GENERAL ASSEMBLY OF NORTH CAROLINA
SESSION 2007
SESSION LAW 2007-506
SENATE BILL 1485
AN ACT Amending education requirements for real estate appraisers under the north carolina appraisers act, eliminating the category of licensed residential real estate appraiser, and Authorizing the north carolina appraisal board to establish and increase certain fees.
The General Assembly of North Carolina enacts:
SECTION 1. G.S. 93E-1-2.1 reads as rewritten:
"§ 93E-1-2.1. Registration, license, or certificate required of real estate appraisers.
Beginning October 1, 1995, it shall beIt is
unlawful for any person in this State to act as a real estate appraiser, to
directly or indirectly engage or assume to engage in the business of real
estate appraisal, or to advertise or hold himself or herself out as engaging in
or conducting the business of real estate appraisal without first obtaining a
registration, license, or certificate issued by the Appraisal Board under the
provisions of this Chapter. It shall also beis also unlawful,
with regard to any real property where any portion of that property is located
within this State, for any person to perform any of the acts listed above
without first being registered, licensed, or certified by the Appraisal Board
under the provisions of this Chapter."
SECTION 2. G.S. 93E-1-3 reads as rewritten:
"§ 93E-1-3. When registration, license, or certificate not required.
(a) No trainee
registration, license, or certificate shall be issued under the provisions of
this Chapter to a partnership, association, corporation, firm, or group.
However, nothing herein shall preclude a registered trainee, State-licensed
or State-certifiedtrainee or licensed or certified real estate
appraiser from rendering appraisals for or on behalf of a partnership,
association, corporation, firm, or group, provided the appraisal report is
prepared by a State-licensed or State-certifiedlicensed or certified
real estate appraiser or by a registered trainee under the immediate personal
direction of, the State-licensed or State-certifiedlicensed or
certified real estate appraiser and is reviewed and signed by that State-licensed
or State-certifiedlicensed or certified appraiser.
(b) Repealed by Session Laws 2001-399, s. 1.
(c) Nothing in this
Chapter shall preclude a real estate broker or salesmanlicensed under
Chapter 93A of the General Statutes from performing a comparative market
analysis as defined in G.S. 93E-1-4, provided the person does not
represent himself or herself as being a registered trainee or a State-licensed
or State-certifiedlicensed or certified real estate appraiser. A
real estate broker or salesperson may perform a comparative market
analysis for compensation or other valuable consideration only for prospective
or actual brokerage clients or for real property involved in an employee
relocation program.
(d) Nothing in this Chapter shall abridge, infringe upon, or otherwise restrict the right to use the term "certified ad valorem tax appraiser" or any similar term by persons certified by the Department of Revenue to perform ad valorem tax appraisals, provided that the term is not used in a manner that creates the impression of certification by the State to perform real estate appraisals other than ad valorem tax appraisals.
(e) Nothing in this
Chapter shall entitle a registered trainee or a State-licensed or State-certifiedlicensed
or certified real estate appraiser to appraise real estate for ad valorem
tax purposes unless the person has first been certified by the Department of
Revenue pursuant to G.S. 105-294.
(f) A trainee registration, license, or certificate is not required under this Chapter for:
(1) Any person, partnership, association, or corporation that performs appraisals of property owned by that person, partnership, association, or corporation for the sole use of that person, partnership, association, or corporation;
(2) Any court-appointed commissioner who conducts an appraisal pursuant to a judicially ordered evaluation of property;
(3) Any person to qualify as an expert witness for court or administrative agency testimony, if otherwise qualified;
(4) A person who appraises standing timber so long as the appraisal does not include a determination of value of any land;
(5) Any person employed by a lender in the performance of appraisals with respect to which federal regulations do not require a licensed or certified appraiser; and
(6) A person who performs ad valorem tax appraisals and is certified by the Department of Revenue under G.S. 105-294 or G.S. 105-296;
however, any person who is registered, licensed, or certified under this Chapter and who performs any of the activities set forth in subdivisions (1) through (5) of this subsection must comply with all of the provisions of this Chapter."
