Bill Text: AZ SB1202 | 2023 | Fifty-sixth Legislature 1st Regular | Engrossed
Bill Title: Banking; fees; licensing
Spectrum: Partisan Bill (Republican 1-0)
Status: (Engrossed - Dead) 2023-03-29 - House WM Committee action: Failed To Pass, voting: (5-5-0-0-0-0) [SB1202 Detail]
Download: Arizona-2023-SB1202-Engrossed.html
|
Senate Engrossed
banking; fees; licensing |
|
State of Arizona Senate Fifty-sixth Legislature First Regular Session 2023
|
|
SENATE BILL 1202 |
|
|
|
|
An Act
amending sections 6-123, 6-604, 6-706, 6-707, 6-906, 6-908, 6-946, 6-983, 6-991.04, 6-1405, 32-1025, 32-3619 and 32-3652, Arizona Revised Statutes; relating to department of insurance and financial institutions.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 6-123, Arizona Revised Statutes, is amended to read:
6-123. Deputy director; powers
In addition to the other powers, express or implied, the deputy director may:
1. Exercise all powers that are necessary for the administration and enforcement of the laws and rules relating to financial institutions and enterprises.
2. In accordance with title 41, chapter 6, adopt rules that are necessary or appropriate to administer, enforce and accomplish the purposes of this title and adopt rules and issue orders that limit transactions between financial institutions or enterprises and the directors, officers or employees of the financial institutions or enterprises.
3. Require appropriate records, documents, information and reports from any financial institution or enterprise.
4. Submit to the department of public safety, or the nationwide mortgage licensing system and registry established by the secure and fair enforcement for mortgage licensing act of 2008 (P.L. 110-289; 122 Stat. 2810; 12 United States Code sections 5101 through 5116) or its successor, the name and fingerprints of any applicant, licensee, active manager or responsible individual or the name and fingerprints of any organizer, director or officer of any corporate applicant or licensee for:
(a) A banking permit.
(b) Permission to organize a savings and loan association or credit union.
(c) Any license.
(d) Any certificate.
(e) Authority to engage in interstate banking and branching in this state.
The department of public safety shall report the criminal record, if any, of such applicant, licensee or organizer, director or officer of such corporate applicant or licensee within ninety days after receipt of receiving the deputy director's request.
5. Employ appraisers to appraise any property that is owned or held as security by any financial institution or enterprise. The reasonable expenses and compensation of such appraisers shall be paid by the financial institution or enterprise.
6. Hold membership in, pay dues to and attend the convention of the national and regional organizations of state officials occupying like offices or performing similar functions.
7. Cooperate with other regulatory agencies and professional associations to promote the efficient, safe and sound operation and regulation of interstate banking and branching activities, including the formulation of interstate examination policies and procedures and the drafting of model rules and agreements.
8. Participate in the nationwide mortgage licensing system and registry established by the secure and fair enforcement for mortgage licensing act of 2008 (P.L. 110-289; 122 Stat. 2810; 12 United States Code sections 5101 through 5116), or its successor, and use the system for all aspects of licensure pursuant to this title, title 32, chapter 9 and title 44, chapter 2.1. The deputy director may allow the system to collect licensing fees on behalf of the deputy director, to collect a processing fee for the services of the system directly from each applicant for a license or licensee and to process and maintain records on behalf of the deputy director, including information collected pursuant to this section and section 6-123.01. This paragraph does not affect the records disclosure requirements and limitations prescribed in section 6-129.01.
Sec. 2. Section 6-604, Arizona Revised Statutes, is amended to read:
6-604. Issuance of license; license year; renewal; expiration; requirements
A. If the deputy director finds no grounds for denial of a license, within one hundred twenty days after receiving a complete application, the deputy director shall grant the application and issue a license to the applicant.
B. The license year for a licensee begins on July 1 and ends on June 30 of each year. A license that is issued pursuant to this chapter remains active until the license expires or the director suspends, revokes or terminates the license.
