Senate Bill sb2238

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    Florida Senate - 2003                                  SB 2238

    By Senator Constantine





    22-1024-03

  1                      A bill to be entitled

  2         An act relating to real estate appraisers;

  3         amending ss. 475.611 and 475.612, F.S.;

  4         substituting the term "assistant" for

  5         "trainee"; defining new terms; expanding the

  6         definition of the term "appraisal report";

  7         deleting the definition of "licensed

  8         appraiser"; substituting the term "valuation

  9         services" for "appraisals"; amending s.

10         475.613, F.S; deleting obsolete provisions

11         concerning terms of appointment for members of

12         the Florida Real Estate Appraisal Board;

13         authorizing the board to establish standards

14         for and regulate supervisory appraisers;

15         amending s. 475.615, F.S., relating to

16         qualifications for registration or

17         certification; conforming provisions to changes

18         made by the act; amending s. 475.617, F.S.;

19         deleting the licensing qualifications for an

20         appraiser; amending s. 475.618, F.S.;

21         permitting the board to authorize independent

22         certification organizations to approve the

23         delivery method of distance learning courses;

24         providing for the renewal of registered trainee

25         licenses; amending ss. 475.619, 475.620, and

26         475.621, F.S.; deleting the terms "license" and

27         "licensed"; substituting the term "assistant"

28         for "trainee"; amending s. 475.622, F.S.;

29         deleting the term "state-licensed real estate

30         appraiser"; providing that a registered trainee

31         appraiser or certified appraiser may not sign

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 1         any appraisal report or certification or

 2         communicate such appraisal report or

 3         certification without making certain

 4         disclosures; amending s. 475.6221, F.S.;

 5         providing that the primary supervisor must

 6         notify the Division of Real Estate of the

 7         Department of Business and Professional

 8         Regulation of the name and address of any

 9         primary and secondary supervisor for whom the

10         registered trainee will perform appraisal

11         services; providing that the registered trainee

12         real estate appraiser may only receive

13         compensation from the primary supervising

14         certified appraiser; creating s. 475.6222,

15         F.S.; providing that the primary or secondary

16         supervisor must directly supervise the

17         registered trainee appraiser; amending ss.

18         475.623, 475.624, 475.626, and 475.627, F.S.;

19         deleting the term "license"; substituting the

20         term "assistant" for "trainee"; creating s.

21         475.631, F.S.; providing for nonresident

22         licensure or certification opportunities for

23         state-certified appraisers; providing that

24         nonresident applicants must file an irrevocable

25         consent to be sued; providing for service of

26         process in lawsuits; providing that resident

27         state-certified appraisers who become

28         nonresidents must notify the board of a change

29         in residency and comply with nonresident

30         requirements within 60 days; providing an

31         effective date.

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 1  Be It Enacted by the Legislature of the State of Florida:

 2  

 3         Section 1.  Section 475.611, Florida Statutes, is

 4  amended to read:

 5         475.611  Definitions.--

 6         (1)  As used in this part, the term:

 7         (a)  "Appraisal" or "appraisal services" means the

 8  services provided by certified or licensed appraisers or

 9  registered trainee assistant appraisers, and includes:

10         1.  "Appraisal assignment" denotes an engagement for

11  which a person is employed or retained to act, or could be

12  perceived by third parties or the public as acting, as an

13  agent or a disinterested third party in rendering an unbiased

14  analysis, opinion, review, or conclusion relating to the

15  nature, quality, value, or utility of specified interests in,

16  or aspects of, identified real property.

17         2.  "Analysis assignment" denotes appraisal services

18  that relate to the employer's or client's individual needs or

19  investment objectives and includes specialized marketing,

20  financing, and feasibility studies as well as analyses,

21  opinions, and conclusions given in connection with activities

22  such as real estate brokerage, mortgage banking, or real

23  estate counseling, or real estate consulting.

24         3.  "Appraisal review assignment" denotes an engagement

25  for which an appraiser is employed or retained to develop and

26  communicate an opinion about the quality of another

27  appraiser's appraisal, appraisal report, or work.  An

28  appraisal review may or may not contain the reviewing

29  appraiser's opinion of value.

30  

31  

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 1         (b)  "Appraisal Foundation" or "foundation" means the

 2  Appraisal Foundation established on November 20, 1987, as a

 3  not-for-profit corporation under the laws of Illinois.

 4         (c)  "Appraisal report" means any communication,

 5  written or oral, of an appraisal, appraisal review, appraisal

 6  consulting service, analysis, opinion, or conclusion issued by

 7  an appraiser relating to the nature, quality, value, or

 8  utility of a specified interest in, or aspect of, identified

 9  real property, and includes any a report communicating an

10  appraisal analysis, opinion, or conclusion of value,

11  regardless of title.  However, in order to be recognized in a

12  federally related transaction, an appraisal report must be

13  written.

14         (d)  "Appraisal review" means the act or process of

15  developing and communicating an opinion about the quality of

16  another appraiser's appraisal, appraisal report, or work.

17         (e)(d)  "Appraisal subcommittee" means the designees of

18  the heads of the federal financial institutions regulatory

19  agencies established by the Federal Financial Institutions

20  Examination Council Act of 1978 (12 U.S.C. ss. 3301 et seq.),

21  as amended.

