Texas 2015 - 84th Regular

Texas House Bill HB2850 Compare Versions

Only one version of the bill is available at this time.

Old	New	Differences
1	1	84R3312 NC-F
2	2	By: Kuempel H.B. No. 2850
3	3
4	4
5	5	A BILL TO BE ENTITLED
6	6	AN ACT
7	7	relating to the practices and professions regulated by the Texas
8	8	Appraiser Licensing and Certification Board; requiring an
9	9	occupational license; imposing fees.
10	10	BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
11	11	SECTION 1. Section 1103.003, Occupations Code, is amended
12	12	by amending Subdivisions (2-a), (6-b), (7), and (8) and adding
13	13	Subdivisions (2-b), (4-a), and (5-a) to read as follows:
14	14	(2-a) "Appraisal review" has the meaning assigned by
15	15	Section 1104.003.
16	16	(2-b) "Appraisal Standards Board" means the Appraisal
17	17	Standards Board of the Appraisal Foundation, or its successor.
18	18	(4-a) "Appraiser trainee" means an appraiser trainee
19	19	licensed under this chapter.
20	20	(5-a) "Certified appraiser" means a person who is
21	21	certified under this chapter to practice as a certified general or
22	22	certified residential appraiser.
23	23	(6-b) "Federal financial institution regulatory
24	24	agency" means:
25	25	(A) the Board of Governors of the Federal Reserve
26	26	System;
27	27	(B) the Federal Deposit Insurance Corporation;
28	28	(C) the Office of the Comptroller of the
29	29	Currency;
30	30	(D) the Consumer Financial Protection Bureau
31	31	[Office of Thrift Supervision];
32	32	(E) the National Credit Union Administration; or
33	33	(F) the successors of any of those agencies.
34	34	(7) "Licensed appraiser" ["State-certified real
35	35	estate appraiser" or "certified appraiser" means a person who is
36	36	certified under this chapter.
37	37	[(8) "State-licensed real estate appraiser" or
38	38	"licensed appraiser"] means a person who is licensed under this
39	39	chapter to practice as a residential real estate appraiser.
40	40	(8) "Supervisory appraiser" means a supervisory
41	41	appraiser as defined by the Appraiser Qualifications Board.
42	42	SECTION 2. Section 1103.004, Occupations Code, is amended
43	43	to read as follows:
44	44	Sec. 1103.004. EFFECT OF CHAPTER. [(b)] This chapter does
45	45	not prohibit:
46	46	(1) a person authorized by law from performing an
47	47	evaluation of real property for or providing an evaluation of real
48	48	property to another person; [or]
49	49	(2) a real estate broker licensed under Chapter 1101
50	50	or a sales agent [salesperson] acting under the authority of a
51	51	sponsoring broker from providing to another person a written
52	52	analysis, opinion, or conclusion relating to the estimated price of
53	53	real property if the analysis, opinion, or conclusion:
54	54	(A) is not referred to as an appraisal;
55	55	(B) is given in the ordinary course of the
56	56	broker's [or salesperson's] business; and
57	57	(C) is related to the actual or potential
58	58	acquisition, disposition, encumbrance, or management of an
59	59	interest in real property; or
60	60	(3) an appraiser who is certified by a jurisdiction
61	61	other than this state from performing an appraisal review of an
62	62	appraisal performed on real property in this state, if the
63	63	appraiser does not offer an opinion of value as part of the
64	64	appraisal review.
65	65	SECTION 3. Section 1103.006, Occupations Code, is amended
66	66	to read as follows:
67	67	Sec. 1103.006. APPLICATION OF SUNSET ACT. The Texas
68	68	Appraiser Licensing and Certification Board [If the federal
69	69	government removes the requirements for the preparation or use of
70	70	an appraisal by federally regulated financial institutions, the
71	71	board] is subject to Chapter 325, Government Code (Texas Sunset
72	72	Act)[, and is subject to sunset review in the next regular session
73	73	of the legislature following the date of the federal government's
74	74	action]. Unless continued in existence [by that legislature] as
75	75	provided by that chapter, the board is abolished and this chapter
76	76	and Chapter 1104 expire September 1, 2019 [expires on the 90th day
77	77	after the last day of the regular session of that legislature].
78	78	SECTION 4. Subchapter B, Chapter 1103, Occupations Code, is
79	79	amended by adding Section 1103.0545 to read as follows:
80	80	Sec. 1103.0545. TRAINING. (a) A person who is appointed to
81	81	and qualifies for office as a member of the board may not vote,
82	82	deliberate, or be counted as a member in attendance at a meeting of
83	83	the board until the person completes a training program that
84	84	complies with this section.
85	85	(b) The training program must provide the person with
86	86	information regarding:
87	87	(1) this chapter and other laws applicable to the
88	88	board;
89	89	(2) the programs, functions, rules, and budget of the
90	90	board;
91	91	(3) the results of the most recent formal audit of the
92	92	board;
93	93	(4) the requirements of laws relating to open
94	94	meetings, public information, administrative procedure, and
95	95	conflicts of interest; and
96	96	(5) any applicable ethics policies adopted by the
97	97	board or the Texas Ethics Commission.
98	98	(c) A person appointed to the board is entitled to
99	99	reimbursement for the travel expenses incurred in attending the
100	100	training program regardless of whether the attendance at the
101	101	program occurs before or after the person qualifies for office.
102	102	SECTION 5. Section 1103.055, Occupations Code, is amended
103	103	to read as follows:
104	104	Sec. 1103.055. TERMS; VACANCIES. (a) Appointed members of
105	105	the board serve staggered six-year [two-year] terms, with the terms
106	106	of one or two appraiser members and one or two public members
107	107	expiring on January 31 of each odd-numbered year.
108	108	(b) If a vacancy occurs during a member's term, the governor
109	109	shall appoint a person to fill the unexpired term [An appointed
110	110	member may not serve more than three consecutive two-year terms].
