Current through Register Vol. 49, No. 2, February 2024
Section
I
- General (A) Creation,
Purpose
(1) The Arkansas
Appraiser Licensing and Certification Board, (Board), was created by the action
of the 78th General Assembly of the State of Arkansas during its regular
session of 1991 with the passage of Act 541, "The Arkansas Appraiser Licensing
and Certification Act 541" of 1991. (A.C.A.
17-14-201
as amended)
(2) The Arkansas
Appraiser Licensing and Certification Board's purpose in promulgating these
regulations is to implement the provisions of Act 541 of 1991, The Arkansas
Appraiser Licensing and Certification Act in a manner consistent with Title XI
of the Financial Institutions Reform, Recovery and Enforcement Act of 1989
(FIRREA), Title 12, United States Code, Sections
93, et seq. The Board is
authorized to promulgate such rules as may be necessary to insure compliance
with FIRREA and other applicable federal law.
(3) The Board shall hire a permanent staff to
conduct the daily business of the Board. The specific duties of the permanent
staff shall be determined by the Board. The staff shall consist in the first
year of the biennium beginning July 1, 1991, of an Executive Director and one
(1) Administrative Assistant. During the second year of the biennium one (1)
additional permanent position of Investigator shall be created. Qualifications
and salary levels for all permanent staff positions shall be determined by the
Board and vacant staff positions will be filled following proper notice and
advertising of the available positions with the State Employment Security
Division and in accordance with all other State statutes regarding the hiring
of public employees.
(4) The Board
shall hold regular meetings in accordance with Section
5 of Act 541 to consider and act
upon applications for certification and licensure, complaints regarding
licensees, and to transact other business as may come properly before
it.
(5) Requests for general
information, applications for examination and for certificates or licenses,
complaint forms or copies of regulations may be directed to the Arkansas
Appraiser Licensing and Certification Board.
Section I
- General (B)
Definitions
The following words and terms, when used in these regulations,
unless a different meaning is provided or is plainly required by the context,
shall have the following meanings:
(1)
"Act 541"- The Arkansas Appraiser Licensing and Certification Act
of 1991, as amended, and codified as A.C.A.
17-14-101 et
seq..
(2)
"BOARD"- The
Arkansas Appraiser Licensing and Certification Board created under Act 541 of
1991.
(3)
"APPRAISER or REAL
ESTATE FEE APPRAISER" - Any person who, for a fee or valuable
consideration, develops and communicates a real estate appraisal or otherwise
gives an opinion of the value of real estate or any interest therein.
(4)
"INDEPENDENT APPRAISAL
ASSIGNMENT" - Any engagement for which an appraiser is employed, or
retained to act or to be perceived by third parties or the public as acting as
a disinterested third party in rendering an unbiased analysis, opinion, or
evaluation, or conclusions relating to the nature, quality, value, or utility
or identified as real estate or real property.
(5)
"STATE CERTIFIED APPRAISER"-
Any individual who has satisfied the requirements for State Certification in
the State of Arkansas and who is qualified to perform appraisals of real
property types of any monetary size and complexity. Within this category are
included two (2) sub-classifications of certification;
(a)
"State Certified
Residential Appraiser" which applies to the appraisal of
one-to-four residential units without regard to transaction value or
complexity. (Note: This classification applies to the appraisal of one-to-four
residential units without regard to transaction value or complexity based on
the consensus of the Appraiser Qualifications Board of the Appraisal
Foundation. The Federal Financial Institutions Regulatory Agencies as well as
other agencies and regulatory bodies permit the Certified Residential
classification to appraise properties other than those specified by the
Appraiser Qualifications Board. All Certified Residential appraisers are bound
by the Competency Provision of the Uniform Standards of Professional Appraisal
Practice.)
(b)
"State
Certified General Appraiser"
which applies to the appraisal
of all types of real property. All Certified General real property appraisers
are bound by the Competency provision of the Uniform Standards of Professional
Appraisal Practice.
(6)
"STATE LICENSED APPRAISER"- Any individual who has satisfied the
requirements for State Licensing in the State of Arkansas and who is qualified
to perform appraisals of real property types up to a monetary size and
complexity as prescribed by the Appraisal Subcommittee of the Federal Financial
Institutions Examination Council and the Federal Financial Institutions
Regulatory Agencies.(Note: This classification applies to the appraisal of
non-complex one-to-four residential units having a transaction value less than
$1,000,000 and complex one-to-four residential units having a transaction value
less than $250,000 based on the consensus of the Appraiser Qualifications Board
of the Appraisal Foundation. The Federal Financial Institutions Regulatory
Agencies as well as other agencies and regulatory bodies permit the licensed
classification to appraise properties other than those specified by the
Appraiser Qualifications Board. All Licensed appraisers are bound by the
Competency Provision of the Uniform Standards of Professional Appraisal
Practice.)
(7)
"STATE
REGISTERED APPRAISER" - Any person who has satisfied the requirements
for registering as set forth in Section
17-14-307
of this chapter or requirements as may have been determined by the Board and
who may perform appraisals on any type of property except when the purpose of
the appraisal is for use in federally related transactions.
(8)
"COMPLEX 1-To-4 FAMILY RESIDENTIAL
PROPERTY APPRAISAL" -One in which the property to be appraised, the form
of ownership, or market conditions are atypical.
(9)
"OPEN PUBLIC MEETINGS"- All
meetings, formal or informal, special or regular of the Arkansas Appraiser
Licensing and Certification Board except those classified as "Executive
Sessions" under Act 541, Section
12. (a) , the Arkansas Appraiser
Licensing and Certification Act and [Ark. Stat.
25-19-106,
Paragraphs (c)(1), (c)(2)(A) & (c)(2)(B), and (c)(4)], the Freedom of
Information Act.
(10)
"EXECUTIVE SESSIONS"- Those meetings of the Arkansas Appraiser
Licensing and Certification Board conducted for the purpose of disciplinary
hearings, to determine whether to levy civil penalties under this Act, and/or
for the purpose of determining whether to revoke or suspend any license or
certificate issued pursuant to Act 541 of 1991, and additionally, those
permitted under the Freedom of Information Act for the purpose of considering
employment, appointment, promotion, disciplining, or resignation of any public
officer or employee.
(11)
"TRANSACTION VALUE"- For the purposes of these regulations this
means:
(a) For loans or other extensions of
credit, the amount of the loan or extension of credit;
(b) For sales, leases, purchases, and
investments in or exchanges of real property, the market value of the real
property interest involved;
(c) For
the pooling of loans or interests in real property for resale or purchase, the
amount of the loan or market value of the real property calculated with respect
to each such loan or interest in real property;
(d) For condemnation appraisals the value
will be the total market value of the property before any acquisition of
property occurs;
Section
I
- General (C)Board Compensation and Expense
Reimbursement
Each member of the Arkansas Appraiser Licensing and Certification
Board shall receive a per diem allowance of fifty dollars ($50) (or as amended
by Legislative Act) as compensation for each meeting of the Board at which the
member is present and for each day or substantial part thereof actually spent
in the conduct of the business of the Board, plus all appropriate expenses as
approved by the Board. Appropriate expenses are the reimbursable expenses a
member of the Board necessarily incurs in the discharge of his/her official
duties. Requests for compensation or reimbursement of appropriate expenses
shall not be processed for payment unless sufficient funds are available for
that purpose within the appropriations for this Board.
Section I
- General (D)
Action of the Board
Any adjudicatory or rule making action taken by the Board
pursuant to Act 541 of 1991 or these regulations shall first be in compliance
with the Administrative Procedure Act, A.C.A.
25-15-201 et
seq., and may be performed by a number of the Board's members or by those
officers, employees, agents or representatives of the Board as is permitted by
law and authorized by a majority of the Board's membership. The Board may take
action by a mail ballot or by a conference telephone call and any such action
so taken shall be conducted in the presence of an administrative secretary and
a record of such actions and meetings shall be recorded in the minutes of the
Board. All meetings of the Board or subcommittees of the Board shall be open
public meetings as defined herein except as provided herein for "Executive
Sessions" in Section
I General (B)(7).
