Arkansas

Reviewer Requirements

Scope of Law

  • No specific distinction between commercial and residential real estate

 

  • Arkansas AMC Statutes 17-14-402-(3):

(3) “Appraisal services” means the practice of developing an opinion of the value of real property in conformance with the minimum reporting standards under §17-14-202(b);

  • §17-14-202(b);

(b) The Arkansas Appraiser Licensing and Certification Board may adopt, maintain, report, and periodically update minimum reporting standards for state-registered, state-licensed, and state-certified appraisers practicing in the State of Arkansas. The reporting standards shall:

(1) Be equivalent to the “Uniform Standards of Professional Appraisal Practice” as promulgated by the Appraisal Standards Board of the Appraisal Foundation; and

(2) At all times seek compliance with:

(A) All applicable federal law and regulations, including Title XI of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989, and related requirements of the federal financial institutions regulatory agencies; and

(B) The minimum standards as promulgated by the Appraisal Standards Board of the Appraisal Foundation and as approved by the Appraisal Subcommittee.

Reviewing Provisions

  • Must conduct internal quality control reviews on a periodic basis to assure compliance with USPAP

 

  • Arkansas AMC Statutes 17-14-405-(b)-(5)-(B):

(b) The application shall include without limitation the following information:

(5) A certification that the person:

(B) Has a system in place to review the work of all independent appraisers that are performing appraisal services for the appraisal management company on a periodic basis to ensure that the appraisal services are being conducted in accordance with the minimum reporting standards under §17-14-202(b); and

  • Arkansas AMC Rules and Regulations Section III, B-(6)-(b)

(6) The initial application for registration shall include the following

certifications: (See Appendix for forms.)

b. The applicant shall also provide a certification that the company has in place a

system to review the work of all independent appraisers performing appraisal services

and that the services are conducted in conformity with the Uniform Standards of

Professional Appraisal Practice.

Appraiser Requirements

Appraiser Competency

Record Keeping

  • Arkansas AMC Statutes 17-14-405-(b)-(5)-(C):

(b) The application shall include without limitation the following information:

(5) A certification that the person:

(C) Maintains a detailed record of each request for appraisal services that it receives and the independent appraiser that performs the appraisal services for the appraisal management company; and

  • Arkansas AMC Statutes 17-14-407-(a)-(b)(1):

(a) A registrant that is an organization shall:

(b)(1) A registrant shall maintain or cause to be maintained complete records of requests for appraisal services referred to an appraiser licensed or certified by the Board, including without limitation records pertaining to the acceptance of fees from borrowers or clients and payments to appraisers.

  • Arkansas AMC Rules and Regulations Section III, B-(6)-(c):

(6) The initial application for registration shall include the following

certifications: (See Appendix for forms.)

c. A certification stipulating that the applicant has and will maintain a record of

each request for appraisal services applicable to Arkansas properties as well as the name

of the independent appraiser that performs appraisal services and the fee paid to the

appraiser for each assignment.

  • Arkansas AMC Rules and Regulations Section V, A-(2):

(2) An appraisal management company or individual shall maintain a complete

record of all request for appraisal services referred to state licensed or certified

appraisers, the amount of fees collected from borrowers or clients, as well as

payments to the appraisers and shall make such information available to the

Board upon request.

  • Records must be kept for 5 years/ 2 years after any judicial proceeding

 

  • Arkansas AMC Statutes 17-14-407—(d)(1),(2):

(d)(1) A registrant shall make and keep the accounts, correspondence, memoranda, papers, books, and other records in accordance with rules promulgated by the board.

(2) All records shall be retained for five (5) years unless the board by rule prescribes a different retention period for particular types of records.

  • Arkansas AMC Rules and Regulations Section V, A-(6):

(6) All records required to be maintained under these rules shall be retained for a

period of five years unless a shorter retention period is prescribed by these or

subsequent rules for particular types of records. Records that are used in a

judicial proceeding in which the appraiser provided testimony related to the

assignment should be retained for at least two (2) years after disposition

depending on which period expires last.

Licensing Disclosure

  • Must verify state registration on engagement documents with appraisers

 

  • Arkansas AMC Rules and Regulations Section V, A-(10):

(10) The registrant shall disclose to an appraiser within their engagement documents

verification of their State Registration.

Communications With Appraisers

 

Communication With Board

Billing/ Payment

  • Must separately disclose to client AMC fees and fees paid to appraisers

 

  • Arkansas AMC Statutes 17-14-407-(f):

(f) The registrant shall disclose to its client the actual fees paid to an appraiser for appraisal services separately from any other fees or charges for appraisal management services.

  • Arkansas AMC Rules and Regulations Section V, A-(9):

(9) Pursuant to A.C.A. §17-14-401 et seq., a registrant shall disclose to its client the

actual fees paid to an appraiser for appraisal services, separately from any other

fees or charges for appraisal management services and, upon request, will make that information available to the Board.

Employee Training

Removal of Appraisers from Panel

  • Must give written notice to appraiser prior to removal from panel

 

  • Arkansas AMC Statutes 17-14-408-(b)-(5)(A):

(b) The registrant shall not:

(5)(A) Allow the removal of an independent appraiser from an appraiser panel without prior written notice to the appraiser.

(B) Written notice shall include written evidence of:

(i) The appraiser’s illegal conduct;

(ii) A violation of the minimum reporting standards under §17-14-202(b) or

other applicable statutes or rules;

(iii) Substandard performance; or

(iv) Otherwise improper or unprofessional behavior;

  • Arkansas AMC Rules and Regulations Section VII, B-(5):

(5) The registrant shall not allow the removal of an independent appraiser from the registrants’ panel without prior written notice that includes evidence which supports the fact that the appraiser has acted illegally, violated the minimum reporting standards or other applicable state statutes or rules or has had substandard performances or otherwise acted in an improper or unprofessional manner.