22         (f)(e)  "Appraiser" means any person who is a

23  registered assistant real estate appraiser, licensed real

24  estate appraiser, or a certified real estate appraiser.  An

25  appraiser renders a professional service and is a professional

26  within the meaning of s. 95.11(4)(a).

27         (g)(f)  "Board" means the Florida Real Estate Appraisal

28  Board established under this section.

29         (h)(g)  "Certified general appraiser" means a person

30  who is certified by the department as qualified to issue

31  appraisal reports for any type of real property.

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 1         (i)(h)  "Certified residential appraiser" means a

 2  person who is certified by the department as qualified to

 3  issue appraisal reports for residential real property of one

 4  to four residential units, without regard to transaction value

 5  or complexity, or real property as may be authorized by

 6  federal regulation.

 7         (j)(i)  "Department" means the Department of Business

 8  and Professional Regulation.

 9         (k)(j)  "Federally related transaction" means any real

10  estate-related financial transaction which a federal financial

11  institutions regulatory agency or the Resolution Trust

12  Corporation engages in, contracts for, or regulates, and which

13  requires the services of a state-licensed or state-certified

14  appraiser.

15         (k)  "Licensed appraiser" means a person who is

16  licensed by the department as qualified to issue appraisal

17  reports for residential real property of one to four

18  residential units or on such real estate or real property as

19  may be authorized by federal regulation.

20         (l)  "Registered assistant appraiser" means a person

21  who is registered with the department as qualified to perform

22  appraisal services under the supervision of a licensed or

23  certified appraiser. Registered trainee appraisers may accept

24  appraisal assignments only from their primary or secondary

25  supervisor.

26         (m)  "Supervisor appraiser" means a certified

27  residential appraiser or a certified general appraiser

28  responsible for the direct supervision of one or more

29  registered trainee appraisers and fully responsible for

30  appraisals and appraisal reports prepared by those registered

31  trainee appraisers.  The board, by rule, shall determine the

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 1  responsibilities of a supervisory appraiser, the geographic

 2  proximity required, and the maximum number of registered

 3  trainee appraisers to be supervised by an individual

 4  supervisory appraiser.

 5         (n)(m)  "Uniform Standards of Professional Appraisal

 6  Practice" means the most recent standards approved and adopted

 7  by the Appraisal Standards Board of the Appraisal Foundation.

 8         (o)  "Valuation services" means services pertaining to

 9  aspects of property value and includes services performed by

10  certified appraisers, registered trainee appraisers, and

11  others.

12         (p)  "Work file" means the documentation necessary to

13  support an appraiser's analysis, opinions, and conclusions.

14         (2)  Wherever the word "operate" or "operating" appears

15  in this part with respect to a registered trainee assistant

16  appraiser, licensed appraiser, or certified appraiser; in any

17  order, rule, or regulation of the board; in any pleading,

18  indictment, or information under this part; in any court

19  action or proceeding; or in any order or judgment of a court,

20  it shall be deemed to mean the commission of one or more acts

21  described in this part as constituting or defining a

22  registered trainee assistant appraiser, licensed appraiser, or

23  certified appraiser, not including, however, any of the

24  exceptions stated therein.  A single act is sufficient to

25  bring a person within the meaning of this subsection, and each

26  act, if prohibited herein, constitutes a separate offense.

27         (3)  For the purposes of service on any probable cause

28  panel appointed pursuant to s. 455.225(4), the term "former

29  board member" includes any person who is a former member of

30  the Appraisal Subcommittee of the Florida Real Estate

31  Commission.

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 1         Section 2.  Section 475.612, Florida Statutes, is

 2  amended to read:

 3         475.612  Certification, licensure, or registration

 4  required.--

 5         (1)  A person may not use the title "certified real

 6  estate appraiser," "licensed real estate appraiser," or

 7  "registered trainee assistant real estate appraiser," or any

 8  abbreviation or words to that effect, or issue an appraisal

 9  report in connection with any federally related transaction,

10  unless such person is certified, licensed, or registered by

11  the department under this part.  However, the work upon which

12  an appraisal report is based may be performed by a person who

13  is not a certified or licensed appraiser or registered trainee

14  assistant appraiser if the report is approved and signed by a

15  certified or licensed appraiser.

16         (2)  This section does not preclude a broker,

17  salesperson, or broker-salesperson who is not a certified or

18  licensed real estate appraiser or registered trainee assistant

19  real estate appraiser from providing valuation services

20  appraising real estate for compensation.  Such persons may

21  continue to provide valuation appraisals and appraisal

22  services for compensation so long as they do not represent

23  themselves as certified, licensed, or registered under this

24  part.

25         (3)  This section does not apply to a real estate

26  broker or salesperson who, in the ordinary course of business,

27  performs a comparative market analysis, gives a broker price

28  opinion, or gives an opinion of the value of real estate for

29  the purpose of advising a bona fide buyer or seller.  However,

30  in no event may this comparative market analysis, broker price

31  

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 1  opinion, or opinion of value of real estate be referred to or

 2  construed as an appraisal.

 3         (4)  This section does not prevent any state court or

 4  administrative law judge from certifying as an expert witness

 5  in any legal or administrative proceeding an appraiser who is

 6  not certified, licensed, or registered; nor does it prevent

 7  any appraiser from testifying, with respect to the results of

 8  an appraisal.

