GENERAL ASSEMBLY OF NORTH CAROLINA

SESSION 1989

H	1 

HOUSE BILL 492

Short Title:  Real Estate Appraiser Regulation.	(Public)
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Sponsors: Representatives Brubaker, Holt; Bowman, Rhodes, and Hege.
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Referred to:  Commerce.
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March 8, 1989

A BILL TO BE ENTITLED
AN ACT TO PROVIDE FOR STATE REGULATION OF REAL ESTATE APPRAISERS.
The General Assembly of North Carolina enacts:
Section 1.  G.S. 93A-2 reads as rewritten:
"§ 93A-2. Definitions and exceptions.
(a)	A real estate broker within the meaning of this Chapter is any person, partnership, association, or corporation who for a compensation or valuable consideration or promise thereof lists or offers to list, sells or offers to sell, buys or offers to buy, auctions or offers to auction (specifically not including a mere crier of sales), appraises or offers to appraise, or negotiates the purchase or sale or exchange of real estate, or who leases or offers to lease, or who sells or offers to sell leases of whatever character, or rents or offers to rent any real estate or the improvement thereon, for others.
(b)	The term real estate salesman within the meaning of this Chapter shall mean and include any person who under the supervision of a real estate broker, for a compensation or valuable consideration is associated with or engaged by or on behalf of a licensed real estate broker to do, perform or deal in any act, acts or transactions set out or comprehended by the foregoing definition of real estate broker.
(c)	The provisions of this Chapter shall not apply to and shall not include:
(1) 	Any person, partnership, association or corporation who, as owner or lessor, shall perform any of the acts aforesaid with reference to property owned or leased by them, where the acts are performed in the regular course of or as incident to the management of that property and the investment therein;
(2) 	Any person acting as an attorney-in-fact under a duly executed power of attorney from the owner authorizing the final consummation of performance of any contract for the sale, lease or exchange of real estate;
(3) 	The acts or services of an attorney-at-law;
(4) 	Any person, while acting as a receiver, trustee in bankruptcy, guardian, administrator or executor or any person acting under order of any court;
(5) 	Any person, while acting as a trustee under a trust agreement, deed of trust or will, or his regular salaried employees;
(6) 	Any salaried person employed by a licensed real estate broker, for and on behalf of the owner of any real estate or the improvements thereon, which the licensed broker has contracted to manage for the owner, if the salaried employee is limited in his employment to: exhibiting units on the real estate to prospective tenants; providing the prospective tenants with information about the lease of the units; accepting applications for lease of the units; completing and executing preprinted form leases; and accepting security deposits and rental payments for the units only when the deposits and rental payments are made payable to the owner or the broker employed by the owner. The salaried employee shall not negotiate the amount of security deposits or rental payments and shall not negotiate leases or any rental agreements on behalf of the owner or broker; or
(7) 	Any owner who personally leases or sells his own property.
	(8)	The appraisal of real estate by any county assessor, county appraiser or private firm appraiser certified by the North Carolina Department of Revenue when appraising real estate for ad valorem tax purposes, and the appraisal of real estate by any full-time, salaried employee of a state or federally chartered bank, savings and loan association or savings bank, credit union, or the federal or state government or any political subdivision thereof, when such appraisals are performed in the regular course or incident to his employment, provided, however, such persons shall not be exempted from licensure as a real estate broker or salesman for the purpose of qualifying for certification as a real estate appraiser under Article 5 of this Chapter."
Sec. 2.  G.S. 93A-3(a) reads as rewritten:
	"(a) There is hereby created the North Carolina Real Estate Commission for issuing licenses to real estate brokers and real estate salesmen, hereinafter called the Commission. The Commission shall consist of seven members to be appointed by the Governor, provided that at least three members of the Commission shall be licensed real estate brokers or real estate salesmen of whom at least one member shall have been actively engaged in the practice of real estate appraising in this State for not less than five years immediately preceding his appointment, and if appointed to the Commission after October 1, 1990, shall also be a State certified general real estate appraiser, and provided further that at least two members of the Commission shall be persons who are not involved directly or indirectly in the real estate business. Members of the Commission shall serve three-year terms, so staggered that the terms of two members expire in one year, the terms of two members expire in the next year, and the terms of three members expire in the third year of each three-year period. The members of the Commission shall elect one of their members to serve as chairman of the Commission for a term of one year. The Governor may remove any member of the Commission for misconduct, incompetency, or willful neglect of duty. The Governor shall have the power to fill all vacancies occurring on the Commission."
Sec. 3.  G.S. 93A-4(a) reads as rewritten:
