SENATE FLOOR VERSION - HB1646 SFLR Page 1 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 SENATE FLOOR VERSION April 17, 2025 ENGROSSED HOUSE BILL NO. 1646 By: Sneed of the House and Reinhardt of the Senate An Act relating to professions and occupations; amending 59 O.S. 2021, Sections 858 -712 and 858-723, which relate to real esta te appraisers; removing minimum educational classroom hours; requiring educational requirements as specified by the Appraiser Qualifications Board of the Appraisal Foundation; removing requirement that cost of classes be established by the Board; removing requirement that complaints must be signed by the person filing the complaint; providing that complaints may be made on a paper or electronic form; and providing an effective date. BE IT ENACTED BY THE PEOPLE OF THE STATE OF OKLAHOMA: SECTION 1. AMENDATORY 59 O.S. 2021, Section 858 -712, is amended to read as follows: Section 858-712. A. State Certified General Appraiser - As a prerequisite to taking the examination for certification as a State Certified General Appraiser, an applicant shall present satisfactory evidence to the Real Estate Appraiser Board that such applicant has successfully completed the minimum educational requirement specified by the Appraiser Qualification Criteria promulgated by the Appraiser SENATE FLOOR VERSION - HB1646 SFLR Page 2 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 Qualifications Board of the Appraisal Foundation of courses in subjects related to real estate appraisal from a nationally recognized appraisal organization or college or university or technology center school or private school approved by the Board and such classes shall be made available on a regional basis throughout the State of Oklahoma prior to the required examination date which must include classroom hours related to standards of profess ional practice. B. State Certified Residential Appraiser - As a prerequisite to taking the examination for certification as a State Certified Residential Appraiser, an applicant shall present satisfactory evidence to the Board that such applicant has successfully completed the minimum educational requirement specified by the Appr aiser Qualification Criteria promulgated by the Appraiser Qualifications Board of the Appraisal Foundation of courses in subjects related to real estate appraisal from a nationally recognized appraisal organization or college or university or technology ce nter school or private school approved by the Board and such classes shall be made available on a regional basis throughout this state prior to the required examination date which must include classroom hours related to standards of professional practice. C. State Licensed Appraiser - As a prerequisite to taking the examination for certification as a State Licensed Appraiser, an applicant shall present satisfactory evidence to the Board that such SENATE FLOOR VERSION - HB1646 SFLR Page 3 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 applicant has successfully completed the minimum education requirement specified by the Appraiser Qualification Criteria promulgated by the Appraiser Qualifications Board of the Appraisal Foundation of courses in subjects related to real estate appraisal from a nationally recognized appraisal organization or a coll ege or university or technology center school or private school approved by the Board and such classes shall be made available on a regional basis throughout the State of Oklahoma prior to the required examination date which must include classroom hours re lated to standards of professional practice. Provided, that any appraiser who becomes state licensed prior to July 1, 2001, shall not be required to complete any additional classroom hours necessary to meet the minimum requirements of the Appraiser Qualif ications Board of the Appraisal Foundation in order to maintain certification as a state licensed appraiser. D. Trainee Appraiser – There shall be no examination for certification as a Trainee Appraiser. As a prerequisite to certification as a Trainee Ap praiser, an applicant shall present satisfactory evidence to the Board that such applicant has successfully completed not less than seventy -five (75) classroom hours the minimum education requirement specified by the Appraiser Qualification Criteria promul gated by the Appraiser Qualifications Board of the Appraisal Foundation of courses in subjects related to real estate appraisal from a nationally recognized appraisal SENATE FLOOR VERSION - HB1646 SFLR Page 4 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 organization or a college or university or area technology center school or private schoo l approved by the Board and such classes shall be made available on a regional basis throughout the State of Oklahoma prior to the required examination date with the