 9         (5)  This section does not apply to any full-time

10  graduate student who is enrolled in a degree program in

11  appraising at a college or university in this state, if the

12  student is acting under the direct supervision of a certified

13  or licensed appraiser or licensed broker and is engaged only

14  in appraisal activities related to the approved degree

15  program. Any appraisal report by the student must be issued in

16  the name of the supervising individual.

17         (6)  This section does not apply to any employee of a

18  local, state, or federal agency who performs appraisal

19  services within the scope of her or his employment. However,

20  this exemption does not apply where any local, state, or

21  federal agency requires an employee to be registered,

22  licensed, or certified to perform appraisal services.

23         Section 3.  Section 475.613, Florida Statutes, is

24  amended to read:

25         475.613  Florida Real Estate Appraisal Board.--

26         (1)  There is created the Florida Real Estate Appraisal

27  Board, which shall consist of seven members appointed by the

28  Governor, subject to confirmation by the Senate.  Four members

29  of the board must be real estate appraisers who have been

30  engaged in the general practice of appraising real property in

31  this state for at least 5 years immediately preceding

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 1  appointment. In appointing real estate appraisers to the

 2  board, while not excluding other appraisers, the Governor

 3  shall give preference to real estate appraisers who are not

 4  primarily engaged in real estate brokerage or mortgage lending

 5  activities.  One member of the board must represent

 6  organizations that use appraisals for the purpose of eminent

 7  domain proceedings, financial transactions, or mortgage

 8  insurance.  Two members of the board shall be representatives

 9  of the general public and shall not be connected in any way

10  with the practice of real estate appraisal, real estate

11  brokerage, or mortgage lending.  The appraiser members shall

12  be as representative of the entire industry as possible, and

13  membership in a nationally recognized or state-recognized

14  appraisal organization shall not be a prerequisite to

15  membership on the board.  To the extent possible, no more than

16  two members of the board shall be primarily affiliated with

17  any one particular national or state appraisal association.

18  After July 1, 1992, Two of the members must be licensed or

19  certified residential real estate appraisers and two of the

20  members must be certified general real estate appraisers at

21  the time of their appointment.

22         (a)  Initially, four members of the board shall be

23  appointed for 3-year terms, and three members shall be

24  appointed for 4-year terms. Thereafter, All members shall be

25  appointed for 4-year terms. Any vacancy occurring in the

26  membership of the board shall be filled by appointment by the

27  Governor for the unexpired term. Upon expiration of his or her

28  term, a member of the board shall continue to hold office

29  until the appointment and qualification of the member's

30  successor. A member may not be appointed for more than two

31  

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 1  consecutive terms. The Governor may remove any member for

 2  cause.

 3         (b)  The headquarters for the board shall be in

 4  Orlando.

 5         (c)  The board shall meet at least once each calendar

 6  quarter to conduct its business.

 7         (d)  The members of the board shall elect a chairperson

 8  at the first meeting each year.

 9         (e)  Each member of the board is entitled to per diem

10  and travel expenses as set by legislative appropriation for

11  each day that the member engages in the business of the board.

12         (2)  The board shall have, through its rules, full

13  power to regulate the issuance of licenses, certifications,

14  registrations, and permits; to discipline appraisers in any

15  manner permitted under this section; to establish

16  qualifications for licenses, certifications, registrations,

17  and permits consistent with this section; to regulate approved

18  courses; and to establish standards for real estate

19  appraisals; and to establish standards for and regulate

20  supervisory appraisers.

21         Section 4.  Section 475.615, Florida Statutes, is

22  amended to read:

23         475.615  Qualifications for registration, licensure, or

24  certification.--

25         (1)  Any person desiring to act as a registered trainee

26  assistant appraiser or as a licensed or certified appraiser

27  must make application in writing to the department in such

28  form and detail as the board shall prescribe.  Each applicant

29  must be at least 18 years of age and hold a high school

30  diploma or its equivalent.  At the time of application, a

31  person must furnish evidence of successful completion of

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 1  required education and evidence of required experience, if

 2  any.

 3         (2)  The board is authorized to waive or modify any

 4  education, experience, or examination requirements established

 5  in this section in order to conform with any such requirements

 6  established by the Appraisal Qualifications Board of the

 7  Appraisal Foundation and recognized by the Appraisal

 8  Subcommittee or any successor body recognized by federal law.

 9         (3)  Appropriate fees, as set forth in the rules of the

10  board pursuant to s. 475.6147, and a fingerprint card must

11  accompany all applications for registration, certification, or

12  licensure. The fingerprint card shall be forwarded to the

13  Division of Criminal Justice Information Systems within the

14  Department of Law Enforcement for purposes of processing the

15  fingerprint card to determine if the applicant has a criminal

16  history record. The fingerprint card shall also be forwarded

17  to the Federal Bureau of Investigation for purposes of

18  processing the fingerprint card to determine if the applicant

19  has a criminal history record. The information obtained by the

20  processing of the fingerprint card by the Florida Department

21  of Law Enforcement and the Federal Bureau of Investigation

22  shall be sent to the department for the purpose of determining

23  if the applicant is statutorily qualified for registration,

24  certification, or licensure.

25         (4)  In the event that the applicant is currently a

26  registered trainee assistant appraiser or a licensed or

27  certified appraiser and is making application to obtain a

28  different status of appraisal licensure, should such

29  application be received by the department within 180 days

30  prior to through 180 days after the applicant's scheduled

31  

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 1  renewal, the charge for the application shall be established

 2  by the rules of the board pursuant to s. 475.6147.