SECTION 3. G.S. 93E-1-3.1 reads as rewritten:
"§ 93E-1-3.1. Prohibited use of title; permissible use of title.
(a) It shall be unlawful
for any person to assume or use the title "registered trainee", "State-licensed"licensed
real estate appraiser", "State-certified"certified
real estate appraiser", or any title, designation, or abbreviation likely
to create the impression of registration, licensure, or certification as a real
estate appraiser, unless the person is registered, licensed, or certified by
the Appraisal Board in accordance with the provisions of this Chapter. The
Board may adopt for the exclusive use of persons licensed or certified under
the provisions of this Chapter, a seal, symbol, or other mark identifying the
user as a State-licensed or State-certifiedlicensed or certified
real estate appraiser.
(b) Any person certified as a real estate appraiser by an appraisal trade organization shall retain the right to use the term "certified" or any similar term in identifying the person to the public, provided that:
(1) In each instance wherein the term is used, the name of the certifying organization or body is prominently and conspicuously displayed immediately adjacent to the term; and
(2) The use of the term does not create the impression of certification by the State.
This subsection does not entitle any person certified only by a trade organization to conduct an appraisal that requires a State registration, license, or certification.
(c) The term
"registered trainee", "State-licensed"licensed
real estate appraiser", "State-certified"certified
real estate appraiser", or any similar term shall not be used following or
immediately in connection with the name of a partnership, association,
corporation, or other firm or group, or in a manner that might create the
impression of registration, licensure, or certification as a real estate
appraiser under this Chapter."
SECTION 4. G.S. 93E-1-4 reads as rewritten:
"§ 93E-1-4. Definitions.
When used in this Chapter, unless the context otherwise requires, the term:
(1) "Appraisal" or "real estate appraisal" means an analysis, opinion, or conclusion as to the value of identified real estate or specified interests therein performed for compensation or other valuable consideration.
(2) "Appraisal assignment" means an engagement for which an appraiser is employed or retained to act, or would be perceived by third parties or the public as acting, as a disinterested third party in rendering an unbiased appraisal.
(3) "Appraisal Board" or "Board" means the North Carolina Appraisal Board established under G.S. 93E-1-5.
(4) "Appraisal Foundation" or "Foundation" means The Appraisal Foundation established on November 20, 1987, as a not-for-profit corporation under the laws of Illinois.
(5) "Appraisal report" means any communication, written or oral, of an appraisal.
(6)
"Certificate" means that document issued by the North Carolina
Appraisal Board evidencing that the person named therein has satisfied the
requirements for certification as a State-certifiedcertified real
estate appraiser and bearing a certificate number assigned by the Board.
(7) "Certificate holder" means a person certified by the Board under the provisions of this Chapter.
(7a) "Certified general real estate appraiser" means a person who holds a current, valid certificate as a certified general real estate appraiser issued under the provisions of this Chapter.
(7b) "Certified residential real estate appraiser" means a person who holds a current, valid certificate as a certified residential real estate appraiser issued under the provisions of this Chapter.
(7a)(7c) "Comparative
market analysis" means the analysis of sales of similar recently sold
properties in order to derive an indication of the probable sales price of a
particular property by a licensed real estate broker or salesperson.broker.
(8) "License"
means that document issued by the North Carolina Appraisal Board evidencing
that the person named therein has satisfied the requirements for licensure as a
State-licensedlicensed real estate appraiser and bearing a
license number assigned by the Board.
(8a) "Licensed residential real estate appraiser" means a person who holds a current, valid license as a licensed residential real estate appraiser issued under the provisions of this Chapter.
(9) "Licensee" means a person licensed by the Board under the provisions of this Chapter.
(10) "Real estate" or "real property" means land, including the air above and ground below and all appurtenances and improvements thereto, as well as any interest or right inherent in the ownership of land.
(11) "Real estate appraiser" or "appraiser" means a person who for a fee or valuable consideration develops and communicates real estate appraisals or otherwise gives an opinion of the value of real estate or any interest therein.
(12) "Real estate appraising" means the practice of developing and communicating real estate appraisals.