C. All licenses issued remain in full force until surrendered, revoked or suspended.
C. A licensee shall apply for renewal as prescribed by the deputy director and pay the renewal fee prescribed in section 6-126 not later than june 30 of each year. For each day after June 30 that the renewal application is not received by the deputy director, the applicant shall pay a $25 late fee in addition to the fee prescribed in section 6-126. If the deputy director does not receive the licensee's renewal application and fee on or before June 30, the licensee may not act as a consumer lender until the license is renewed or a new license is issued pursuant to this article. If the Deputy Director does not receive the licensee's renewal application and fee on or before July 31, the License automatically expires. The holder of an expired license may not be issued a renewal license but may be issued a new license as provided in this article.
D. A license remains the property of this state. On termination at the request of the licensee or revocation by the deputy director, the licensee shall immediately deliver the license to the deputy director. Termination of the license does not affect any other liability of the licensee.
E. The licensee shall designate the principal location of the licensed office within or outside this state. If a licensee wishes to maintain more than one office location the licensee shall first obtain a branch office license for each branch office from the deputy director. The licensee shall submit an application in the form prescribed by the deputy director and pay the fee prescribed in section 6-126 for each branch office license. If the deputy director determines that the applicant is qualified, the deputy director shall issue a branch office license indicating the address of the branch office.
F. A licensee shall prominently display the consumer lender license in the office of the consumer lender and any branch office license in that branch office.
Sec. 3. Section 6-706, Arizona Revised Statutes, is amended to read:
6-706. Fees
A. An applicant, at the time of filing an application for a license under the terms of this article, shall pay to the deputy director the fee prescribed in section 6-126. The fee for an agency license is the same as that the fee prescribed for a branch.
B. Prior to June 15 On or before June 30 of each year, each licensee may obtain a renewal of each license without investigation by payment of the fee prescribed in section 6-126. The fee for renewal of an agency license is the same as that the fee prescribed for a branch.
Sec. 4. Section 6-707, Arizona Revised Statutes, is amended to read:
6-707. Issuance of license; display; renewal
A. On the filing of the application and the payment of the fees and the approval of the bond, or bonds, the deputy director shall investigate the facts, and if the deputy director finds that the financial responsibility and experience of the applicant are such as to command the confidence of the community to warrant belief that the business will be operated fairly and honestly and within the purposes of this article, the deputy director shall issue the applicant a license to do business as a debt management company.
B. The license shall be kept conspicuously posted in the business office of the licensee. The license is not transferable or assignable.
C. Licenses expire on June 30 following the date of the issuance unless sooner surrendered, revoked or suspended but may be renewed by filing an application with the deputy director on or before June 15 30 each year. The application for renewal shall be in the form prescribed by the deputy director and shall be accompanied by the fee prescribed in section 6-126. A separate application shall be made for each initial license of a principal place of business, agency or branch office.
Sec. 5. Section 6-906, Arizona Revised Statutes, is amended to read:
6-906. Required accounting practices and records; escrow of monies; disclosure
A. Every mortgage broker shall keep and maintain at all times correct and complete records as prescribed by the deputy director that will enable the deputy director to determine whether the licensee is conducting the licensee's business in accordance with this article. If the mortgage broker operates two or more licensed places of business in this state, after notifying the deputy director, the mortgage broker may maintain such records at the mortgage broker's principal place of business in this state, except that a mortgage broker, with the approval of the deputy director, may maintain the records outside of this state. For records kept outside this state, A mortgage broker shall make the records available to the deputy director in this state not more than three business days after demand and provide for the acceptance of collect calls or provide a toll free toll-free telephone number to borrowers to obtain information from the records if the licensed place of business in this state cannot readily provide the information requested by the borrowers. Every mortgage broker shall maintain original documents or clearly legible copies of all mortgage loan transactions for not fewer less than five years after the date of the mortgage loan closing.
