Bill Text: NJ S777 | 2022-2023 | Regular Session | Amended
Bill Title: Concerns discriminatory appraisals of property on basis of race, creed, color, national origin, or certain other characteristics.
Spectrum: Partisan Bill (Democrat 7-0)
Status: (Engrossed - Dead) 2023-12-11 - Received in the Assembly, Referred to Assembly Housing Committee [S777 Detail]
Download: New_Jersey-2022-S777-Amended.html
[Third Reprint]
SENATE, No. 777
STATE OF NEW JERSEY
220th LEGISLATURE
PRE-FILED FOR INTRODUCTION IN THE 2022 SESSION
Sponsored by:
Senator NELLIE POU
District 35 (Bergen and Passaic)
Senator TROY SINGLETON
District 7 (Burlington)
Co-Sponsored by:
Senators Cunningham and Ruiz
SYNOPSIS
Concerns discriminatory appraisals of property on basis of race, creed, color, national original, or certain other characteristics.
CURRENT VERSION OF TEXT
As amended by the Senate on October 17, 2022.
An Act concerning real estate appraisals and supplementing P.L.1991, c.68 (C.45:14F-1 et seq.) and chapter 15 of Title 45 of the Revised Statutes.
Be It Enacted by the Senate and General Assembly of the State of New Jersey:
11. This act shall be known and may be cited as the "Fair Appraisals Act."1
12. As used in this act:
"Property" or "real estate" means an identified parcel or tract of land, for residential or commercial use, with improvements and including easements, rights of way, undivided or future interests, or similar rights in a tract of land, but does not include mineral rights, timber rights, growing crops, water rights, or similar interests severable from the land when the transaction does not involve the associated parcel or tract of land.
"Appraisal" means a valuation of property as defined pursuant to P.L.1991, c.68 (C.45:14F-2).1
1[1.] 3.1 a. 3[A] Consistent with the provisions of section 8 of P.L.1978, c.73 (C.45:1-21), a3 holder of a license or 3[certification] certificate3 under P.L.1991, c.68 (C.45:14F-1 et seq.) or registration under P.L.2017, c.72 (C.45:14F-27 et al.) shall not discriminate in the appraisal of 3[a1[residential]1 property] real estate3 on the basis of the1actual or perceived1 race, creed, color, 1[or]1 national origin 3, affectional or sexual orientation, sex, gender identity or expression, disability, creed3 1, or other characteristic 3[listed pursuant to] protected under subsection g. or h. of section 11 of3 the "Law Against Discrimination," P.L.1945, c.169 3[(C.10:5-1 et seq.)1] (C.10:5-12)3 of the property buyer 1[or],1 property 1[seller] owner, agents of the property buyer or owner, or present owners or occupants of the properties within the neighborhood of the property subject to appraisal1.
b. 1(1)1 If the 3[board determines, after appropriate investigation, that the]3 holder of a license, 3[certification] certificate3, or registration 3[has 1[knowingly]1 engaged in the discriminatory appraisal of a 1[residential]1 property 1[on the basis of the property buyer's or property seller's race, creed, color, or national origin] pursuant to] is found, for a first violation, to have discriminated in the appraisal of real estate in violation of3 subsection a. of this section1, the 3discriminatory appraisal shall be void and of no effect and the3 board 1[may] shall 3[void the discriminatory appraisal and]:
(a) levy a fine to be determined by the board;
(b) order the holder to make restitution of the cost of the discriminatory appraisal; and
(c) require the holder to attend an anti-bias seminar approved by the board that shall include information on existing anti-discrimination laws and how they relate to housing and appraisals.
(2) If the holder of a license, certificate, or registration is found to have committed a second violation of subsection a. of this section, the board shall3:
(a)1 suspend 1[or revoke]1 the license, 3[certification] certificate3 or registration1[,] 3[;
(b)1 levy a fine 1[or impose a civil penalty,] against the holder that shall recoup] and order the holder to make restitution of3 the cost of the discriminatory appraisal; and
3[(c) shall] (b)3 require the holder to attend an anti-bias seminar approved by the board 2that shall include information on existing anti-discrimination laws and how they relate to housing and appraisals2.
3[(2) A suspended] (3) The board may restore the3 license, 3[certification] certificate3, or registration 3[shall be restored if] of a holder found to have committed a violation of subsection a. of this section upon proof that3 the holder 3[pays the fine levied] made restitution required3 pursuant to paragraph (1) of this subsection and 3[attends] attended3 the anti-bias seminar approved by the board 3after a period of suspension of no less than 30 days.3
3[(3)] (4) If the holder of a license, certificate, or registration is found to have committed a third violation of subsection a. of this section, the board shall, after appropriate notice and hearing, revoke the license, certificate, or registration.
(5)3 The holder of a suspended 3or revoked3 license, 3[certification] certificate3, or registration shall also be subject to a civil penalty not exceeding $10,000 for a first violation, $25,000 for a second violation occurring within five years of the first, and $50,000 for a third 3[and subsequent]3 violation 3[occurring within seven years of the second]3. A civil penalty imposed pursuant to this paragraph shall be collected by the board pursuant to the "Penalty Enforcement Law of 1999," P.L.1999, c.274 (C.2A:58-10 et seq.)1.
c. Whenever the board finds cause to 1[fine or]1 suspend 1[or revoke]1 the license, 3[certification] certificate3 or registration of a holder1pursuant to this section1, the board shall notify the holder of the reasons therefor, in writing, and provide opportunity for a hearing in accordance with the "Administrative Procedure Act," P.L.1968, c.410 (C.52:14B-1 et seq.). 3The board shall also provide the notification to the Division on Civil Rights for review and appropriate action.
