Chapter 521 Oregon Laws 2001

AN ACT

SB 304

Relating to semi-independent status of Appraiser Certification and Licensure Board; creating new provisions; amending ORS 674.305, 674.310 and 674.340; appropriating money; and declaring an emergency.

Be It Enacted by the People of the State of Oregon:

SECTION 1. On the operative date of this section, the Appraiser Certification and Licensure Board is transferred from the Department of Consumer and Business Services and is established as a semi-independent state agency that is subject to sections 2 to 9 of this 2001 Act.

SECTION 2. As used in sections 2 to 9 of this 2001 Act:

(1) “Board” means the Appraiser Certification and Licensure Board established as a semi-independent state agency under section 1 of this 2001 Act.

(2) “License” includes licenses, registrations, certifications, permits or other forms of permission required by law to pursue an occupation or engage in a business regulated by the board.

SECTION 3. (1) Except as otherwise provided by law, the provisions of ORS chapters 240, 276, 279, 282, 283, 291, 292 and 293 do not apply to the Appraiser Certification and Licensure Board. The board is subject to all other statutes governing a state agency that do not conflict with sections 2 to 9 of this 2001 Act, including the tort liability provisions of ORS 30.260 to 30.300 and the provisions of ORS 183.310 to 183.550. The employees of the board are included within the Public Employees Retirement System.

(2) Notwithstanding subsection (1) of this section, the following provisions shall apply to the board:

(a) ORS 240.309 (1) to (6) and 240.321;

(b) ORS 279.800 to 279.830;

(c) ORS 279.835 to 279.855;

(d) ORS 282.210 to 282.230; and

(e) ORS 293.240.

(3) In carrying out the duties, functions and powers of the board, the board may contract with any state agency for the performance of duties, functions and powers as the board considers appropriate. A state agency shall not charge the board an amount that exceeds the actual cost of those services. Sections 2 to 9 of this 2001 Act do not require a state agency to provide services to the board other than pursuant to a voluntary interagency agreement or contract.

(4) The board shall adopt personnel policies and contracting and purchasing procedures. The Oregon Department of Administrative Services shall review those policies and procedures for compliance with applicable state and federal laws and collective bargaining contracts.

(5) Except as otherwise provided by law, members and employees of the board are eligible to receive the same benefits as state employees and are entitled to retain their State of Oregon hire dates, transfer rights and job bidding rights, all without loss of seniority, and to the direct transfer of all accumulated state agency leaves.

SECTION 4. (1) The Appraiser Certification and Licensure Board shall adopt budgets on a biennial basis using classifications of expenditures and revenues required by ORS 291.206 (1), but the budget shall not be subject to review and approval by the Legislative Assembly or to future modification by the Emergency Board or the Legislative Assembly.

(2) The budget referred to in subsection (1) of this section shall be adopted in accordance with applicable provisions of ORS 183.310 to 183.550. The board shall adopt or modify a budget only after a public hearing on the budget. The board must give notice of the hearing to all holders of licenses issued by the board.

(3) The board shall follow generally accepted accounting principles and keep financial and statistical information as necessary to completely and accurately disclose the financial condition and financial operations of the board as may be required by the Secretary of State.

(4) The board shall prepare an annual financial statement of board revenues and expenses and shall make the statement available for public review. The board shall provide a copy of the statement to the Oregon Department of Administrative Services not later than the 90th day after the end of the state fiscal year.

SECTION 5. Sections 2 to 9 of this 2001 Act do not affect the duty and authority of the Secretary of State to audit public accounts. The Secretary of State shall enter into agreements with the Appraiser Certification and Licensure Board to set an appropriate audit schedule for the board. The audit schedule shall be set to allow board compliance with section 9 of this 2001 Act. In lieu of conducting an audit, the Secretary of State may elect to accept the report of an independent certified public accountant.

SECTION 6. In addition to other powers granted by sections 2 to 9 of this 2001 Act and by the statutes specifically applicable to the Appraiser Certification and Licensure Board, the board may:

(1) Sue and be sued in its own name.

(2) Notwithstanding ORS chapter 279, enter into contracts and acquire, hold, own, encumber, issue, replace, deal in and with and dispose of real and personal property.

(3) Fix a per diem amount to be paid to a board member for each day or portion thereof during which the member is actually engaged in the performance of official duties. Board members may also receive actual and necessary travel expenses or other expenses actually incurred in the performance of their duties. If an advisory council or peer review committee is established under the law that governs the board, the board may also fix and pay amounts and expenses for members of the council or committee.