B. Every mortgage broker shall observe generally accepted accounting principles and practices.
C. A mortgage broker shall immediately deposit all monies received by the mortgage broker in an escrow account with an escrow agent licensed pursuant to chapter 7 of this title. Withdrawals shall only be disbursed according to the terms of the escrow instructions. The escrow agent shall not be the mortgage broker. A mortgage broker, however, may accept an appraisal fee, which the mortgage broker shall only use to obtain an appraisal, a credit investigation fee and a fee in connection with an application for a mortgage loan. The mortgage broker shall not commingle the appraisal fee or credit investigation fee with other monies of the mortgage broker. A mortgage broker shall not accept any monies or documents in connection with an application for a mortgage loan in an amount of $200,000 or less, except as provided in this section and pursuant to a written agreement. The parties shall sign the written agreement and the agreement shall contain terms pertaining to the disposition of the monies and documents, whether the loan is finally consummated or not, the term for which the agreement is to remain in force before return of the monies and documents for nonperformance can be required and an itemized list of all estimated costs to the borrower of obtaining the mortgage loan, including all costs charged by third parties. The licensee shall preserve all agreements between the parties involved in the transaction and all contracts, agreements and escrow instructions to or with the depository. All documents provided by the borrower or at the expense of the borrower to the mortgage broker, including any appraisals, are the property of the borrower and shall, at the borrower's request, shall be returned to the borrower or transferred to any person designated by the borrower without further expense to the borrower if the loan is not consummated, provided that any such document is not prohibited by law from being transferred or returned.
D. Before a mortgage loan closing on residential real property designed principally for the occupancy of from one to four families, a licensee shall fully comply, to the extent applicable, with the real estate lending disclosure requirements of title I of the consumer credit protection act (15 United States Code sections 1601 through 1666j), the real estate settlement procedures act (12 United States Code sections 2601 through 2617) and the regulations promulgated under those acts.
Sec. 6. Section 6-908, Arizona Revised Statutes, is amended to read:
6-908. Testing committee; testing of applicants; approval by deputy director; definition
A. The deputy director shall establish a testing committee to create, periodically update and establish standards for passing a test for mortgage brokers. The committee shall consist of five members appointed by the deputy director once every two years. Four of the members shall be licensees appointed from nominations submitted by licensees and one of the members shall be an employee of the department. Licensees who serve as members of the committee shall serve without expense to this state. The test is subject to the approval of the deputy director.
B. Each applicant for an original license, before issuance of the license, shall personally take and pass the written test given under the supervision of the department. The test must reasonably examine the applicant's knowledge of:
1. The obligations between principal and agent, the applicable canons of business ethics, the provisions of this article and the rules adopted under this article.
2. The arithmetical computations common to mortgage brokerage.
3. The principles of real estate lending.
4. The general purposes and legal effect of mortgages, deeds of trust and security agreements.
C. The department shall administer the test to applicants for licenses not less than once every six months. The deputy director may contract for the testing of applicants. The department or the department's contractor shall reasonably prescribe the time, place and conduct of testing and collect a fee for administration of the test to be assessed to all persons taking the test. The fee is $50 per testing. If the deputy director contracts for the testing of applicants, the testing fee owed pursuant to this section is payable directly by the applicant directly to the contractor. The deputy director may allow a contractor to charge a reasonable testing fee that is more than the fee prescribed in this subsection. An applicant may not take the test more than two four times within a twelve-month period.
D. All tests shall be given, conducted and graded in a fair and impartial manner and without unfair discrimination between individuals tested. The committee shall inform the applicant of the result of the test within thirty days.
E. For testing purposes, the department shall prepare a handbook for mortgage brokers and distribute it to all applicants for a fee of not to exceed the actual cost of producing and distributing the handbook.
F. For the purposes of this section "applicant" means a person who has submitted a completed application in the form prescribed by law, accompanied by a letter of inquiry to a surety company authorized to do business in this state regarding the procurement of a bond pursuant to section 6-903, to be issued on completion of all requirements for the granting of a license.