 3         (5)  At the time of filing a notarized application for

 4  registration, licensure, or certification, the applicant must

 5  sign a pledge to comply with the Uniform Standards of

 6  Professional Appraisal Practice upon registration, licensure,

 7  or certification, and must indicate in writing that she or he

 8  understands the types of misconduct for which disciplinary

 9  proceedings may be initiated. The application shall expire 1

10  year from the date received, if the applicant for

11  registration, licensure, or certification fails to take the

12  appropriate examination.

13         (6)  All applicants must be competent and qualified to

14  make real estate appraisals with safety to those with whom

15  they may undertake a relationship of trust and confidence and

16  the general public. If any applicant has been denied

17  registration, licensure, or certification, or has been

18  disbarred, or the applicant's registration, license, or

19  certificate to practice or conduct any regulated profession,

20  business, or vocation has been revoked or suspended by this or

21  any other state, any nation, or any possession or district of

22  the United States, or any court or lawful agency thereof,

23  because of any conduct or practices that which would have

24  warranted a like result under this part, or if the applicant

25  has been guilty of conduct or practices in this state or

26  elsewhere which would have been grounds for disciplining her

27  or his registration, license, or certification under this part

28  had the applicant then been a registered trainee assistant

29  appraiser or a licensed or certified appraiser, the applicant

30  shall be deemed not to be qualified unless, because of lapse

31  of time and subsequent good conduct and reputation, or other

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 1  reason deemed sufficient, it appears to the board that the

 2  interest of the public is not likely to be endangered by the

 3  granting of registration, licensure, or certification.

 4         (7)  No applicant seeking to become registered,

 5  licensed, or certified under this part may be rejected solely

 6  by virtue of membership or lack of membership in any

 7  particular appraisal organization.

 8         Section 5.  Section 475.617, Florida Statutes, is

 9  amended to read:

10         475.617  Education and experience requirements.--

11         (1)  To be registered as a trainee an assistant

12  appraiser, an applicant must present evidence satisfactory to

13  the board that she or he has successfully completed at least

14  75 hours of approved academic courses in subjects related to

15  real estate appraisal, which shall include coverage of the

16  Uniform Standards of Professional Appraisal Practice from a

17  nationally recognized or state-recognized appraisal

18  organization, area technical center, accredited community

19  college, college, or university, state or federal agency or

20  commission, or proprietary real estate school that holds a

21  permit pursuant to s. 475.451. The board may increase the

22  required number of hours to not more than 100 hours. A

23  classroom hour is defined as 50 minutes out of each 60-minute

24  segment. Past courses may be approved on an hour-for-hour

25  basis.

26         (2)  To be licensed as an appraiser, an applicant must

27  present evidence satisfactory to the board that she or he:

28         (a)  Has 2 years of experience in real property

29  appraisal as defined by rule.

30         (b)  Has successfully completed at least 90 classroom

31  hours, inclusive of examination, of approved academic courses

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 1  in subjects related to real estate appraisal, which shall

 2  include coverage of the Uniform Standards of Professional

 3  Appraisal Practice from a nationally recognized or

 4  state-recognized appraisal organization, area technical

 5  center, accredited community college, college, or university,

 6  state or federal agency or commission, or proprietary real

 7  estate school that holds a permit pursuant to s. 475.451. The

 8  board may increase the required number of hours to not more

 9  than 120 hours. A classroom hour is defined as 50 minutes out

10  of each 60-minute segment. Past courses may be approved by the

11  board and substituted on an hour-for-hour basis.

12         (2)(3)  To be certified as a residential appraiser, an

13  applicant must present satisfactory evidence to the board that

14  she or he:

15         (a)  Has at least 2,500 hours of experience obtained

16  over a 24-month period in real property appraisal as defined

17  by rule.

18         (b)  Has successfully completed at least 120 classroom

19  hours, inclusive of examination, of approved academic courses

20  in subjects related to real estate appraisal, which shall

21  include coverage of the Uniform Standards of Professional

22  Appraisal Practice from a nationally recognized or

23  state-recognized appraisal organization, area technical

24  center, accredited community college, college, or university,

25  state or federal agency or commission, or proprietary real

26  estate school that holds a permit pursuant to s. 475.451. The

27  board may increase the required number of hours to not more

28  than 165 hours. A classroom hour is defined as 50 minutes out

29  of each 60-minute segment. Past courses may be approved by the

30  board and substituted on an hour-for-hour basis.

31  

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 1         (3)(4)  To be certified as a general appraiser, an

 2  applicant must present evidence satisfactory to the board that

 3  she or he:

 4         (a)  Has at least 3,000 hours of experience obtained

 5  over a 30-month period in real property appraisal as defined

 6  by rule.

 7         (b)  Has successfully completed at least 180 classroom

 8  hours, inclusive of examination, of approved academic courses

 9  in subjects related to real estate appraisal, which shall

10  include coverage of the Uniform Standards of Professional

11  Appraisal Practice from a nationally recognized or

12  state-recognized appraisal organization, area technical

13  center, accredited community college, college, or university,

14  state or federal agency or commission, or proprietary real

15  estate school that holds a permit pursuant to s. 475.451. The

16  board may increase the required number of hours to not more

17  than 225 hours. A classroom hour is defined as 50 minutes out

18  of each 60-minute segment. Past courses may be approved by the

19  board and substituted on an hour-for-hour basis.

