The Casey Appraisal Amendment Part 3c - Registry Fees

[Ken B]

The following information is extracted from the Casey Appraisal Amendment and is provided for review and subsequent discussion. Forum members are asked to constructively comment on specific strengths and weaknesses they may notice in the Amendment's language. Some areas may be highlighted for emphasis. Kindly excuse any issues with formatting...formatting is not the site's strong point.


(The following is a proposed addition to FIRREA and is a continuation of the thread titled "The Casey Appraisal Amendment Part 3b")

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(h) REGISTRY FEES MODIFIED.—​

(1) IN GENERAL.—Section 1109(a) of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 3338(a)) is amended—​

(A) by amending paragraph (4) (as modified by section 9503(g)) to read as follows:​

‘‘(4) collect—​

‘‘(A) from such individuals who perform orseek to perform appraisals in federally relatedtransactions, an annual registry fee of not morethan $40, such fees to be transmitted by theState agencies to the Council on an annualbasis; and

‘‘(B) from an appraisal management company that either has registered with a State appraiser certifying and licensing agency in accordance with this title or operates as a subsidiary of a federally regulated financial institution, an annual registry fee of—​

‘‘(i) in the case of such a companythat has been in existence for more than ayear, $25 multiplied by the number of appraisers working for or contracting withsuch company in such State during theprevious year, but where such $25 amountmay be adjusted, up to a maximum of $50,at the discretion of the Appraisal Subcommittee, if necessary to carry out theSubcommittee’s functions under this title;and

‘‘(ii) in the case of such a companythat has not been in existence for morethan a year, $25 multiplied by an appropriate number to be determined by the Appraisal Subcommittee, and where suchnumber will be used for determining thefee of all such companies that were not inexistence for more than a year, but wheresuch $25 amount may be adjusted, up toa maximum of $50, at the discretion of theAppraisal Subcommittee, if necessary tocarry out the Subcommittee’s functionsunder this title.’’; and​

(B) by amending the matter followingparagraph (4), as redesignated, to read as follows:‘‘Subject to the approval of the Council, the AppraisalSubcommittee may adjust the dollar amount of registryfees under paragraph (4)(A), up to a maximum of $80per annum, as necessary to carry out its functions underthis title. The Appraisal Subcommittee shall consider atleast once every 5 years whether to adjust the dollaramount of the registry fees to account for inflation. Inimplementing any change in registry fees, the AppraisalSubcommittee shall provide flexibility to the States formulti-year certifications and licenses already in place, aswell as a transition period to implement the changes inregistry fees. In establishing the amount of the annualregistry fee for an appraisal management company, theAppraisal Subcommittee shall have the discretion to impose a minimum annual registry fee for an appraisal management company to protect against the under reportingof the number of appraisers working for or contracted bythe appraisal management company.’’.​

(2) INCREMENTAL REVENUES.—Incrementalrevenues collected pursuant to the increases requiredby this subsection shall be placed in a separate account at the United States Treasury, entitled the‘‘Appraisal Subcommittee Account’’.​

(i) GRANTS AND REPORTS.—Section 1109(b) of theFinancial Institutions Reform, Recovery, and Enforcement Act of 1989 (12 U.S.C. 3348(b)) is amended—​

(1) by striking ‘‘and’’ after the semicolon inparagraph (3);

(2) by striking the period at the end of paragraph (4) and inserting a semicolon;

(3) by adding at the end the following newparagraphs: ​

"(5) to make grants to State appraiser certifying and licensing agencies to support the efforts ofsuch agencies to comply with this title, including—​

‘‘(A) the complaint process, complaint investigations, and appraiser enforcement activities of such agencies; and

‘‘(B) the submission of data on State licensed and certified appraisers and appraisalmanagement companies to the National appraisal registry, including information affirmingthat the appraiser or appraisal managementcompany meets the required qualification criteria and formal and informal disciplinary actions; and​

‘‘(6) to report to all State appraiser certifying and licensing agencies when a license or certificationis surrendered, revoked, or suspended.’’.

Obligations authorized under this subsection may not exceed 75 percent of the fiscal year total of incremental increase in fees collected and deposited in the ‘‘AppraisalSubcommittee Account’’ pursuant to subsection (h).​