(13) "Residential real estate" means any parcel of real estate, improved or unimproved, that is exclusively residential in nature and that includes or is intended to include a residential structure containing not more than four dwelling units and no other improvements except those which are typical residential improvements that support the residential use for the location and property type. A residential unit in a condominium, town house, or cooperative complex, or planned unit development is considered to be residential real estate.
(14) "State-certified
general real estate appraiser" means a person who holds a current, valid
certificate as a State-certified general real estate appraiser issued under the
provisions of this Chapter.
(15) "State-certified
residential real estate appraiser" means a person who holds a current,
valid certificate as a State-certified residential real estate appraiser issued
under the provisions of this Chapter.
(16) "State-licensed
residential real estate appraiser" means a person who holds a current,
valid license as a State-licensed residential real estate appraiser issued
under the provisions of this Chapter.
(17) "Temporary appraiser licensure or certification" means the issuance of a temporary license or certificate by the Board to a person licensed or certified in another state who enters this State for the purpose of completing a particular appraisal assignment.
(18) "Trainee", "registered trainee", or "trainee real estate appraiser" means a person who holds a current, valid registration as a trainee real estate appraiser issued under the provisions of this Chapter.
(19) "Trainee registration" or "registration as a trainee" means the document issued by the North Carolina Appraisal Board evidencing that the person named therein has satisfied the requirements of registration as a trainee real estate appraiser and bearing a registration number assigned by the Board."
SECTION 5. G.S. 93E-1-6 reads as rewritten:
"§ 93E-1-6.
Qualifications for State registration, licensure, and certification;
applications; application fees; examinations.
(a) Any person desiring
to be registered as a trainee or to obtain licensure as a State-licensedlicensed
real estate appraiser or certification as a State-certifiedcertified
real estate appraiser shall make written application to the Board on the forms
as are prescribed by the Board setting forth the applicant's qualifications for
registration, licensure, or certification. Each applicant shall satisfy the
following qualification requirements:
(1) Each applicant for
registration as a trainee must demonstrate to the Board that the applicant
possesses the knowledge and competence necessary to perform appraisals of real
property, by having satisfactorily completed within the five-year period
immediately preceding the date application is made, a course approved by the
Board of instructionof instruction, approved by the Board, in real
estate appraisal principles and practices consisting of at least 90 hours or
the minimum requirement as imposed by the federal government, whichever is
greater, of classroom instruction in subjects determined by the Board; and
by satisfying any additional qualification the Board imposes by rule, not
inconsistent with any requirements imposed by the federal government.Appraisal
Foundation.
(1a) Each applicant for licensure as a
State-licensedlicensed residential real estate appraiser shall
have demonstrated that the applicant possesses the knowledge and competence
necessary to perform appraisals of real property by having satisfactorily
completed within the five-year period immediately preceding the date
application is made a course approved by the Board of instructionof
instruction, approved by the Board, in real estate appraisal principles and
practices consisting of at least 90 150 hours or the minimum
requirement as imposed by the federal government, whichever is greater, of
classroom instruction in subjects determined by the Board; shall present
evidence satisfactory to the Board of at least 2,000 hours or the minimum
requirement as imposed by the federal government,Appraisal
Foundation, whichever is greater, of experience in real estate appraising; and
shall satisfy the additional qualifications as may be imposed by the Board by
rule, not inconsistent with any requirements imposed by the federal
government;Appraisal Foundation; or shall possess education or
experience which is found by the Board in its discretion to be equivalent to
the above requirements.
(2) Each applicant for
certification as a State-certifiedcertified residential real
estate appraiser shall have demonstrated that the applicant possesses the
knowledge and competence necessary to perform appraisals of real property as
the Board may prescribe by having satisfactorily completed, within the five-year
period immediately preceding the date the application is made, a course approved
by the Board of instructionof instruction, approved by the Board, in
real estate appraisal principles and practices consisting of at least 120 200
hours, or the minimum requirement as imposed by the federal government,Appraisal
Foundation, whichever is greater, of classroom instruction in subjects
determined by the Board; shall present evidence satisfactory to the Board of at
least 2,500 hours, or the minimum requirement as imposed by the federal
government,Appraisal Foundation, whichever is greater, of experience
in real estate appraising within the five-year period immediately preceding the
date application is made, and over a period of at least two calendar years; and
shall satisfy the additional qualifications criteria as may be imposed by the
Board by rule, not inconsistent with any requirements imposed by the federal
government;Appraisal Foundation; or shall possess education and
experience which is found by the Board in its discretion to be equivalent to
the above requirements.