Sec. 7. Section 6-946, Arizona Revised Statutes, is amended to read:
6-946. Required accounting practices and records; refundable deposits; periodic impoundment payments; disclosure
A. Every mortgage banker shall keep and maintain at all times correct and complete records clearly reflecting the financial condition of the business as prescribed by the deputy director that will enable the deputy director to determine whether the licensee is conducting the licensee's business in accordance with this article. If the mortgage banker operates two or more licensed places of business in this state, after notifying the deputy director, the mortgage banker may maintain the records at the mortgage banker's principal place of business in this state, except that a mortgage banker, with the approval of the deputy director, may maintain the records outside of this state. A mortgage banker shall, for records kept outside of this state, make the records available to the deputy director in this state not more than three business days after demand and provide for the acceptance of collect calls or provide a toll free toll-free telephone number to borrowers to obtain information from the records if the licensed places of business in this state cannot readily provide the information requested by the borrowers. Every mortgage banker shall maintain original documents, or clearly legible copies, of all mortgage banking loan transactions and mortgage loan transactions, unless the mortgage banking loan or mortgage loan is paid in full or the mortgage banking loan or mortgage loan and its servicing are sold, for not fewer less than two years after the date of the mortgage banking loan closing or the date of the last disbursement of monies by the licensee, whichever occurs last. With the approval of the deputy director, A licensee that uses a computer or mechanical record keeping recordkeeping system is not required to keep a written copy of the records if the licensee is able to generate all information required by this section in a timely manner for examination or for other purposes.
B. Every mortgage banker shall observe generally accepted accounting principles and practices.
C. If a mortgage banker requires an advance or fee to be paid in connection with an application for a mortgage banking loan or mortgage loan, there shall be a written agreement. The parties shall sign the written agreement, and the agreement shall contain terms pertaining to the payment of the fee or disposition of the advance or fee, whether the loan is finally consummated or not, and the term for which the agreement is to remain in force before return of the advance or fee for nonperformance can be required. Advances or fees shall be immediately deposited in a trust account in a bank, savings bank or savings and loan association that is fully insured by the federal deposit insurance corporation or any successor agency and shall not be commingled with other monies. The trust account shall designate the licensee as trustee and shall provide for withdrawal of the monies without previous notice. Withdrawals shall only be disbursed according to the terms of the agreement. A licensee who receives advances or fees shall preserve and on request make available to the deputy director all deposits, withdrawal receipts and statements of account rendered by the bank or savings and loan association. The licensee shall further preserve all agreements between the parties involved in the transaction and all contracts, agreements and instructions to or with the depository and shall keep an accurate accounting of each separate bank account in which the trust funds have been deposited. If the loan is declined by or on behalf of the lender or cancelled by the applicant, all documents provided by or at the expense of the applicant, including any appraisal, are the property of the applicant. At the applicant's discretion, said documents shall be returned or transferred to any financial institution or enterprise so designated without additional consideration except for fees for which the applicant has previously contracted, provided that any such document is not prohibited by law from being transferred or returned.
D. If periodic payments are to be collected from the mortgagor to provide for payments by the mortgagee of taxes, assessments, insurance premiums, ground rents or other current charges against the real estate security, the estimated payment amount stated to the mortgagor by the mortgage banker shall be such that the total of these payments collected for each category during the tax or other period will approximate the actual tax or other payment when due. All such periodic payments of taxes, assessments, insurance premiums, ground rents and other current charges shall be accounted for annually to the borrower and, to the extent monies have been collected for payment, shall be paid promptly by the mortgage banker.
E. Before a mortgage banking loan closing on residential real property designed principally for the occupancy of from one to four families, a licensee shall fully comply, to the extent they apply, with the real estate lending disclosure requirements of title I of the consumer credit protection act (15 United States Code sections 1601 through 1666j), the real estate settlement procedures act (12 United States Code sections 2601 through 2617) and the regulations promulgated under those acts.