cost of the classes being established by the Board which must include classroom hours related to standards of professional practice the minimum educational requirement specified by the Appraiser Qualification Criteria promulgated by the Appraiser Qualifications Board of the Appraisal Foundation . SECTION 2. AMENDATORY 5 9 O.S. 2021, Section 858 -723, is amended to read as follows: Section 858-723. A. The Real Estate Appraiser Board, after notice and opportunity for a hearing, pursuant to Article II of the Administrative Procedures Act, may issue an order imposing one or more of the following penalties whenever the Board finds, by clear and convincing evidence, that a certificate holder has violated any provision of the Oklahoma Certified Real Esta te Appraisers Act, or rules promulgated pursuant thereto: 1. Revocation of the certificate with or without the right to reapply; 2. Suspension of the certificate for a period not to exceed five (5) years; 3. Probation, for a period of time and under such terms and conditions as deemed appropriate by the Board; SENATE FLOOR VERSION - HB1646 SFLR Page 5 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 4. Stipulations, limitations, restrictions, and conditions relating to practice; 5. Censure, including specific redress, if appropriate; 6. Reprimand, either public or private; 7. Satisfactory completion of an educational program or programs; 8. Administrative fines a s authorized by the Oklahoma Certified Real Estate Appraisers Act; and 9. Payment of costs expended by the Board for any legal fees and costs and probation and monitoring fees including, but not limited to, administrative costs, witness fees and attorney fees. B. 1. Any administrative fine imposed as a result of a violation of the Oklahoma Certified Real Estate Appraisers Act or the rules of the Board promulgated pursuant thereto shall not: a. be less than Fifty Dollars ($50.00) and shall not exceed Two Thousand Dollars ($2,000.00) for each violation of this act or the rules of the Board, or b. exceed Five Thousand Dollars ($5,000.00) for all violations resulting from a single incident or transaction. 2. All administrative fines shall be paid within thir ty (30) days of notification of the certificate holder by the Board of the order of the Board imposing the administrative fine, unless the SENATE FLOOR VERSION - HB1646 SFLR Page 6 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 certificate holder has entered into an ag reement with the Board extending the period for payment. 3. The certificate may be suspended until any fine imposed upon the licensee by the Board is paid. 4. Unless the certificate holder has entered into an agreement with the Board extending the period for payment, if fines are not paid in full by the licensee within thirty (3 0) days of the notification by the Board of the order, the fines shall double and the certificate holder shall have an additional thirty -day period. If the double fine is not paid within the additional thirty -day period, the certificate shall automaticall y be revoked. 5. All monies received by the Board as a result of the imposition of the administrative fine provided for in this section shall be deposited in the Oklahoma Certified Real Estate Appraisers Revolving Fund created pursuant to Section 858 -730 of this title. C. The rights of any holder under a certificate as a trainee, state licensed, state certified residential or state certified general real estate appraiser may be re voked or suspended, or the holder of the certificate may be otherwise discip lined pursuant to the provisions of the Oklahoma Certified Real Estate Appraisers Act, upon any of the grounds set forth in this section. The Board may investigate the actions of a trainee, state licensed, state certified residential or state certified ge neral real estate appraiser, and may revoke or suspend the rights of a certificate SENATE FLOOR VERSION - HB1646 SFLR Page 7 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 holder or otherwise discipline a trainee, state licensed, state certified residential or state ce rtified general real estate appraiser for any of the following acts or omiss ions: 1. Procuring or attempting to procure a certificate pursuant to the provisions of the Oklahoma Certified Real Estate Appraisers Act by knowingly making a false statement, knowingly submitting false information, refusing to provide complete informati on in response to a question in an application for certification or through any form of fraud or misrepresentation; 2. Failing to meet the minimum qualifications established pursuant to the provisions of the Oklahoma Certified Real Estate Appraisers Act; 3. Paying money other than provided for by the Oklahoma Certified Real Estate Appraisers Act to any member or employee of the Board to procure a certificate pursuant