(4) Set the amount of any fee required by statute and establish by rule and collect other fees as determined by the board. Fees shall not exceed amounts necessary for the purpose of carrying out the functions of the board. Notwithstanding ORS 183.335 and except as provided in this subsection, the board shall hold a public hearing prior to adopting or modifying any fee without regard to the number of requests received to hold a hearing. The board shall give notice to all licensees of the board prior to holding a hearing on the adoption or modification of any fee. The board may adopt fees in conjunction with the budget adoption process described in section 4 of this 2001 Act.

(5) Subject to any other statutory provisions, adopt procedures and requirements governing the manner of making application for issuance, renewal, suspension, revocation, restoration and related activities concerning licenses that are under the jurisdiction of the board.

SECTION 7. (1) The administrator of the Appraiser Certification and Licensure Board may employ persons as the board determines to be necessary for carrying out the business and responsibilities of the board.

(2) Notwithstanding subsection (1) of this section, the board shall continue to employ all classified employees employed by the board on the operative date of section 1 of this 2001 Act, subject to state personnel laws and collective bargaining agreements.

(3) Notwithstanding subsection (1) of this section, the board shall be bound by any collective bargaining agreement entered into by this state on behalf of the board before or after the operative date of section 1 of this 2001 Act.

(4) Changes in board status under section 1 of this 2001 Act do not affect the status of any collective bargaining unit as the appropriate bargaining unit for board employees.

SECTION 8. (1) Except where otherwise specifically provided by ORS 674.850 and 674.990, all moneys collected or received by the Appraiser Certification and Licensure Board, placed to the credit of the board and remaining unexpended and unobligated on the operative date of section 1 of this 2001 Act, and all moneys collected or received by the board after the operative date of section 1 of this 2001 Act shall be deposited into an account established by the board in a depository bank insured by the Federal Deposit Insurance Corporation. In a manner consistent with the requirements of ORS chapter 295, the chairperson of the board shall ensure that sufficient collateral secures any amount of funds on deposit that exceeds the limits of the Federal Deposit Insurance Corporation’s coverage. All moneys in the account are continuously appropriated to the board for the purpose of carrying out the functions of the board.

(2) Subject to the approval of the chairperson, the board may invest moneys collected or received by the board. Investments made by the board are:

(a) Limited to investments described in ORS 294.035;

(b) Subject to the investment maturity date limitations described in ORS 294.135; and

(c) Subject to the conduct prohibitions listed in ORS 294.145.

(3) Interest earned from any moneys invested under subsection (2) of this section shall be made available to the board in a manner consistent with the board’s annual budget.

(4) Subject to the approval of the chairperson, all necessary board expenses shall be paid from the moneys collected or earned by the board.

(5) As used in this section, “depository bank” has the meaning given that term in ORS 295.005.

SECTION 9. Not later than the first day of each regular session of the Legislative Assembly, the Appraiser Certification and Licensure Board shall submit a report to the Legislative Assembly as provided in ORS 192.245 and to the Governor. The report shall include the following:

(1) A copy of the most recent audit required by section 5 of this 2001 Act;

(2) A copy of the budget adopted by the board for the subsequent biennium in accordance with section 4 of this 2001 Act;

(3) A description of the public hearing process for setting budgets;

(4) A description of fee changes and justifications for fee changes;

(5) A description of the number of licenses issued and revoked;

(6) A description of the number of complaints reported and investigated and a list of the number and types of sanctions imposed;

(7) A description of all rules adopted or repealed, including temporary and permanent rules;

(8) A description of the number of public meetings or work sessions held by the board;

(9) A description of the board’s consumer publications and outreach programs;

(10) An explanation of any revenue increase causing revenue to exceed the prior biennium’s budget level, including what portion of the increase, if any, is due to an increase in the number of licenses issued;

(11) An explanation of how any revenue increase that caused revenue to exceed the prior biennium’s budget level was expended;

(12) An explanation of how the board has adequately and effectively discharged the lawful responsibilities of the board concerning:

(a) Licensing;

(b) Enforcement;

(c) Consumer and professional education and information;

(d) Responses to consumer complaints; and

(e) Responses to requests from the Governor’s office; and

(13) A statement of whether the personnel policies and contracting and purchasing procedures followed by the board:

(a) Comply with applicable state and federal law; and

(b) Have resulted in time or resource savings and the amount and use made of any savings.