The Executive Director, Administrative Assistant, and the
Investigator are prohibited from engaging in any act for which a certificate or
a license is required under the provisions of Act 541 or receive or become
entitled to receive any fee or compensation of any kind in any capacity
whatsoever, either directly or indirectly, in connection with any real estate
appraisal transaction. Practicing appraiser members of the Board are excluded
from this prohibition as are contracted investigators or other contracted
experts who may be employed by the Board from time-to-time.
The Board may conduct disciplinary proceedings from time-to-time
and may cause the actions of a licensee or certificate holder against whom a
complaint has been registered to be investigated. For a complaint to be
properly registered, the complainant shall file the complaint in writing at the
permanent address of the Board, directed to the Executive Director of the
Arkansas Appraiser Licensing and Certification Board. However, the Board may at
its own discretion act upon anonymous complaints when sufficient documents and
information (i.e. appraisal reports, reviews, and/or outlined deficiencies) are
available on which to conclude that the Uniform Standards, the State Law,
and/or these Rules may have been violated. Any and all complaints within the
jurisdiction of the Board must be in writing, dated, and signed by the
complainant, and filed with the Board office. The Executive Director, or
authorized employees of the Board, upon receiving any such complaint, may
proceed to investigate said complaint and take statements from any person
thought to have any knowledge of any facts pertaining thereto. The written
complaint shall specifically state the issues of the complaint, and the date(s)
on which the events causing or leading to the complaint occurred. The Board, at
its discretion may request the licensee or certificate holder under
investigation to answer the charges made against him/her in writing and to
produce relevant documentary evidence and may request him/her to appear before
it. The Executive Director shall notify in writing every person complained
against, and provide that person an opportunity to respond in writing. A copy
of the written complaint shall be furnished to the licensee under investigation
and a copy of any written answer of the licensee or certificate holder shall be
furnished to the complainant. Appraisers failing to respond in writing within
thirty (30) days of receipt of the complaint will be deemed unresponsive and
the complaint will be further considered without the benefit of the appraiser's
input. Every complaint in which the Board determines a
reasonable violation of the Arkansas Appraiser Licensing and Certification Act
or these Regulations has occurred shall be presented to and reasonably disposed
of by the Board. The Board may subpoena and issue subpoena duces tecum and
bring before it any person in this State or licensed by the Board, and take
testimony by deposition, in the same manner as prescribed by law in judicial
proceedings in the courts of this State, or require production of any records
relevant to any inquiry or hearing by the Board. Records of disciplinary
proceedings and investigations shall not be open to the public for inspection
at any time. Disciplinary hearings shall be conducted according to the Arkansas
Administrative Procedures Act, A.C.A. Sec.
25-15-201 et
seq.
Section I
- General (E) Records of the Board
All public records of the Arkansas Appraiser Licensing and
Certification Board shall be open for inspection and copying at the office of
the Board by any member of the general public during normal business hours
(8:00 a.m. to 4:30 p.m. Monday through Friday, except holidays) except for
those records exempt under Act 541 of 1991 and under these regulations. All
public meetings of the Arkansas Appraiser Licensing and Certification Board
will be open to any member of the public.
The Executive Director of the Board shall be established as the
custodian of the Records of the Board. The Executive Director shall be
responsible for the maintenance of the Board's records and shall also be
responsible for access to public records.
Individuals may inspect and copy public records pursuant to the
procedures set forth in the Arkansas Freedom of Information Act, A.C.A.
25-19-101
et.seq. and shall pay an appropriate fee or fees as shall be set by the
Board.
Section I
- General (F) Restrictions on Appraisal
Practice/Services
A State Licensed Appraiser may
perform appraisals of non-complex one (1) to four (4) residential units having
a transaction value of less than $1,000,000 or such other transaction value
levels as shall be set by the Federal Financial Institutions Regulatory
Agencies and of complex one (1) to four (4) residential units having a
transaction value of less than $250,000 or such other transaction value levels
as shall be set by the Federal Financial Institutions Regulatory Agencies. In
addition, a State Licensed Appraiser may perform appraisals of
all other properties of a non-complex character with transaction values up to
levels set by the Federal Financial Institutions Regulatory Agencies subject to
the Competency Provisions of the Uniform Standards of Professional Appraisal
Practice. *
A State Certified Residential
Appraiser may perform appraisals of all properties that a State
Licensed Appraiser may appraise and also all one (1) to four (4) residential
units without regard to transaction value or complexity. All appraisals and/or
appraisal services performed by a State Certified Residential Appraiser shall
be subject to the Competency Provisions of the Uniform Standards of
Professional Appraisal Practice. *
A State Certified General appraiser
shall have no transaction value limits or complexity restrictions on his/her
appraisal practice subject only to the Competency Provisions of the Uniform
Standards of Professional Appraisal Practice.
* State Licensed and Certified Residential appraisers
performing appraisals on non-residential (i.e. commercial farms, timberland
etc.) property types shall comply with the following
limitations.
* Federally Related Transactions: A state licensed/certified
residential appraiser shall be limited to appraising a "transaction value"
(loan value) of no more than $250,000.
* Non-Federally Related Transactions: A state licensed/certified
residential appraiser shall be limited to a
* "property value" of no more than $250,000.
A State Registered Appraiser may
perform appraisals on any type of property except when the purpose of the
appraisal is for use in federal related transactions, and must include in all
appraisal reports a statement that the appraisal may not be eligible for use in
federally related transactions.
All appraisals and/or appraisal services performed by a state
registered appraiser shall be subject to the competency provision of the
Uniform Standards of Professional Appraisal Practice.
These restrictions shall not preclude any person who is
registered from participating in the performance of appraisals or providing of
appraisal services in federally related transactions provided that the
participation is under the supervision of a State Licensed Appraiser, a State
Certified Residential Appraiser or a State Certified General Appraiser. The
intent of this provision is to allow persons to participate in the performance
of appraisals or providing of appraisal services under the supervision of
properly licensed or certified appraisers as registered appraisers, employees,
apprentices, trainees, sub-contractors, co-signers, research assistants, or
other capacities related to the production of appraisal reports or the delivery
of appraisal services without being licensed or certified. All appraisal
services rendered in federally related transactions must be performed or
rendered by a person or persons holding the appropriate license or certificate.
All written appraisal reports shall make a specific reference to any person(s)
bear the signature(s) and seal(s) of all properly registered, licensed or
certified person(s) who participated significantly in the performance of the
appraisal or delivery of appraisal services. All Registered, Licensed or
Certified appraisers signing an appraisal report or other document representing
the delivery of appraisal services shall assume full joint and several
responsibility and liability for the compliance of the appraisal performed or
the appraisal service rendered with respect to compliance with the Uniform
Standards of Professional Appraisal Practice.
Section I
- General (G)
Licensure and Certification
If upon passing the required appropriate examination, an
applicant is found by the Board to be otherwise qualified, the Board shall
issue to the applicant, a real estate appraiser license or a real estate
appraiser certificate indicating residential or general status.
Section I
-
General (H) Denial of License or Certificate
An applicant denied a license or certificate shall be notified in
writing by the Board of such denial and the reasons therefore. Such applicant
may request an informal conference with the Board to reconsider such denial at
its next scheduled meeting. Such requests must be sent to the board office
within thirty (30) days of the date of the notice of denial.
Denial of a license or certificate is not an administrative
adjudication as provided for under the Arkansas Administrative Procedures
Act.
Section I
- General (I) Appraiser Seal
Each registered, licensed and certified appraiser, at his/her own
expense, shall secure, upon authorization by the Board, a seal, or rubber
stamp, the form of which shall be approved by the Board.
In addition to the personal seal or rubber stamp, the licensee
shall also affix his/her signature, at the minimum, to the signature page(s) of
the original estimates, reports and other documents or instruments which were
prepared by him /her or were prepared under his/her direction.
Section I
-
General (J) Form and Content
The Board shall issue to each registered, licensee or certificate
holder a license or certificate as applicable, in a form as shall be prescribed
by the Board. The license and/or certificate shall show the name of the
registered, licensee or certificate holder and a license or certificate number
assigned by the Board. Each license and/or certificate shall have imprinted on
it the state seal and in addition shall contain other matters as shall be
prescribed by the Board.
