1 | A bill to be entitled |
2 | An act relating to regulation of real estate appraisers |
3 | and appraisal management companies; amending s. 475.611, |
4 | F.S.; providing definitions; amending s. 475.614, F.S.; |
5 | requiring the Florida Real Estate Appraisal Board to adopt |
6 | certain rules; amending s. 475.6147, F.S.; requiring |
7 | application, registration, and renewal fees for appraisal |
8 | management companies; creating s. 475.6235, F.S.; |
9 | requiring appraisal management companies to register with |
10 | the Department of Business and Professional Regulation; |
11 | providing exemptions; specifying application requirements |
12 | and procedures; requiring the fingerprinting and criminal |
13 | history records checks of, and providing qualifications |
14 | for, certain persons who control appraisal management |
15 | companies; requiring nonresident appraisal management |
16 | companies to consent to commencement of actions in this |
17 | state; requiring the department to adopt rules relating to |
18 | the renewal of registrations; amending s. 475.624, F.S.; |
19 | establishing additional acts for which appraisers are |
20 | subject to disciplinary action; providing for the |
21 | discipline of appraisal management companies by the board; |
22 | amending s. 475.626, F.S.; providing penalties; conforming |
23 | provisions to changes made by the act; amending s. |
24 | 475.629, F.S.; revising requirements for the retention of |
25 | appraisal records; requiring appraisal management |
26 | companies to follow such requirements; providing an |
27 | effective date. |
28 |
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29 | Be It Enacted by the Legislature of the State of Florida: |
30 |
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31 | Section 1. Subsection (1) of section 475.611, Florida |
32 | Statutes, is amended to read: |
33 | 475.611 Definitions.-- |
34 | (1) As used in this part, the term: |
35 | (a) "Appraisal" or "appraisal services" means the services |
36 | provided by certified or licensed appraisers or registered |
37 | trainee appraisers, and includes: |
38 | 1. "Appraisal assignment" denotes an engagement for which |
39 | a person is employed or retained to act, or could be perceived |
40 | by third parties or the public as acting, as an agent or a |
41 | disinterested third party in rendering an unbiased analysis, |
42 | opinion, review, or conclusion relating to the nature, quality, |
43 | value, or utility of specified interests in, or aspects of, |
44 | identified real property. |
45 | 2. "Analysis assignment" denotes appraisal services that |
46 | relate to the employer's or client's individual needs or |
47 | investment objectives and includes specialized marketing, |
48 | financing, and feasibility studies as well as analyses, |
49 | opinions, and conclusions given in connection with activities |
50 | such as real estate brokerage, mortgage banking, real estate |
51 | counseling, or real estate consulting. |
52 | 3. "Appraisal review assignment" denotes an engagement for |
53 | which an appraiser is employed or retained to develop and |
54 | communicate an opinion about the quality of another appraiser's |
55 | appraisal, appraisal report, or work. An appraisal review may or |
56 | may not contain the reviewing appraiser's opinion of value. |
57 | (b) "Appraisal Foundation" or "foundation" means the |
58 | Appraisal Foundation established on November 20, 1987, as a not- |
59 | for-profit corporation under the laws of Illinois. |
60 | (c) "Appraisal management company" means a person who |
61 | performs appraisal management services. |
62 | (d) "Appraisal management services" means the coordination |
63 | or management of appraisal services for compensation by: |
64 | 1. Employing, contracting with, or otherwise retaining one |
65 | or more appraisers to perform appraisal services for a client; |
66 | or |
67 | 2. Acting as a broker or intermediary between a client and |
68 | one or more appraisers to facilitate the client's employing, |
69 | contracting with, or otherwise retaining the appraisers. |
70 | (e)(c) "Appraisal report" means any communication, written |
71 | or oral, of an appraisal, appraisal review, appraisal consulting |
72 | service, analysis, opinion, or conclusion relating to the |
73 | nature, quality, value, or utility of a specified interest in, |
74 | or aspect of, identified real property, and includes any report |
75 | communicating an appraisal analysis, opinion, or conclusion of |
76 | value, regardless of title. However, in order to be recognized |
77 | in a federally related transaction, an appraisal report must be |
78 | written. |
79 | (f)(d) "Appraisal review" means the act or process of |
80 | developing and communicating an opinion about the quality of |
81 | another appraiser's appraisal, appraisal report, or work. |