111	111	SECTION 6. Section 1103.056, Occupations Code, is amended
112	112	to read as follows:
113	113	Sec. 1103.056. OFFICERS; EXECUTIVE COMMITTEE. (a) The
114	114	governor shall designate a board member who is an appraiser to serve
115	115	as presiding officer of the board.
116	116	(b) At a regular meeting in February of each year, the board
117	117	shall elect from its members an [a presiding officer,] assistant
118	118	presiding officer [,] and a secretary.
119	119	(c) [(b)] The presiding officer, assistant presiding
120	120	officer, and secretary [officers elected under Subsection (a)]
121	121	constitute the executive committee.
122	122	SECTION 7. Section 1103.057(c), Occupations Code, is
123	123	amended to read as follows:
124	124	(c) If the commissioner [presiding officer of the board] has
125	125	knowledge that a potential ground for removal of an appointed board
126	126	member exists, the commissioner shall notify the presiding officer
127	127	of the board of the potential ground. The presiding officer shall
128	128	immediately notify the governor and the attorney general that a
129	129	potential ground for removal exists. If the potential ground for
130	130	removal involves the presiding officer, the commissioner shall
131	131	notify the next highest ranking officer of the board, who shall
132	132	immediately notify the governor and the attorney general that a
133	133	potential ground for removal exists.
134	134	SECTION 8. Section 1103.058, Occupations Code, is amended
135	135	to read as follows:
136	136	Sec. 1103.058. PER DIEM; REIMBURSEMENT. (a) An appointed
137	137	board member is entitled to receive:
138	138	(1) $75 for each day the member engages in official
139	139	duties as a board member; and
140	140	(2) reimbursement for actual and necessary expenses
141	141	incurred in performing official duties as a board member.
142	142	(b) For purposes of this section, the board by rule may
143	143	determine what constitutes a day or actual and necessary expenses.
144	144	SECTION 9. Subchapter B, Chapter 1103, Occupations Code, is
145	145	amended by adding Section 1103.060 to read as follows:
146	146	Sec. 1103.060. EDUCATIONAL PRESENTATIONS. (a) A member of
147	147	the board or a board employee may make a presentation to a group of
148	148	certificate or license holders for which the certificate or license
149	149	holders may receive continuing education credit for the renewal of
150	150	a certificate or license under Section 1103.211. The board member
151	151	or employee may not receive compensation for the presentation.
152	152	(b) Notwithstanding Subsection (a), the board member or
153	153	employee may receive reimbursement for reasonable travel expenses.
154	154	SECTION 10. Section 1103.101(b), Occupations Code, is
155	155	amended to read as follows:
156	156	(b) The board may delegate to the commissioner the
157	157	responsibility for administering this chapter and Chapter 1104,
158	158	including the approval of consent orders and agreements.
159	159	SECTION 11. Section 1103.102, Occupations Code, is amended
160	160	to read as follows:
161	161	Sec. 1103.102. OTHER BOARD PERSONNEL. In addition to the
162	162	commissioner, the board may employ other officers and employees as
163	163	necessary to administer this chapter and Chapter 1104.
164	164	SECTION 12. Section 1103.103, Occupations Code, is amended
165	165	to read as follows:
166	166	Sec. 1103.103. SALARIES. [(a)] The commissioner
167	167	[administrator of the Texas Real Estate Commission] shall determine
168	168	the salaries of the officers and employees of the board.
169	169	SECTION 13. Section 1103.104, Occupations Code, is amended
170	170	to read as follows:
171	171	Sec. 1103.104. DUTIES OF COMMISSIONER. The commissioner
172	172	shall:
173	173	(1) disseminate information;
174	174	(2) administer rules adopted by the board under this
175	175	chapter or Chapter 1104;
176	176	(3) review each application for a certificate or
177	177	license and make a recommendation for final action to the board;
178	178	(4) review and make recommendations to the board
179	179	regarding the adoption of rules relating to:
180	180	(A) the examination required by Subchapter F;
181	181	(B) education and experience requirements for
182	182	issuance of certificates and licenses;
183	183	(C) continuing education for a certified or
184	184	licensed appraiser;
185	185	(D) standards of professional practice and
186	186	ethics for a certified or licensed appraiser;
187	187	(E) standards for a real estate appraisal
188	188	performed by a certified or licensed appraiser; and
189	189	(F) the fees established by the board under
190	190	Section 1103.156 or Section 1104.052;
191	191	(5) collect fees established by the board;
192	192	(6) manage the staff and employees of the board; and
193	193	(7) perform any other duty prescribed by the board
194	194	under this chapter or Chapter 1104.
195	195	SECTION 14. Section 1103.151, Occupations Code, is amended
196	196	to read as follows:
197	197	Sec. 1103.151. RULES RELATING TO CERTIFICATES AND LICENSES.
198	198	The board may adopt:
199	199	(1) rules for certifying or licensing an appraiser or
200	200	[approving an] appraiser trainee in this state that are in
201	201	accordance with this chapter and consistent with applicable federal
202	202	law;
203	203	(2) rules relating to the qualifying education and
204	204	experience required for certifying or licensing an appraiser or
205	205	[approving an] appraiser trainee that are consistent with the
206	206	guidelines recognized by the Appraiser Qualifications Board;
207	207	(3) rules relating to the examination required by
208	208	Subchapter F; and
209	209	(4) rules relating to procedures for the timely
210	210	renewal of a certificate or [,] license[, or trainee approval].
211	211	SECTION 15. Section 1103.153, Occupations Code, is amended
212	212	to read as follows:
213	213	Sec. 1103.153. RULES RELATING TO CONTINUING EDUCATION. The
214	214	board may adopt rules relating to:
215	215	(1) continuing education requirements for a certified
216	216	or licensed appraiser or an [approved] appraiser trainee; and
217	217	(2) the requirements for approval of a provider,
218	218	course, or instructor for qualifying or continuing education.