Registrations, License and certificate documents, pocket cards
and seals shall remain the property of the state and upon any suspension,
revocation or a denial of a license or certificate, the individual holding the
related license or certificate document and pocket card shall return them to
the Board within ten (10) days of notification by the Board and shall cease to
use seals or stamps immediately upon receipt of notice.
Section I
- General (K)
Individual Licenses, Certificates, Business Names, Pocket
Cards
A registered, licensee or certificate holder shall not conduct
his/her business under any other name or at any other address than the one for
which his/her individual license or certificate is issued unless he/she first
register the name(s) with the Board. If a registered, licensee or certificate
holder changes his/her name or business address, he/she shall notify the Board
in writing within thirty (30) days after the change
becomes effective.
In addition to the individual license or certificate to be issued
to each qualified individual, the Board shall furnish to each individual a
pocket card, which shall certify that the person whose name appears on the
pocket card is a state registered appraiser, state licensed appraiser, a state
certified residential appraiser, or a state certified general appraiser, and
indicate any current restrictions of that licensees practice. Each registered,
licensee or certificate holder shall carry his/her pocket card upon his/her
person at all times when conducting any real estate appraisal related activity
and shall exhibit it upon demand.
Section
I
- General (L) Replacement License or
Certificate
A registered, license or certificate holder may, by filing a
written request and paying an appropriate fee to the Board, obtain a duplicate
registration, license or certificate which has been lost, damaged or destroyed
or if the name of the licensee or certificate holder has been lawfully
changed.
Section I
- General (M) Federal Appraiser Registry
The Board shall submit to the Appraisal Subcommittee of the
Federal Financial Institutions Examination Council all names of individuals who
are qualified as licensees or certificate holders in the state of Arkansas,
both resident and non-resident, provided the individuals have paid to the Board
the appropriate registry fee established for that purpose by the Appraisal
Subcommittee or any other appropriate federal agency or instrumentality. If a
non-resident appraiser is licensed or certified on a non-temporary basis in
another state, and chooses to be licensed or certified in Arkansas on a
non-temporary basis, the federal registry fee shall be collected by the
Arkansas Appraiser Licensing and Certification Board and submitted to the
Appraisal Subcommittee. The federal registry fee collected by the Arkansas
Appraiser Licensing and Certification Board from non-resident appraisers shall
be an additional federal registry fee to that which is collected from the other
state(s) where the appraiser may be licensed or certified on a non-temporary
basis. An appraiser holding the classification of "State Registered" will not
be assessed a federal registry fee.
Section I
- General (N)
Educational Offerings and Approval
1.
General Requirements For All
Educational Offerings
The Board may recommend all course offerings for pre-licensure
and pre-certification as well as for continuing education. The approval process
shall apply to course content, facilities, text and other materials utilized in
the offering and instructors. The Board may, at its sole discretion employ the
services of an advisory education panel for the purpose of reviewing
educational offerings for quality, content, and qualifications of instructors.
No educational offering, course or program for pre-licensure or certification
credit or for continuing education credit will be announced or advertised
unless it is recommended by the Board for credit. The Board may recognize any
educational offering recommended or approved by the Appraiser Qualification
Board of the Appraisal Foundation.
In addition to educational offerings approved by the Board, the
Board may accept education obtained in offerings held in another jurisdiction
in which a course has been approved to meet the educational requirements for
qualifying or continuing education of such other jurisdiction if that
jurisdiction has adopted and enforces Standards for the education of real
estate appraisers which is equivalent to those of the Board.
Time requirements for the purpose of all educational offerings
shall provide that a classroom hour means sixty (60) minutes, at least fifty
(50) minutes of which shall be devoted to actual classroom instruction and no
more than ten (10) minutes of which shall be devoted to a non-instructional
activity.
Credit toward the classroom hour requirement for all classes of
licensing or certification may only be granted where the length of the
educational offering is at least fifteen (15) hours and the individual
successfully completes an examination pertinent to that educational offering.
The examination requirement may be waived for seminars approved for continuing
education. Each credit hour obtained from an approved college and/or university
shall count as fifteen (15) classroom hours of education.
Credit for the classroom hour requirement may be obtained from
the following, provided they are recognized by the Board.
(a) Colleges or Universities
(b) Community, Junior or Technical
Colleges
(c) Real Estate Appraisal
or Real Estate Related Organizations
(d) State or Federal Agencies or
Commissions
(e) Proprietary/Private
Career Schools
(f) Other providers
approved by the State Appraiser Licensing and Certification Board
Various educational offerings may be credited toward the
classroom hour education requirements for the various classifications of
licensing or certification established in these regulations. Educational
offerings should focus on the topics listed below with emphasis on specific
property types depending on the classification of licensure or certification
for which the offering is being presented.
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(a) Influences on Real Estate Value
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(k) Site Value
|
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(b) Legal Considerations in Appraisal
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(l) Cost Approach
|
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(c) Types of Value
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(m) Income Approach
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(d) Economic Principles
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- Gross Rent Multiplier analysis
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(e) Real Estate Markets and Analysis
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- Estimation of Income and Expenses
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(f) Valuation Process
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- Operating Expense Ratios
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(g) Property Description
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- Capitalization Methods
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(h) Highest and Best Use Analysis
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(n) Valuation of Partial Interests
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(i) Appraisal Statistical Concepts
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(o) Appraisal Standards and Ethics
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(j) Sales Comparison Approach
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The Board recognizes that there may be other appraisal related
topics that may be offered for continuing education that are beyond the scope
of the list of topics cited above. Such educational offerings shall be
recognized for continuing education credits at the discretion of the Board. All
educational offerings for pre-licensure or certification shall focus on the
topics listed above only. The Board may, at its sole discretion, accept a
course of instruction designed to fulfill the educational requirements for
licensure or certification without the prior approval of the course.
2.
Pre-license and Pre-certification Educational Offering Approval
Process
All pre-license and pre-certification educational offerings
approved by the Board will be those determined by the Board to be of a quality
level in which applicants can become licensed or certified and through which
their completion will illustrate a participant's competence and provide a high
level of public service and protection. All Pre-license and Pre-certification
educational offerings offered in Arkansas will be reviewed by the Board or its
designated advisory panel. Approval by the Board shall occur only after
compliance with the following requirements has been established:
(a) The pre-license and pre-certification
educational offerings shall address some or all of the subjects set forth in
Sections III,
IV and
V of these regulations.
(b) Each educational offering shall be
conducted and supervised by an instructor who shall be present in the classroom
during times of creditable classroom instruction, unless such approved offering
is provided in a non-conventional method. (i.e. Internet, CD-ROM, or other
electronic means.)
(c) All persons
or entities requesting approval from the Board for a pre-licensure or
pre-certification educational offering shall submit a completed form provided
by the Appraiser Licensing Board and accompanied by supporting documents
specified in the application. In addition to the application and supporting
documents, each prospective provider may be required to submit the following
items:
(i) A complete curriculum showing all
courses offered and the times allocated to each course.
(ii) A copy of the Final examination and the
correct answers. No provider may provide a certificate of completion to a
student who has not satisfactorily completed an appropriate in-class final
examination.
(d)
Pre-license and Pre-certification educational requirements may be satisfied
through the completion of Board approved correspondence courses or other
distance educational offerings. Persons or entities seeking Board approval of
pre-licensure or pre-certification distance educational offerings shall submit
the following:
(i) An outline and description
of the entire course;
(ii) A
description of how the provider proposes to accomplish a display of the
student's knowledge of the required subjects;
(iii) The forms for homework
assignments;
(iv) Copies of all
examinations to be given along with accompanying answer sheets reflecting the
correct answers;
(v) A complete
listing of the criteria for satisfactory completion of the course;
(vi) And such other information as the Board
may require.
(e)
Approval by the Board is initially granted for a period of two years provided
no substantive changes in course content is made and approval may be extended
for another two years on written request by the provider. Failure to timely
request an extension will result in automatic termination of the educational
offerings approval status.