82 | (g)(e) "Appraisal subcommittee" means the designees of the |
83 | heads of the federal financial institutions regulatory agencies |
84 | established by the Federal Financial Institutions Examination |
85 | Council Act of 1978 (12 U.S.C. ss. 3301 et seq.), as amended. |
86 | (h)(f) "Appraiser" means any person who is a registered |
87 | trainee real estate appraiser, a licensed real estate appraiser, |
88 | or a certified real estate appraiser. An appraiser renders a |
89 | professional service and is a professional within the meaning of |
90 | s. 95.11(4)(a). |
91 | (i) "Appraiser panel" means a group of appraisers selected |
92 | by an appraisal management company to perform appraisal services |
93 | for clients on behalf of the company. |
94 | (j)(g) "Board" means the Florida Real Estate Appraisal |
95 | Board established under this section. |
96 | (k)(h) "Certified general appraiser" means a person who is |
97 | certified by the department as qualified to issue appraisal |
98 | reports for any type of real property. |
99 | (l)(i) "Certified residential appraiser" means a person |
100 | who is certified by the department as qualified to issue |
101 | appraisal reports for residential real property of one to four |
102 | residential units, without regard to transaction value or |
103 | complexity, or real property as may be authorized by federal |
104 | regulation. |
105 | (m) "Client" means a person who contracts with an |
106 | appraiser or appraisal management company for the performance of |
107 | appraisal services. |
108 | (n)(j) "Department" means the Department of Business and |
109 | Professional Regulation. |
110 | (o)(k) "Direct supervision" means the degree of |
111 | supervision required of a supervisory appraiser overseeing the |
112 | work of a registered trainee appraiser by which the supervisory |
113 | appraiser has control over and detailed professional knowledge |
114 | of the work being done. Direct supervision is achieved when a |
115 | registered trainee appraiser has regular direction, guidance, |
116 | and support from a supervisory appraiser who has the |
117 | competencies as determined by rule of the board. |
118 | (p)(l) "Federally related transaction" means any real |
119 | estate-related financial transaction which a federal financial |
120 | institutions regulatory agency or the Resolution Trust |
121 | Corporation engages in, contracts for, or regulates, and which |
122 | requires the services of a state-licensed or state-certified |
123 | appraiser. |
124 | (q)(m) "Licensed appraiser" means a person who is licensed |
125 | by the department as qualified to issue appraisal reports for |
126 | residential real property of one to four residential units or on |
127 | such real estate or real property as may be authorized by |
128 | federal regulation. After July 1, 2003, the department shall not |
129 | issue licenses for the category of licensed appraiser. |
130 | (r)(n) "Registered trainee appraiser" means a person who |
131 | is registered with the department as qualified to perform |
132 | appraisal services only under the direct supervision of a |
133 | licensed or certified appraiser. A registered trainee appraiser |
134 | may accept appraisal assignments only from her or his primary or |
135 | secondary supervisory appraiser. |
136 | (s) "Signature" means personalized evidence indicating |
137 | authentication of work performed by an appraiser and the |
138 | acceptance of responsibility for the content of an appraisal, |
139 | appraisal review, or appraisal consulting service or conclusions |
140 | in an appraisal report. |
141 | (t)(o) "Supervisory appraiser" means a licensed appraiser, |
142 | a certified residential appraiser, or a certified general |
143 | appraiser responsible for the direct supervision of one or more |
144 | registered trainee appraisers and fully responsible for |
145 | appraisals and appraisal reports prepared by those registered |
146 | trainee appraisers. The board, by rule, shall determine the |
147 | responsibilities of a supervisory appraiser, the geographic |
148 | proximity required, the minimum qualifications and standards |
149 | required of a licensed or certified appraiser before she or he |
150 | may act in the capacity of a supervisory appraiser, and the |
151 | maximum number of registered trainee appraisers to be supervised |
152 | by an individual supervisory appraiser. |
153 | (u)(p) "Training" means the process of providing for and |
154 | making available to a registered trainee appraiser, under direct |
155 | supervision, a planned, prepared, and coordinated program, or |
156 | routine of instruction and education, in appraisal professional |
157 | and technical appraisal skills as determined by rule of the |
158 | board. |
159 | (v)(q) "Uniform Standards of Professional Appraisal |
160 | Practice" means the most recent standards approved and adopted |