SECTION 10. Notwithstanding section 4 of this 2001 Act, for the biennium ending on June 30, 2003, the Appraiser Certification and Licensure Board may adopt its budget by temporary rule under ORS 183.335.

SECTION 11. ORS 674.305 is amended to read:

674.305. (1) [There is created in the Department of Consumer and Business Services an] The Appraiser Certification and Licensure Board [consisting] shall operate as a semi-independent state agency subject to sections 2 to 9 of this 2001 Act for purposes of carrying out the provisions of this chapter. The board shall consist of [10 members, nine of whom are voting] seven members. The members shall be appointed by the Governor and must be [who are] residents of this state [appointed by the Governor].

(2) The board shall be composed of:

(a) [Four] Five appraisers certified or licensed under ORS 674.310;

[(b) One appraiser licensed under ORS 674.310;]

[(c) Two individuals who are] (b) One individual who is employed by a financial institution or a mortgage banker; and [or one individual from each;]

[(d) Two individuals who are public members] (c) One individual who is a public member and who:

(A) [Are] Is not engaged in professional real estate activity;

(B) [Are not] Is not a state certified or state licensed [appraisers] appraiser;

(D) [Do] Does not have a direct financial interest in any person who is required, or whose employees or agents are required, to be state licensed or state certified appraisers.[; and]

[(e) The Director of the Department of Consumer and Business Services, or a designated representative, who shall serve as a nonvoting member of the board.]

(3) The term of office of each member is four years with two terms maximum, but a member serves at the pleasure of the Governor. Before the expiration of the term of a member, the Governor shall appoint a successor whose term begins on July 1 next following. A member is eligible for reappointment. If there is a vacancy for any cause, the Governor shall make an appointment to become immediately effective for the unexpired term. [No individual] A member [shall] may not be appointed to serve more than two consecutive terms on the board.

(4) A member of the board is entitled to compensation and expenses as provided in ORS 292.495.

(5) The board shall select one of its members as chairperson and another as vice chairperson, for such terms and with duties and powers necessary for the performance of the functions of such offices as the board determines.

(6) A majority of the members of the board constitutes a quorum for the transaction of business.

(7) The board shall meet at least once every three months at a place, day and hour determined by the board. The board also shall meet at other times and places specified by the call of the chairperson or of a majority of the members of the board.

(8) In accordance with applicable provisions of ORS 183.310 to 183.550, the board shall adopt rules necessary for the administration of this chapter.

(9) The appointment of [the] a member of the board is subject to confirmation by the Senate in the manner prescribed in ORS 171.562 and 171.565.

(10) The [director] chairperson shall appoint an administrator subject to the approval of the board who shall be in the unclassified service and fix the compensation of such officer.

SECTION 12. ORS 674.310 is amended to read:

674.310. (1) The Appraiser Certification and Licensure Board shall:

(a) Have the power to do all things necessary and convenient to carry into effect the provisions of this chapter and the federal Act and to regulate the activities of state licensed appraisers and state certified appraisers to ensure that all real estate appraisals conform to the law in effect on the date of the real estate appraisal activity.

(b) Certify and license appraisers as necessary to carry out the federal Act and the purposes set forth in ORS 674.010.

(c) Supervise the activities of state certified and state licensed appraisers as provided in this chapter, to ensure that they perform all real estate appraisal activity in strict conformance with the provisions of this chapter and of the federal Act, and that they otherwise comply with the provisions of this chapter in the conduct of their professional activities.

(d) Establish, keep current and, no less than annually, transmit to the Appraisal Subcommittee a roster listing state certified appraisers and state licensed appraisers.

(e) Collect and remit annual registry fees as required by ORS 674.330.

(2) All rules adopted by the board to govern real estate appraiser certification and licensure shall conform in all respects with the requirements of the federal Act. The board shall adopt rules including but not limited to:

(a) Establishing programs for the certification and licensure of individuals who engage in real estate appraisal activity.

(b) Establishing educational requirements for certification and licensure of appraisers that ensure protection of the public interest and comply in all respects with the requirements of the federal Act. Education requirements for state certified appraisers shall specifically meet the minimum criteria established by the Appraiser Qualification Board of the Appraisal Foundation.

(c) Establishing a professional code of responsibility for state certified appraisers and state licensed appraisers that is in conformance with the federal Act.