(f) The
Board may at its discretion adopt and implement various procedures for the
auditing of any offerings that have been accepted for qualifying and continuing
education approval by this agency.
3.
Educational Provider Approval
for Co-Sponsorship
An educational provider whose appraisal specific courses or
seminars as well as instructors which have been pre-approved the Arkansas
Appraiser Licensing and Certification Board for credit toward meeting
Qualifying Education or Continuing Education may petition the Board's
co-sponsorship of such in-state offerings. This endorsement by the Board may
permit the educational provider to conduct the co-sponsored program under the
oversight of the Appraiser Licensing Board in lieu of the Board of Private
Career Education.
In order for a course or seminar to be co-sponsored by the Board,
the provider must:
(1) Award
completion certificates to all students meeting the course criteria;
(2) Retain all course outlines and records of
attendance for at least three years;
(3) Adopt and provide to the Board a copy of
an administrative policy regarding student attendance and attendance
records;
(4) Adopt and provide to
the Board a copy of an administrative policy regarding refunds and
cancellations of a scheduled offering by the provider.
The failure to comply with any of the foregoing provisions or
stated policies may result in the Board's refusal to co-sponsor future courses
or seminars offered by the educational provider.
Section I
-
General (O) Uniform Standards of Professional Appraisal
Practice
The Arkansas Appraiser Licensing and Certification Board adopts
by reference the "Uniform Standards of Professional Appraisal Practice" (USPAP)
as published and amended by the Appraisal Foundation from time to time. This
adoption by reference shall include all parts of the USPAP including the
introductory sections for the purpose of judging those applicants, licensees
and certificate holders with respect to the appropriateness of their conduct
and activities as appraisers in the State of Arkansas
Section I
- General (P)
Grounds for Disciplinary Action
The Board may, upon its own motion or upon written complaint of
any person, and after notice and hearing as prescribed by the Administrative
Procedures Act, suspend or revoke the license or certification of any licensee
or certificate holder and/or issue a fine up to the amount of $1,000 per
violation occurrence for:
1. Violation
of any provision of the Arkansas Appraiser Licensing and Certification Act 541
of 1991 as amended or any of these regulations;
2. Falsifying any application for licensure
or certification or otherwise providing any false information to the
Board;
3. Conviction in any
jurisdiction of any misdemeanor involving moral turpitude or of any felony. A
plea of nolo contendere or no contest shall be considered a conviction for the
purposes of this section.
4. Any
actions demonstrating un-trustworthiness, incompetence, dishonesty, gross
negligence, material misrepresentation, fraud or unethical conduct in any
dealings subject to the Act or these regulations;
5. Adjudication of insanity;
6. Use of advertising or solicitation which
is false, misleading, or is otherwise deemed unprofessional by the
Board;
7. Employing directly or
indirectly any unregistered or unlicensed person to perform any actions subject
to the Act or these regulations;
8.
Habitual or excessive use of intoxicants or illegal drugs;
9. Failure to meet continuing education
requirements within the proper time period.
Section I
- General (Q)
Publication of Disciplinary Action
In those instances where this Board suspends, revokes, or a
license or certification is surrendered during an investigation or while formal
charges are pending, notice of such action shall be published in the Board's
newsletter, the Arkansas Bankers Association and the Mortgage Bankers
Association of Arkansas periodicals, and any other appropriate publications
which will communicate such actions taken against an appraiser's
license.
Section II
- General Qualifications for Registration, Licensure or
Certification
The Board shall approve and issue registrations, licenses and
certificates to qualified applicants or disapprove applications for
registration, licensing and certification for applicants who do not meet the
minimum requirements for registering, licensing or certification as prescribed
in Act 541. The best interest of the public shall be given due regard when
considering each applicant for registration, licensing or certification.
Every applicant to the Arkansas Appraiser Licensing and
Certification Board as a State Registered appraiser, State Licensed appraiser
or State Certified appraiser shall have the following qualifications:
A. The applicant shall have a good reputation
for honesty, truthfulness, and fair dealing, and be competent to transact the
business of a registered, licensed or certified appraiser in such a manner as
to safeguard the interests of the public.
B. The applicant shall meet the current
educational and experience requirements for licensing or certification prior to
the time he or she applies to sit for the licensing or certification
exam.
C. A non-resident applicant
shall be in good standing as an appraiser in every jurisdiction where licensed;
the applicant shall not have had a license which was suspended, revoked, or
surrendered in connection with a disciplinary action or which has been the
subject of discipline in any jurisdiction prior to applying for licensure or
certification in Arkansas.
D. The
applicant shall not have been convicted, found guilty or pled guilty,
regardless of adjudication, in any jurisdiction of a misdemeanor involving
moral turpitude or of any felony. Any plea of nolo contendere shall be
considered a conviction for the purposes of this paragraph. The record of a
conviction authenticated in such form as to be admissible in evidence under the
laws of the jurisdiction where convicted shall be admissible as prima facie
evidence of such conviction.
E. The
applicant shall be at least 18 years old and shall have received a high school
diploma or its equivalent.
F.
Applicants who do not meet all of the foregoing requirements and qualifications
may nevertheless be approved for registration, licensure or certification by
resolution of the Board.
G. All
applications for registration, licensing, certification, renewal, examination,
or reinstatement shall be made on forms provided by the Board and completed and
signed by the applicant, with the signature acknowledged before a notary
public. All applications shall include the appropriate fees. The Board will not
consider an application which is incomplete or with which the correct fees have
not been submitted.
H. The Board
may require each applicant for a license to furnish, at his/her expense, a
recent passport -type photograph of him/herself, as well as any other
information or form of identification deemed necessary by the Board to
determine the applicant's qualifications for licensing or
certification.
I. The Board
reserves the right, at its discretion, to hold for a reasonable length of time
for investigation, the application of any applicant before issuing a license or
certificate.
Section III
- Pre-Licensure Qualifications for State Licensed
Appraiser
An applicant for a license as a State Licensed Appraiser shall
meet the following requirements in addition to those set forth in Section
II of these regulations:
A.
Examination
1. Applicants for State License shall be
personally interviewed by representatives of the Appraiser Licensing Board
prior to sitting for the exam.
Applicants having been cleared to take the exam may, because of
in-state offering dates and locations, elect to schedule the examination in
another state, subject to approval of the Arkansas Board.
2. Successful completion of the Appraiser
Qualifications Board endorsed Uniform State Licensing Examination or its
equivalent.
3. The applicant,
within twelve months prior to the awarding of a license for a licensed real
estate appraiser, shall have passed a written examination provided by the Board
or by a testing service acting on behalf of the Board. The examination shall at
all times be an Appraisal Foundation - Appraiser Qualifications Board endorsed
Uniform State Licensing Examination or its equivalent. Applications reflecting
satisfaction of all prerequisites must be received by the Board no less than 60
days prior to the date of the examination.
4. An applicant for State License who fails
to pass the exam after two (2) attempts will not be afforded an opportunity to
retake the exam for at least six (6) months from date of last exam.
B.
Appraisal
Education (Prerequisite to sit for the examination)
1. The applicant shall have successfully
completed ninety (90) classroom hours of courses in subjects related to real
estate appraisal which shall include coverage of the Uniform Standards of
Professional Appraisal Practice course of not less than fifteen (15) hours
within the previous two years prior to initially sitting for the exam .
(a) A classroom hour is defined as fifty
minutes out of each sixty minute segment.
(b) Credit toward the classroom hour
requirement may only be granted where the length of the educational offering is
at least fifteen hours, and the individual successfully completes an
examination pertinent to that educational offering.
(c) Credit for the classroom hour requirement
may be obtained from the following, provided they are recognized by the Board.
(1) Colleges or Universities
(2) Community, Junior or Technical
Colleges
(3) Real Estate Appraisal
or Real Estate Related Organizations
(4) State or Federal Agencies or
Commissions
(5) Proprietary
Schools
(6) Other providers
approved by the State Appraiser Licensing and Certification Board
(d) Credit toward the classroom
hour requirement may be awarded to teachers of appraisal courses.
(e) There is no time limit regarding when
qualifying education credit must have been obtained except as noted in Section
III B-1.