d. The board shall notify a complainant under this section of the option to file a complaint with the Division on Civil Rights pursuant to the "Law Against Discrimination," P.L.1945, c.169 (C.10:5-1 et seq.).
e. Nothing in this section shall be construed to limit in any way the board's authority to take any action against a licensee based on discriminatory conduct or for any other reason or to limit any rights protected by or powers afforded to the Division on Civil Rights pursuant to the "Law Against Discrimination," P.L.1945, c.169 (C.10:5-1 et seq.).3
1[2.] 4.1 a. Prior to the initiation of a 1[residential]1 3[property] real estate3 appraisal, a holder of a license or 3[certification] certificate3 under P.L.1991, c.68 (C.45:14F-1 et seq.) or registration under P.L.2017, c.72 (C.45:14F-27 et al.) shall provide a property 1[seller] owner or agent of the property owner1 with a document, 1given free of charge and1 in a form and manner prescribed by the board, informing the property 1[seller] owner1 of the opportunity to report, through the Division 2[of Consumer Affairs'] on Civil Rights within the Department of Law and Public Safety2 1Internet1 website or telephone number, any suspicion of a discriminatory appraisal by the holder of a license, 3[certification] certificate3 or registration 1[on the basis of a property buyer or seller race, creed, color, or national origin] pursuant to subsection a. of section 3 of P.L. , c. (C. ) (pending before the Legislature as this bill).
b. (1) When receiving a report of an alleged discriminatory appraisal, the Division 2[of Consumer Affairs] on Civil Rights2 shall 3[ask the complainant if they believe that the value of the appraised property is below market value. The division shall also collect] ascertain the basis for the allegation and solicit from the complainant relevant3 demographic information 3[regarding the complainant, which shall include, but not be] , including but not3 limited to, the identity of the complainant within the characteristics listed pursuant to subsection a. of section 3 of P.L. , c. (C. ) (pending before the Legislature as this bill). The complainant may provide the demographic information 3[asked] solicited3 by the division on a voluntary basis. 3[The information shall include a contact telephone number, email address, and home address of the complainant.]3
(2) The division shall compile the demographic information of the complainants 3[who believe that the value of the appraised property is below market value] provided pursuant to paragraph (1) of this subsection3 and shall report in the aggregate the demographic information collected to the 3Governor and to the3 Legislature in accordance with section 2 of P.L.1991, c.164 (C.52:14-19.1) on or before July 1, 2024.
c. Any reports of alleged discrimination pursuant to subsection a. of this section shall be 2[forwarded to] investigated by2 the Division on Civil Rights 2[within the Department of Law and Public Safety for further investigation]2. If upon investigation a finding of discrimination is made, the 2[Division on Civil Rights] division2 shall forward its findings to the board1.
1[b.] d.1 Information concerning the prohibition of 1a1 discriminatory 1[appraisals] appraisal1 of 1[residential]1 3[property] real estate3, including the statutory basis for prohibition, shall be published on the Division of Consumer Affairs website.
1[3.] 5. 3[a.1]3 Upon first interaction with a property buyer 1or agent of the property buyer1, a licensed real estate broker, broker-salesperson, or salesperson shall provide to the property buyer a document, 1given free of charge and1 prescribed by the New Jersey Real Estate Appraiser Board pursuant to section 1[2] 41 of P.L. , c. (C. ) (pending before the legislature as this bill), informing the property buyer of the opportunity to report, through 2the Internet website or telephone number of2 the Division 2[of Consumer Affairs' website or telephone number] on Civil Rights2, any suspicion of a discriminatory appraisal by the holder of a license or certification under P.L.1991, c.68 (C.45:14F-1 et seq.) or registration under P.L.2017, c.72 (C.45:14F-27 et al.) on the basis of 1[a property buyer or seller's] the actual or perceived1 race, creed, color, 1[or]1 national origin1, 3affectional or sexual orientation, sex, gender identity or expression, disability, creed3 or other characteristic 3[listed pursuant to] protected under subsection g. or h. of section 11 of3 the "Law Against Discrimination," P.L.1945, c.169 3[(C.10:5-1 et seq.)] (C.10:5-12)3 of the property buyer, property owner, agents of the property buyer or owner, or present owners or occupants of the properties within the neighborhood of the property subject to appraisal.
3[b. (1) When receiving a report of an alleged discriminatory appraisal, the Division 2[of Consumer Affairs] on Civil Rights2shall ask the complainant if they believe that the value of the appraised property is below market value. The division shall also collect demographic information regarding the complainant, which shall include, but not be limited to, the identity of the complainant within the characteristics listed pursuant to subsection a. of section 3 of P.L. , c. (C. ) (pending before the Legislature as this bill). The complainant may provide the demographic information asked by the division on a voluntary basis. The information shall include a contact telephone number, email address, and home address of the complainant.
(2) The division shall compile the demographic information of the complainants who believe that the value of the appraised property is below market value and shall report in the aggregate the demographic information collected to the Legislature in accordance with section 2 of P.L.1991, c.164 (C.52:14-19.1) on or before July 1, 2024.
c. Any reports of alleged discrimination pursuant to this subsection shall be 2[forwarded to the Division on Civil Rights within the Department of Law and Public Safety for further investigation] investigated by the Division on Civil Rights2 . If upon investigation a finding of discrimination is made, the 2[Division on Civil Rights] division2 shall forward its findings to the board1.]3
1[4.] 6.1 This act shall take effect immediately.