20         (4)(5)  Each applicant must furnish, under oath, a

21  detailed statement of the experience for each year of

22  experience she or he claims.  Upon request, the applicant

23  shall furnish to the board, for its examination, copies of

24  appraisal reports or file memoranda to support the claim for

25  experience.

26         Section 6.  Section 475.618, Florida Statutes, is

27  amended to read:

28         475.618  Renewal of registration, license,

29  certification, or instructor permit; continuing education.--

30         (1)  The department shall renew a registration,

31  license, certification, or instructor permit upon receipt of

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 1  the renewal application and proper fee. Such application shall

 2  include proof satisfactory to the board that the individual

 3  has satisfactorily completed any continuing education that has

 4  been prescribed by the board.

 5         (a)  A distance learning course or courses may shall be

 6  approved by the board as an option to classroom hours as

 7  satisfactory completion of the course or courses as required

 8  by this section.  The schools authorized by this section have

 9  the option of providing classroom courses, distance learning

10  courses, or both.  However, satisfactory completion of a

11  distance learning course requires the satisfactory completion

12  of a timed distance learning course examination.  Such

13  examination shall not be required to be monitored or given at

14  a centralized location.

15         (b)  The board may authorize independent certification

16  organizations to certify or approve the delivery method of

17  distance learning courses.  Certification from such authorized

18  organizations must be provided at the time a distance learning

19  course is submitted to the board by an accredited college,

20  university, community college, area technical center,

21  proprietary real estate school, or board-approved sponsor for

22  content approval.

23         (2)  The department shall adopt rules establishing a

24  procedure for the renewal of registration, licenses,

25  certifications, and instructor permits at least every 4 years.

26  Registered trainee licenses may be renewed for two biennial

27  terms only.  After 6 years, the registered trainee appraiser

28  is not eligible for renewal but must qualify as a new

29  applicant.

30         (3)  Any registration, license, certification, or

31  instructor permit which is not renewed at the end of the

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 1  registration, license, certification, or instructor permit

 2  period prescribed by the department shall automatically revert

 3  to inactive status.

 4         (4)  At least 60 days prior to the end of the

 5  registration, license, certification, or instructor permit

 6  period, the department shall cause to be mailed a notice of

 7  renewal and possible reversion to the last known address of

 8  the registered trainee assistant, licensee, certificateholder,

 9  or permitholder.

10         Section 7.  Section 475.619, Florida Statutes, is

11  amended to read:

12         475.619  Inactive status.--

13         (1)  A registration, license, or certification that

14  which has become inactive may be renewed upon application to

15  the department.  The board shall prescribe by rule continuing

16  education requirements for each year the registration,

17  license, or certification was inactive, as a condition of

18  renewing an inactive registration, license, or certification.

19         (2)  Any registration, license, or certification that

20  which has been inactive for more than 4 years shall

21  automatically expires expire. Once a registration, license, or

22  certification expires, it becomes null and void without any

23  further action by the board or department.  Two years prior to

24  the expiration of the registration, license, or certification,

25  the department shall give notice by mail to the registered

26  trainee assistant, licensee, or certificateholder at her or

27  his last known address.  The board shall prescribe by rule a

28  fee not to exceed $100 for the late renewal of an inactive

29  registration, license, or certification.  The department shall

30  collect the current renewal fee for each renewal period in

31  

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 1  which the registration, license, or certification was

 2  inactive, in addition to any applicable late renewal fee.

 3         (3)  The board shall adopt rules relating to inactive

 4  registrations, licenses, and certifications and for the

 5  renewal of such registrations, licenses, and certifications.

 6         Section 8.  Section 475.620, Florida Statutes, is

 7  amended to read:

 8         475.620  Corporations and partnerships ineligible for

 9  licensure or certification.--

10         (1)  A license or certification may not be issued under

11  this part to a corporation, partnership, firm, or group.

12  However, an appraiser licensed or certified under this part

13  may provide an appraisal report for or on behalf of a

14  corporation, partnership, firm, or group, if the report is

15  prepared by, or under the personal direction of, such

16  appraiser and is reviewed and signed by her or him.

17         (2)  The term "state-registered trainee assistant

18  appraiser," "state-licensed appraiser," or "state-certified

19  appraiser" may only be used to refer to an individual who is

20  registered, licensed, or certified under this part and may not

21  be used following or immediately in connection with the name

22  or signature of a corporation, partnership, firm, or group, or

23  in such manner that it could be interpreted as implying

24  registration, licensure, or certification under this part of a

25  corporation, partnership, firm, or group, or anyone other than

26  an individual appraiser. Corporations, partnerships, firms, or

27  groups that which employ certified or licensed appraisers or

28  registered trainee assistant appraisers who provide appraisal

29  reports, as defined by this part, may represent to the public

30  and advertise that they offer appraisals performed by

31  registered, licensed, or certified appraisers.

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 1         Section 9.  Section 475.621, Florida Statutes, is

 2  amended to read:

 3         475.621  Registry of licensed and certified

 4  appraisers.--

 5         (1)  The department shall transmit to the appraisal

 6  subcommittee, no less than annually, a roster listing

 7  individuals who hold a valid state license or certification as

 8  an appraiser.