(f) The Board may grant credit for courses
where the applicant obtained credit from the course provider by challenge
examination without attending the courses, provided that such credit was
granted by the course provider prior to July 1, 1990, and provided further that
the Board is satisfied with the quality of the challenge examination that was
administered by the course provider.
(g) Various appraisal courses may be credited
toward the ninety classroom hour education requirement. Applicants may be
required to demonstrate that their education involved coverage of all topics
listed below with particular emphasis on the appraisal of one (1) to four (4)
unit residential properties.
(i) Influences on
Real Estate Value
(ii) Legal
Considerations in Appraisal
(iii)
Types of Value
(iv) Economic
Principles
(v) Real Estate Markets
and Analysis
(vi) Valuation
Process
(vii) Property
Description
(viii) Highest and Best
Use Analysis
(ix) Appraisal
Statistical Concepts
(x) Sales
Comparison Approach
(xi) Site
Value
(xii) Cost Approach
(xiii) Income Approach -Gross Rent Multiplier
Analysis -Estimation of Income and Expenses -Operating Expense Ratios
(xiv) Valuation of Partial
Interests
(xv) Appraisal Standards
and Ethics
C.
Experience (Prerequisite to sit for the
examination)
1. The applicant for State
Licensing shall demonstrate the equivalent of at least (as a minimum) two
thousand (2000) hours of appraisal experience of a nature that is satisfactory
to the Arkansas Appraiser Licensing and Certification Board. The experience of
the applicant must be of a type and nature sufficient to convince the Board of
a demonstrated and proven capability of the applicant to adequately perform
assignments of a type permitted by licensure. The initial verification for
experience credit claimed by an applicant shall be on forms prescribed by the
Board. The Board reserves the right, at its discretion, to hold for a
reasonable length of time for investigation of the amount of experience claimed
on the application of any applicant.
2. Acceptable experience may include a
limited number hours related to necessary and fundamental tasks, such as
records research, measurements and certain aspects of property inspections. But
to be satisfactory, the experience of the applicant must clearly demonstrate a
progression in exposure, charge, responsibility and successful performance of
those comprehensive tasks related to real property appraisal practice, to
include, but not limited to appraisal development and reporting, and should
involve all aspects of the valuation process.
3. The burden of proving the amount and
validity of experience claimed is entirely the responsibility of the applicant.
As a minimum, the applicant must be prepared to substantiate, on request by the
Board, the experience claimed with a true copy of appraisal assignment reports,
work files to support the nature or the experience claims, and true copies of
time records or calendars which support actual work time associated with the
assignments.
4. An hour of
experience is defined as verifiable time spent in performing tasks in
accordance with acceptable appraisal experience which includes, but is not
limited to, the following:
(a) Fee and staff
appraisal
(b) Ad valorem tax
appraisal
(c) Technical Review
appraisal
(d) Appraisal
analysis
(e) Real estate
counseling
(f) Highest and best use
analysis
(g) Feasibility
analysis/study
(h) Condemnation
Appraisal
5. Credit for
experience will be granted for the execution of assignments in any of the
various areas which required the use of the appraisal process. This applies to
appraisals as well as other areas of acceptable experience.
6. Ad valorem tax appraisers/appraisals may
be awarded experience credit as evidenced by a timed log of specific appraisal
tasks performed and by demonstrating in advance of taking the exam, that he or
she has effectively used similar appraisal process techniques as do other
appraisers to value properties.
7.
Appraisal Reviews may be awarded experience credit when the appraiser performs
technical review(s) of appraisals prepared by either employees, associates or
others, provided the appraisal report was not signed by the review appraiser.
Appraisal review credit should only be awarded when reviews are in compliance
with USPAP Standard 3.
Credit toward the licensing prerequisite may be awarded for hours
of residential appraisal experience for other types of real property. The Board
will on an individual basis, determine the amount of credit to be awarded for
such appraisals based on the information provided by the applicant.
Section IV
- Pre-Certification Qualifications for State Certified
Residential Appraiser
An applicant for certification as a State Certified Residential
Appraiser shall meet the following requirements in addition to those set forth
in Section
II of these regulations:
A.
Examination
1. Applicants for State Certified Residential
shall be personally interviewed by representatives of the Arkansas Appraiser
Licensing Board prior to sitting for the exam.
Applicants having been cleared to take the exam may, because of
in-state offering dates and locations, elect to schedule the examination in
another state, subject to approval of the Arkansas Board.
2. Successful completion of the Appraiser
Qualifications Board endorsed Uniform State Licensing Examination or its
equivalent.
3. The applicant,
within twelve months prior to the awarding of a certification for a State
certified residential appraiser, shall have passed a written examination
provided by the Board or by a testing service acting on behalf of the Board.
The examination shall at all times be an Appraisal Foundation - Appraiser
Qualifications Board endorsed Uniform State Licensing/Certification Examination
or its equivalent. Applications reflecting satisfaction of all prerequisites
must be received by the Board no less than 60 days prior to the date of the
examination.
4. An applicant for
State Certified Residential who fails to pass the exam after two (2) attempts
will not be afforded an opportunity retake the exam for at least six (6) months
from date of last exam.
B.
Appraisal Education
(Prerequisite to sit for the examination)
1.
The applicant shall have successfully completed one hundred twenty (120)
classroom hours of courses in subjects related to real estate appraisal which
shall include coverage of the Uniform Standards of Professional Appraisal
Practice course of not less than fifteen hours within the previous two years
prior to one's initial sitting for the exam.
(a) A classroom hour is defined as fifty
minutes out of each sixty minute segment.
(b) Credit toward the classroom requirement
may only be granted where the length of the educational offering is at least
fifteen hours, and the individual successfully completes an examination
pertinent to that educational offering.
(c) Credit for the classroom hour requirement
may be obtained from the following, provided they are recognized by the Board.
(i) Colleges or Universities
(ii) Community, Junior or Technical Colleges
(iii) Real Estate Appraisal or
Real Estate Related Organizations
(iv) State or Federal Agencies or Commissions
(v) Proprietary Schools
(vi) Other providers approved by the
Board
(d) Credit toward
the classroom hour requirement may be awarded to teachers of appraisal
courses.
(e) There is no time limit
regarding when qualifying education credit must have been obtained except as
noted in Section
IV(B)
-(1).
(f) The Board may grant
credit for courses where the applicant obtained credit from the course provider
by challenge examination without attending the courses, provided that such
credit was granted by the course provider prior to July 1, 1990, and provided
further that the Board is satisfied with the quality of the challenge
examination that was administered by the course provider.
(g) Various appraisal courses may be credited
toward the one hundred twenty (120) classroom hour education requirement.
Applicants may be required to demonstrate that their education involved
coverage of all topics listed below with particular emphasis on the appraisal
of one (1) to four (4) unit residential properties;
(i) Influences on Real Estate Value
(ii) Legal Considerations in
Appraisal
(iii) Types of Value
(iv) Economic Principles
(v) Real Estate Markets and
Analysis
(vi) Valuation Process
(vii) Property Description
(viii) Highest and Best Use
Analysis
(ix) Appraisal
Statistical Concepts
(x) Sales
Comparison Approach
(xi) Site
Value
(xii) Cost Approach
(xiii) Income Approach-Gross Rent Multiplier
Analysis -Estimation of Income and Expenses -Operating Expense Ratios
(xiv) Valuation of Partial
Interests
(xv) Appraisal Standards
and Ethics
C.
Experience (Prerequisite to
sit for the examination)
1. The applicant for
certification as a State Certified Residential Appraiser shall demonstrate the
equivalent of at least (as a minimum) two thousand five hundred (2500) hours of
appraisal experience of a nature that is satisfactory to the Arkansas Appraiser
Licensing and Certification Board and obtained during no fewer than 24 months.
The experience of the applicant must be of a type and nature sufficient to
convince the Board of a demonstrated and proven capability of the applicant to
adequately perform assignments of a type permitted by licensure. The initial
verification for experience credit claimed by an applicant shall be on forms
prescribed by the Board. The Board reserves the right, at its discretion, to
hold for a reasonable length of time for investigation of the amount of
experience claimed, the application of any applicant.