Sec. 8. Section 6-983, Arizona Revised Statutes, is amended to read:
6-983. Required accounting practices and records; escrow of monies; disclosure
A. A commercial mortgage banker shall keep and maintain at all times correct and complete records as prescribed by the deputy director that will enable the deputy director to determine whether the licensee is complying with this article. If the commercial mortgage banker operates two or more licensed places of business in this state, after notifying the deputy director, the commercial mortgage banker may maintain such records at the commercial mortgage banker's principal place of business in this state, except that a commercial mortgage banker, with the approval of the deputy director, may maintain the records outside of this state. For records kept outside this state, A commercial mortgage banker shall make the records available to the deputy director in this state not more than three business days after demand and shall provide for the acceptance of collect calls or provide a toll free toll-free telephone number to borrowers to obtain information from the records if the licensed place of business in this state cannot readily provide the information requested by the borrowers. A commercial mortgage banker shall maintain original documents or clearly legible copies of all commercial mortgage loan transactions for at least two years after the date of the commercial mortgage loan closing.
B. A commercial mortgage banker shall observe generally accepted accounting principles and practices.
C. If a commercial mortgage banker requires an advance or fee to be paid in connection with an application for a commercial mortgage loan, there shall be a written agreement. The parties shall sign the written agreement, and the agreement shall contain terms pertaining to the payment of the fee or disposition of the advance or fee, whether the loan is finally consummated or not, and a term for which the agreement is to remain in force before return of the advance or fee for nonperformance can be required. The licensee shall immediately deposit advances or fees in a trust account in a bank, savings bank or savings and loan association that is fully insured by the federal deposit insurance corporation or any successor agency, and the advances or fees shall not be commingled with other monies. The trust account shall designate the licensee as trustee and shall provide for withdrawing the monies without previous notice. Withdrawals shall only be disbursed according to the terms of the agreement. A licensee who receives advances or fees shall preserve and on request make available to the deputy director all deposits, withdrawal receipts and statements of account rendered by the bank, savings bank or savings and loan association. The licensee shall further preserve all agreements between the parties involved in the transaction and all contracts, agreements and instructions to or with the depository and shall keep an accurate accounting of each separate bank account in which the trust monies have been deposited. If the loan is declined by or on behalf of the lender or canceled by the applicant, all documents provided by or at the expense of the applicant, including any appraisal, are the property of the applicant. At the applicant's discretion, the documents shall be returned or transferred to any designated financial institution or enterprise without additional consideration except for fees for which the applicant has previously contracted, if the document is not prohibited by law from being transferred or returned.
D. If periodic payments are to be collected from the mortgagor to provide for payments by the mortgagee of taxes, assessments, insurance premiums, ground rents or other current charges against the real estate security, the estimated payment amount stated to the mortgagor by the commercial mortgage banker shall be such that the total of these payments collected for each category during the tax or other period will approximate the actual tax or other payment when due. The licensee shall annually account to the borrower for all such periodic payments of taxes, assessments, insurance premiums, ground rents and other current charges and, to the extent monies have been collected for payment, shall pay them promptly.
Sec. 9. Section 6-991.04, Arizona Revised Statutes, is amended to read:
6-991.04. Issuance of license; notice from employing mortgage broker, mortgage banker or consumer lender or registered exempt person; renewal; inactive status; address change; fee
A. The deputy director, on determining that an applicant is qualified and has paid the required fees, shall issue a loan originator's license to the applicant evidenced by a continuous certificate. The deputy director shall grant or deny a license within one hundred twenty days after receiving the completed application and fees. An applicant who has been denied a license may not reapply for a license before one year after the date of the previous application.
B. On issuance of the license, the deputy director shall keep the loan originator's license until a mortgage broker or mortgage banker licensed pursuant to this chapter or a consumer lender employs the loan originator and the employer provides a written notice that the employer has hired the loan originator or until an exempt person who is registered pursuant to section 6-912 provides a written notice that the exempt person has engaged the loan originator on an exclusive contract with the exempt person. The employer shall provide the notice before the loan originator begins working for the employer. Exempt persons who are registered pursuant to section 6-912 shall provide the notice before the loan originator begins work under the exclusive contract with the exempt person. The notice shall be from an officer or other person authorized by the employer or registered exempt person. The notice shall contain a request for the loan originator's license and shall be dated, signed and notarized. On receipt of the request, the deputy director shall forward the loan originator's license to the employing mortgage broker, mortgage banker, consumer lender or registered exempt person.
