As Introduced 1
123rd General Assembly 4
Regular Session H. B. No. 338 5
1999-2000 6
REPRESENTATIVES BRITTON-ALLEN-BEATTY-BOYD-DePIERO-FORD- 8
HARTLEY-HARTNETT-JONES-R.MILLER-OLMAN-PADGETT-PATTON-SCHULER- 9
SULLIVAN-TERWILLEGER 10
_________________________________________________________________ 11
A B I L L
To amend section 4763.05 of the Revised Code to 13
require real estate appraisers initially to 14
complete a course on federal, state, and 15
municipal fair housing law in order to be 16
eligible for certification or licensure as a real 17
estate appraiser. 18
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO: 20
Section 1. That section 4763.05 of the Revised Code be 22
amended to read as follows: 23
Sec. 4763.05. (A)(1) A person shall make application for 32
an initial state-certified general real estate appraiser 33
certificate, an initial state-certified residential real estate 35
appraiser certificate, an initial state-licensed residential real 36
estate appraiser license, or an initial state-registered real 37
estate appraiser assistant registration in writing to the 38
superintendent of real estate on a form the superintendent 40
prescribes. The application shall include the address of the 41
applicant's principal place of business and all other addresses 42
at which the applicant currently engages in the business of 44
preparing real estate appraisals and the address of the 45
applicant's current residence. The superintendent shall retain 46
the applicant's current residence address in a separate record 47
which shall not constitute a public record for purposes of
section 149.03 of the Revised Code. The application shall 48
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indicate whether the applicant seeks certification as a general 49
real estate appraiser or as a residential real estate appraiser, 50
licensure as a residential real estate appraiser, or registration 52
as a real estate appraiser assistant and be accompanied by the 53
prescribed examination and certification, registration, or 54
licensure fees set forth in section 4763.09 of the Revised Code. 56
The application also shall include a pledge, signed by the 57
applicant, that the applicant will comply with the standards set 59
forth in this chapter and a statement that the applicant
understands the types of misconduct for which disciplinary 61
proceedings may be initiated against the applicant pursuant to 62
this chapter.
(2) For purposes of providing funding for the real estate 64
appraiser recovery fund established by section 4763.16 of the 65
Revised Code, the real estate appraiser board shall levy an 66
assessment against each person issued an initial certificate, 67
registration, or license and against current licensees, 69
registrants, and certificate holders, as required by board rule. 71
The assessment is in addition to the application and examination 72
fees for initial applicants required by division (A)(1) of this 73
section and the renewal fees required for current certificate 74
holders, registrants, and licensees. The superintendent shall 76
deposit the assessment into the state treasury to the credit of 77
the real estate appraiser recovery fund. The assessment for 78
initial certificate holders, registrants, and licensees shall be 80
paid prior to the issuance of a certificate, registration, or 81
license, and for current certificate holders, registrants, and 83
licensees, at the time of renewal. 84
(B) An applicant for an initial general real estate 86
appraiser certificate shall possess at least thirty months of 87
experience in real estate appraisal, or any equivalent experience 88
the board prescribes. An applicant for a residential real estate 90
appraiser certificate or residential real estate appraiser 91
license shall possess at least two years OF experience in real 92
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estate appraisal, or any equivalent experience the board 93
prescribes. In addition to any other information required by the 94
board, the applicant shall furnish, under oath, a detailed 95
listing of the appraisal reports or file memoranda for each year 96
for which experience is claimed and, upon request of the 97
superintendent or the board, shall make available for examination 98
a sample of the appraisal reports prepared by the applicant in 99
the course of the applicant's practice. 100
(C)(1) Except as provided in division (C)(2) of this 102
section, an applicant for an initial certificate, registration, 103
or license shall be at least eighteen years of age, honest, 105
truthful, and of good reputation and shall present satisfactory 106
evidence to the superintendent of the following, as appropriate: 108
(a) If the applicant is seeking a state-certified general 110
