Oregon

Reviewer Requirements

  • Reviewers must be licensed appraisers

 

  • OR HB 3624 Section 2-2-e-B:

(2) A business entity may apply for registration as an appraisal management company

on forms prescribed by rule by the department. The application must include:

(e) A certification that:

(B) If the entity reviews real estate appraisal activity performed by an appraiser, the

review is conducted by another appraiser; and

  • OAR 161-520-0010-4-h:

161-520-0010 Registration Requirements

An appraisal management company applying for registration as an appraisal management company in Oregon shall submit to the Board all of the following:

(4) A signed certification on a form prescribed by the Board:

(h) That any employee of the appraisal management company that performs the act or

process of developing and communicating a reviewer’s own opinion of value as part of the

appraisal review for a property located in this state, is an Oregon licensed/certified real

estate appraiser.

 

  • OAR 161-570-0015:

 

Any employee or independent contractor appraiser of an appraisal management company that performs the act or process of developing and communicating a reviewer’s own opinion of value as part of an appraisal review for a property located in this state:

(1) Must be licensed or certified in this state pursuant to ORS 674.100; and

(2) Must comply with the appraisal review provisions of the Uniform Standards of Professional

Appraisal Practice.

Scope of Law

Reviewing Provisions

Appraiser Requirements

  • OAR 161-520-0010-(4)-(d):

161-520-0010 Registration Requirements

An appraisal management company applying for registration as an appraisal management company in

Oregon shall submit to the Board all of the following:

(4) A signed certification on a form prescribed by the Board:

(d) That the appraisal management company requires each appraiser to provide the

appraiser’s certificate or license number issued by the Board and competency information

required by OAR 161-520-0020;

  • Must require appraisers to comply with USPAP

 

  • OAR 161-520-0020-1-e:

(e) An appraisal management company shall require that each independent contractor

appraiser completing appraisals at the request of the appraisal management company comply

with the Uniform Standards of Professional Appraisal Practice.

 

Appraiser Competency

 

  • Must meet minimum requirements of appraiser competency

 

  • OAR 161-520-0010-(4)-(a):

 

161-520-0010 Registration Requirements

An appraisal management company applying for registration as an appraisal management company in Oregon shall submit to the Board all of the following:

(4) A signed certification on a form prescribed by the Board:

(a) That the appraisal management company complies with the minimum requirements in

OAR 161-520-0020 regarding appraiser competency;

 

  • Must create system to verify appraiser competency

 

  • OAR 161-520-0020-(1)-(a,b):

 

(1) A system to verify that each appraiser on the appraisal management company’s appraiser

panel, shall meet the following minimum requirements:

(a) An appraisal management company shall require that each independent contractor

appraiser furnish their license or certificate number issued by the Board under ORS 674.310;

(b) An appraisal management company shall have a system in place to verify each

independent contractor appraiser’s license or certificate renewal;

 

 

Record Keeping

  • Must keep records for 5 years, 2 years after legal proceedings

 

  • OR HB 3624 Section 2-2-e-C:

(2) A business entity may apply for registration as an appraisal management company

on forms prescribed by rule by the department. The application must include:

(e) A certification that:

(C) The entity maintains and retains for at least five years, or as required under ORS

674.150, a detailed record of each appraisal management services request the entity receives

and the appraiser who performs the real estate appraisal activity contained in the request;

 

  • OAR 161-520-0010-4-b-A,B:

161-520-0010 Registration Requirements

An appraisal management company applying for registration as an appraisal management company in

Oregon shall submit to the Board all of the following:

(4) A signed certification on a form prescribed by the Board:

(b) That the appraisal management company maintains for at least five years:

(A) A record of each appraisal management services request the company

receives and the appraiser who performs the real estate appraisal activity contained

in the request;

(B) A copy of each written complaint received by the appraisal management

company, along with proof of documentation showing the complaint was forwarded

to the appraisal management company’s client for the appraisal assignment.

  • OAR 161-550-0020-1,2:

 

(1) An appraisal management company shall maintain a detailed record of each service request

that it receives, the appraiser that perform the real estate appraisal activity and a complete copy of all completed reports for each assignment. Records shall be maintained by the appraisal

management company for:

(a) Not less than five years after the date of completion of the report to which the

record pertains; or

(b) For a period of not less than two years after final disposition of a judicial proceeding

in which testimony relating to the records are given, whichever period is longer.

(2) An appraisal management company shall maintain the following for a period of not less than

five years:

(a) Documentation of each written complaint received by the appraisal management

company, along with the name of the client that requested the appraisal, and the date the

complaint was forwarded to the client.

(b) A copy of the written notification to the person who submitted the complaint that

the complaint was forwarded to the client.

(c) Training materials and training records for each employee specified in OAR 161-540-

0010 and ORS 674.245.

  • Must keep records concerning employee training

 

  • OAR 161-540-0010-4:

(4) Appraisal management companies must maintain the training records for each employee and

training material, as specified in paragraphs (1) and (2) above, not less than five years after the

date of completion of the training. Employee training records must include:

(a) The name of the employee;

(b) Topics covered;

(c) Date of completion; and

(d) Method of delivery of training.