161 | by the Appraisal Standards Board of the Appraisal Foundation. |
162 | (w)(r) "Valuation services" means services pertaining to |
163 | aspects of property value and includes such services performed |
164 | by certified appraisers, registered trainee appraisers, and |
165 | others. |
166 | (x)(s) "Work file" means the documentation necessary to |
167 | support an appraiser's analysis, opinions, and conclusions. |
168 | Section 2. Section 475.614, Florida Statutes, is amended |
169 | to read: |
170 | 475.614 Power of board to adopt rules and decide questions |
171 | of practice; requirements for protection of appraiser's |
172 | signature.-- |
173 | (1) The board has authority to adopt rules pursuant to ss. |
174 | 120.536(1) and 120.54 to implement provisions of law conferring |
175 | duties upon it. The board may decide questions of practice |
176 | arising in the proceedings before it, having regard to this |
177 | section and the rules then in force. |
178 | (2) The board shall adopt rules specifying the means by |
179 | which an appraiser's signature may be affixed to an appraisal |
180 | report or other work performed by the appraiser. The rules shall |
181 | include requirements for protecting the security of an |
182 | appraiser's signature and prohibiting practices that may |
183 | discredit the use of an appraiser's signature to authenticate |
184 | the work performed by the appraiser. |
185 | Section 3. Subsection (1) of section 475.6147, Florida |
186 | Statutes, is amended to read: |
187 | 475.6147 Fees.-- |
188 | (1)(a) The board by rule may establish fees to be paid for |
189 | application, licensing and renewal, certification and |
190 | recertification, registration and reregistration, reinstatement, |
191 | and recordmaking and recordkeeping. |
192 | (b) The fee for initial application of an appraiser may |
193 | not exceed $150, and the combined cost of the application and |
194 | examination may not exceed $300. The initial certification, |
195 | registration, or license fee and the certification, |
196 | registration, or license renewal fee may not exceed $150 for |
197 | each year of the duration of the certification, registration, or |
198 | license. |
199 | (c) The fee for initial application of an appraisal |
200 | management company may not exceed $150. The initial registration |
201 | and registration renewal fee may not exceed $150 for each year |
202 | of the duration of the registration. |
203 | (d) The board may also establish by rule a late renewal |
204 | penalty. |
205 | (e) The board shall establish fees which are adequate to |
206 | ensure its continued operation. Fees shall be based on estimates |
207 | made by the department of the revenue required to implement this |
208 | part and other provisions of law relating to the regulation of |
209 | real estate appraisers. |
210 | Section 4. Section 475.6235, Florida Statutes, is created |
211 | to read: |
212 | 475.6235 Registration of appraisal management companies |
213 | required; exemptions.-- |
214 | (1)(a) Except as provided in paragraph (b), a person may |
215 | not engage in appraisal management services for compensation in |
216 | this state, advertise or represent herself or himself as an |
217 | appraisal management company, or use the titles "appraisal |
218 | management company," "appraiser cooperative," "appraiser |
219 | portal," or "mortgage technology company," or any abbreviation |
220 | or words to that effect, unless the person is registered with |
221 | the department as an appraisal management company under this |
222 | section. However, an employee of an appraisal management company |
223 | is not required to obtain a separate registration. |
224 | (b) An appraisal management company is not required to |
225 | register under this part if: |
226 | 1. No more than 10 percent of the appraisal management |
227 | company is owned by persons other than certified or licensed |
228 | appraisers; or |
229 | 2. The appraisal management company is a financial |
230 | institution as defined in s. 655.005, a mortgage lender licensed |
231 | under s. 494.0061, or an insurer as defined in s. 624.03. |
232 | (2) An application for registration must be submitted to |
233 | the department in the format prescribed by the department and |
234 | must include, at a minimum, the following: |
235 | (a) The firm or business name under which the appraisal |
236 | management company conducts business in this state. The |
237 | appraisal management company must notify the department of any |
238 | change in the firm or business name, on a form provided by the |
239 | department, within 10 days after such change. |
240 | (b) The mailing address, street address, and telephone |
241 | number of the appraisal management company's principal business |
242 | location. The appraisal management company must notify the |