2. Acceptable experience may include a
limited number hours related to necessary and fundamental tasks, such as
records research, measurements and certain aspects of property inspections. But
to be satisfactory, the experience of the applicant must clearly demonstrate a
progression in exposure, charge, responsibility and successful performance of
those comprehensive tasks related to real property appraisal practice, to
include, but not limited to appraisal development and reporting, and should
involve all aspects of the valuation process.
3. The burden of proving the amount and
validity of experience claimed is entirely the responsibility of the applicant.
As a minimum, the applicant must be prepared to substantiate, on request by the
Board, the experience claimed with a true copy of appraisal assignment reports,
work files to support the nature or the experience claims, and true copies of
time records or calendars which support actual work time associated with the
assignments.
4. An hour of
experience is defined as verifiable time spent in performing tasks in
accordance with acceptable appraisal experience which includes, but is not
limited to, the following:
(a) Fee and staff
appraisal
(b) Ad valorem tax
appraisal
(c) Technical Review
appraisal
(d) Appraisal
analysis
(e) Real estate
counseling
(f) Highest and best use
analysis
(g) Feasibility
analysis/study
(h) Condemnation
appraisal
5. Credit for
experience will be granted for the execution of assignments in any of the
various areas which require the use of the appraisal process. This applies to
appraisals as well as other areas of acceptable experience.
6. Ad valorem tax appraisers/appraisals may
be awarded experience credit as evidenced by a timed log of specific appraisal
tasks performed and by demonstrating, in advance of taking the exam that he or
she has effectively used similar appraisal process techniques as do other
appraisers to value properties.
7.
Appraisal Reviews may be awarded experience credit when the appraiser performs
technical review(s) of appraisals prepared by either employees, associates or
others, provided the appraisal report was not signed by the review appraiser.
Appraisal Review credit should only be awarded when reviews are in compliance
with USPAP Standard 3.
Credit toward the certification prerequisite may be awarded for
hours of residential appraisal experience for other types of real property not
listed. The Board will on an individual basis, determine the amount of credit
to be awarded for such appraisals based on the information provided by the
applicant.
Section
V
- Pre-Certification Qualifications for State
Certified General Appraiser
An applicant for a certification as a State Certified General
Appraiser shall meet the following requirements in addition to those set forth
in Section
II of these regulations:
A.
Examination
1. Applicant for State Certified General
Appraiser shall be personally interviewed by representatives members of the
Arkansas Appraiser Licensing Board prior to sitting for the exam.
Applicants having been cleared to take the exam may, because of
in-state offering dates and locations, elect to schedule the examination in
another state, subject to approval of the Arkansas Board.
2. Successful completion of the Appraiser
Qualifications Board endorsed Uniform State Certification Examination or its
equivalent.
3. The applicant,
within twelve months prior to the awarding of a certification for a State
certified general real property appraiser, shall have passed a written
examination provided by the Board or by a testing service acting on behalf of
the Board. The examination shall at all times be an Appraisal Foundation -
Appraiser Qualifications Board endorsed Uniform State Certification Examination
or its equivalent. Applications reflecting satisfaction of all prerequisites
must be received by the Board no less than 60 days prior to the date of the
examination.
4. An applicant for
State Certified General who fails to pass the exam after two (2) attempts will
not be afforded an opportunity to retake the exam for at least six (6) months
from date of last exam.
B.
Appraisal Education
(Prerequisite to sit for the examination)
1.
The applicant shall have successfully completed one hundred eighty (180)
classroom hours of courses in subjects related to real estate appraisal which
shall include coverage of the Uniform Standards of Professional Appraisal
Practice and which may include the ninety (90) classroom hour requirement for
the State Licensed real property appraiser classification or the one hundred
twenty (120) classroom hour requirement for the Certified Residential real
property appraiser classification. Subsequent to December 31, 1993, the
classroom hour requirement for the Certified Residential real property
classification may be acceptable for meeting the requirement, provided there
was coverage of all topic areas identified under Section
1(g) of this
criteria.
(a) A classroom hour is defined as
fifty minutes out of each sixty minute segment.
(b) Credit toward the classroom hour
requirement may only be granted where the length of the educational offering is
at least fifteen hours, and the individual successfully completes an
examination pertinent to that educational offering.
(c) Credit for the classroom hour requirement
may be obtained from the following, provided they are both recognized by the
Board and Licensed by the State Board of Private Career Education under Act 906
or exempt under the same:
(i) Colleges or
Universities
(ii) Community, Junior
or Technical Colleges
(iii) Real
Estate Appraisal or Real Estate Related Organizations
(iv) State or Federal Agencies or
Commissions
(v) Proprietary
Schools
(vi) Other providers
approved by the State Appraiser Licensing and Certification Board
(d) Credit toward the classroom
hour requirement may be awarded to teachers of appraisal courses.
(e) There is no time limit regarding when
qualifying education credit must have been obtained except as noted in Section
V
(B-1)
(f) The Board may grant
credit for courses where the applicant obtained credit from the course provider
by challenge examination without attending the courses, provided that such
credit was granted by the course provider prior to July 1, 1990, and provided
further that the Board is satisfied with the quality of the challenge
examination that was administered by the course provider.
(g) Various appraisal courses may be credited
toward the one hundred sixty five classroom hour education requirement.
Applicants may be required to demonstrate that their education involved
coverage of all topics listed below.
(i)
Influences on Real Estate Value
(ii) Legal Considerations in
Appraisal
(iii) Types of
Value
(iv) Economic
Principles
(v) Real Estate Markets
and Analysis
(vi) Valuation
Process
(vii) Property
Description
(viii) Highest and Best
Use Analysis
(ix) Appraisal
Statistical Concepts
(x) Sales
Comparison Approach
(xi) Site
Approach
(xii) Cost
Approach
(xiii) Income
Approach-Gross Rent Multiplier Analysis -Estimation of Income and Expenses
-Operating Expense Ratios -Capitalization
(xiv) Valuation of Partial
Interests
(xv) Appraisal Standards
and Ethics
C.
Experience (Prerequisite to
sit for the examination)
1. The applicant for
certification as a State Certified General appraiser shall demonstrate the
equivalent of
3,000 hours of appraisal experience obtained
during no fewer than 30 months, (2 ½ years) of a nature that is
satisfactory to the Arkansas Appraiser Licensing and Certification Board. The
applicant, for experience credit, must have accumulated a total of three
thousand hours of appraisal experience of which at least one thousand five
hundred hours (1,500) must be in non-residential appraisal work.
Non-Residential is defined as one to four residential units. The experience of
the applicant must be of a type and nature sufficient to convince the Board of
a demonstrated And proven capability of the applicant to adequately perform
assignments of a type permitted by licensure.
The initial verification for experience credit claimed by an
applicant shall be on forms prescribed by the Board. The Board reserves the
right, at its discretion, to hold for a reasonable length of time for
investigation of the amount of experience claimed, the application of any
applicant who has not been previously licensed before accepting the amount of
experience claimed by the applicant as satisfying the experience prerequisite
for certification. On reviewing an applicant's work product, only appraisal
reports reflecting all three approaches to value and reported in a
self-contained or summary format will be acceptable.
2. Acceptable experience may include a
limited number of hours related to necessary and fundamental tasks, such as
records research, measurements and certain aspects of property inspections. But
to be satisfactory, the experience of the applicant must clearly demonstrate a
progression in exposure, charge, responsibility and successful performance of
those comprehensive tasks related to real property appraisal practice, to
include, but not limited to appraisal development and reporting, and should
involve all aspects of the valuation process.
3. The burden of proving the amount and
validity of experience claimed is entirely the responsibility of the applicant.
As a minimum, the applicant must be prepared to substantiate, on request by the
Board, the experience claimed with a true copy of appraisal assignment reports,
work files to support the nature or the experience claims, and true copies of
time records or calendars which support actual work time associated with the
assignments.