(3) Each applicant for
certification as a State-certifiedcertified general real estate
appraiser shall have demonstrated that the applicant possesses the knowledge
and competence necessary to perform appraisals of all types of real property by
having satisfactorily completed, within the five-year period immediately
preceding the date application is made, a course approved by the Board of
instructionof instruction, approved by the Board, in general real
estate appraisal practices consisting of at least 180 hours 300
hours, or the minimum requirement as imposed by the federal government,Appraisal
Foundation, whichever is greater, of classroom instruction in subjects
determined by the Board; shall present evidence satisfactory to the Board of at
least 3,000 hours or the minimum requirement as imposed by the federal
government,Appraisal Foundation, whichever is greater, of experience
in real estate appraising within the five-year period immediately preceding the
date application is made, and over a period of at least two and one-half
calendar years, fifty percent (50%) of which must be in appraising
nonresidential real estate; and shall satisfy the additional qualifications
criteria as may be imposed by the Board by rule, not inconsistent with any
requirements imposed by the federal government;Appraisal Foundation;
or the applicant shall possess education or experience which is found by the
Board in its discretion to be equivalent to the above requirements.
(4) Repealed by Session Laws 2001-399, s. 1.
(b) Each application for
registration as a trainee or for State licensure or certification as a
real estate appraiser shall be accompanied by a fee of one hundred fifty
dollars ($150.00),two hundred dollars ($200.00), plus any additional
fee as may be necessary to defray the cost of any competency examination
administered by a private testing service.
(c) Any person who files
with the Board an application for State registration, licensure, or
certification as a real estate appraiser shall be required to pass an
examination to demonstrate the person's competence. The Board shall also make
an investigation as it deems necessary into the background of the applicant to
determine the applicant's qualifications with due regard to the paramount
interest of the public as to the applicant's competency, honesty, truthfulness,
and integrity. All applicants shall obtain criminal record reports from one
or more reporting services designated by the Board to provide criminal record
reports. Applicants are required to pay the designated reporting service for
the cost of the reports. In addition, the Board may investigate and
consider whether the applicant has had any disciplinary action taken against
any other professional license in North Carolina or any other state, or if the
applicant has committed or done any act which, if committed or done by any real
estate trainee or appraiser, would be grounds under the provisions hereinafter
set forth for disciplinary action including the suspension or revocation of
registration, licensure, or certification, or whether the applicant has been convicted
of or pleaded guilty to any criminal act. If the results of the investigation
shall be satisfactory to the Board, and the applicant is otherwise qualified,
then the Board shall issue to the applicant a trainee registration, license or
certificate authorizing the applicant to act as a registered trainee real
estate appraiser, State-licensedlicensed real estate appraiser,
or a State-certifiedcertified real estate appraiser in this
State.
(d) If the applicant has not affirmatively demonstrated that the applicant meets the requirements for registration, licensure, or certification, action on the application will be deferred pending a hearing before the Board."
SECTION 6. Effective January 1, 2008, G.S. 93E-1-6, as amended by Section 5 of this act, reads as rewritten:
"§ 93E-1-6. Qualifications for registration and certification; applications; application fees; examinations.
(a) Any person desiring to be registered as a trainee or to obtain certification as a certified real estate appraiser shall make written application to the Board on the forms as are prescribed by the Board setting forth the applicant's qualifications for registration or certification. Each applicant shall satisfy the following qualification requirements:
(1) Each applicant for
registration as a trainee mustshall:
a. Have obtained a high school diploma or its equivalent; and
b. demonstrate
Demonstrate to the Board that the applicant possesses the knowledge
and competence necessary to perform appraisals of real property, by by:
(i) having satisfactorily completed within the five-year period immediately
preceding the date application is made, a course of instruction, approved by
the Board, in real estate appraisal principles and practices consisting of at
least 90 hours of classroom instruction in subjects determined by the Board;
and by (ii) satisfying any additional qualification the Board
imposes by rule, not inconsistent with any requirements imposed by the
Appraisal Foundation.