243 | department of any change in the mailing or street address, on a |
244 | form provided by the department, within 10 days after such |
245 | change. |
246 | (c) The appraisal management company's federal employer |
247 | identification number. |
248 | (d) The appraisal management company's type of business |
249 | organization, such as a corporation, partnership, limited |
250 | liability company, or sole proprietorship. |
251 | (e) A statement as to whether the appraisal management |
252 | company, if incorporated, is a domestic or foreign corporation, |
253 | the company's date of incorporation, the state in which the |
254 | company was incorporated, its charter number, and, if it is a |
255 | foreign corporation, the date that the company first registered |
256 | with the Department of State to conduct business in this state. |
257 | (f) The full name, street address, telephone number, |
258 | corporate title, and social security number or federal employer |
259 | identification number of any person who possesses the authority, |
260 | directly or indirectly, to direct the management or policies of |
261 | the appraisal management company, whether through ownership, by |
262 | contract, or otherwise, including, but not limited to: |
263 | 1. Each officer and director if the appraisal management |
264 | company is a corporation. |
265 | 2. Each general partner if the appraisal management |
266 | company is a partnership. |
267 | 3. Each manager or managing member if the appraisal |
268 | management company is a limited liability company. |
269 | 4. The owner if the appraisal management company is a sole |
270 | proprietorship. |
271 | 5. Each other person who, directly or indirectly, owns or |
272 | controls 10 percent or more of an ownership interest in the |
273 | appraisal management company. |
274 | (g) The firm or business name under which any person |
275 | listed in paragraph (f) conducted business as an appraisal |
276 | management company within the 5 years preceding the date of the |
277 | application. |
278 | (h) The appraisal management company's registered agent |
279 | for service of process in this state. |
280 | (3) Appropriate fees, as set forth in the rules of the |
281 | board pursuant to s. 475.6147, and a fingerprint card for each |
282 | person listed in paragraph (2)(f) must accompany all |
283 | applications for registration. The fingerprint card shall be |
284 | forwarded to the Division of Criminal Justice Information |
285 | Systems within the Department of Law Enforcement for purposes of |
286 | processing the fingerprint card to determine whether the person |
287 | has a criminal history record. The fingerprint card shall also |
288 | be forwarded to the Federal Bureau of Investigation for purposes |
289 | of processing the fingerprint card to determine whether the |
290 | person has a criminal history record. The information obtained |
291 | by the processing of the fingerprint card by the Department of |
292 | Law Enforcement and the Federal Bureau of Investigation shall be |
293 | sent to the department for the purpose of determining whether |
294 | the appraisal management company is statutorily qualified for |
295 | registration. |
296 | (4) At the time of filing an application for registration |
297 | of an appraisal management company, each person listed in |
298 | paragraph (2)(f) must sign a pledge to comply with the Uniform |
299 | Standards of Professional Appraisal Practice upon registration |
300 | and must indicate in writing that she or he understands the |
301 | types of misconduct for which disciplinary proceedings may be |
302 | initiated. The application shall expire 1 year after the date |
303 | received. |
304 | (5) Each person listed in paragraph (2)(f) must be |
305 | competent and qualified to engage in appraisal management |
306 | services with safety to the general public and those with whom |
307 | the person may undertake a relationship of trust and confidence. |
308 | If any person listed in paragraph (2)(f) has been denied |
309 | registration, licensure, or certification as an appraiser or has |
310 | been disbarred, or if the person's registration, license, or |
311 | certificate to practice or conduct any regulated profession, |
312 | business, or vocation has been revoked or suspended by this or |
313 | any other state, any nation, any possession or district of the |
314 | United States, or any court or lawful agency thereof because of |
315 | any conduct or practices that would have warranted a like result |
316 | under this part, or if the person has been guilty of conduct or |
317 | practices in this state or elsewhere that would have been |
318 | grounds for disciplining her or his registration, license, or |
319 | certification under this part had the person then been a |
320 | registered trainee appraiser or a licensed or certified |