 9         (2)  The department shall collect from such individuals

10  who perform or seek to perform appraisals in federally related

11  transactions, an annual fee as set by the appraisal

12  subcommittee to be transmitted to the Federal Financial

13  Institutions Examinations Council on an annual basis.

14         Section 10.  Section 475.622, Florida Statutes, is

15  amended to read:

16         475.622  Display and disclosure of licensure,

17  certification, or registration.--

18         (1)  Each appraiser registered, licensed, or certified

19  under this part shall place her or his registration, license,

20  or certification number adjacent to or immediately beneath the

21  designation "state-registered trainee assistant real estate

22  appraiser," "state-licensed real estate appraiser,"

23  "state-certified residential real estate appraiser," or

24  "state-certified general real estate appraiser," or their

25  appropriate abbreviations as defined by rule, as applicable,

26  when such term is used in an appraisal report or in a contract

27  or other instrument used by the appraiser in conducting real

28  property appraisal activities.  The applicable designation

29  shall be included in any newspaper, telephone directory, or

30  other advertising medium, as defined by rule, used by the

31  appraiser.

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 1         (2)  A registered trainee assistant appraiser or

 2  licensed or certified appraiser may not sign any appraisal

 3  report or certification or communicate any appraisal report or

 4  certification same without disclosing in writing that she or

 5  he is a state-registered trainee assistant appraiser or

 6  state-licensed, state-certified residential, or

 7  state-certified general appraiser, as applicable, even if the

 8  appraisal performed is outside of the scope of the appraiser's

 9  registration, licensure, or certification as an appraiser.

10         (3)  The primary or secondary supervising licensed or

11  certified appraiser of a registered trainee assistant real

12  estate appraiser must sign any appraisal report and

13  certification signed by the registered trainee assistant.

14         (4)  The supervising appraiser of a registered trainee

15  assistant real estate appraiser must disclose his or her

16  appropriate designation and number any time the registered

17  trainee assistant is required to make such disclosures.

18         Section 11.  Section 475.6221, Florida Statutes, is

19  amended to read:

20         475.6221  Employment of registered trainee assistant

21  real estate appraisers.--

22         (1)  A registered trainee assistant real estate

23  appraiser must perform appraisal services under the direct

24  supervision of a licensed or certified appraiser who is

25  designated as the primary supervisor. The primary supervisor

26  may also designate additional licensed or certified appraisers

27  as secondary supervisors. A secondary supervisor must be

28  affiliated with the same firm or business as the primary

29  supervisor and the primary or secondary supervisor must have

30  the same business address as the registered trainee assistant

31  real estate appraiser. The primary supervisor A registered

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 1  assistant real estate appraiser must notify the Division of

 2  Real Estate of the name and address of any primary and

 3  secondary supervisor for whom the registered trainee assistant

 4  will perform appraisal services, and must also notify the

 5  division within 10 days after terminating such relationship.

 6  Termination of the relationship with a primary supervisor

 7  automatically terminates the relationship with the secondary

 8  supervisor.

 9         (2)  A registered trainee assistant real estate

10  appraiser may only not receive compensation from payment

11  directly from the recipient of an appraisal report, unless the

12  primary supervising licensed or certified appraiser agrees to

13  the payment arrangement.

14         Section 12.  Section 475.6222, Florida Statutes, is

15  created to read:

16         475.6222  Supervision of registered trainee

17  appraisers.--The primary or secondary supervisor of a

18  registered trainee appraiser must provide direct supervision

19  to the registered trainee appraiser.  The role and

20  responsibility of the supervising appraiser shall be

21  determined by rule of the board.

22         Section 13.  Section 475.623, Florida Statutes, is

23  amended to read:

24         475.623  Registration of office location.--Each

25  appraiser registered, licensed, or certified under this part

26  shall furnish in writing to the department each business

27  address from which she or he operates in the performance of

28  appraisal services. Each appraiser must notify the department

29  of any change of address within 10 days on a form provided by

30  the department.

31  

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 1         Section 14.  Section 475.624, Florida Statutes, is

 2  amended to read:

 3         475.624  Discipline.--The board may deny an application

 4  for registration, licensure, or certification; may investigate

 5  the actions of any appraiser registered, licensed, or

 6  certified under this part; may reprimand or impose an

 7  administrative fine not to exceed $5,000 for each count or

 8  separate offense against any such appraiser; and may revoke or

 9  suspend, for a period not to exceed 10 years, the

10  registration, license, or certification of any such appraiser,

11  or place any such appraiser on probation, if it finds that the

12  registered trainee assistant, licensee, or certificateholder:

13         (1)  Has violated any provisions of this part or s.

14  455.227(1); however, licensees under this part are exempt from

15  the provisions of s. 455.227(1)(i).

16         (2)  Has been guilty of fraud, misrepresentation,

17  concealment, false promises, false pretenses, dishonest

18  conduct, culpable negligence, or breach of trust in any

19  business transaction in this state or any other state, nation,

20  or territory; has violated a duty imposed upon her or him by

21  law or by the terms of a contract, whether written, oral,

22  express, or implied, in an appraisal assignment; has aided,

23  assisted, or conspired with any other person engaged in any

24  such misconduct and in furtherance thereof; or has formed an

25  intent, design, or scheme to engage in such misconduct and

26  committed an overt act in furtherance of such intent, design,

27  or scheme.  It is immaterial to the guilt of the registered

28  trainee assistant, licensee, or certificateholder that the

29  victim or intended victim of the misconduct has sustained no

30  damage or loss; that the damage or loss has been settled and

31  paid after discovery of the misconduct; or that such victim or

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 1  intended victim was a customer or a person in confidential

 2  relation with the registered trainee assistant, licensee, or

 3  certificateholder, or was an identified member of the general

 4  public.