(1a) Each applicant for
licensure as a licensed residential real estate appraiser shall have
demonstrated that the applicant possesses the knowledge and competence
necessary to perform appraisals of real property by having satisfactorily
completed within the five-year period immediately preceding the date
application is made a course of instruction, approved by the Board, in real
estate appraisal principles and practices consisting of at least 150 hours of
classroom instruction in subjects determined by the Board; shall present
evidence satisfactory to the Board of at least 2,000 hours or the minimum
requirement as imposed by the Appraisal Foundation, whichever is greater, of
experience in real estate appraising; and shall satisfy the additional
qualifications as may be imposed by the Board by rule, not inconsistent with
any requirements imposed by the Appraisal Foundation; or shall possess
education or experience which is found by the Board in its discretion to be
equivalent to the above requirements.
(2) Each applicant for
certification as a certified residential real estate appraiser shall have
demonstrated shall:
a. Hold an associate's degree or higher from an accredited college, junior college, community college, or university; or have a high school diploma or its equivalent and have successfully completed at least 21 semester credit hours of college courses from an accredited college, junior college, community college, or university in English composition, principles of economics, finance, higher mathematics, such as geometry or algebra, statistics, introduction to computers, and business or real estate law;
b. Demonstrate
that the applicant possesses the knowledge and competence necessary to
perform appraisals of real property as the Board may prescribe by having
satisfactorily completed, within the five-year period immediately preceding the
date the application is made, a course of instruction, approved by the Board,
in real estate appraisal principles and practices consisting of at least 200 hours,
or the minimum requirement as imposed by the Appraisal Foundation, whichever is
greater, of classroom instruction in subjects determined by the Board;shall
presenthours;
c. Present
evidence satisfactory to the Board of at least 2,500 hours, or the minimum
requirement as imposed by the Appraisal Foundation, whichever is greater, of
experience in real estate appraising within the five-year period immediately
preceding the date application is made, and over a period of at least two
calendar years; and shall satisfy
d. Satisfy the additional qualifications criteria as may be imposed by the Board by rule, not inconsistent with any requirements imposed by the Appraisal Foundation; or
e. shall
possessPossess education and experience which is found by the Board
in its discretion to be equivalent to the above requirements.
(3) Each applicant for
certification as a certified general real estate appraiser shall have
demonstratedshall:
a. Hold a bachelor's degree or higher from an accredited college or university; or have a high school diploma or its equivalent and have successfully completed at least 30 semester credit hours of college courses from an accredited college or university in English composition, macroeconomics and microeconomics, finance, higher mathematics, such as geometry or algebra, statistics, introduction to computers, and business or real estate law and two elective courses in accounting, geography, business management, or real estate;
b. Demonstrate
that the applicant possesses the knowledge and competence necessary to
perform appraisals of all types of real property by having satisfactorily
completed, within the five-year period immediately preceding the date
application is made, a course of instruction, approved by the Board, in general
real estate appraisal practices consisting of at least 300 hours, or the
minimum requirement as imposed by the Appraisal Foundation, whichever is
greater, of classroom instruction in subjects determined by the Board; shall
presenthours;
c. Present
evidence satisfactory to the Board of at least 3,000 hours or the minimum
requirement as imposed by the Appraisal Foundation, whichever is greater, of
experience in real estate appraising within the five-year period immediately
preceding the date application is made, and over a period of at least two and
one-half calendar years, fifty percent (50%) of which must be in appraising
nonresidential real estate; and shall satisfy
d. Satisfy the additional qualifications criteria as may be imposed by the Board by rule, not inconsistent with any requirements imposed by the Appraisal Foundation; or
e. the
applicant shall possessPossess education or experience which is
found by the Board in its discretion to be equivalent to the above
requirements.
