CHAPTER 318
SB 352-FN – FINAL VERSION
03/09/06 1309s
26Apr2006… 1879h
05/24/06 2261CofC
05/24/06…2382eba
2006 SESSION
10/09
SENATE BILL 352-FN
AN ACT relative to the regulation of real estate appraisers.
SPONSORS: Sen. Gallus, Dist 1; Sen. Green, Dist 6; Sen. Larsen, Dist 15; Sen. Martel, Dist 18; Sen. Clegg, Dist 14; Sen. Fuller Clark, Dist 24; Rep. Dickinson, Carr 1; Rep. Theberge, Coos 4
COMMITTEE: Executive Departments and Administration
This bill prohibits persons with certain criminal convictions from being licensed or certified real estate appraisers, and makes various other changes to the regulation of real estate appraisers by the real estate appraiser board.
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Explanation: Matter added to current law appears in bold italics.
Matter removed from current law appears [in brackets and struckthrough.]
Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.
03/09/06 1309s
26Apr2006… 1879h
05/24/06 2261CofC
05/24/06…2382eba
06-2029
10/09
STATE OF NEW HAMPSHIRE
In the Year of Our Lord Two Thousand Six
AN ACT relative to the regulation of real estate appraisers.
Be it Enacted by the Senate and House of Representatives in General Court convened:
318:1 Purpose. Amend RSA 310-B:1 to read as follows:
310-B:1 Purpose. The purpose of this chapter is to bring New Hampshire into compliance with Title XI of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989. [The federal act’s purpose is to protect federal financial and public policy interests in real estate related transactions by requiring that real estate appraisals used in connection with federally-related transactions are performed in writing, in accordance with uniform standards, by individuals whose competency has been demonstrated and whose professional conduct will be subject to effective supervision.] However, any real estate appraisal service performed by an individual licensed or certified under this chapter shall be subject to the supervision of the board.
318:2 Definitions; Appraisal Report. Amend RSA 310-B:2, II to read as follows:
II. “Appraisal report” or “real estate appraisal report” means a written statement [independently and impartially] prepared by a licensed or certified appraiser, [and] whether or not used in connection with a federally-related transaction under the Financial Institutions Reform, Recovery, and Enforcement Act of 1989, setting forth an opinion of defined value of an adequately described property as of a specific date, supported by the presentation and analysis of relevant market information. Nothing in this paragraph shall be interpreted to affect the right of any person to provide services under RSA 310-B:3, II, III, or IV.
318:3 New Section; Prohibited Conduct. Amend RSA 310-B by inserting after section 5 the following new section:
310-B:5-a Prohibited Conduct. A person licensed or certified by the board under this chapter, shall, after a hearing, be subject to disciplinary action as provided in RSA 310-B:18 for being convicted in a court of competent jurisdiction of this or any other state, or federal court, of forgery, embezzlement, obtaining money under false pretenses, bribery, larceny, extortion, conspiracy to defraud, sexual crimes, drug distribution, arson, physical violence, or any similar offense or offenses; provided that, for the purposes of this section being convicted shall include all instances in which a plea of guilty or nolo contendere is the basis for the conviction, and all proceedings in which the sentence has been deferred or suspended.
318:4 Classes of Licensure or Certification; Apprentice. Amend RSA 310-B:6, I(a) to read as follows:
(a) Apprentice. The apprentice real estate appraiser classification shall consist of those persons who do not meet the requirements under subparagraph (b), (c), or (d), but are in the process of completing the requirements for one of the classifications of a real estate appraiser. Apprentice real estate appraisers shall be required to work under the supervision of a New Hampshire [licensed or] certified appraiser until the requirements for licensure or certification have been met.
318:5 Examination Requirements. RSA 310-B:7 is repealed and reenacted to read as follows:
310-B:7 Examination Requirements. An original license or certification as a licensed or certified real estate appraiser may be issued to any person who has demonstrated through a proctored written examination process that he or she meets the minimum requirements of the Appraisal Foundation.
318:6 Examination Prerequisites. Amend RSA 310-B:8 to read as follows:
310-B:8 Examination Prerequisites.