 5         (3)  Has advertised services in a manner which is

 6  fraudulent, false, deceptive, or misleading in form or

 7  content.

 8         (4)  Has violated any of the provisions of this section

 9  or any lawful order or rule issued under the provisions of

10  this section or chapter 455.

11         (5)  Has been convicted or found guilty of, or entered

12  a plea of nolo contendere to, regardless of adjudication, a

13  crime in any jurisdiction which directly relates to the

14  activities of a registered trainee assistant appraiser or

15  licensed or certified appraiser, or which involves moral

16  turpitude or fraudulent or dishonest conduct. The record of a

17  conviction certified or authenticated in such form as

18  admissible in evidence under the laws of the state shall be

19  admissible as prima facie evidence of such guilt.

20         (6)  Has had a registration, license, or certification

21  as an appraiser revoked, suspended, or otherwise acted

22  against, or has been disbarred, or has had her or his

23  registration, license, or certificate to practice or conduct

24  any regulated profession, business, or vocation revoked or

25  suspended by this or any other state, any nation, or any

26  possession or district of the United States, or has had an

27  application for such registration, licensure, or certification

28  to practice or conduct any regulated profession, business, or

29  vocation denied by this or any other state, any nation, or any

30  possession or district of the United States.

31  

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 1         (7)  Has become temporarily incapacitated from acting

 2  as an appraiser with safety to those in a fiduciary

 3  relationship with her or him because of drunkenness, use of

 4  drugs, or temporary mental derangement; however, suspension of

 5  a license, certification, or registration in such cases shall

 6  only be for the period of such incapacity.

 7         (8)  Is confined in any county jail, postadjudication;

 8  is confined in any state or federal prison or mental

 9  institution; or, through mental disease or deterioration, can

10  no longer safely be entrusted to deal with the public or in a

11  confidential capacity.

12         (9)  Has failed to inform the board in writing within

13  30 days after pleading guilty or nolo contendere to, or being

14  convicted or found guilty of, any felony.

15         (10)  Has been found guilty, for a second time, of any

16  misconduct that warrants disciplinary action, or has been

17  found guilty of a course of conduct or practice which shows

18  that she or he is incompetent, negligent, dishonest, or

19  untruthful to an extent that those with whom she or he may

20  sustain a confidential relationship may not safely do so.

21         (11)  Has made or filed a report or record, either

22  written or oral, which the registered trainee assistant,

23  licensee, or certificateholder knows to be false; has

24  willfully failed to file a report or record required by state

25  or federal law; has willfully impeded or obstructed such

26  filing, or has induced another person to impede or obstruct

27  such filing. However, such reports or records shall include

28  only those which are signed or presented in the capacity of a

29  registered trainee assistant appraiser or licensed or

30  certified appraiser.

31  

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 1         (12)  Has obtained or attempted to obtain a

 2  registration, license, or certification by means of knowingly

 3  making a false statement, submitting false information,

 4  refusing to provide complete information in response to an

 5  application question, or engaging in fraud, misrepresentation,

 6  or concealment.

 7         (13)  Has paid money or other valuable consideration,

 8  except as required by this section, to any member or employee

 9  of the board to obtain a registration, license, or

10  certification under this section.

11         (14)  Has violated any standard for the development or

12  communication of a real estate appraisal or other provision of

13  the Uniform Standards of Professional Appraisal Practice.

14         (15)  Has failed or refused to exercise reasonable

15  diligence in developing an appraisal or preparing an appraisal

16  report.

17         (16)  Has failed to communicate an appraisal without

18  good cause.

19         (17)  Has accepted an appraisal assignment if the

20  employment itself is contingent upon the appraiser reporting a

21  predetermined result, analysis, or opinion, or if the fee to

22  be paid for the performance of the appraisal assignment is

23  contingent upon the opinion, conclusion, or valuation reached

24  upon the consequences resulting from the appraisal assignment.

25         (18)  Has failed to timely notify the department of any

26  change in business location, or has failed to fully disclose

27  all business locations from which she or he operates as a

28  registered trainee assistant real estate appraiser or licensed

29  or certified real estate appraiser.

30         Section 15.  Paragraph (a) of subsection (1) of section

31  475.626, Florida Statutes, is amended to read:

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 1         475.626  Violations and penalties.--

 2         (1)  VIOLATIONS.--

 3         (a)  A No person may not shall operate or attempt to

 4  operate as a registered trainee assistant appraiser or

 5  licensed or certified appraiser without being the holder of a

 6  valid and current registration, license, or certification.

 7         Section 16.  Section 475.627, Florida Statutes, is

 8  amended to read:

 9         475.627  Appraisal course instructors.--

10         (1)  Where the course or courses to be taught are

11  prescribed by the board or approved precedent to registration,

12  licensure, certification, or renewal as a registered trainee

13  assistant appraiser, licensed appraiser, or certified

14  residential appraiser, before commencing to instruct noncredit

15  college courses in a college, university, or community

16  college, or courses in an area technical center or proprietary

17  real estate school, a person must certify her or his

18  competency by meeting one of the following requirements:

19         (a)  Hold a valid certification as a residential real

20  estate appraiser in this or any other state.