321 | appraiser, the person shall be deemed not to be qualified |
322 | unless, because of lapse of time and subsequent good conduct and |
323 | reputation, or other reason deemed sufficient, it appears to the |
324 | board that the interest of the public is not likely to be |
325 | endangered by the granting of registration. |
326 | (6) An applicant seeking to become registered under this |
327 | part as an appraisal management company may not be rejected |
328 | solely by virtue of membership or lack of membership of any |
329 | person listed in paragraph (2)(f) or any employee of the company |
330 | in any particular appraisal organization. |
331 | (7) An applicant for registration who is not a resident of |
332 | this state shall file an irrevocable consent that suits and |
333 | actions may be commenced against the appraisal management |
334 | company in any county of this state in which a plaintiff having |
335 | a cause of action or suit against the company resides and that |
336 | service of any process or pleading in suits or actions against |
337 | the company may be made by delivering the process or pleading to |
338 | the director of the Division of Real Estate by certified mail, |
339 | return receipt requested, and also to the appraisal management |
340 | company by registered mail addressed to the company's designated |
341 | principal business location. Service, when so made, must be |
342 | taken and held in all courts to be as valid and binding upon the |
343 | appraisal management company as if made upon the company in this |
344 | state within the jurisdiction of the court in which the suit or |
345 | action is filed. The irrevocable consent must be in a form |
346 | prescribed by the department and be acknowledged before a notary |
347 | public. |
348 | (8) The department shall renew the registration of an |
349 | appraisal management company upon receipt of the renewal |
350 | application and the proper fee. The department shall adopt rules |
351 | establishing a procedure for renewal of the registration of an |
352 | appraisal management company at least every 4 years. |
353 | Section 5. Section 475.624, Florida Statutes, is amended |
354 | to read: |
355 | 475.624 Discipline.-- |
356 | (1) The board may deny an application for registration or |
357 | certification of an appraiser or registration of an appraisal |
358 | management company; may investigate the actions of any appraiser |
359 | registered, licensed, or certified under this part or any |
360 | appraisal management company registered under this part; may |
361 | reprimand or impose an administrative fine not to exceed $5,000 |
362 | for each count or separate offense against any such appraiser or |
363 | appraisal management company; and may revoke or suspend, for a |
364 | period not to exceed 10 years, the registration, license, or |
365 | certification of any such appraiser or the registration of any |
366 | such appraisal management company, or place any such appraiser |
367 | or appraisal management company on probation, if the board it |
368 | finds that the registered trainee, licensee, or |
369 | certificateholder or the appraisal management company or any |
370 | person listed in s. 475.6235(2)(f): |
371 | (a)(1) Has violated any provisions of this part or s. |
372 | 455.227(1); however, certificateholders, registrants, and |
373 | licensees, and registered appraisal management companies under |
374 | this part are exempt from the provisions of s. 455.227(1)(i). |
375 | (b)(2) Has been guilty of fraud, misrepresentation, |
376 | concealment, false promises, false pretenses, dishonest conduct, |
377 | culpable negligence, or breach of trust in any business |
378 | transaction in this state or any other state, nation, or |
379 | territory; has violated a duty imposed upon her or him by law or |
380 | by the terms of a contract, whether written, oral, express, or |
381 | implied, in an appraisal assignment; has aided, assisted, or |
382 | conspired with any other person engaged in any such misconduct |
383 | and in furtherance thereof; or has formed an intent, design, or |
384 | scheme to engage in such misconduct and committed an overt act |
385 | in furtherance of such intent, design, or scheme. It is |
386 | immaterial to the guilt of the registered trainee, licensee, or |
387 | certificateholder, or appraisal management company that the |
388 | victim or intended victim of the misconduct has sustained no |
389 | damage or loss; that the damage or loss has been settled and |
390 | paid after discovery of the misconduct; or that such victim or |
391 | intended victim was a customer or a person in confidential |
392 | relation with the registered trainee, licensee, or |
393 | certificateholder, or appraisal management company or was an |
394 | identified member of the general public. |
395 | (c)(3) Has advertised services in a manner which is |