219	219	SECTION 16. Section 1103.154, Occupations Code, is amended
220	220	to read as follows:
221	221	Sec. 1103.154. RULES RELATING TO PROFESSIONAL CONDUCT. The
222	222	board may adopt:
223	223	(1) rules as necessary to conform to the minimum
224	224	written standards of the Appraisal Standards Board by incorporating
225	225	the Uniform Standards of Professional Appraisal Practice;
226	226	(2) rules requiring a certified or licensed appraiser
227	227	or an appraiser trainee to comply with standards of competency,
228	228	professional conduct, and ethics prescribed by the Uniform
229	229	Standards of Professional Appraisal Practice, as adopted by the
230	230	Appraisal Standards Board; and
231	231	(3) rules relating to the standards for the
232	232	development of an appraisal and the conveyance of an appraisal
233	233	report by a certified or licensed appraiser or an appraiser trainee
234	234	that are recognized as substantially equivalent to or consistent
235	235	with the Uniform Standards of Professional Appraisal Practice.
236	236	SECTION 17. Section 1103.155(c), Occupations Code, is
237	237	amended to read as follows:
238	238	(c) The board shall send a copy of the roster to the
239	239	Appraisal Subcommittee at least weekly [annually].
240	240	SECTION 18. Section 1103.157, Occupations Code, is amended
241	241	to read as follows:
242	242	Sec. 1103.157. GIFTS, GRANTS, AND DONATIONS. The board may
243	243	solicit, accept, and administer gifts, grants, and donations of any
244	244	kind from any public or private source for the purposes of this
245	245	chapter and Chapter 1104.
246	246	SECTION 19. Section 1103.159, Occupations Code, is amended
247	247	by amending Subsections (b) and (d) and adding Subsections (e),
248	248	(f), and (g) to read as follows:
249	249	(b) The advisory committee consists of the assistant
250	250	presiding officer of the board and four [two] persons appointed by
251	251	the governor as follows:
252	252	(1) two members who are each designated as the [a]
253	253	controlling person of an appraisal management company registered
254	254	under Chapter 1104; and
255	255	(2) two [a] public members [member] with recognized
256	256	business ability.
257	257	(d) The members of the advisory committee appointed by the
258	258	governor serve staggered two-year terms, with the terms of one
259	259	[the] appraisal management company member and one [the] public
260	260	member expiring on January 31 of each year [alternating years].
261	261	(e) An appointed member may not serve more than two
262	262	consecutive two-year terms.
263	263	(f) If a vacancy occurs during a member's term, the governor
264	264	shall appoint a person to fill the unexpired term.
265	265	(g) The advisory committee may hold a meeting by telephone
266	266	conference call or other video or broadcast technology.
267	267	SECTION 20. Section 1103.201, Occupations Code, is amended
268	268	to read as follows:
269	269	Sec. 1103.201. CERTIFICATE OR LICENSE REQUIRED. (a) A
270	270	person may not perform an appraisal of real estate unless the person
271	271	is licensed or certified as an appraiser under this chapter,
272	272	registered as a temporary out-of-state appraiser under this
273	273	chapter, or acting as an appraiser trainee under the supervision
274	274	[sponsorship] of a supervisory [certified] appraiser.
275	275	(b) Unless the person holds the appropriate license or
276	276	certification, a person may not:
277	277	(1) use the title "certified real estate appraiser"
278	278	["state-certified real estate appraiser"] or "licensed real estate
279	279	appraiser" ["state-licensed real estate appraiser"]; or
280	280	(2) refer to an appraisal performed by the person as a
281	281	"certified appraisal" or "licensed appraisal."
282	282	SECTION 21. Section 1103.202, Occupations Code, is amended
283	283	to read as follows:
284	284	Sec. 1103.202. ELIGIBILITY REQUIREMENTS FOR CERTIFICATE OR
285	285	LICENSE. To be eligible for a certificate or license under this
286	286	chapter, an applicant must:
287	287	(1) pass the applicable examination required by
288	288	Subchapter F;
289	289	(2) successfully complete the number and type of
290	290	classroom hours or other educational qualifications required by the
291	291	Appraiser Qualifications Board;
292	292	(3) provide evidence satisfactory to the board that
293	293	the applicant has at least the minimum number of hours of experience
294	294	in performing appraisals over the specified number of calendar
295	295	years as required by the Appraiser Qualifications Board; [and]
296	296	(4) satisfy the board as to the applicant's honesty,
297	297	trustworthiness, and integrity; and
298	298	(5) comply with the requirements of Sections 1103.203
299	299	and 1103.2031.
300	300	SECTION 22. Section 1103.203, Occupations Code, is amended
301	301	to read as follows:
302	302	Sec. 1103.203. CERTIFICATE OR LICENSE APPLICATION
303	303	[ELIGIBILITY REQUIREMENTS FOR LICENSE]. (a) An applicant for a
304	304	certificate or license or for renewal of a certificate or license
305	305	must submit an application to the board on the form prescribed by
306	306	the board.
307	307	(b) The applicant must disclose in the application whether
308	308	the applicant has:
309	309	(1) entered a plea of guilty or nolo contendere to a
310	310	felony; or
311	311	(2) been convicted of a felony and the time for appeal
312	312	has elapsed or the judgment or conviction has been affirmed on
313	313	appeal.
314	314	(c) The disclosure under Subsection (b) must be provided
315	315	regardless of whether a court order granted community supervision
316	316	suspending the imposition of the sentence.
317	317	(d) The application must include the applicant's current
318	318	mailing address and telephone number and the applicant's business
319	319	e-mail address, if available. The applicant shall notify the board
320	320	of any change in the applicant's mailing or e-mail address or
321	321	telephone number while the application is pending.
322	322	(e) The applicant must provide any other information
323	323	required by the board to comply with the Appraiser Qualifications
324	324	Board's criminal history and background check requirements [To be
325	325	eligible for a license under this chapter, an applicant must:
326	326	[(1) pass the examination required by Subchapter F;
327	327	[(2) successfully complete the number and type of
328	328	classroom hours or other educational qualifications required by the
329	329	guidelines of the Appraiser Qualifications Board;
330	330	[(3) provide evidence satisfactory to the board that
331	331	the applicant has at least the minimum number of hours of experience
332	332	in performing appraisals over the specified number of calendar
333	333	years as required by the guidelines of the Appraiser Qualifications
334	334	Board; and
335	335	[(4) satisfy the board as to the applicant's honesty,
336	336	trustworthiness, and integrity].
