Alabama

Require all appraisers and reviewers have geographic competency for assignments, and prior to addition to panel, require a written declaration of competency that must be updated annually Review a representative sample of each independent appraiser's reports on a periodic basis to verify accordance with USPAP and law and maintain records for 5 years Maintain a dispute resolution process to allow users of a report to request that the appraiser consider additional information, provide further detail, substantiation, or explanation for the appraiser's value conclusion, or correct errors Anyone with involvement in the performance of appraisal services or review and analysis of appraisals shall be an AL appraiser (license classification shall qualify employee to perform all applicable job functions) Require confirmation of competency in writing prior to placing assignment Must pay an appraiser with 45 days of receipt of completed appraisal, except in cases of a mutually agreed upon payment date, breach of contract, or violation of USPAP – must notify appraiser in writing, stating details and dispute process, within 30 days if AMC decides not to pay the appraiser

Colorado

Exercise due diligence when hiring or engaging a real estate appraiser to ensure that the real estate appraiser is appropriately credentialed by the board and competent to perform the assignment Verify that the work completed by an appraiser complies with state and federal regulations, including USPAP, by conducting an annual audit of a random sample of the appraisals received within the previous year – not less than 2 standard 3 reviews for each appraiser Must have a written policy in place – note effective date and dates any changes are made. Policy must outline: appraisal selection, riskbased reviews, review criterion, reviewer qualifications, and appraisal deficiencies (See 4 CCR 725-2; Chap. 18 for more detail) Pay an appraiser within 60 days after completion of the appraisal, unless otherwise agreed or the appraiser has been notified in writing of a bona fide dispute Maintain for 5 years, or 2 years after judicial proceedings, documents/records directed by the Board, including: contractual agreements and engagement documents, correspondence, appraisals and supporting documentation, appraiser panel (See 4 CCR 725-2; Chap. 18 for more detail) – may be stored electronically Disclose to client the fee paid to the appraiser upon completion of the assignment

Illinois

Appraisers and reviewers (other than QC) must be licensed in Illinois – have process to verify Process to utilize Illinois appraiser to review the work of all appraisers performing appraisal services in Illinois for the AMC on a periodic basis, except for a QC review, to verify accordance with USPAP Maintain for 5 years from final action or end of litigation, a detailed record of each service request and performing appraiser [See Rule 1452.90 for details] Employees directly involved in providing appraisal management services must be appropriately trained and familiar with the appraisal process Compliance with TILA 129E, including customary and reasonable fees Not interfere with appraiser's adherence to USPAP or law Payment policies shall be written and definitive in nature and be provided to appraiser [See Rule 1452.100 for details that must be included] In the event of a value dispute or a requested reconsideration of value, the AMC shall deliver all information that supports an increase or decrease in value to the appraiser Notify the Department within 30 days any change in reported controlling person information [including discipline], within 15 days of a change in mailing, email, or website address May not remove an appraiser without prior written notice, stating reasons, not less than 30 days prior to removal from the AMC's list of approved vendors Must notify Board within 30 days of appraiser removal for a violation of the law/USPAP For each assignment provide: written guidelines and conditions; and within engagement documents: AMC registration number and expiration date, property location and type, total compensation, turn time requirements, AMC representative contact info, contact info for person providing access to property, sales contract/addenda, AMC/client guidelines, whether property owner advised interior images may be required, end-user client

Appraiser Prompt-Payment Rule

Another critical AMC compliance rule in most states is the prompt payment deadline for independent appraisers.The deadlines range from 30 to 60 days depending on the state. Stiff non-compliance penalties apply.

 

North Carolina

Before appraiser is added to panel, require appraiser to declare in writing areas of geographic, property type, and methodology competency. Require appraiser to update this information at least annually, and keep copies of all such declarations for a period of 5 years from submission Periodically review the work of all independent appraisers to ensure accordance with USPAP – may choose a representative sample of each appraiser's reports. Must review each appraiser's work at least once a year, and keep records of reviews for a period of 5 years from the date they are done. Designate a Compliance Manager, an actively certified appraiser in any state, responsible for notifying the Board of any changes in registration of any assumed name or contact info, maintenance of records relating to appraisals and all appraisers on panel in NC, including a log of payments to appraisers, and the conduct of advertising of appraisal management services on behalf of AMC Must report an appraiser's violation of law or USPAP or unethical conduct to the Board within 90 days of appraisal submission to AMC Payment is due to appraisers within 30 days. If AMC will not pay a fee to an appraiser for an appraisal, must notify the appraiser in writing of the reason for nonpayment within 30 days after the date the appraiser transmits the appraisal (See 21 NCAC 57D .0310 Payment of Fees to Appraisers) May not remove an appraiser without prior written notice, stating reasons. Must send notice registered mail and notify of any dispute resolution process

Texas

Must follow Rule 159.161 in adding to/maintaining appraiser panel Primary Contact must be a certified appraiser in at least one state or have completed the 15 hour USPAP course and 7 hour update course not more than 2 years before renewal of registration May not employ or contract with a person/entity (who employs a person) to order or review appraisals who has had a license revoked/denied in any state, unless subsequently reinstated Verify appraisers are licensed in TX and not had license revoked/denied since last assignment Obtain written cert. for appraisal, at time of/prior to making assignment, of: (1) USPAP competency (prop. type, geo. area, access to appropriate data sources), (2) agreement to notify AMC if later determined not qualified, (3) aware misrepresentation of competency is subject to mandatory reporting req. Establish a dispute resolution process for appraisers providing for written response, written statement of outcome, copies of all relevant documentation to appraiser, and review Reviewers must have at least same licensure in TX as required to perform the assignment Periodically review the work of appraisers - performed on 1-4 family unit properties collateralizing mortgage obligations to ensure USPAP compliance (1 of first 5 appraisals, prior to assigning 6th and a randomly selected 5% of all appraisals every 12 mo.) See details in Rule 159.155. (Consider review findings in verifying competency for the purpose of assigning appraiser future work) Maintain for 5 years a record of each service request, performing appraiser, compensation policy, and a written record of all substantive communications between an AMC and appraiser relating to inclusion on an appraiser panel or to an appraisal assignment Pay appraiser at customary/reasonable rate within 60 days of providing completed appraisal to AMC