396 | fraudulent, false, deceptive, or misleading in form or content. |
397 | (d)(4) Has violated any of the provisions of this part or |
398 | any lawful order or rule issued under the provisions of this |
399 | part or chapter 455. |
400 | (e)(5) Has been convicted or found guilty of, or entered a |
401 | plea of nolo contendere to, regardless of adjudication, a crime |
402 | in any jurisdiction which directly relates to the activities of |
403 | a registered trainee appraiser, or licensed or certified |
404 | appraiser, or appraisal management company or which involves |
405 | moral turpitude or fraudulent or dishonest conduct. The record |
406 | of a conviction certified or authenticated in such form as |
407 | admissible in evidence under the laws of the state shall be |
408 | admissible as prima facie evidence of such guilt. |
409 | (f)(6) Has had a registration, license, or certification |
410 | as an appraiser or a registration as an appraisal management |
411 | company revoked, suspended, or otherwise acted against, or has |
412 | been disbarred, or has had her or his registration, license, or |
413 | certificate to practice or conduct any regulated profession, |
414 | business, or vocation revoked or suspended by this or any other |
415 | state, any nation, or any possession or district of the United |
416 | States, or has had an application for such registration, |
417 | licensure, or certification to practice or conduct any regulated |
418 | profession, business, or vocation denied by this or any other |
419 | state, any nation, or any possession or district of the United |
420 | States. |
421 | (g)(7) Has become temporarily incapacitated from acting as |
422 | an appraiser or appraisal management company with safety to |
423 | those in a fiduciary relationship with her or him because of |
424 | drunkenness, use of drugs, or temporary mental derangement; |
425 | however, suspension of a license, certification, or registration |
426 | in such cases shall only be for the period of such incapacity. |
427 | (h)(8) Is confined in any county jail, postadjudication; |
428 | is confined in any state or federal prison or mental |
429 | institution; or, through mental disease or deterioration, can no |
430 | longer safely be entrusted to deal with the public or in a |
431 | confidential capacity. |
432 | (i)(9) Has failed to inform the board in writing within 30 |
433 | days after pleading guilty or nolo contendere to, or being |
434 | convicted or found guilty of, any felony. |
435 | (j)(10) Has been found guilty, for a second time, of any |
436 | misconduct that warrants disciplinary action, or has been found |
437 | guilty of a course of conduct or practice which shows that she |
438 | or he is incompetent, negligent, dishonest, or untruthful to an |
439 | extent that those with whom she or he may sustain a confidential |
440 | relationship may not safely do so. |
441 | (k)(11) Has made or filed a report or record, either |
442 | written or oral, which the registered trainee, licensee, or |
443 | certificateholder, or appraisal management company knows to be |
444 | false; has willfully failed to file a report or record required |
445 | by state or federal law; or has willfully impeded or obstructed |
446 | such filing, or has induced another person to impede or obstruct |
447 | such filing. However, such reports or records shall include only |
448 | those which are signed or presented in the capacity of a |
449 | registered trainee appraiser, or licensed or certified |
450 | appraiser, or appraisal management company. |
451 | (l)(12) Has obtained or attempted to obtain a |
452 | registration, license, or certification by means of knowingly |
453 | making a false statement, submitting false information, refusing |
454 | to provide complete information in response to an application |
455 | question, or engaging in fraud, misrepresentation, or |
456 | concealment. |
457 | (m)(13) Has paid money or other valuable consideration, |
458 | except as required by this section, to any member or employee of |
459 | the board to obtain a registration, license, or certification |
460 | under this section. |
461 | (n)(14) Has violated any standard for the development or |
462 | communication of a real estate appraisal or other provision of |
463 | the Uniform Standards of Professional Appraisal Practice. |
464 | (o)(15) Has failed or refused to exercise reasonable |
465 | diligence in developing an appraisal or preparing an appraisal |
466 | report. |
467 | (p)(16) Has failed to communicate an appraisal without |
468 | good cause. |
469 | (q)(17) Has accepted an appraisal assignment if the |
470 | employment itself is contingent upon the appraiser or appraisal |
471 | management company reporting a predetermined result, analysis, |
472 | or opinion, or if the fee to be paid for the performance of the |