(4) Repealed by Session Laws 2001-399, s. 1.
(b) Each application for
registration as a trainee or for licensure or certification as a real
estate appraiser shall be accompanied by a fee of two hundred dollars
($200.00), plus any additional fee as may be necessary to defray the cost of
any competency examination administered by a private testing service.
(c) Any person who files
with the Board an application for State registration, licensure,registration
or certification as a real estate appraiser shall be required to pass an
examination to demonstrate the person's competence. The Board shall also make
an investigation as it deems necessary into the background of the applicant to
determine the applicant's qualifications with due regard to the paramount
interest of the public as to the applicant's competency, honesty, truthfulness,
and integrity. All applicants shall obtain criminal record reports from one or
more reporting services designated by the Board to provide criminal record
reports. Applicants are required to pay the designated reporting service for
the cost of the reports. In addition, the Board may investigate and consider
whether the applicant has had any disciplinary action taken against any other
professional license in North Carolina or any other state, or if the applicant
has committed or done any act which, if committed or done by any real estate
trainee or appraiser, would be grounds under the provisions hereinafter set
forth for disciplinary action including the suspension or revocation of
registration, licensure, or certification, or whether the applicant has been
convicted of or pleaded guilty to any criminal act. If the results of the
investigation shall be satisfactory to the Board, and the applicant is
otherwise qualified, then the Board shall issue to the applicant a trainee registration,
licenseregistration or certificate authorizing the applicant to act
as a registered trainee real estate appraiser, State-licensed real estate
appraiser, or a State-certifiedappraiser or certified real estate
appraiser in this State.
(d) If the applicant has
not affirmatively demonstrated that the applicant meets the requirements for registration,
licensure,registration or certification, action on the application
will be deferred pending a hearing before the Board."
SECTION 7. G.S. 93E-1-6.1 reads as rewritten:
"§ 93E-1-6.1. Trainee supervision.
All trainees shall perform all real estate appraisal-related
activities under the immediate, active, and personal supervision of a State-licensed
or State-certifiedlicensed or certified real estate appraiser. All
appraisal reports must be signed by the State-licensed or State-certified appraiser
who supervised the trainee. By signing the appraisal report, the State-licensed
or State-certified appraiser accepts shared responsibility, with the
trainee, for the content of and conclusions in the report."
SECTION 8. G.S. 93E-1-7 reads as rewritten:
"§ 93E-1-7. Registration, license and certificate renewal; renewal fees; continuing education; reinstatement; replacement registrations, licenses and certificates; registration, licensure, and certification history; address changes.
(a) Trainee registrations, licenses, and certificates issued under this Chapter shall expire on the 30th day of June of every year and shall become invalid after that date unless renewed prior to the expiration date by filing an application with and paying to the Executive Director of the Board the fee of two hundred dollars ($200.00). As a prerequisite to the renewal of a trainee registration or a real estate appraiser license or certificate, the trainee registration holder, the licensee, or the certificate holder must satisfy any continuing education requirements that may be prescribed by the Board under subsection (b) of this section. The members of the General Assembly are exempt from this requirement and any education program regarding trainee supervision during their term of office. The Board may adopt rules establishing a system of trainee registration, license, and certificate renewal in which trainee registrations, licenses, and certificates expire annually with varying expiration dates.
(b) The Board may by rule require, as a prerequisite to trainee registration, license, or certificate renewal, the completion of Board-approved education courses in subject matters determined by the Board, or courses determined by the Board to be equivalent to the instruction, not inconsistent with any requirements of federal authorities.
(b1) Course sponsors shall pay to the Board a fee of five dollars ($5.00) for each licensee completing an approved continuing education course conducted by the sponsor.
(b2) The Board shall not charge a course application fee, a course renewal fee, or any other fee for a continuing education course offered by a North Carolina college, university, junior college, or community or technical college accredited by the Southern Association of Colleges and Schools or an agency of the federal, State, or local government.