337	337	SECTION 23. Subchapter E, Chapter 1103, Occupations Code,
338	338	is amended by adding Section 1103.2031 to read as follows:
339	339	Sec. 1103.2031. CRIMINAL HISTORY RECORD INFORMATION
340	340	REQUIREMENT. (a) The board by rule may require that an applicant
341	341	for a certificate or license or renewal of an unexpired certificate
342	342	or license submit a complete and legible set of fingerprints, on a
343	343	form prescribed by the board, to the board or to the Department of
344	344	Public Safety for the purpose of obtaining criminal history record
345	345	information from the Department of Public Safety or the Federal
346	346	Bureau of Investigation.
347	347	(b) If the board implements the requirement under
348	348	Subsection (a), the board may not issue a certificate or license to
349	349	or renew the certificate or license on active status of an applicant
350	350	who does not comply with that requirement.
351	351	(c) If the board implements the requirement under
352	352	Subsection (a), the board shall conduct a criminal history check of
353	353	an applicant for a certificate or license or renewal of a
354	354	certificate or license using information:
355	355	(1) provided by the applicant under this section and
356	356	Section 1103.203; and
357	357	(2) made available to the board by the Department of
358	358	Public Safety, the Federal Bureau of Investigation, or any other
359	359	criminal justice agency under Chapter 411, Government Code.
360	360	(d) The board may:
361	361	(1) enter into an agreement with the Department of
362	362	Public Safety or other federally authorized entity to administer a
363	363	criminal history check required under this section; and
364	364	(2) authorize the Department of Public Safety or other
365	365	federally authorized entity to collect from each applicant the
366	366	costs incurred by the department in conducting the criminal history
367	367	check.
368	368	SECTION 24. Section 1103.204(c), Occupations Code, is
369	369	amended to read as follows:
370	370	(c) The board shall give an applicant for a certificate or
371	371	license credit toward fulfilling the requirements of Section
372	372	[Sections] 1103.202(2) [and 1103.203(2)] for classroom hours taken
373	373	in the course of becoming licensed as a real estate broker or sales
374	374	agent [salesperson] or for professional development or continuing
375	375	education courses taken, whether the classroom hours or courses are
376	376	taken by a person as a real estate broker or sales agent
377	377	[salesperson] or as an employee of a financial institution engaged
378	378	in real estate-related financial transactions, if the classroom
379	379	hours or courses satisfy the requirements established by the
380	380	guidelines recognized by the Appraiser Qualifications Board.
381	381	SECTION 25. Sections 1103.205(a) and (c), Occupations Code,
382	382	are amended to read as follows:
383	383	(a) This [Except as provided by Section 1103.208, this]
384	384	chapter does not limit the amount of time in which an applicant for
385	385	a certificate or license is required to satisfy the experience
386	386	requirements under this subchapter.
387	387	(c) For the purpose of determining the qualifications of an
388	388	applicant for a certificate or license under this chapter,
389	389	acceptable appraisal experience includes:
390	390	(1) any one or any combination of the categories
391	391	recognized by the Appraiser Qualifications Board; and
392	392	(2) experience as a real estate mortgage lending
393	393	officer of a financial institution or as a real estate broker that
394	394	includes the actual performance or technical review of real estate
395	395	appraisals.
396	396	SECTION 26. Section 1103.206(b), Occupations Code, is
397	397	amended to read as follows:
398	398	(b) The board shall adopt a reliable method to verify the
399	399	evidence of appraisal experience submitted by an applicant for a
400	400	certificate or license. The method must include the review of
401	401	appraisal experience of all applicants for certification [and must
402	402	rely on appropriate sampling techniques that are applied to not
403	403	more than five percent of the license applications received by the
404	404	board]. An applicant [whose application is selected for
405	405	verification] has at least 60 days after the date notice is sent [of
406	406	selection] to submit [prepare] any records requested by the board.
407	407	The board may not require the applicant to provide more information
408	408	than the information the board may obtain under Section 1103.207.
409	409	SECTION 27. Section 1103.207(a), Occupations Code, is
410	410	amended to read as follows:
411	411	(a) In addition to the information or documentation
412	412	specified by this subchapter, the board may obtain other
413	413	information or documentation from an applicant for a certificate or
414	414	license under this chapter if the board determines that:
415	415	(1) a formal [consumer complaint or peer] complaint
416	416	against the applicant alleging fraud, incompetency, or malpractice
417	417	is reasonable; or
418	418	(2) other just cause exists for requiring further
419	419	information.
420	420	SECTION 28. Section 1103.209(a), Occupations Code, is
421	421	amended to read as follows:
422	422	(a) The board shall issue a reciprocal license or
423	423	certificate [or license] to an applicant from another state if:
424	424	(1) the appraiser licensing and certification program
425	425	of the other state is in compliance with 12 U.S.C. Section 3331 et
426	426	seq.;
427	427	(2) the applicant [appraiser] holds a valid license or
428	428	certificate from a state whose requirements for licensure or
429	429	certification meet or exceed the licensure or certification
430	430	requirements of this state; [and]
431	431	(3) the applicant [appraiser] satisfies the board as
432	432	to the appraiser's honesty, trustworthiness, and integrity; and
433	433	(4) the applicant complies with the requirements of
434	434	Sections 1103.203 and 1103.2031.
435	435	SECTION 29. Section 1103.2091, Occupations Code, is amended
436	436	to read as follows:
437	437	Sec. 1103.2091. PROBATIONARY CERTIFICATE [,] OR LICENSE [,
438	438	OR TRAINEE APPROVAL]. (a) The board may issue a probationary
439	439	certificate or license to [or approve] an appraiser or an appraiser
440	440	trainee, as applicable [on a probationary basis].