473 | appraisal assignment is contingent upon the opinion, conclusion, |
474 | or valuation reached upon the consequences resulting from the |
475 | appraisal assignment. |
476 | (r)(18) Has failed to timely notify the department of any |
477 | change in business location, or has failed to fully disclose all |
478 | business locations from which she or he operates as a registered |
479 | trainee real estate appraiser or licensed or certified real |
480 | estate appraiser. |
481 | (s) Has failed to timely notify the department of any |
482 | change in principal business location as an appraisal management |
483 | company. |
484 | (t) Has influenced or attempted to influence the |
485 | development, reporting, or review of an appraisal through |
486 | coercion, extortion, collusion, compensation, instruction, |
487 | inducement, intimidation, bribery, or any other means, |
488 | including, but not limited to: |
489 | 1. Withholding or threatening to withhold timely payment |
490 | for an appraisal. |
491 | 2. Withholding or threatening to withhold future business |
492 | from an appraiser. |
493 | 3. Demoting, terminating, or threatening to demote or |
494 | terminate an appraiser. |
495 | 4. Promising future business, promotions, or increased |
496 | compensation for an appraiser, whether the promise is express or |
497 | implied. |
498 | 5. Conditioning a request for appraisal services or the |
499 | payment of an appraisal fee, salary, or bonus upon the opinion, |
500 | conclusion, or valuation to be reached or upon a preliminary |
501 | estimate or opinion requested from an appraiser. |
502 | 6. Requesting that an appraiser provide an estimated, |
503 | predetermined, or desired valuation in an appraisal report or |
504 | provide estimated values or comparable sales at any time before |
505 | the appraiser's completion of appraisal services. |
506 | 7. Providing to an appraiser an anticipated, estimated, |
507 | encouraged, or desired value for a subject property or a |
508 | proposed or target amount to be loaned to the borrower, except |
509 | that a copy of the sales contract for purchase transactions may |
510 | be provided. |
511 | 8. Providing to an appraiser, or any person related to the |
512 | appraiser, stock or other financial or nonfinancial benefits. |
513 | 9. Allowing the removal of an appraiser from an appraiser |
514 | panel without prior written notice to the appraiser. |
515 | 10. Obtaining, using, or paying for a second or subsequent |
516 | appraisal or ordering an automated valuation model in connection |
517 | with a mortgage financing transaction unless there is a |
518 | reasonable basis to believe that the initial appraisal was |
519 | flawed or tainted and such basis is clearly and appropriately |
520 | noted in the loan file, or unless such appraisal or automated |
521 | valuation model is issued pursuant to a bona fide prefunding or |
522 | postfunding appraisal review or quality control process. |
523 | 11. Any other act or practice that impairs or attempts to |
524 | impair an appraiser's independence, objectivity, or |
525 | impartiality. |
526 | (u) Has altered, modified, or otherwise changed a |
527 | completed appraisal report submitted by an appraiser to an |
528 | appraisal management company. |
529 | (v) Has employed, contracted with, or otherwise retained |
530 | an appraiser whose registration, license, or certification is |
531 | suspended or revoked to perform appraisal services or appraisal |
532 | management services. |
533 | (2) The board may reprimand an appraisal management |
534 | company, conditionally or unconditionally suspend or revoke any |
535 | registration of an appraisal management company issued under |
536 | this part, or impose administrative fines not to exceed $25,000 |
537 | for each count or separate offense against any such appraisal |
538 | management company if the board determines that the appraisal |
539 | management company is attempting to perform, has performed, or |
540 | has attempted to perform any of the following acts: |
541 | (a) Committing any act in violation of this part. |
542 | (b) Violating any rule adopted by the board under this |
543 | part. |
544 | (c) Obtaining a registration of an appraisal management |
545 | company by fraud, misrepresentation, or deceit. |
546 | (3) This section does not prohibit an appraisal management |
547 | company from requesting that an appraiser: |
548 | (a) Provide additional information about the basis of a |
549 | valuation; or |
550 | (b) Correct objective factual errors in an appraisal |
551 | report. |
552 | Section 6. Section 475.626, Florida Statutes, is amended |
553 | to read: |
554 | 475.626 Violations and penalties.-- |
555 | (1) A person may not: VIOLATIONS.-- |
556 | (a) No person shall Operate or attempt to operate as a |
557 | registered trainee appraiser, a or licensed or certified |