(c) All trainee
registrations, licenses, and certificates reinstated after the expiration dates
shall be subject to a late filing fee of five dollars ($5.00)ten
dollars ($10.00) per month for each month or part thereof that the trainee
registration, license, or certificate is lapsed, not to exceed sixty dollars
($60.00).one hundred twenty dollars ($120.00). The late filing fee
shall be in addition to the required renewal fee. In the event a trainee,
licensee, or certificate holder fails to reinstate the trainee registration,
license, or certificate within 12 months after the expiration date thereof, the
Board may, in its discretion, consider the person as not having been previously
registered, licensed, or certified, and thereby subject to the provisions of
this Chapter relating to the issuance of an original trainee registration,
license, or certificate, including the examination requirements set forth
herein. Applications to reinstate trainee registrations, licenses, or
certificates expired for 12 or more months shall be accompanied by the fee
required for an original trainee registration, license, or certificate.
(d) Replacement trainee
registrations, licenses, and certificates may be issued by the Board upon
payment of five dollars ($5.00)ten dollars ($10.00) by the
trainee, licensee, or certificate holder. Certification by the Board of the
trainee registration history or the licensure or certification history of a
person registered, licensed, or certified under this Chapter shall be made only
after the payment of a fee of ten dollars ($10.00) to the Board."
SECTION 9. G.S. 93E-1-8 reads as rewritten:
"§ 93E-1-8. Education program approval and fees.
(a) The Board may by rule prescribe minimum standards for the approval and renewal of approval of schools and other course sponsors and their instructors to conduct appraiser prelicensing and precertification courses required by G.S. 93E-1-6(a). Such standards may address subject matter, program structuring, instructional materials, requirements for satisfactory course completion, instructors' qualifications, and other related matters relevant to the provision of such courses in a manner that best serves the public interest. The standards may require that schools and course sponsors obtain approval for the content of prelicensing and precertification courses from the Appraiser Qualifications Board of the Appraisal Foundation as part of the application process with the Appraisal Board and pay any fees directly to the Appraiser Qualifications Board as required by the Appraiser Qualifications Board for the approval.
(b) The Board may by rule
set nonrefundable fees chargeable to private real estate appraisal schools or
course sponsors, including appraisal trade organizations, for the approval and
annual renewal of approval of their prelicensing and precertification courses
required by G.S. 93E-1-6(a), or equivalent courses. Such The fees
shall be forty dollars ($40.00)one hundred dollars ($100.00) per
course for approval and twenty dollars ($20.00) per course for renewal of
approval of private school courses, and three hundred dollars ($300.00) per
course for approval and fifty dollars ($50.00) per course for renewal of approval
for course sponsors, including appraisal trade organizations.approval.
No fees shall be charged for the approval or renewal of approval to conduct
appraiser prelicensing or precertification courses where such courses are
offered by a North Carolina college, university, junior college, or community
or technical college accredited by the Southern Association of Colleges and
Schools, or an agency of the federal, State, or local government.
(c) The Board may by rule prescribe minimum standards for the approval and annual renewal of approval of schools and other course sponsors and their instructors to conduct appraiser continuing education courses. Such standards may address subject matter, instructional materials, requirements for satisfactory course completion, minimum course length, instructors' qualifications, and other related matters relevant to the provision of such courses in a manner that best serves the public interest.
(d) Nonrefundable fees of one hundred dollars ($100.00) per course may be charged to schools and course sponsors for the approval to conduct appraiser continuing education courses and fifty dollars ($50.00) per course for renewal of approval. However, no fees shall be charged for the approval or renewal of approval to conduct appraiser continuing education courses where such courses are offered by a North Carolina college, university, junior college, or community or technical college accredited by the Southern Association of Colleges and Schools, or by an agency of the federal, State, or local government. A nonrefundable fee of fifty dollars ($50.00) per course may be charged to current or former licensees or certificate holders requesting approval by the Board of a course for continuing education credit when approval of such course has not been previously obtained by the offering school or course sponsor."