to the Oklahoma Certified Real Estate Appraisers Act; 4. A conviction, including a convi ction based upon a plea of guilty or nolo contendere, of a felony crime that substantially relates to the practice of real estate appraisals or poses a reasonable threat to public safety; 5. An act or omission involving dishonesty, fraud, or misrepresentation with the intent to substantially benefit the certificate holder or another person or with the intent to substantially injure another person; SENATE FLOOR VERSION - HB1646 SFLR Page 8 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 6. Violation of any of the standards for the development or communication of real estate appraisals as provid ed in the Oklahoma Certified Real Estate Appraisers Act; 7. Failure or refusal without good cause to exercise reasonable diligence in developing an appraisal, preparing an apprais al report or communicating an appraisal; 8. Negligence or incompetence in d eveloping an appraisal, in preparing an appraisal report, or in communicating an appraisal; 9. Willfully disregarding or violating any of the provisions of the Oklahoma Certified Real Estate Appraisers Act or the regulations of the Board for the administr ation and enforcement of the provisions of the Oklahoma Certified Real Estate Appraisers Act; 10. Accepting an appraisal assignment when the employment itself is contingent upon t he appraiser reporting a predetermined estimate, analysis or opinion, or whe re the fee to be paid is contingent upon the opinion, conclusion, or valuation reached, or upon the consequences resulting from the appraisal assignment; 11. Violating the confidential nature of governmental records to which the appraiser gained access th rough employment or engagement as an appraiser by a governmental agency; 12. Entry of a final civil judgment against the person on grounds of deceit, fraud, or willful or knowing misrepresentation in the making of any appraisal of real property; SENATE FLOOR VERSION - HB1646 SFLR Page 9 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 13. Violating any of the provisions in the code of ethics set forth in this act title; or 14. Failing to at any time properly identify themselves according to the specific type of certification held. D. In a disciplinary proceeding based upon a civil judgment, the trainee, state licensed, state certified residential or state certified general real estate appraiser shall be afforded an opportunity to present matters in mitigation and exten uation, but may not collaterally attack the civil judgment. E. 1. A complaint may be filed with the Board against a trainee or state licensed or state certified appraiser for any violations relating to a specific transaction of the Oklahoma Certified Real Estate Appraisers Act by any person who is the recipient of, relies upon o r uses an appraisal prepared for a federally related transaction or real -estate-related financial transaction as described in Section 858 -701 of this title. 2. Any person with kno wledge of any circumstances surrounding an act or omission by a trainee or s tate licensed or state certified appraiser involving fraud, dishonesty or misrepresentation in any real property valuation -related activity, not limited to federally related transactions, may file a complaint with the Board setting forth all facts surround ing the act or omission. 3. A complaint may be filed against a trainee or state licensed or state certified appraiser directly by the Board, if reasonable SENATE FLOOR VERSION - HB1646 SFLR Page 10 (Bold face denotes Committee Amendments) 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 cause exists for violati ons of the code of ethics set forth in this act. 4. Any complaint filed pur suant to this subsection shall be in writing and signed by the person filing same and shall be on a form approved by the Board , either in paper form or filed electronically . The trainee or state licensed or state certified appraiser shall be entitled to any hearings or subject to any disciplinary proceedings provided for in the Oklahoma Certified Real Estate Appraisers Act based upon any complaint filed pursuant to this subsection. F. As used in this section: 1. "Substantially relates" means the nature o f criminal conduct for which the person was convicted has a direct bearing on the fitness or ability to perform one or more of the duties or responsibilities necessarily related to the occupation; and 2. "Poses a reasonable threat" means the nature of cri minal conduct for which the person was convicted involved an act or threat of harm against another and has a bearing on the fitness or ability to serve the public or work with othe rs in the occupation. SECTION 3. This act shall become effe ctive November 1, 2025. COMMITTEE REPORT BY: COMMITTEE ON BUSINESS AND INSURANCE April 17, 2025 - DO PASS