4. An hour of
experience is defined as verifiable time spent in performing tasks in
accordance with acceptable appraisal experience which includes, but is not
limited to, the following:
(a) Fee and staff
appraisal
(b) Ad valorem tax
appraisal
(c) Technical Review
appraisal
(d) Appraisal
analysis
(e) Real estate
counseling
(f) Highest and best use
analysis
(g) Feasibility
analysis/study
(h) Condemnation
appraisal
5. Credit for
experience will be granted for the execution of assignments in any of the
various areas which required the use of the appraisal process. This applies to
appraisals as well as other areas of acceptable experience.
6. Ad valorem tax appraisers/appraisals may
be awarded experience credit as evidenced by a timed log of specific appraisal
tasks performed and by demonstrating, subsequent to passing the exam that he or
she has effectively used similar appraisal process techniques as do other
appraisers to value properties.
7.
Appraisal Reviews may be awarded experience credit when the appraiser performs
technical review(s) of appraisals prepared by either employees, associates or
others, provided the appraisal report was not signed by the review appraiser.
Appraisal review credit should only be awarded when reviews are in compliance
with USPAP Standard 3.
Credit toward the certification prerequisite may be awarded for
hours of certified general appraisal experience for other types of real
property not listed. The Board will on an individual basis, determine the
amount of credit to be awarded for such appraisals based on the information
provided by the applicant.
Section VI
-
Pre-Qualifying Criteria for "State Registered Appraiser"
In order to qualify as a "State Registered Appraiser", an
applicant must complete an application and provide in addition :
(1) Evidence of one's work experience and
scope of practice as an appraiser and/or as a trainee working under the
supervision of another fee appraiser.
(2) A signed affidavit, (as prescribed by the
Board), attesting to having read and an understanding of the current edition of
the Uniform Standards of Professional Appraisal Practice, the applicable State
Laws and the Rules and Regulations governing appraisal practice in
Arkansas.
Section VII
- Non-Resident Registration and/or Licensing:
Reciprocity
A non-resident appraiser planning to develop an appraisal
assignment in Arkansas for a federally related transaction must first apply for
a state license and/or certification. In the case of a non-federally related
transaction, the appraiser shall apply to be registered, licensed, or certified
in advance of initiating the appraisal assignment as a non-resident appraiser.
Only non-resident licensed or certified appraisers may apply for Reciprocity or
a Temporary Practice Permit.
Non-Resident appraisers applying for state registered appraiser
status shall, in addition to meeting the same requirements and utilizing the
same forms as those required for Arkansas residents, include a notarized
Consent For Service of Legal Process affidavit.
Section VIII
- Nonresident
Licensure & Certification via Temporary Permit or
Reciprocity
A. Temporary
Licensure or Certification may be obtained by nonresidents of this State
through recognition of another state's program of licensing and certification
in accordance with A.C.A.
17-14-306.
Temporary Licensure or Certification may be accomplished by submitting an
application on forms prescribed by the Board for temporary Licensing or
Certification. These forms shall be signed before a notary public and shall
include an irrevocable consent that service of process upon him or her may be
made by delivery of the process to the Secretary of State if, in an action
against the applicant in a court of this State arising out of the applicant's
activities as a State Licensed appraiser or State Certified appraiser, the
plaintiff cannot effect personal service upon the applicant. These forms shall
be submitted to the Board along with the required fee.
In an effort to expedite the processing of a Temporary Practice
permit, these forms may be obtained from the Board's web site or from the web
site of the Association of Appraiser Regulatory Officials.
The Board may issue a temporary nonresident license or
certificate to an individual who is licensed or certified in his/her state of
domicile, upon receipt of the required forms and provided further that the
Board is furnished a letter from the licensing and certification authority of
the applicant's state of domicile, that his/her license or certificate is in
good standing. In lieu of a home state Letter of Good Standing, the Board may
accept the applicant's licensing history as found on the Appraisal
Subcommittee's Federal Registry of licensed appraisers.
B. The term of a temporary nonresident
license or certification shall extend for the duration of the particular
appraisal assignment or service being performed but in any case shall not
extend for more than six (6) months from the date of the initial date of
issuance of the temporary nonresident license or certification. Court testimony
following the completion of an assignment performed by a nonresident appraiser
holding a temporary nonresident license or certificate shall not require an
extension or issuance of a temporary nonresident license or certificate.
Appraisers holding a valid Temporary Practice Permit may, upon making written
request to the Board, be granted an extension of no more than six months from
the permit's date of expiration.
C.
These provisions shall not preclude a person who is a nonresident of this State
from obtaining a permanent license or certificate by reciprocity or by
satisfying all prerequisite requirements as if they were a resident of the
State as required in these regulations, and provided further that the
nonresident applicant executes an irrevocable consent that service of process
upon him or her may be made by delivery of the process to the Secretary of
State if, in an action against the applicant in a court of this State arising
out of the applicant's activities as a State Licensed appraiser or State
Certified appraiser, the plaintiff cannot effect personal service upon the
applicant. The Board may request, for review, samples of work products prior to
awarding a reciprocal license or certification.
D. The term of a non-resident license or
certificate holder shall be for no more than twelve months and renewal may be
accomplished by submitting evidence of the completion of 14 hours of continuing
education plus a Letter of
Good Standing from resident's state appraisal agency and the
appropriate fees as may be in effect.
E. Non-Resident licensed and certified
appraisers may seek resident status in Arkansas upon providing the Board with a
completed application and a Letter of Good Standing from their resident State
Agency. The Arkansas Appraiser Licensing & Certification Board may request,
for review, samples of work products prior to the awarding of resident
standing. Appraisers desiring to transfer to Arkansas from another jurisdiction
will not be required to retake the examination.
Section IX
- Licensure
Expiration, Renewal, Upgrade, and Inactive Status
A. Each license or certificate issued and
each license or certificate renewal shall expire on June 30th each year
following the date of issuance. State registered appraisers' certificates of
registration will expire on December 31 of each calendar year. The expiration
date of a license or certificate shall appear on the pocket card accompanying
each license or certificate. No other notice of this expiration need be given
to its holder except as provided in the requirements for continuing
education.
B. Each application for
renewal of a registration, license or certificate shall be accompanied by
evidence on forms prescribed by the Board of the applicant having completed the
continuing education requirement for renewal as prescribed in these
regulations. Each application for renewal shall also be accompanied by an
appropriate fee. The Board may mail to each licensee or certificate holder, at
least sixty (60) days prior to the expiration date of each renewal year, a
notice of the expiration and application for renewal of the registration,
license or certificate to the licensee's or certificate holders address on file
with the Board. The Board may issue a new registration, license or certificate
for each renewal application only after including proof of completion of the
continuing education requirements pursuant to these regulations and only after
receipt of the appropriate fee. Delinquent renewal applications must be
accompanied by a delinquent fee of fifty dollars ($50) per month or partial
month elapsed since the expiration date. Any registrant, licensee or
certificate holder who fails to complete continuing education requirements will
not be eligible for registration, license or certificate renewal.
C. Failure of a registrant, licensee or
certificate holder to receive the notice and application to renew from the
Board shall not excuse the registrant, licensee or certificate holder from the
requirements for renewal contained in these regulations. Any registrant,
licensee or certificate holder who fails to renew within twelve (12) months of
the expiration of their license or certificate must take and pass an
examination equivalent that required for pre-licensing as designated by the
Board in order to show current knowledge of real property appraisal practices,
techniques and procedures before the license or certificate may be
renewed.
D. A licensed or certified
Arkansas appraiser who wishes to temporarily retire from appraisal practice
shall notify the Board in writing at least 30 days before expiration of a
current license or certification. A state registered appraiser will not be
permitted to place their registration on inactive or retired status.
E.
INACTIVE
STATUS may be initiated by the payment of $100 annually and
may NOT be continued for more than six (6) years. The failure to remit the
annual fee on or before June 30 will result in placing the licensee in a lapsed
position. The appraiser who elects Inactive Status must, within six (6) years
from the date the active license or certification expired, notify the Board of
his/her desire to resume active practice. Otherwise, the license becomes null
and void.
An appraiser who wishes re-instatement after an inactive period
shall make application to the Arkansas Appraiser Licensing and Certification
Board. The application will be reviewed by the Board and if the applicant for
re-instatement has satisfied all requirements, the Board shall re-activate the
applicants license or certificate.
