The bill amends the General Laws in Chapter 5-20.7, known as the "Real Estate Appraiser Certification Act," by introducing new definitions and clarifying existing ones, such as "appraisal," "real estate appraisal," and "Appraisal Foundation." It adds the definition of "state-licensed real estate appraiser" and specifies that both state-certified and state-licensed real estate appraisers are not required to hold a real estate broker's or salesperson's license. The bill revises certification or licensing requirements, stating that only properly certified or licensed individuals may use the title of real estate appraiser and precludes uncertified individuals from appraising real property for compensation, with some exceptions. It allows trainees to assist in or prepare appraisal reports under the supervision of a certified appraiser and mandates that appraisals must be performed by a licensed or certified appraiser unless exempted by federal law. The bill also details the creation and composition of the Rhode Island real estate appraisers board, including its members, terms, and compensation.

Furthermore, the bill updates the education and experience requirements for certification or licensing examinations, aligning them with the Appraisal Foundation's standards, and amends the language to reflect the correct terminology. It introduces provisions for nonresident appraisers, continuing education requirements, and changes to the regulation of appraisal management companies (AMCs), including the definition of "covered transaction" and the information required for AMC registration. The bill amends ownership requirements for AMCs, changes the registration validity period from two years to one year, and sets out grounds for the denial, suspension, or revocation of an AMC's registration. It also revises the process for adjudicating disputes between AMCs and appraisers, removes certain ownership restrictions for AMCs, and states that the act will take effect upon passage.

Statutes affected:
850  SUB A: 5-20.9-10
850: 5-20.9-10