441	441	(b) The board by rule shall adopt reasonable terms for
442	442	issuing a probationary certificate or license [and for approval of
443	443	an appraiser trainee on a probationary basis].
444	444	(c) A person who holds a probationary certificate or license
445	445	[or who is approved as an appraiser trainee] under this section must
446	446	disclose the probationary status to all clients before accepting an
447	447	assignment.
448	448	SECTION 30. Sections 1103.211(b) and (c), Occupations Code,
449	449	are amended to read as follows:
450	450	(b) A person may renew a certificate or license by:
451	451	(1) paying the renewal fee; [and]
452	452	(2) providing evidence satisfactory to the board that
453	453	the person has completed continuing education requirements that
454	454	comply with the guidelines recognized by the Appraiser
455	455	Qualifications Board and that are imposed by rule under this
456	456	chapter;
457	457	(3) satisfying the board as to the person's honesty,
458	458	trustworthiness, and integrity; and
459	459	(4) complying with the requirements of Sections
460	460	1103.203 and 1103.2031.
461	461	(c) For purposes of Subsection (b)(2), the board shall
462	462	accept as continuing education any educational offering that
463	463	complies with the guidelines recognized by the Appraiser
464	464	Qualifications Board that a certified or licensed appraiser was
465	465	awarded by [a national appraiser organization approved by the board
466	466	as] a provider of qualifying appraisal education approved by the
467	467	board.
468	468	SECTION 31. Section 1103.2111, Occupations Code, is amended
469	469	to read as follows:
470	470	Sec. 1103.2111. LATE RENEWAL OF CERTIFICATE OR [,] LICENSE
471	471	[, OR TRAINEE APPROVAL]. (a) A person whose certificate or [,]
472	472	license [, or approval] has been expired for 90 days or less may
473	473	renew the certificate or [,] license [, or approval] by paying to
474	474	the board a fee equal to 1-1/2 times the required renewal fee. If a
475	475	certificate or [,] license [, or approval] has been expired for more
476	476	than 90 days but less than six months, the person may renew the
477	477	certificate or [,] license [, or approval] by paying to the board a
478	478	fee equal to two times the required renewal fee.
479	479	(b) A certificate or [,] license [, or approval] that is
480	480	renewed under this section shall expire on the date that would apply
481	481	had the certificate or [,] license [, or approval] been timely
482	482	renewed.
483	483	(c) A person may not perform an appraisal in a federally
484	484	related transaction while the person is not actively licensed or
485	485	certified as an appraiser or an appraiser trainee.
486	486	(d) If a person's certificate or [,] license [, or approval]
487	487	has been expired six months or longer, the person may not renew the
488	488	certificate or [,] license [, or approval]. The person may obtain a
489	489	new certificate or [,] license [, or approval] by complying with the
490	490	requirements and procedures for an original application.
491	491	SECTION 32. Sections 1103.213(a), (b), (c), (d), and (f),
492	492	Occupations Code, are amended to read as follows:
493	493	(a) The board may place on inactive status the certificate
494	494	or license of a person who [an appraiser if the appraiser]:
495	495	(1) is not acting as an appraiser or an appraiser
496	496	trainee;
497	497	(2) is not acting as a supervisory appraiser of
498	498	[sponsoring] an appraiser trainee; and
499	499	(3) submits a written application to the board before
500	500	the expiration date of the [appraiser's] certificate or license.
501	501	(b) The board may place on inactive status the certificate
502	502	or license of an appraiser or an appraiser trainee whose
503	503	certificate or license has expired if the person:
504	504	(1) [appraiser] applies for inactive status on a form
505	505	prescribed by the board not later than the 180th day after [the
506	506	first anniversary of] the expiration date of the [appraiser's]
507	507	certificate or license; and
508	508	(2) meets the requirements of Section 1103.2111.
509	509	(c) A supervisory [An] appraiser applying for inactive
510	510	status shall terminate the appraiser's association with each
511	511	appraiser trainee supervised [sponsored] by the appraiser by giving
512	512	written notice to each appraiser trainee before the 30th day
513	513	preceding the date the appraiser applies for inactive status.
514	514	(d) An appraiser or an appraiser trainee on inactive status:
515	515	(1) may not perform any activity regulated under this
516	516	chapter;
517	517	(2) must pay annual renewal fees; and
518	518	(3) is not required to pay the annual registry fee
519	519	described by Section 1103.156(b).
520	520	(f) The board shall return [remove] an appraiser's
521	521	certificate or license to active [from inactive] status if the
522	522	appraiser:
523	523	(1) submits an application to the board;
524	524	(2) pays the required fee; [and]
525	525	(3) submits proof of complying with the cumulative
526	526	continuing education requirements of Section 1103.211 during the
527	527	period the license has been on inactive status;
528	528	(4) satisfies the board as to the person's honesty,
529	529	trustworthiness, and integrity; and
530	530	(5) complies with the requirements of Sections
531	531	1103.203 and 1103.2031 [two years preceding the date the
532	532	application under Subdivision (1) is filed].
533	533	SECTION 33. Section 1103.252(b), Occupations Code, is
534	534	amended to read as follows:
535	535	(b) The board or the testing service may collect an
536	536	examination fee from an applicant for a certificate or license.
537	537	SECTION 34. Section 1103.253, Occupations Code, is amended
538	538	to read as follows:
539	539	Sec. 1103.253. TIME AND PLACE OF EXAMINATION; NOTICE. The
540	540	board or the testing service shall offer the examination at least
541	541	once each month in Austin and at other locations and times as the
542	542	board may determine or require. The board shall provide public
543	543	notice of all examinations on the board's Internet website [(a)
544	544	The examination must be offered at least twice each year.
545	545	[(b) The board shall determine the time and place of the
546	546	examination.
547	547	[(c) The board shall give reasonable public notice of the
548	548	examination in the manner provided by board rule.
549	549	[(d) The board may assign an examination date and site to an
550	550	applicant. The assigned site must be the nearest examination site
551	551	available to the applicant].