C. Licenses shall be issued for a one-year period.
D. A loan originator shall apply for renewal on forms prescribed by the deputy director. The application shall include original certificates evidencing the loan originator's successful completion of eight continuing education units during the preceding one-year period by a continuing education provider approved by the deputy director.
E. A loan originator shall pay the renewal fee every year on or before December 31. Licenses not renewed by December 31 are suspended, and the licensee shall not act as a loan originator until the license is renewed or a new license is issued pursuant to this article. A person may renew a suspended license by paying the renewal fee plus a dollar amount to be determined by the deputy director for each day after December 31 that a license renewal fee is not received by the deputy director.
F. Licenses that are not renewed by January 31 of each year expire. A license shall not be granted to the holder of an expired license except as provided in this article for the issuance of an original license.
G. From December 1 through December 31 of each renewal period, a licensee may request inactive status for the following license period. The license shall be placed on inactive status after the licensee pays to the deputy director the inactive status renewal fee and surrenders the license to the deputy director. During inactive status, an inactive licensee shall not act as a loan originator. The license expires if the licensee violates this subsection.
H. At renewal, an inactive licensee may return to active status by doing all of the following:
1. Providing the deputy director with evidence that the licensee has met the requirements of section 6-991.03, subsection B.
2. Making a written request to the deputy director for reactivation.
3. Paying the annual licensing fee.
4. Providing the deputy director with proof that the licensee meets all other requirements for acting as a loan originator.
I. The mortgage broker, mortgage banker, consumer lender or registered exempt person shall keep and maintain at the principal place of business in this state the loan originator's license during the loan originator's employment or exclusive contract term. A copy of the loan originator's license shall be available for public inspection during regular business hours.
J. A loan originator shall immediately notify the deputy director of a change in the loan originator's residence address. The deputy director shall endorse the change of address on the license for a fee to be determined by the deputy director.
K. Within five business days after any licensee's employment termination, the employing mortgage broker, mortgage banker, consumer lender or registered exempt person shall do both of the following:
1. Notify the deputy director of the licensee's termination.
2. Return the license to the deputy director.
L. An applicant for a loan originator license who is currently registered with the nationwide mortgage licensing system and registry established by the secure and fair enforcement for mortgage licensing act of 2008 (P.L. 110-289; 122 Stat. 2810; 12 United States Code sections 5101 through 5116) or its successor may be granted a temporary license for a period of not to exceed more than one hundred eighty days.
M. The deputy director shall establish a process for loan originators to challenge information that the deputy director enters into the nationwide mortgage licensing system and registry.
Sec. 10. Section 6-1405, Arizona Revised Statutes, is amended to read:
6-1405. Issuance of license or branch office permit; license year; renewal; expiration; requirements
A. If no grounds for denial of a license or branch office permit are found to exist, the deputy director shall, within one hundred twenty days of after receiving a complete application, shall grant the application and issue a license or branch office permit to the applicant.
B. The license or branch office permit year for a licensee begins January 1 and ends December 31 of each year. A license or permit that is issued pursuant to this chapter remains active until the license or permit expires or the director suspends, revokes or terminates the license or permit.
C. All licenses and branch office permits issued shall remain in full force and effect until surrendered, revoked or suspended.
C. A licensee or permit holder shall apply for renewal as prescribed by the deputy director and pay the renewal fee prescribed in section 6-126 not later than December 31 of each year. For each day after December 31 that the renewal application is not received by the deputy director, the applicant shall pay a $25 late fee in addition to the fee prescribed in section 6-126. If the deputy director does not receive the licensee's or permit holder's renewal application and fee on or before December 31, the licensee or permit holder may not act as a premium finance company or branch office until the license or permit is renewed or a new license or permit is issued pursuant to this chapter. If the Deputy Director does not receive the licensee's or permit holder's renewal application and fee on or before January 31, the License or permit automatically expires. The holder of an expired license or permit may not be issued a renewal license or permit but may be issued a new license or permit as provided in this chapter.