558 | appraiser, or, unless exempt under s. 475.6235(1)(b), an |
559 | appraisal management company without being the holder of a valid |
560 | and current registration, license, or certification. |
561 | (b) No person shall Violate any lawful order or rule of |
562 | the board which is binding upon her or him. |
563 | (c) No person shall Commit any conduct or practice set |
564 | forth in s. 475.624(1) or (2). |
565 | (d) No person shall Make any false affidavit or |
566 | affirmation intended for use as evidence by or before the board |
567 | or any member thereof, or by any of its authorized |
568 | representatives, nor may shall any person give false testimony |
569 | under oath or affirmation to or before the board or any member |
570 | thereof in any proceeding authorized by this section. |
571 | (e) No person shall Fail or refuse to appear at the time |
572 | and place designated in a subpoena issued with respect to a |
573 | violation of this section, unless such failure to appear is the |
574 | result of facts or circumstances that are sufficient to excuse |
575 | appearance in response to a subpoena from the circuit court; nor |
576 | may shall a person who is present before the board or a member |
577 | thereof or one of its authorized representatives acting under |
578 | authority of this section refuse to be sworn or to affirm or |
579 | fail or refuse to answer fully any question propounded by the |
580 | board, the member, or such representative, or by any person by |
581 | the authority of such officer or appointee. |
582 | (f) No person shall Obstruct or hinder in any manner the |
583 | enforcement of this section or the performance of any lawful |
584 | duty by any person acting under the authority of this section, |
585 | or interfere with, intimidate, or offer any bribe to any member |
586 | of the board or any of its employees or any person who is, or is |
587 | expected to be, a witness in any investigation or proceeding |
588 | relating to a violation of this section. |
589 | (g) No person shall Knowingly conceal any information |
590 | relating to violations of this section. |
591 | (2) A PENALTIES.--Any person who violates any provision of |
592 | the provisions of subsection (1) commits is guilty of a |
593 | misdemeanor of the second degree, punishable as provided in s. |
594 | 775.082 or s. 775.083, except when a different punishment is |
595 | prescribed by this section. Nothing in This section does not |
596 | shall prohibit the prosecution under any other criminal statute |
597 | of this state of any person for an act or conduct prohibited by |
598 | this section; however, in such cases, the state may prosecute |
599 | under this section or under such other statute, or may charge |
600 | both offenses in one prosecution, but the sentence imposed shall |
601 | not be a greater fine or longer sentence than that prescribed |
602 | for the offense which carries the more severe penalties. A civil |
603 | case, a criminal case, or a denial, revocation, or suspension |
604 | proceeding may arise out of the same alleged state of facts, and |
605 | the pendency or result of one such case or proceeding shall not |
606 | stay or control the result of either of the others. |
607 | Section 7. Section 475.629, Florida Statutes, is amended |
608 | to read: |
609 | 475.629 Retention of records.--An appraiser registered, |
610 | licensed, or certified under this part or an appraisal |
611 | management company registered under this part shall retain, for |
612 | at least 5 years or the period specified in the Uniform |
613 | Standards of Professional Appraisal Practice, whichever is |
614 | greater, original or true copies of any contracts engaging the |
615 | appraiser's or appraisal management company's services, |
616 | appraisal reports, and supporting data assembled and formulated |
617 | by the appraiser or company in preparing appraisal reports or |
618 | engaging in appraisal management services. Except as otherwise |
619 | specified in the Uniform Standards of Professional Appraisal |
620 | Practice, the period for retention of the records applicable to |
621 | each engagement of the services of the appraiser or appraisal |
622 | management company runs from the date of the submission of the |
623 | appraisal report to the client. These records must be made |
624 | available by the appraiser or appraisal management company for |
625 | inspection and copying by the department upon on reasonable |
626 | notice to the appraiser or company. If an appraisal has been the |
627 | subject of or has served as evidence for litigation, reports and |
628 | records must be retained for at least 2 years after the trial or |
629 | the period specified in the Uniform Standards of Professional |
630 | Appraisal Practice, whichever is greater. |
631 | Section 8. This act shall take effect July 1, 2010. |