Effective Date of Rule: Thirty-one days after filing.
Purpose: Implementation of chapter 18.310 RCW, Appraisal management companies, as passed by the 2010 Washington state legislature.
Statutory Authority for Adoption: RCW 18.310.020(1).
Adopted under notice filed as WSR 11-20-043 on September 28, 2011.
Changes Other than Editing from Proposed to Adopted Version: WAC 308-409-020(2), change "ten days" to "fourteen business days"; and WAC 308-409-060 (1)(b), delete "the amount of fees collected from each client for each appraisal service."
Number of Sections Adopted in Order to Comply with Federal Statute: New 0, Amended 0, Repealed 0; Federal Rules or Standards: New 0, Amended 0, Repealed 0; or Recently Enacted State Statutes: New 10, Amended 0, Repealed 0.
Number of Sections Adopted at Request of a Nongovernmental Entity: New 0, Amended 0, Repealed 0.
Number of Sections Adopted on the Agency's Own Initiative: New 0, Amended 0, Repealed 0.
Number of Sections Adopted in Order to Clarify, Streamline, or Reform Agency Procedures: New 0, Amended 0, Repealed 0.
Number of Sections Adopted Using Negotiated Rule Making: New 10, Amended 0, Repealed 0; Pilot Rule Making: New 0, Amended 0, Repealed 0; or Other Alternative Rule Making: New 0, Amended 0, Repealed 0.
Date Adopted: December 6, 2011.
Ben T. Shomshor
APPRAISAL MANAGEMENT COMPANIES
(a) A completed licensure application form that complies with RCW 18.310.060;
(b) Completed registration forms for the owner(s) of ten percent or more of the company and controlling persons, including a designated controlling person.
(c) Fingerprint cards, that are identified to the appraisal management company program, for owner(s) of ten percent or more of the company and controlling person(s);
(i) An application submitted without the required fingerprint card(s) is considered incomplete.
(ii) When a fingerprint card is rejected, the owner or controlling person must submit to the department a new fingerprint card within twenty-one calendar days of written notice to the address of record on file with the appraisal management company program.
(iii) Failure to submit a new fingerprint card may result in a suspension of the appraisal management company license until the fingerprint card is received by the department.
(iv) If the fingerprint card is rejected, the applicant must pay a new fee for fingerprinting and background processing. After three failed submissions, the program may use other sources/methods to satisfy the background check requirement.
(d) Proof of surety bond; and
(e) Appropriate fees.
(2) A change in ownership or controlling person(s) of the appraisal management company will require the new owner(s) or controlling person(s) to submit owner or controlling person registration form(s) to the department together with fingerprint cards, that are identified to the appraisal management company program, and appropriate processing fees within fourteen business days of change.
(2) Each original and renewal license issued under chapter 18-310 RCW shall expire two years from date of issue.
(3) To be renewed as an appraisal management company, the holder of a valid license shall submit an application and pay the prescribed fee to the director no earlier than ninety days prior to the expiration date.
(4) If a company fails to renew a license prior to its expiration and no more than one year has passed since the company last held a valid license, the company may obtain a renewed license by paying the renewal fee and late renewal penalty fee.
(5) The director shall cancel the license of any company whose renewal fee is not received within one year from the date of expiration. A company may obtain a new license by applying for original licensure as an appraisal management company.
(2) The bond must provide that the surety will give the department of licensing and the licensee thirty days advance notice of cancellation or termination of the bond with the reason for the cancellation or termination; provided, that no such notice shall be required when the termination of the bond is due to the expiration or revocation of the subject license.
|Title of Fee||Fee|
|Late renewal penalty||38.00|
(a) Shall maintain with the department the name and address of the designated controlling person for service of process and shall furnish in writing to the department any changes to the information on file within fourteen business days.
(b) An appraisal management company shall maintain a complete record of all requests for appraisal services referred to state licensed and certified appraisers as well as payments and dates of payments made to the appraisers and shall make such information available to the department upon written request. An appraisal management company's statement of recordkeeping certification upon registration with the division and biennially thereafter shall be signed by its designated controlling person and shall describe its system for maintaining a record of:
(i) The name of the appraiser who accepts each assignment and signs the corresponding appraisal report; or
(ii) If an assignment is accepted by an appraisal company, the name of the appraisal company that accepts the assignment.
(2) The appraisal management company shall make available to the department any and all records that are required to be maintained under RCW 18.310.130 and this section or records relevant to compliance with this chapter and other relevant statutes.
(3) At any time a document filed with the department becomes inaccurate, the appraisal management company shall promptly file with the department an amendment correcting that information within twenty-one business days.
(4) An appraisal management company shall, at all times, maintain a current list of its appraisal panel and shall provide a copy of that list to the department upon written request.
(a) Prohibiting or refusing to allow, or attempting to prohibit or refuse to allow the professional appraisal assistance of registered real estate appraiser trainees in appraisal services unless such action is required by the appraisal management company's client;
(b) The appraisal management company shall not permit any employee, agent, third party, or controlling principal to engage in any of the following activities:
(i) Require the appraiser to collect the appraisal fee from a borrower, homeowner, or third party or to accept a credit card payment;
(ii) Require the appraiser to provide the appraisal management company with the appraiser's digital signature or seal; or
(iii) Compensate an unlicensed appraisal management company for referrals of appraisal services.
(2) This section does not prohibit an appraisal management company or an individual with an interest in a real estate transaction from requesting an appraiser to:
(a) Consider additional appropriate property information including relevant sales comparables not considered in the initial appraisal report;
(b) Provide further detail, substantiation or explanation of the appraiser's value conclusion; or
(c) Correct errors in the appraisal report.