552	552	SECTION 35. Section 1103.255, Occupations Code, is amended
553	553	to read as follows:
554	554	Sec. 1103.255. EXPERIENCE [NOT] REQUIRED BEFORE TAKING
555	555	EXAMINATION. An applicant for the examination must [is not
556	556	required to] fulfill the applicable experience requirement for a
557	557	certificate or license before taking the examination.
558	558	SECTION 36. Sections 1103.257(a) and (b), Occupations Code,
559	559	are amended to read as follows:
560	560	(a) Not later than the 10th [31st] day after the date a
561	561	person takes an examination, the board or the testing service shall
562	562	notify the person of the examination results. [If an examination is
563	563	graded or reviewed by a national testing service, the board shall
564	564	notify the person of the examination results not later than the 31st
565	565	day after the date the board receives the results from the testing
566	566	service.]
567	567	(b) If notice of the examination results will be delayed for
568	568	more than 10 [90] days after the examination date, the board shall
569	569	notify each examinee of the reason for the delay not later than the
570	570	10th [90th] day.
571	571	SECTION 37. Section 1103.302, Occupations Code, is amended
572	572	to read as follows:
573	573	Sec. 1103.302. REGISTRATION APPLICATION. A person may
574	574	register with the board by:
575	575	(1) completing a registration form prescribed by the
576	576	board; [and]
577	577	(2) meeting the requirements established under this
578	578	chapter; and
579	579	(3) paying the required fee.
580	580	SECTION 38. Section 1103.303, Occupations Code, is amended
581	581	to read as follows:
582	582	Sec. 1103.303. ELIGIBILITY REQUIREMENTS FOR REGISTRATION.
583	583	A person is eligible to register with the board if:
584	584	(1) the certification and licensing program under
585	585	which the person is certified or licensed by another state has not
586	586	been disapproved by the Appraisal Subcommittee [Appraiser
587	587	Qualifications Board]; and
588	588	(2) the person's appraisal business in this state does
589	589	not exceed six months.
590	590	SECTION 39. Section 1103.351, Occupations Code, is amended
591	591	to read as follows:
592	592	Sec. 1103.351. SUPERVISORY APPRAISER [SPONSOR]. (a) The
593	593	board may authorize a certified appraiser under this chapter to
594	594	supervise [sponsor] an appraiser trainee if the certified appraiser
595	595	meets the requirements of the board consistent with applicable
596	596	federal law.
597	597	(b) An appraiser trainee may have more than one supervisory
598	598	appraiser [sponsor].
599	599	SECTION 40. Section 1103.352, Occupations Code, is amended
600	600	to read as follows:
601	601	Sec. 1103.352. APPLICATION FOR APPRAISER TRAINEE. An
602	602	applicant for a license [approval] as an appraiser trainee and each
603	603	supervisory appraiser [sponsor] of the applicant must apply to the
604	604	board using the online application on the board's Internet website
605	605	or on a form prescribed by the board.
606	606	SECTION 41. Section 1103.353, Occupations Code, is amended
607	607	to read as follows:
608	608	Sec. 1103.353. ELIGIBILITY REQUIREMENTS FOR APPRAISER
609	609	TRAINEE. To be eligible for a license [approval] as an appraiser
610	610	trainee, an applicant must:
611	611	(1) be at least 18 years of age;
612	612	(2) be a citizen of the United States or a lawfully
613	613	admitted alien;
614	614	(3) have been a resident of this state for the 60 days
615	615	preceding the date the application is filed;
616	616	(4) satisfy the board as to the applicant's honesty,
617	617	trustworthiness, and integrity; [and]
618	618	(5) comply with the requirements of Sections 1103.203
619	619	and 1103.2031;
620	620	(6) have obtained a high school diploma or an
621	621	equivalent certificate; and
622	622	(7) meet all other qualifications established by the
623	623	board.
624	624	SECTION 42. Sections 1103.354(a) and (b), Occupations Code,
625	625	are amended to read as follows:
626	626	(a) An appraiser trainee licensed [approved] by the board
627	627	may perform an appraisal under the direction of a supervisory
628	628	appraiser [sponsor or authorized supervisor of the trainee].
629	629	(b) The supervisory appraiser [sponsor or authorized
630	630	supervisor] shall sign each report prepared by the appraiser
631	631	trainee performing an appraisal under the direction of the
632	632	supervisory appraiser [sponsor or authorized supervisor]. The
633	633	supervisory appraiser [sponsor or authorized supervisor] is
634	634	responsible to the public and to the board for the appraiser
635	635	trainee's reports and conduct.
636	636	SECTION 43. Section 1103.355(a), Occupations Code, is
637	637	amended to read as follows:
638	638	(a) The board may reprimand an appraiser trainee or suspend
639	639	or revoke an appraiser trainee's license [authority] to act as an
640	640	appraiser trainee for a violation of this chapter or a rule adopted
641	641	under this subchapter.
642	642	SECTION 44. Section 1103.356, Occupations Code, is amended
643	643	to read as follows:
644	644	Sec. 1103.356. RENEWAL OF APPRAISER TRAINEE LICENSE
645	645	[APPROVAL]. A person may renew a license [an approval] as an
646	646	appraiser trainee by:
647	647	(1) paying the renewal fee established by the board;
648	648	(2) providing evidence satisfactory to the board of
649	649	completion of any required continuing education; and
650	650	(3) meeting any other renewal requirement established
651	651	by the board.
652	652	SECTION 45. Section 1103.405, Occupations Code, is amended
653	653	to read as follows:
654	654	Sec. 1103.405. PROFESSIONAL STANDARDS. A person who holds
655	655	a [license,] certificate, license, or registration [approval]
656	656	issued under this chapter shall comply with:
657	657	(1) the most current edition of the Uniform Standards
658	658	of Professional Appraisal Practice adopted by the Appraisal
659	659	Standards Board of the Appraisal Foundation; or
660	660	(2) other standards provided by board rule that are at
661	661	least as stringent as the Uniform Standards of Professional
662	662	Appraisal Practice.