real estate appraiser certificate, that the applicant has 111
successfully completed at least one hundred sixty-five classroom 113
hours of courses in subjects related to real estate appraisal, 115
INCLUDING AT LEAST ONE COURSE DEVOTED EXCLUSIVELY TO FEDERAL, 116
STATE, AND MUNICIPAL FAIR HOUSING LAW, presented by a nationally 118
recognized appraisal organization, an institution of higher 119
education, a proprietary school registered by the state board of 120
proprietary school registration, a state or federal commission or 121
agency, or any other organization that represents the interests 122
of financial institutions or real estate brokers, appraisers, or 123
agents and that provides appraisal education, plus fifteen 124
classroom hours related to standards of professional practice and 125
the provisions of this chapter;
(b) If the applicant is seeking a state-certified 127
residential real estate appraiser certificate, that the applicant 128
has successfully completed at least one hundred five classroom 130
hours of courses in subjects related to real estate appraisal, 131
INCLUDING AT LEAST ONE COURSE DEVOTED EXCLUSIVELY TO FEDERAL, 132
STATE, AND MUNICIPAL FAIR HOUSING LAW, presented by a nationally 133
recognized appraisal organization, an institution of higher 134
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education, a proprietary school registered by the state board of
proprietary school registration, or any other organization that 135
represents the interests of financial institutions or real estate 136
brokers, appraisers, or agents and that provides appraisal 137
education, plus fifteen classroom hours related to standards of 138
professional practice and the provisions of this chapter; 139
(c) If the applicant is seeking a state-licensed 141
residential real estate appraiser license, that the applicant has 142
successfully completed at least seventy-five classroom hours of 144
courses in subjects related to real estate appraisal, INCLUDING 145
AT LEAST ONE COURSE DEVOTED EXCLUSIVELY TO FEDERAL, STATE, AND 147
MUNICIPAL FAIR HOUSING LAW, presented by a nationally recognized 149
appraisal organization, an institution of higher education, a 150
proprietary school registered by the state board of proprietary 151
school registration, a state or federal commission or agency, or 152
any other organization that represents the interests of financial 153
institutions or real estate brokers, appraisers, or agents and 154
that provides appraisal education, plus fifteen classroom hours 155
related to standards of professional practice and the provisions 156
of this chapter;
(d) If the applicant is seeking a state-registered real 158
estate appraiser assistant registration, that the applicant has 159
successfully completed at least seventy-five classroom hours of 161
courses in subjects related to real estate appraisal, INCLUDING 162
AT LEAST ONE COURSE DEVOTED EXCLUSIVELY TO FEDERAL, STATE, AND 163
MUNICIPAL FAIR HOUSING LAW, presented by a nationally recognized 164
appraisal organization, an institution of higher education, a 165
proprietary school registered by the state board of proprietary 166
school registration, or any other organization that represents 167
the interests of financial institutions or real estate brokers, 168
appraisers, or agents, and that provides appraisal education that 169
included at least fifteen classroom hours of instruction related 170
to standards of professional practice and the requirements of 171
this chapter and the rules adopted under this chapter. 172
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(2) Each person who files an application for an initial 174
certificate or license within one year of the date established by 175
the board as the first date on which applications will be 176
accepted under this section, which date shall be no later than 177
September 1, 1990, and who, at the time of filing that 178
application, does not satisfy the educational requirements for 179
the certification or licensure sought of either division 180
(C)(1)(a) or (b) of this section is exempt from those educational 181
requirements for the term of the initial certification or 182
licensure. In applying for a renewal certificate or license 183
pursuant to section 4763.06 of the Revised Code, a certificate 184
holder or licensee who was exempted from the educational 185
requirements of division (C)(1)(a) or (b) of this section when 186
applying for the initial certificate or license shall present 188
satisfactory evidence to the superintendent that the certificate 189
holder or licensee has completed the educational requirements for 191
the certification or licensure to be renewed of one of those 192
divisions before the renewal certificate or license may be 193
issued.