21         (b)  Pass an appraiser instructor's examination which

22  shall test knowledge of residential appraisal topics.

23         (2)  Where the course or courses to be taught are

24  prescribed by the board or approved precedent to registration,

25  licensure, certification, or renewal as a registered trainee

26  assistant appraiser, licensed appraiser, or certified

27  appraiser, before commencing to instruct noncredit college

28  courses in a college, university, or community college, or

29  courses in an area technical center or proprietary real estate

30  school, a person must certify her or his competency by meeting

31  one of the following requirements:

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 1         (a)  Hold a valid certification as a general real

 2  estate appraiser in this or any other state.

 3         (b)  Pass an appraiser instructor's examination which

 4  shall test knowledge of residential and nonresidential

 5  appraisal topics.

 6         (3)  Possession of a permit to teach prescribed or

 7  approved appraisal courses does not entitle the permitholder

 8  to teach any courses outside the scope of the permit.

 9         Section 17.  Section 475.631, Florida Statutes, is

10  created to read:

11         475.631  Nonresident licenses and certifications.--

12         (1)  Notwithstanding the pre-certification requirements

13  under ss. 475.615 and 475.616, the board may enter into

14  written agreements with similar licensing or certification

15  authorities of other states, territories, or jurisdictions of

16  the United States to ensure nonresident licensure or

17  certification opportunities for Florida certified appraisers

18  comparable to those afforded to nonresidents by this section.

19  Whenever the board determines that another jurisdiction does

20  not offer nonresident certification or licensure to

21  state-certified appraisers, licensees, or certificateholders

22  substantially comparable to those afforded to licensed or

23  certified appraisers of that jurisdiction by this section, the

24  board shall require certified appraisers or licensees of that

25  jurisdiction who apply for nonresident certification in this

26  state to meet education, experience, and examination

27  requirements substantially comparable to those required by

28  that jurisdiction with respect to Florida-certified appraisers

29  who seek nonresident licensure or certification, not to exceed

30  the requirements prescribed in s. 475.615 and s. 475.616.

31  

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 1         (2)(a)  Any applicant who is not a resident of this

 2  state must file an irrevocable consent that suits and actions

 3  may be commenced against her or him in any county of this

 4  state in which a plaintiff having a cause of action against

 5  her or him resides, and that service of process or pleading

 6  may be made by delivering the process or pleading to the

 7  director of the Division of Real Estate by certified mail,

 8  return receipt requested, and also to the licensee or

 9  certified appraiser by registered mail addressed to the

10  licensee or certified appraiser at her or his designated

11  principal place of business. Service is valid and binding upon

12  the licensee or certified appraiser as if made upon her or him

13  in this state within the jurisdiction of the court in which

14  the suit or action is filed. The irrevocable consent must be

15  in a form prescribed by the department and be acknowledged

16  before a notary public.

17         (b)  Any resident state-certified appraiser who becomes

18  a nonresident must notify the board of the change in residency

19  and comply with nonresident requirements within 60 days.

20  Failure to notify and comply is a violation of the license

21  law, subject to the penalties in s. 475.624.

22         (c)  Each nonresident applicant, licensee, or certified

23  appraiser must comply with all requirements of board rules and

24  this part. The board may adopt rules necessary for the

25  regulation of nonresident licensees and certificateholders.

26         Section 18.  This act shall take effect upon becoming a

27  law.

28  

29  

30  

31  

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 1            *****************************************

 2                          SENATE SUMMARY

 3    Deletes the words "license," "licensed," and "licensure,"
      and substitutes the term "assistant" for "trainee."
 4    Defines new terms such as "appraisal review assignment,"
      "appraisal review," "supervisor appraiser," "valuation
 5    services," and "work file." Expands the definition of the
      term "appraisal report." Deletes the definition of
 6    "licensed appraiser." Substitutes the term "valuation
      services" for "appraisals." Authorizes the board to
 7    establish standards and regulations for supervisory
      appraisers. Deletes the licensing qualifications for an
 8    appraiser. Permits the board to authorize independent
      certification organizations to approve of the delivery
 9    method of distance learning courses. Provides for the
      renewal of registered trainee licenses. Deletes the term
10    "state-licensed real estate appraiser." Provides that a
      registered trainee appraiser or certified appraiser may
11    not sign any appraisal report or certification or
      communicate such appraisal report or certification
12    without disclosure. Provides that the primary supervisor
      must notify the Division of Real Estate of the name and
13    address of any primary and secondary supervisor for whom
      the registered trainee will perform appraisal services.
14    Provides that the registered trainee real estate
      appraiser may only receive compensation from the primary
15    supervising certified appraiser. Provides that the
      primary or secondary supervisor must directly supervise
16    the registered trainee appraiser.  Provides for
      nonresident licensure or certification opportunities for
17    state certified appraisers. Provides that nonresident
      applicants for licensure or certification must file an
18    irrevocable consent to be sued. Provides for service of
      process in lawsuits. Provides that resident state
19    certified appraisers who become nonresidents must notify
      the board of a change in residency and comply with
20    nonresident requirements within 60 days.

21  

22  

23  

24  

25  

26  

27  

28  

29  

30  

31  

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