663	663	SECTION 46. Section 1103.451, Occupations Code, is amended
664	664	to read as follows:
665	665	Sec. 1103.451. INITIATION OF COMPLAINT PROCESS. (a) Any
666	666	person, including a member of the board, may initiate the complaint
667	667	process under this subchapter by submitting to [filing with] the
668	668	board a written allegation of a violation of this chapter
669	669	[complaint] on a form prescribed by the board.
670	670	(b) The board, on its own motion, may file a formal
671	671	complaint against:
672	672	(1) a certified or licensed appraiser, an appraiser
673	673	trainee, or a registrant under Subchapter G; or
674	674	(2) [an appraiser trainee who is approved by the board
675	675	under Subchapter H.
676	676	[(c) A complaint alleging that a certified or licensed
677	677	appraiser or an approved appraiser trainee has violated a rule of
678	678	professional conduct adopted by the board must be filed with the
679	679	board.
680	680	[(d) The board, on its own motion, may file a formal
681	681	complaint against] a person who engages in an activity for which a
682	682	certificate or license is required under this chapter without
683	683	holding a certificate or license[. This subchapter and Subchapter
684	684	K apply to a complaint filed under this subsection in the same
685	685	manner as they apply to a complaint filed under Subsection (b)].
686	686	(c) An investigation of an alleged [(e) A complaint
687	687	alleging a] violation by a person licensed or [,] certified [, or
688	688	approved] under this chapter may not be terminated solely on the
689	689	basis that the person fails to renew the certificate or [,] license
690	690	[, or approval].
691	691	(d) The board may not conduct an investigation of a person
692	692	certified, licensed, or registered under this chapter or Chapter
693	693	1104 for an allegation of a violation submitted to the board later
694	694	than the fourth anniversary of the date the alleged violation
695	695	occurred.
696	696	SECTION 47. Section 1103.452, Occupations Code, is amended
697	697	to read as follows:
698	698	Sec. 1103.452. REVIEW AND INVESTIGATION. (a) The [On
699	699	receipt of a complaint or on its own motion, the] board shall review
700	700	and investigate an alleged act or omission that is the subject of an
701	701	allegation submitted or a formal complaint filed under Section
702	702	1103.451 [the board believes is a ground for disciplinary action].
703	703	(b) An investigator designated by the commissioner
704	704	[presiding officer of the board] shall investigate each allegation
705	705	or formal [in a] complaint [to determine whether probable cause
706	706	exists for a hearing on the complaint].
707	707	(c) If the board determines at any time that an allegation
708	708	or formal [a] complaint is inappropriate or without merit [does not
709	709	present facts that are grounds for disciplinary action], the board
710	710	or the commissioner shall dismiss the complaint and may not take
711	711	further action.
712	712	(d) For purposes of Subsection (c), a determination that the
713	713	allegation or complaint is inappropriate or without merit includes
714	714	a determination that the allegation or complaint:
715	715	(1) is not within the board's jurisdiction;
716	716	(2) was made in bad faith or filed for the purpose of
717	717	harassment or to gain a competitive or economic advantage; or
718	718	(3) lacks sufficient basis in fact or evidence.
719	719	SECTION 48. Section 1103.453(b), Occupations Code, is
720	720	amended to read as follows:
721	721	(b) A peer investigative committee consists of two or more
722	722	[three] certified or licensed appraisers. The presiding officer of
723	723	the committee must be an appraiser member of the board. Each
724	724	remaining committee member shall certify to the board that the
725	725	member is familiar with the appraisal process in the appraisal that
726	726	is the subject of the complaint.
727	727	SECTION 49. Section 1103.455(a), Occupations Code, is
728	728	amended to read as follows:
729	729	(a) At the conclusion of the investigation of a complaint,
730	730	the investigator shall prepare [submit to the board] a written
731	731	report to enable the board to determine what further action is
732	732	necessary.
733	733	SECTION 50. Section 1103.456, Occupations Code, is amended
734	734	to read as follows:
735	735	Sec. 1103.456. ACTION BASED ON REPORT. Based on the report
736	736	prepared [submitted] under Section 1103.455, the board may:
737	737	(1) order further investigation of the complaint;
738	738	(2) permit the appraiser or appraiser trainee who is
739	739	the subject of the complaint to participate in a voluntary [attend
740	740	an informal] discussion of the facts and circumstances of the
741	741	alleged violation [as provided by Section 1103.457];
742	742	(3) determine that there is not probable cause to
743	743	believe that a violation occurred and dismiss the case; or
744	744	(4) determine that there is probable cause to believe
745	745	that a violation occurred and proceed as the complainant with a
746	746	contested case hearing under Subchapter K.
747	747	SECTION 51. Section 1103.458, Occupations Code, is amended
748	748	by amending Subsection (d) and adding Subsection (g) to read as
749	749	follows:
750	750	(d) A board member who participates in negotiating a consent
751	751	order under this section is [not] disqualified from participating
752	752	in the adjudication of a contested case that results from the
753	753	negotiation.
754	754	(g) An appraiser or appraiser trainee may be disciplined for
755	755	failure to comply with a consent order.
756	756	SECTION 52. Section 1103.459(d), Occupations Code, is
757	757	amended to read as follows:
758	758	(d) An appraiser or appraiser trainee may be disciplined
759	759	[prosecuted] for failure to comply with a consent agreement.
760	760	SECTION 53. Section 1103.460, Occupations Code, is amended
761	761	to read as follows:
762	762	Sec. 1103.460. CONFIDENTIALITY OF INVESTIGATION MATERIAL
763	763	[PUBLIC AVAILABILITY OF FINAL DECISION]. (a) Information or
764	764	material, including any investigation file, is confidential and not
765	765	subject to disclosure under Chapter 552, Government Code, or any
766	766	other means of legal compulsion for release, including disclosure,
767	767	discovery, or subpoena, if the information or material is prepared
768	768	or compiled by the board in connection with a complaint,
769	769	investigation, or audit of any person subject to the jurisdiction
770	770	of the board.
