convening the panel at one |
|
location is inconvenient for any member of the panel. |
|
SECTION 23. Section 1103.552, Occupations Code, is amended |
|
to read as follows: |
|
Sec. 1103.552. ADMINISTRATIVE PENALTY. (a) The board may |
|
impose an administrative penalty for a violation of this chapter or |
|
a rule adopted or order issued by the board under this chapter |
|
[Section 1103.518(2)(H)] in an amount not to exceed: |
|
(1) $1,500 for each violation; or |
|
(2) $5,000 for multiple violations [proved] in a |
|
single [one contested] case. |
|
(b) The person on whom the penalty is imposed shall pay the |
|
penalty not later than the 20th day after the date the order |
|
imposing the penalty becomes [of the] final [disposition of the
|
|
contested case]. |
|
SECTION 24. Sections 1103.208 and 1103.209(b), Occupations |
|
Code, are repealed. |
|
SECTION 25. The change in law made by this Act to Section |
|
1103.209(b), Occupations Code, applies only to an application for a |
|
reciprocal certificate or license that is submitted on or after the |
|
effective date of this Act. An application submitted before the |
|
effective date of this Act is governed by the law in effect on the |
|
date the application is submitted, and the former law is continued |
|
in effect for that purpose. |
|
SECTION 26. The change in law made by Section 1103.2111, |
|
Occupations Code, as added by this Act, applies to the renewal of a |
|
certificate, license, or approval that expires on or after the |
|
effective date of this Act. A certificate, license, or approval |
|
that expires before the effective date of this Act is governed by |
|
the law in effect on the date the certificate, license, or approval |
|
expired, and the former law is continued in effect for that purpose. |
|
SECTION 27. The change in law made by Sections 1103.5011 and |
|
1103.5012, Occupations Code, as added by this Act, applies only to a |
|
complaint filed on or after the effective date of this Act. A |
|
complaint filed before that date is governed by the law in effect on |
|
the date the complaint was filed, and the former law is continued in |
|
effect for that purpose. |
|
SECTION 28. This Act takes effect immediately if it |
|
receives a vote of two-thirds of all the members elected to each |
|
house, as provided by Section 39, Article III, Texas Constitution. |
|
If this Act does not receive the vote necessary for immediate |
|
effect, this Act takes effect September 1, 2011. |