I. As prerequisites to taking the examination for certification as a certified general real estate appraiser, an applicant shall present evidence, satisfactory to the board, of having completed the required classroom hours[, under rules adopted by the board pursuant to RSA 541-A,] in subjects related to real estate appraisal, including instruction related to the Uniform Standards of Professional Appraisal Practice, from an educational source approved by the board.
II. As prerequisites to taking the examination for certification as a certified residential real estate appraiser, an applicant shall present evidence, satisfactory to the board, of having completed the required classroom hours[, under rules adopted by the board pursuant to RSA 541-A,] in subjects related to real estate appraisal, including instruction related to the Uniform Standards of Professional Appraisal Practice, from an educational source approved by the board.
III. As prerequisites to taking the examination for licensure as a licensed residential real estate appraiser, an applicant shall present evidence, satisfactory to the board, of having completed the required classroom hours[, under rules adopted by the board pursuant to RSA 541-A,] in subjects related to real estate appraisal, including instruction related to the Uniform Standards of Professional Appraisal Practice, from an educational source approved by the board.
318:7 Experience Requirements. Amend RSA 310-B:9, I to read as follows:
I. An applicant for original licensure or certification as a licensed or certified real estate appraiser shall possess such experience as the board shall require by rules adopted under RSA 541-A. Such rules shall be based upon the criteria established by the Appraisal Subcommittee of the Federal Financial Institutions Examination Council at the time of the application.
318:8 Term of Licenses; Stagger of Expiration. Amend RSA 310-B:10 to read as follows:
310-B:10 Term of Licensure or Certification. The term of a license or certificate issued under the authority of this chapter shall be [3] 2 years from the date of issuance. The expiration date of the license or certificate shall appear on the license or certificate and notice of its expiration shall be given to its holder. The board shall stagger the terms of licenses or certificates issued on or before January 1, [1993] 2007, so that [1/3] ½ of such licenses or certificates shall expire [each] in one year [for the 3 years next following] and the remaining ½ shall expire the following year.
318:9 New Section; Lapse of Licenses. Amend RSA 310-B by inserting after section 13 the following new section:
310-B:13-a Lapse of License.
I. If a license is not renewed before the expiration date, then the license is deemed to have expired, and a licensee may renew an expired license up to 6 months after its expiration date by complying with the requirements of RSA 310-B:13 and by submitting the required late fee.
II. If an expired license is not renewed within 6 months under paragraph I, then the license is deemed to have lapsed and such person may obtain a license only by qualifying anew as an original applicant. However, the board may renew a lapsed license for good cause shown within a reasonable time not to exceed one year from the date of expiration.
III. If a license expires or lapses as a result of a person being ordered to active duty with the armed forces, the 6-month time period for complying with the requirement of RSA 310-B:13 shall begin upon the licensee’s date of discharge or release from active duty, and the late fee shall be waived.
IV. The rights of the licensee under such expired or lapsed license shall be terminated. It shall be unlawful to act or attempt or offer to act in any matter as a real estate apprentice, or licensed or certified appraiser under an expired or lapsed license.
318:10 New Section; Standards for Professional Conduct. Amend RSA 310-B by inserting after section 18 the following new section:
310-B:18-a Standards for Professional Conduct. For purposes of RSA 310-B:18, the Uniform Standards of Professional Appraisal Practice (USPAP) ethical and professional conduct standards in effect at the time of the appraisal assignment shall be the ethical and professional conduct standards to be followed at the time of any violation.
318:11 New Paragraph; Disbursements; Investigations. Amend RSA 310-B:21 by inserting after paragraph I the following new paragraph:
I-a. All moneys collected as administrative penalties through enforcement actions or settlements under this chapter shall be credited to the real estate appraisers fund and disbursed by the board for the investigation of complaints and activities that violate this chapter or rules adopted by the board.
318:12 Repeal. The following are repealed:
I. RSA 310-B:2, V, relative to definition of appraisal report.
II. RSA 310-B:13, II, relative to failing to renew a license or certificate.
318:13 Effective Date.
I. Section 4 of this act shall take effect December 31, 2007.
II. The remainder of this act shall take effect 60 days after its passage.
Approved: June 19, 2006
Effective: I. Section 4 shall take effect December 31, 2007
II. Remainder shall take effect August 18, 2006