FINAL BILL REPORT
HB 1917
PARTIAL VETO
C 414 L 89
BYRepresentatives O'Brien, May, Gallagher, Wineberry, Nelson, Locke, Sayan, Patrick, Baugher, Ferguson and McLean
Establishing a certified real estate appraiser law.
House Committe on Commerce & Labor
Rereferred House Committee on Appropriations
Senate Committee on Financial Institutions & Insurance and Committee on Ways & Means
SYNOPSIS AS ENACTED
BACKGROUND:
State law requires real estate appraisers who perform appraisals for taxation purposes and for sales of certain public property to meet specified standards. Otherwise, the state does not regulate persons who conduct real estate appraisals.
In 1987 and again in 1988, the House of Representatives passed legislation that authorized appraisals which met certain standards to be termed "certified." In both years, the bill died in the Senate.
Following the 1988 session, the House Commerce & Labor Committee requested the Department of Licensing to conduct a sunrise review of the regulation of appraisers. The department recommended that no certification or licensing be required. However, the department further recommended that if federal law were to require state certification of appraisers, the Legislature should provide only the minimal level of certification to meet the federal standards.
In November, 1988, the federal Office of Management and Budget issued a directive to federal agencies to require state certified appraisals for certain transactions by July 1, 1991. A state certification program must be adopted for Washington appraisers to perform appraisals for these transactions.
SUMMARY:
The Certified Real Estate Appraiser Act is adopted. The Department of Licensing shall administer the act.
No person may use the terms "certified appraisal" or "state certified real estate appraiser" unless he or she is certified by the state. However, a person who is not certified may perform appraisals.
Two classes of certification are created. A certified residential real estate appraiser may render certified appraisals of residential real property of one to four units. A certified general real estate appraiser may make certified appraisals of all types of real property.
To obtain certification, an appraiser must meet experience and education requirements and pass an examination. The director may waive the education requirement if the applicant was practicing as a real estate appraiser in the state on July 1, 1990. The director may also impose continuing education requirements. Fees shall be charged to meet the costs of the program.
A seven member real estate appraiser certification board is established. Two members shall be public members and five shall be real estate appraisers. The board shall make recommendations regarding the experience, education, and examination requirements, and may conduct disciplinary hearings upon request of the director.
The director may revoke or suspend an appraiser's certification for negligence or incompetence in making an appraisal, and for other specified violations.
A certified appraiser must place his or her certificate number on appraisal documents.
An appraiser certified in another state may obtain a certificate without passing the examination if the certification requirements of the other state are substantially similar and the other state grants reciprocity to Washington certificate holders.
The provisions shall be null and void unless specific funding is provided in the 1989-91 appropriations act.
VOTES ON FINAL PASSAGE:
House 97 0
Senate 36 10 (Senate amended)
House (House refused to concur)
Free Conference Committee
Senate 40 0
House 97 0
EFFECTIVE:July 23, 1989
July 1, 1989 (Sections 2, 3, 5 - 8, and 26)
July 1, 1990 (Sections 1, 4, 9 - 22)
Partial Veto Summary: The real estate appraiser certification board is eliminated. (See VETO MESSAGE)