SECTION 10. G.S. 93E-1-12(a) reads as rewritten:
"(a) The Board may take disciplinary action against registered trainees and State-licensed or State-certified real estate appraisers. Upon its own motion or the complaint of any person, the Board may investigate the actions of any person registered as a trainee or licensed or certified as a real estate appraiser under this Chapter, any person who performs appraisals without an appropriate registration, license, or certificate, or any person who holds himself or herself out to be registered as a trainee or licensed or certified as a real estate appraiser when the person holds no registration, license, or certificate. If the Board finds probable cause to believe that a person registered as a trainee or licensed or certified as a real estate appraiser under this Chapter has violated any of the provisions of this Chapter, the Board may hold a hearing on the allegations of misconduct.
The Board may suspend or revoke the registration, license, or certificate granted to any person under the provisions of this Chapter or reprimand any registered trainee, licensee, or certificate holder if, following a hearing or by consent, the Board finds the registered trainee, licensee, or certificate holder to have:
(1) Procured registration, licensure, or certification pursuant to this Chapter by making a false or fraudulent representation;
(2) Made any willful or negligent misrepresentation or any willful or negligent omission of material fact;
(3) Accepted an appraisal assignment when the employment is contingent upon the appraiser reporting a predetermined result, analysis, or opinion, or when the fee to be paid for the performance of the appraisal assignment is contingent upon the opinion, conclusion, or valuation reached or upon consequences resulting from the appraisal assignment;
(4) Acted or held himself
or herself out as a registered trainee or a State-licensed or State-certifiedlicensed
or certified real estate appraiser when not so registered, licensed, or
certified;
(5) Failed as a State-licensed
or State-certifiedlicensed or certified real estate appraiser to
actively and personally supervise any person not licensed or certified under
this Chapter who assists the State-licensed or State-certifiedlicensed
or certified real estate appraiser in performing real estate appraisals;
(6) Failed to make available to the Board for its inspection without prior notice, originals or true copies of all written contracts engaging the person's services to appraise real property, and all reports and supporting data assembled and formulated by the appraiser in preparing the reports;
(7) Paid a fee or valuable consideration to any person for acts or services performed in violation of this Chapter;
(8) Acted as a real estate appraiser in an unworthy or incompetent manner as to endanger the interest of the public;
(9) Violated any of the standards of practice for real estate appraisers or any other rule promulgated by the Board;
(10) Performed any other act which constitutes improper, fraudulent, or other dishonest conduct; or
(11) Violated any of the provisions of this Chapter.
The Executive Director of the Board shall transmit a certified copy of all final orders of the Board suspending or revoking registrations, licenses, or certificates issued under this Chapter to the clerk of superior court of the county in which the licensee or certificate holder maintains the person's principal place of business. The clerk shall enter these orders upon the judgment docket of the county."
SECTION 11. G.S. 93E-1-12(c) reads as rewritten:
"(c) When a person
registered as a trainee or licensed or certified as a real estate appraiser
under this Chapter is accused of any act, omission, or misconduct which would
subject the person to disciplinary action, the registered trainee, licensee, or
certificate holder, with the consent and approval of the Board, may surrender
his or her registration, license, or certificate and all the rights and
privileges pertaining to it for a period of time established by the Board.Board
of at least five years. A person who surrenders his or her registration, license,
or certificate shall not thereafter be eligible for or submit any application
for registration, licensure, or certification as a real estate appraiser during
the period that the registration, license, or certificate is surrendered."
SECTION 12. After January 1, 2008, the North Carolina Appraisal Board will no longer issue a license for a licensed residential real estate appraiser. Any individual holding a license as a licensed residential real estate appraiser on that date shall be allowed to maintain the license so long as it is properly renewed in accordance with G.S. 93E-1-7.
SECTION 13. Section 6 of this act becomes effective January 1, 2008, and applies to any person applying under this section on or after that date. The remainder of this act becomes effective October 1, 2007, and applies to applicants for registration, licensure, or certification under this act and to persons whose registration, license, or certification is renewed under this act on or after October 1, 2007.
In the General Assembly read three times and ratified this the 2nd day of August, 2007.
s/ Beverly E. Perdue
President of the Senate
s/ Joe Hackney
Speaker of the House of Representatives
s/ Michael F. Easley
Governor
Approved 1:04 p.m. this 30th day of August, 2007