771	771	(b) Notwithstanding Subsection (a), information or material
772	772	prepared or compiled by the board in connection with a complaint,
773	773	investigation, or audit may be disclosed:
774	774	(1) to the respondent of the complaint;
775	775	(2) to a person providing a service to the board,
776	776	including a peer investigative committee appointed under Section
777	777	1103.453, an expert or other witness, or an investigator, if the
778	778	information is necessary for preparation for, or a presentation in,
779	779	a disciplinary proceeding against an applicant or license holder,
780	780	or a subsequent trial or appeal taken from a disciplinary
781	781	proceeding;
782	782	(3) to an entity in another jurisdiction that
783	783	licenses, registers, credentials, or disciplines any person
784	784	subject to the jurisdiction of the board;
785	785	(4) to a law enforcement agency;
786	786	(5) to the State Office of Administrative Hearings; or
787	787	(6) to the board, or a panel of the board, for use
788	788	during any proceeding conducted by the State Office of
789	789	Administrative Hearings or in a subsequent trial or appeal of a
790	790	board action or order.
791	791	(c) The release of information under Subsection (b) does not
792	792	waive or affect the confidentiality of the information or waive the
793	793	right to assert exceptions to required disclosure of the
794	794	information in the future.
795	795	(d) The board may require a confidentiality agreement be
796	796	signed by a person entitled to receive information under Subsection
797	797	(b) before releasing the information.
798	798	(e) Notwithstanding Subsection (a), on the dismissal or
799	799	final resolution of a complaint, investigation, or audit,
800	800	information or material prepared or compiled by the board in
801	801	connection with the complaint, investigation, or audit, including a
802	802	completed audit report or a final order of the board, are public
803	803	information and not excepted from disclosure [A final decision of
804	804	the board relating to a disciplinary action, including a consent
805	805	order or consent agreement, may be provided to another state or made
806	806	available to the public].
807	807	SECTION 54. Section 1103.519, Occupations Code, is amended
808	808	to read as follows:
809	809	Sec. 1103.519. MOTION [APPLICATION] FOR REHEARING. (a) A
810	810	[Not later than the 20th day after the date a final decision is
811	811	issued in a contested case, a] party may file a motion for rehearing
812	812	[an application] with the board [for a rehearing]. The motion
813	813	[application] must state:
814	814	(1) the specific grounds for rehearing; and
815	815	(2) the relief sought.
816	816	(b) A motion for rehearing filed under this section is
817	817	governed by Chapter 2001, Government Code [The application is
818	818	denied if the board does not grant it before the 20th day after the
819	819	date the commissioner is served with the application].
820	820	SECTION 55. Section 1103.522, Occupations Code, is amended
821	821	to read as follows:
822	822	Sec. 1103.522. WAITING PERIOD [REINSTATEMENT OF
823	823	CERTIFICATE OR LICENSE]. A person whose certificate or license has
824	824	been revoked, [or] a person who has surrendered a certificate or
825	825	license issued by the board, or a person whose application for a
826	826	certificate or license has been denied after a hearing under
827	827	Section 1103.508 may not apply to the board for a certificate or
828	828	license [reinstatement] until the second anniversary of the date of
829	829	revocation, [or] surrender, or denial.
830	830	SECTION 56. Subchapter K, Chapter 1103, Occupations Code,
831	831	is amended by adding Section 1103.523 to read as follows:
832	832	Sec. 1103.523. COST RECOVERY. The administrative law judge
833	833	may award reasonable costs to the board on a request for and proof
834	834	of the costs if the respondent fails to appear for the hearing under
835	835	Section 1103.510, including any costs:
836	836	(1) charged by the State Office of Administrative
837	837	Hearings; and
838	838	(2) related to the preparation for the hearing,
839	839	including costs of discovery, depositions, subpoenas, service of
840	840	process, witness expenses, travel expenses, and investigation
841	841	expenses.
842	842	SECTION 57. Section 1103.552, Occupations Code, is amended
843	843	by adding Subsection (c) to read as follows:
844	844	(c) An administrative penalty collected under this section
845	845	shall be deposited in a restricted fund maintained and operated by
846	846	the board to develop educational programs for appraisers or conduct
847	847	studies that enhance consumer protection.
848	848	SECTION 58. The following provisions of the Occupations
849	849	Code are repealed:
850	850	(1) Section 1103.005;
851	851	(2) Section 1103.2015; and
852	852	(3) Section 1103.457.
853	853	SECTION 59. (a) Section 1103.055, Occupations Code, as
854	854	amended by this Act, does not affect the terms of the members of the
855	855	Texas Appraiser Licensing and Certification Board who are serving
856	856	on the effective date of this Act. Members appointed to fill
857	857	vacancies occurring on or after the effective date of this Act shall
858	858	be appointed to serve staggered terms in accordance with that
859	859	section.
860	860	(b) Section 1103.159, Occupations Code, as amended by this
861	861	Act, does not affect the terms of the members of the advisory
862	862	committee who are serving on the effective date of this Act. Not
863	863	later than the 60th day after the effective date of this Act, the
864	864	governor shall appoint the two new members of the advisory
865	865	committee to serve staggered terms in accordance with that section.
866	866	(c) The changes in law made by this Act apply only to an
867	867	application for a license or certificate submitted to the Texas
868	868	Appraiser Licensing and Certification Board on or after the
869	869	effective date of this Act. An application for a license or
870	870	certificate submitted before that date is governed by the law in
871	871	effect on the date the application was submitted, and the former law
872	872	is continued in effect for that purpose.
873	873	(d) The changes in law made by this Act apply only to a
874	874	disciplinary proceeding or a contested case hearing under Chapter
875	875	1103, Occupations Code, for conduct that occurs on or after the
876	876	effective date of this Act. Conduct that occurs before the
877	877	effective date of this Act is governed by the law in effect on the
878	878	date the conduct occurred, and the former law is continued in effect
879	879	for that purpose.
880	880	SECTION 60. This Act takes effect January 1, 2016.