(D) An applicant for an initial general real estate 195
appraiser or residential real estate appraiser certificate or 196
residential real estate appraiser license shall take and 198
successfully complete a written examination in order to qualify 199
for the certificate or license. The examination shall require 200
the applicant to demonstrate all of the following:
(1) Appropriate knowledge of technical terms commonly used 202
in or related to real estate appraising, appraisal report 203
writing, and the economic concepts applicable to real estate; 204
(2) Understanding of the principles of land economics, 206
real estate appraisal processes, and problems likely to be 207
encountered in gathering, interpreting, and processing of data in 208
carrying out appraisal disciplines; 209
(3) Understanding of the standards for the development and 211
communication of real estate appraisals as provided in this 212
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chapter and the rules adopted thereunder; 213
(4) Knowledge of theories of depreciation, cost 215
estimating, methods of capitalization, direct sales comparison, 216
and the mathematics of real estate appraisal that are appropriate 217
for the certification or licensure for which the applicant has 218
applied; 219
(5) Knowledge of other principles and procedures as 221
appropriate for the certification or license; 222
(6) Basic understanding of real estate law; 224
(7) Understanding of the types of misconduct for which 226
disciplinary proceedings may be initiated against a certificate 227
holder and licensee. 228
(E)(1) A nonresident, natural person of this state who has 231
complied with this section may obtain a certificate,
registration, or license. The board shall adopt rules relating 233
to the certification, registration, and licensure of a 234
nonresident applicant whose state of residence the board 236
determines to have certification, registration, or licensure 238
requirements that are substantially similar to those set forth in 239
this chapter and the rules adopted thereunder.
(2) A nonresident appraiser may apply for, and the board 241
may issue, a temporary certificate or license if the board 242
determines that the state in which the nonresident appraiser is 243
licensed or certified has licensing or certification requirements 244
that are substantially similar to the certification or licensure 245
requirements set forth in this chapter and the rules adopted 246
thereunder. 247
The board shall adopt rules relating to the temporary 249
certification and licensure of nonresident appraisers. Each 250
temporary certificate and license issued by the board shall 251
identify the location of the real estate property to be appraised 252
and shall not authorize appraisal of more than one real estate 253
property located in this state. The board shall not issue more 254
than two temporary certificates or licenses in any one calendar 255
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year to any one applicant. 256
(3) In addition to any other information required to be 258
submitted with the nonresident applicant's or appraiser's 259
application for a certificate, registration, license, or 261
temporary certificate or license, each nonresident applicant or 262
appraiser shall submit a statement consenting to the service of 263
process upon the nonresident applicant or appraiser by means of 265
delivering that process to the secretary of state if, in an 266
action against the applicant, certificate holder, registrant, or 267
licensee arising from the applicant's, certificate holder's, 269
registrant's, or licensee's activities as a certificate holder, 271
registrant, or licensee, the plaintiff, in the exercise of due 272
diligence, cannot effect personal service upon the applicant, 273
certificate holder, registrant, or licensee. 274
(F) The superintendent shall not issue a certificate, 276
registration, temporary certificate or license, or license to a 277
corporation, partnership, or association. This prohibition shall 278
not be construed to prevent a certificate holder or licensee from 279
signing an appraisal report on behalf of a corporation, 280
partnership, or association. 281
(G) Every person licensed, registered, or certified under 283
this chapter shall notify the superintendent, on a form provided 285
by the superintendent, of a change in the address of the 286
licensee's, registrant's, or certificate holder's principal place 287
of business or residence within thirty days of the change. If a 288
licensee's, registrant's, or certificate holder's license, 290
registration, or certificate is revoked or not renewed, the 292
licensee, registrant, or certificate holder immediately shall 294
return the annual and any renewal certificate, registration, or 296
license to the superintendent.
(H) The superintendent shall not issue a certificate, 298
registration, temporary certificate or license, or license to any 299
person who does not meet applicable minimum criteria for state 300
certification, registration, or licensure prescribed by federal 301
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law or rule.
Section 2. That existing section 4763.05 of the Revised 303
Code is hereby repealed. 304