Licensing Disclosure

Communications With Appraisers

  • Assignments must include clause of agreement by appraiser that they are competent

 

  • OAR 161-520-0020-c:

c) An appraisal management company shall prominently state in the

engagement/assignment document to the independent contractor appraiser that, by the

appraiser’s acceptance and completion of the assignment, the appraiser agrees and attests

that they are competent to perform the appraisal assignment;

  • Required info for assignments

 

  • OAR 161-520-0020-d:

d) An appraisal management company shall include the following information in an

assignment to an independent contractor appraiser, to the extent the appraisal management

company’s client has communicated the information to the appraisal management company:

(A) The geographic location of the real property, which may include the

metropolitan statistical area, metropolitan division, area outside of a metropolitan

statistical area, county, postal code, legal description or other geographic information

identifying where the real property is situated; and

(B) The type of real property the assignment covers.

Communication With Board

  • Must make annual reports to board on March 31

 

  • OAR 161-550-0010:

161-550-0010 Annual Reports

(1) An appraisal management company shall annually submit to the Board on March 31 a report

disclosing the following information on a form prescribed by the Board;

(a) The number of independent contractor appraisals in the preceding year for which the

appraisal management company performed appraisal management services in Oregon;

(b) For subject individuals, any action taken by a state to refuse to issue, deny, cancel or

revoke a license, certificate or registration to act as an appraiser;

(c) For appraisal management companies, any action taken by a state to refuse to issue,

deny, cancel or revoke a license, certificate or registration to act as an appraisal management

company.

Billing/ Payment

  • Must pay appraisers within 60 days of transmission of completed report

 

  • OR HB 3624 Section 6:

SECTION 6. Except in the case of breach of contract or substandard performance of real

estate appraisal activity, an appraisal management company shall make payment to an independent contractor appraiser for the completion of an appraisal or appraisal review assignment within 60 days after the appraiser provides the completed appraisal report to the

appraisal management company.

 

Employee Training

  • OAR 161-520-0010-4-c:

c) That the appraisal management company provides training to employees who select

appraisers for an appraisal panel, select appraisers to perform real estate appraisal activity,

or perform quality control examinations, and that the training complies with the requirements

set forth in OAR 161-540-0010;

  • Requirements for employee training:

 

  • OAR 161-540-0010:

(1) Appraisal management companies must provide specified training to employees who:

(a) Select appraisers for an appraiser panel;

(b) Select appraisers to perform real estate appraisal activity; or

(c) Perform quality control examinations.

(2) The specified training must include, but is not limited to the following topics:

(a) ORS 674.220, ORS 674.225, ORS 674.230, and ORS 674.240; and

(b) The Uniform Standards of Professional Appraisal Practice (USPAP). This topic may be

broad in scope, but must at a minimum include the following elements:

(A) Preamble

(B) Definitions

(C) Ethics Rule

(D) Record Keeping Rule

(E) Competency Rule

(F) Scope of Work Rule

(G) Standard 1

(H) Standard 2

(I) Standard 3

(J) Advisory Opinion 3, Update of a Prior Appraisal

(K) Advisory Opinion 21, USPAP Compliance

(L) Advisory Opinion 26, Readdressing (Transferring) a Report to Another Party;

and

(M) Advisory Opinion 27, Appraising the Same Property for a New Client.

(3) Appraisal management companies shall provide the specified training to all employees

specified in paragraph (1) above:

(a) By December 31, 2012 for all appraisal management companies registered with the

State of Oregon prior to July 1, 2012;

(b) Within six months for all appraisal management companies registering with the State

of Oregon after July 1, 2012;

(c) For any new employees within six months from the hire date with the appraisal

management company.

(4) Appraisal management companies must maintain the training records for each employee and

training material, as specified in paragraphs (1) and (2) above, not less than five years after the

date of completion of the training. Employee training records must include:

(a) The name of the employee;

(b) Topics covered;

(c) Date of completion; and

(d) Method of delivery of training.

Removal of Appraisers from Panel

  • Must provide written notice to appraiser prior to removal

 

  • OR HB 3624 Section 5-a-H:

SECTION 5. (1) An appraisal management company or an employee, controlling person

or agent of an appraisal management company may not:

(a) Attempt to influence the development, reporting or review of an appraisal or appraisal

review assignment through coercion, extortion, collusion, compensation, instruction,

inducement, intimidation, bribery or any other manner, including but not limited to:

(H) Allowing the removal of an appraiser from an appraiser panel without prior written

notice to the appraiser;

 

Misc.

  • Registration valid for two years

 

  • OR HB 3624 Section 2-(4):

(4) An appraisal management company registration expires two years after the date of

the issuance of the registration. The department shall adopt rules establishing the requirements

for renewal or reactivation of a registration. The rules must include a requirement

that the appraisal management company must certify that:

  • Must establish a dispute resolution process

 

  • OR HB 3624 Section 7:

SECTION 7. The Department of Consumer and Business Services shall adopt rules requiring

an appraisal management company to establish a dispute resolution process that allows

a person with an interest in a real estate transaction for which an appraisal was

arranged by the appraisal management company to dispute the appraisal.