(d) Providing for registration of out-of-state appraisers as provided for under ORS 674.120.

(3) No individual shall be a state certified appraiser unless the individual has achieved a passing grade upon a suitable examination equivalent to the Uniform Certification Examination issued or indorsed by the Appraisal Qualification Board of the Appraisal Foundation.

(4) The Appraiser Certification and Licensure Board, acting through the administrator, may issue subpoenas to compel the attendance of witnesses and the production of papers, books, records, correspondence, agreements, memoranda and other material or relevant documents in all investigations or proceedings pertaining to the powers and duties of the board.

(5) In the case of a person who refuses to respond to a subpoena issued by the board, the judge of the circuit court [or of any county], on the application of the board administrator, shall order compliance with the board subpoena in the same manner as a proceeding for contempt for failure to respond to a subpoena of the court.

SECTION 13. ORS 674.340 is amended to read:

674.340. (1) [The Appraiser Account is established as an account in the Consumer and Business Services Fund created by ORS 705.145.] All moneys, fees and charges collected or received by the Appraiser Certification and Licensure Board pursuant to ORS 674.330 shall be paid into the account created by the board under section 8 of this 2001 Act. [the Consumer and Business Services Fund created by ORS 705.145 and credited to the account.] All moneys in the account are appropriated continuously to the [Department of Consumer and Business Services] board to carry out the duties [which] that the board is charged with administering.

(2) The Federal Registry Fund is established in the [Appraiser Account in the Consumer and Business Services Fund] account created by the board under section 8 of this 2001 Act. Proceeds received under ORS 674.330 (1) shall be deposited in the Federal Registry Fund [of the Appraiser Account in the Consumer and Business Services Fund]. The moneys in the Federal Registry Fund shall be used solely as set forth in ORS 674.330 (1).

SECTION 14. Notwithstanding sections 1 to 10 and 15 to 18 of this 2001 Act and the amendments to ORS 674.305, 674.310 and 674.340 by sections 11 to 13 of this 2001 Act, the lawful rules of the Appraiser Certification and Licensure Board in effect immediately prior to the operative date of section 1 of this 2001 Act shall continue in full force and effect unless superseded by temporary or permanent rules lawfully adopted on or after the operative date of section 1 of this 2001 Act.

SECTION 15. Notwithstanding sections 1 to 10, 14 and 16 to 18 of this 2001 Act and the amendments to ORS 674.305, 674.310 and 674.340 by sections 11 to 13 of this 2001 Act, the fee structure utilized by the Appraiser Certification and Licensure Board immediately prior to the operative date of section 1 of this 2001 Act shall continue in full force and effect except as superseded by a fee structure adopted on or after the operative date of section 1 of this 2001 Act.

SECTION 16. (1) The transfer of the Appraiser Certification and Licensure Board to semi-independent state agency status by section 1 of this 2001 Act and the application of sections 2 to 9 of this 2001 Act to the board shall not act to cancel, suspend or prevent:

(a) Any lawful debt owing by or to the board;

(b) Any fine, penalty, tax or obligation;

(c) Any contract or other obligation; or

(d) Any action taken by or on behalf of the board in the administration and enforcement of its duty.

(2) The application of sections 2 to 9 of this 2001 Act to the board does not require the board to reexecute any action that is consistent with the provisions of sections 2 to 9 of this 2001 Act.

(3) All supplies, materials, equipment, records, books, papers and facilities of the board shall continue under the control of the board as though the transfer had not occurred.

SECTION 17. Prior to the operative date of section 1 of this 2001 Act, the Appraiser Certification and Licensure Board may undertake any reasonable and necessary action to facilitate carrying out the purposes of sections 1 to 10 and 14 to 18 of this 2001 Act and the amendments to ORS 674.305, 674.310 and 674.340 by sections 11 to 13 of this 2001 Act on or after the operative date of section 1 of this 2001 Act.

SECTION 18. Sections 1 to 10 and 14 to 18 of this 2001 Act and the amendments to ORS 674.305, 674.310 and 674.340 by sections 11 to 13 of this 2001 Act become operative July 1, 2001, or 60 days after the effective date of this 2001 Act, whichever is later.

SECTION 19. This 2001 Act being necessary for the immediate preservation of the public peace, health and safety, an emergency is declared to exist, and this 2001 Act takes effect on its passage.

Approved by the Governor June 22, 2001

Filed in the office of Secretary of State June 25, 2001

Effective date June 22, 2001

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