The application for re-instatement shall be accompanied with
sufficient documentation that the appraiser has taken, in the preceding year
before re-instatement, a minimum of fourteen (14) clock hours in refresher
courses PLUS any continuing education units which were delinquent before the
Inactive Status. Also, any appraiser who has been inactive for more than three
(3) years must show evidence of having taken the USPAP course during the
preceding year in addition to other continuing education requirements.
F. An
Inactive/Retired Status is established
for individual appraisers who wish to retire, with no plans to resume
appraising in the future. This status is available, only, to resident
appraisers who are currently licensed/certified in Arkansas, are at least
fifty-five (55) years old (or retired due to health reasons) and are retired
from active appraisal practice.
The retired appraiser will retain their original license or
certification number assigned by the Board. If the appraiser should decide to
resume active practice, he/she must comply with all requirements involving
re-instatement, continuing education, refresher courses, time limitations, etc.
in effect for INACTIVE STATUS.
Appraisers in a Retired Status may not engage in real estate
appraisal activities and under no circumstances shall he/she sign an appraisal
report as the appraiser or review appraiser. Retirees under this provision may
NOT be appointed to one of the positions on the Board reserved for practicing
appraisers.
The Inactive/Retired appraiser shall pay on annual file
maintenance fee of $25 on or before June 30 or forfeit their retired status.
(The annual fee includes a subscription to The APPRAISER.)
Section X
-
Continuing Education
A.
The purpose of continuing education is to insure that the appraiser
participates in a program that maintains and increases his/her skill, knowledge
and competency in real estate appraising.
B. Each licensee or certificate holder shall
have completed during the two year period, prior to renewal of their license or
certification, in an even numbered year, (i.e. 2002, 2004, etc.) a minimum of
twenty-eight (28) hours of real estate appraisal instruction approved for
continuing education credit by the Board. Failure to provide the Board with
evidence of hours completed shall constitute grounds for not renewing a license
or certificate. Individuals who take advantage of out of state continuing
education seminars may request consideration for credit on an individual basis.
They shall submit a request on forms provided by the Board along with documents
outlining the course content and evidence of having attended the
course.
C. Each state registered
appraiser shall have completed a fifteen (15) hour USPAP course with exam prior
to their first annual renewal. An appraiser who becomes initially registered
after July 1 of any year will have until December 31 of the following year to
complete the USPAP course.
D. In
subsequent years, the state registered appraiser shall as a condition for
renewal, have completed fourteen (14) hours per year of Board approved
continuing education.
For purposes of these regulations:
(1) A classroom hour is defined as fifty
minutes out of each sixty minute segment.
(2) Credit toward the classroom hour
requirement may be granted only where the length of the educational offering is
at least two (2) hours.
(3) Credit
for the classroom hour requirement may be obtained from the following:
(a) Colleges or Universities
(b) Community, Junior of Technical
Colleges
(c) Real Estate Appraisal
or Real Estate Related Organizations
(d) State or Federal Agencies or
Commissions
(e) Proprietary/Private
Career Schools
(f) Other providers
approved by the State Appraiser Licensing and Certification Board
(4) Credit may be granted for
educational offerings which are consistent with the purpose of continuing
education stated above and cover real estate related appraisal topics such as
those listed below.
(a) Ad Valorem
Taxation
(b) Arbitration
(c) Business courses related to practice of
real estate appraisal
(d)
Development Cost Estimating
(e)
Ethics and standards of professional practice
(f) Land use planning, zoning and
taxation
(g) Management, leasing,
brokerage, timesharing
(h) Property
development
(i) Real estate
appraisal
(j) Real estate
law
(k) Real estate
litigation
(l) Real estate
financing and investment
(m) Real
estate appraisal related computer applications
(n) Real estate securities and
syndication
(o) Real property
exchange
E.
Effective January 1, 2001, at least during a two (2) year period, an
educational offering taught by an AQB of at least seven (7) hours covering the
Uniform Standards of Professional Appraisal Practice must be attended by each
licensed or certificate holder.
F.
Continuing education credit may also be granted for participation, other than
as a student, in appraisal educational processes and programs. Examples of
activities for which credit may be granted are teaching, program development,
authorship of textbooks, or similar activities which are determined to be
equivalent to obtaining continuing education.
G. No more than 7 hours of continuing
education may be obtained by way of distance learning courses or seminars
during a renewal period.
Section
XI
- Fees And Payment Of
Fees
A.
Types of
Fees
The following fees shall be paid for pre-licensure and
pre-certification applications and for the issuance of original and renewal
licenses and certificates and for other purposes and activities of the
Board:
|
1. Application Fee
|
$125.00
|
|
2. State Licensed, Certified
Residential, and Certified General Appraiser
|
$300.00 (Annual)*
|
|
3. Temporary Non-Resident Licensed,
Certified Residential, and Certified General
Appraiser
|
$150.00 (6 Months)
|
|
4. Non-Resident Licensed, Certified Residential, and
Certified General Appraiser
|
$300.00 (Annual)*
|
|
5. Delinquent Fees (All
Classifications)
|
$ 50.00 (Monthly)
|
|
6. Reissuance Fees (Upgrade, Replacement of Lost,
Stolen, or Destroyed Licenses or Certificates)
|
$ 25.00
|
|
7. Pre-License/Certification Course or Seminar Approval
Fee
|
$ 50.00 (Per Offering)
|
|
8. Continuing Education Course or Seminar Approval
Fee
|
$ 50.00 (Per Offering)
|
|
9. Photocopies of Records of the Board
|
$ .25 (Per Page)
|
|
10. Federal Registry Fee (Set By Appraisal
Subcommittee)
|
$ 25.00 (Annual)
|
|
11. Testing Service Fee (Paid Directly To The
Service)
|
$100.00 (Maximum)
|
|
12. Certified Copy of Records of the Board
|
$ 1.00 (Per Page)
|
|
13. Newsletter Subscription
|
$ 10.00
|
|
14. Application Fee (State Registered Appraiser)
|
$ 50.00*
|
|
15. Renewal Fee (State Registered Appraiser)
|
$ 50.00 *
|
*Pursuant to A.C.A.
17-14-203(10),
registration and licensing fees may be reviewed and adjusted annually by the
Board as deemed necessary for its effective operation but shall in no way
exceed $300 annually.
B.
Payment of Fees
All fees shall be paid in cash or by cashier's check, money order
or personal check made payable to the Arkansas Appraiser Licensing and
Certification Board except for the Testing Service Fee. This fee shall be
payable by cashier's check or money order only and shall be payable directly to
the testing service designated by the Board as its agent.
All fees are non-refundable except in special circumstances when
a refund petition has been submitted to the Board and the Board consents to the
request. No license or certification fee of any classification
or any portion of a fee will be refunded should any certificate or license be
surrendered, suspended or revoked during the term for which the license or
certificate is issued. The Application Fee is payable once for the first two
attempts at passing the examination with successive attempts requiring a new
application fee. Upon successful completion of the appropriate examination, the
application fee will be applied toward the appropriate license or certification
fee.
C.
Delinquency
Provision (Fees and Continuing Education)
Registered, Licensed or Certified appraisers who fail to pay
their annual or biennial renewal fees or meet the required continuing education
on or before the renewal deadline, shall be notified immediately that their
registration, license or certificate has lapsed and they have thirty (30) days
to become reinstated by payment of the appropriate fees and penalties and/or
evidence of having met the CE requirements.
The notice shall also advise where applicable that:
(1) No FRT appraisal work may be performed
during the interim;
(2) Their names
will be removed from the Federal Registry; and,
(3) The appraisal community be apprised of
their loss of registered or licensed status.
If an appraiser has not made application for reinstatement within
sixty days of termination, a demand will then be made on the certificate holder
to surrender their seal or stamp, pocket card, and wall certificate, to the
Board office. Previously Licensed and certified appraisers who fail to apply
for reinstatement within the grace period may apply within twelve months of
expiration without retaking the examination provided they submit the
appropriate fees and penalties and satisfy any additional requirements that may
be assessed by the Board.
