Bill Text: MS HB1384 | 2014 | Regular Session | Introduced
Bill Title: Appraisal Management Recovery Fund; create.
Spectrum: Partisan Bill (Republican 2-0)
Status: (Failed) 2014-02-04 - Died In Committee [HB1384 Detail]
Download: Mississippi-2014-HB1384-Introduced.html
MISSISSIPPI LEGISLATURE
2014 Regular Session
To: Judiciary A; Ways and Means
By: Representatives Guice, Frierson
House Bill 1384
AN ACT TO CREATE SECTION 73-34-133, MISSISSIPPI CODE OF 1972, TO CREATE THE APPRAISAL MANAGEMENT COMPANY RECOVERY FUND; TO CREATE SECTION 73-34-135, MISSISSIPPI CODE OF 1972, TO PROVIDE FOR THE ADMINISTRATION OF THE FUND BY THE MISSISSIPPI REAL ESTATE APPRAISER LICENSING AND CERTIFICATION BOARD; TO AMEND SECTION 73-34-101, MISSISSIPPI CODE OF 1972, IN CONFORMITY THERETO; TO AMEND SECTION 73-34-109, MISSISSIPPI CODE OF 1972, TO REVISE REQUIREMENTS OF OWNERS AND CONTROLLING PERSONS OF APPRAISAL MANAGEMENT COMPANIES; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. The following shall be codified as Section 73-34-133, Mississippi Code of 1972:
73-34-133. (1) There is hereby created and established in the State Treasury the Appraisal Management Company Recovery Fund. The fund shall be administered by the board for the purposes set forth in Section 73-34-135.
(2) In addition to the license fees required by law, upon issuance of every appraisal management company's registration, and every regular annual renewal date thereafter, the board shall charge each registrant an amount not to exceed Eight Hundred Dollars ($800.00) per year to be deposited in the Appraisal Management Company Recovery Fund.
(3) Any monies remaining in the fund at the close of the fiscal year shall not lapse, but shall remain in the fund. Any interest earnings of the fund shall become a part of the fund and shall not lapse.
SECTION 2. The following shall be codified as Section 73-34-135, Mississippi Code of 1972:
73-34-135. (1) The Mississippi Real Estate Appraiser Licensing and Certification Board (board) shall administer the appraisal management company recovery fund solely to provide restitution to each Mississippi licensed or certified real property appraiser who has suffered pecuniary loss:
(a) As a result of an appraisal management company ceasing to be registered with the board, either voluntarily or involuntarily;
(b) If an appraiser has received a final judgment from a court of competent jurisdiction within the state; and
(c) If no viable alternative for full restitution is available, as determined by the board.
(2) Each fund distribution for restitution shall be made payable to the appropriate appraiser as determined by the board. The amount to be paid to the appraiser shall equal the actual amount of appraisal fees that are proven to be owed to the appraiser by the relevant appraisal management company and any reasonable and appropriate court costs associated with determining the final judgment in favor of the appraiser. If the amount of restitution to be paid to any one or more appraisers at any one time exceeds the balance in the fund, the board shall:
(a) Distribute as much of the restitution amount as possible, which shall be deemed to satisfy in full any claim the relevant appraisers have on payments from the recovery fund; and
(b) In the case of distributions to more than one (1) appraiser, provide for a pro rata distribution of the available fund balance, which shall be deemed to satisfy in full any claim the relevant appraisers have on payments from the recovery fund.
(3) Whenever restitution is paid by the fund, the fund shall be subrogated to the amount of the restitution.
(4) The board shall promulgate regulations in accordance with this section to:
(a) Ensure that the balance of the fund established in Section 73-34-133 shall not fall below Eight Hundred Thousand Dollars ($800,000.00); and
(b) Impose the fees assessed upon appraisal management companies under Section 73-34-133 whenever the balance of the fund is less than Eight Hundred Thousand Dollars ($800,000.00). The board shall cease imposing the fees when the balance of the fund is Eight Hundred Thousand Dollars ($800,000.00).
(5) Within one hundred twenty (120) days after the end of each fiscal year, the board shall make public a statement of income and expenses of the Appraisal Management Company Recovery Fund, the details of which are in accordance with generally accepted accounting principles.
SECTION 3. Section 73-34-101, Mississippi Code of 1972, is amended as follows:
Sections 73-34-101 through * * *
73-34-135
shall be known and may be cited as the "Mississippi Appraisal Management
Company Registration Act."
SECTION 4. Section 73-34-109, Mississippi Code of 1972, is amended as follows:
(1) An appraisal management company applying for registration in this state shall not:
(a) Be owned, in whole or in part, directly or indirectly, by any person who has had an appraiser license or certificate in this state or in any other state, refused, denied, cancelled, surrendered in lieu of revocation, or revoked; or
(b) Be owned by more than ten percent (10%) by a person who is not of good moral character, which for purposes of this section shall require that such person has not been convicted of, or entered a plea of nolo contendere to a felony relating to the practice of appraisal, banking, mortgage or the provision of financial services, or any crime involving fraud, misrepresentation or moral turpitude.
(2) (a) For
purposes of subsection (1)(b), to qualify for initial registration and
renewed registration as an appraisal management company, each owner of more
than ten percent (10%) of an appraisal management company must have
successfully been cleared for registration through an investigation that shall
consist of a determination as to good moral character and verification that the
said owner is not guilty of or in violation of any statutory ground for denial
of registration as set forth in this chapter. To assist the board in
conducting its registration investigation, each owner of more than ten percent
(10%) of an appraisal management company shall * * * undergo
a fingerprint-based criminal history records check of the Mississippi central
criminal database and the Federal Bureau of Investigation criminal history
database. Each applicant shall submit a full set of the applicant's
fingerprints in a form and manner prescribed by the board, which shall be
forwarded to the Mississippi Department of Public Safety (department) and the
Federal Bureau of Investigation Identification Division for this purpose.
(b) Any and all state or national criminal history records information obtained by the board that is not already a matter of public record shall be deemed nonpublic and confidential information restricted to the exclusive use of the board, its members, officers, investigators, agents and attorneys in evaluating the applicant's eligibility or disqualification for registration, and shall be exempt from the Mississippi Public Records Act of 1983. Except when introduced into evidence in a hearing before the board to determine registration, no such information or records related thereto shall, except with the written consent of the applicant or by order of a court of competent jurisdiction, be released or otherwise disclosed by the board to any other person or agency.
(c) The board shall provide to the department the fingerprints of the applicant, any additional information that may be required by the department, a form signed by the applicant consenting to the check of the criminal records and to the use of the fingerprints and other identifying information required by the state or national repositories.
(d) The board shall charge and collect from the applicant, in addition to all other applicable fees and costs, such amount as may be incurred by the board in requesting and obtaining state and national criminal history records information on the applicant.
SECTION 5. This act shall take effect and be in force from and after July 1, 2014.