D. A license or branch office permit remains the property of this state. On termination, at the request of the licensee or revocation by the deputy director, the licensee shall immediately deliver the license or branch office permit to the deputy director.
Sec. 11. Section 32-1025, Arizona Revised Statutes, is amended to read:
32-1025. Annual renewal of license; suspension; expiration
A. Except as provided in section 32-4301, a person desiring to secure renewal of a collection agency license shall file a financial statement, make a renewal application to the department and pay the fees prescribed in section 6-126 not later than January 1 December 31 of each year on forms prescribed by the deputy director setting forth verified information to assist the deputy director in determining whether the applicant is in default of or in violation of the terms of this chapter and whether the applicant is still meeting the requirements of this chapter. If the renewal applicant is unable to make a financial statement at the time of filing the application, the applicant may make a written request for an extension of time to file such financial report, and if the extension is granted the applicant shall file a financial statement not later than March 1.
B. Licenses that are not renewed on or before January 1 December 31 are suspended by operation of law. A licensee may renew a suspended license by submitting to the department the fees prescribed in section 6-126 along with a renewal application and any applicable late fee, as may be determined by the deputy director by rule, before January 31. Licenses that are not renewed on or before January 31 expire.
Sec. 12. Section 32-3619, Arizona Revised Statutes, is amended to read:
32-3619. Renewal of license or certificate; fees
A. Except as otherwise provided in this section and in section 32-4301, to renew a registration certificate as a registered trainee appraiser or a license or certificate as a state-licensed or state-certified appraiser, the holder of a current, valid license or certificate shall apply and pay the prescribed fee to the deputy director not earlier than ninety days nor later than thirty days before the license or certificate expires. With the application for renewal, the registered trainee appraiser or the state-licensed or state-certified appraiser shall present evidence in the form prescribed by the deputy director of having completed the continuing education requirements for renewal specified in section 32-3625.
B. The deputy director may accept a renewal application after the expiration date and within ninety days of the date of expiration but shall assess a delinquent renewal fee in addition to the renewal fee.
C. An appraiser or registered trainee appraiser who fails to seek renewal within the time period specified in subsection A or B of this section must reapply for licensure or certification and meet all of the requirements of this chapter.
D. An appraiser or registered trainee appraiser shall not engage in, advertise or purport to engage in real estate appraisal activity in this state after a license or certificate has expired and before the renewal of the expired license or certificate except as provided in section 41-1092.11.
Sec. 13. Section 32-3652, Arizona Revised Statutes, is amended to read:
32-3652. Registration; renewal; fees
A. An individual who wishes to act as a property tax agent shall apply for registration by submitting to the deputy director a completed application form prescribed by the deputy director with the initial registration fee. The applicant shall also file with the deputy director an affidavit stating whether the applicant has been convicted of a felony or any misdemeanor involving dishonesty or moral turpitude in this or any other state within the last ten years. The deputy director may review the affidavit and issue or deny the registration based on its findings.
B. Except as provided in section 32-4301, registration is valid for two years. An individual may renew a registration by submitting to the deputy director a renewal form prescribed by the deputy director with the renewal fee on or before the date the registration expires.
C. An appraiser who is licensed or certified pursuant to this chapter may register and renew registration as a property tax agent without paying the fee prescribed by this section.
D. The deputy director shall issue a certificate of registration to an individual if the individual complies with this section and is not prohibited from registering pursuant to section 32-3654.
E. A person shall not act as a property tax agent if the person is not registered pursuant to this section.
F. The deputy director shall collect from each individual a fee of:
1. $200 for an initial registration.
2. $100 for a renewal.
3. $5 for a duplicate registration certificate.