	"(a) Any person, partnership, association, or corporation hereafter desiring to enter into business of and obtain a license as a real estate broker or real estate salesman shall make written application for such license to the Commission on such forms as are prescribed by the Commission. Each applicant for a license as a real estate broker or real estate salesman shall be at least 18 years of age. Each applicant for a license as a real estate salesman shall, within five years preceding the date application is made, have satisfactorily completed, at a school approved by the Commission, a real estate fundamentals course consisting of at least 60 hours of classroom instruction in subjects determined by the Commission, or possess real estate education or experience in real estate transactions which the Commission shall find equivalent to the course. Each applicant for a license as a real estate broker shall, within five years preceding the date the application is made, either have been actively engaged on a full-time basis as a licensed real estate salesman for at least two years, or have satisfactorily completed, at a school approved by the Commission, advanced courses in Real Estate Law, Real Estate Finance, Real Estate Appraisal, and Real Estate Brokerage Operations, each consisting of at least 60 hours of classroom instruction, these courses to be in addition to those required for a real estate salesman license, or possess real estate education or experience in real estate transactions which the Commission shall find equivalent to the above requirements. Each application for license as a real estate broker shall be accompanied by a fee, fixed by the Commission but not to exceed thirty dollars ($30.00). Each application for license as a real estate salesman shall be accompanied by a fee, fixed by the Commission but not to exceed thirty dollars ($30.00). "
Sec. 4.  G.S. 93A-6 reads as rewritten:
"§ 93A-6.  Disciplinary action by Commission.
	(a) The Commission shall have power to take disciplinary action. Upon its own motion, or on the verified complaint of any person, the Commission may investigate the actions of any person or entity licensed under this Chapter, or any other person or entity who shall assume to act in such capacity. If the Commission finds probable cause that a licensee has violated any of the provisions of this Chapter, the Commission may hold a hearing on the allegations of misconduct.
The Commission shall have power to suspend or revoke at any time a license issued under the provisions of this Chapter, or to reprimand or censure any licensee, if, following a hearing, the Commission adjudges the licensee to be guilty of:
(1) 	Making any willful or negligent misrepresentation or any willful or negligent omission of material fact;
(2) 	Making any false promises of a character likely to               influence, persuade, or induce;
(3)	Pursuing a course of misrepresentation or making of false promises through agents, salesmen, advertising or otherwise;
(4) 	Acting for more than one party in a transaction without the knowledge of all parties for whom he acts;
(5) 	Accepting a commission or valuable consideration as a real estate salesman for the performance of any of the acts specified in this Chapter, except the appraisal of real estate by a State certified real estate appraiser, from any person except the licensed broker by whom he is employed;
(6) 	Representing or attempting to represent a real estate broker other than the broker by whom he is engaged or associated, without the express knowledge and consent of the broker with whom he is associated;
(7) 	Failing, within a reasonable time, to account for or to remit any moneys coming into his possession which belong to others;
(8) 	Being unworthy or incompetent to act as a real estate broker or salesman in a manner as to endanger the interest of the public;
(9) 	Paying a commission or valuable consideration to any person for acts or services performed in violation of this Chapter;
(10)	Any other conduct which constitutes improper, fraudulent or dishonest dealing;
(11)	Performing or undertaking to perform any legal service, as set forth in G.S. 84-2.1, or any other acts not specifically set forth in that section;
(12)	Commingling the money or other property of his principals with his own or failure to maintain and deposit in a trust or escrow account in an insured bank or savings and loan association in North Carolina all money received by him as a real estate broker acting in that capacity, or an escrow agent, or the temporary custodian of the funds of others, in  a real estate transaction; provided, these accounts shall not bear interest unless the principals authorize in writing the  deposit be made in an interest bearing account and also provide for the disbursement of the interest accrued;
(13)	Failing to deliver, within a reasonable time, a completed copy of any purchase agreement or offer to buy and sell real  estate to the buyer and to the seller;
(14)	Failing as a broker, at the time the transaction is consummated, to deliver to the seller in every real estate transaction, a complete detailed closing statement showing all of the receipts and disbursements handled by him for the seller or failing to deliver to the buyer a complete statement showing all money received in the transaction from the buyer and how and for what it was disbursed; 
	(14a)	Accepting an appraisal assignment when the employment is contingent upon the appraiser reporting a predetermined result, analysis, or opinion, or when the fee to be paid for the performance of the appraisal assignment is contingent upon the opinion, conclusion, or valuation reached or upon consequences resulting from the appraisal assignment; or
	(15)	Violating any rule or regulation promulgated by the Commission.
The Executive Director shall transmit a certified copy of all final orders of the Commission suspending or revoking licenses issued under this Chapter to the clerk of superior court of the county in which the licensee maintains his principal place of business. The clerk shall enter these orders upon the judgment docket of the county.
	(b) Following a hearing, the Commission shall also have power to suspend or revoke any license issued under the provisions of this Chapter or to reprimand or censure any licensee when:
(1) 	The licensee has obtained a license by false or               fraudulent representation;
(2)	The licensee has been convicted or has entered a plea of guilty or no contest upon which final judgment is entered by  a court of competent jurisdiction in this State, or any other state, of the criminal offenses of: embezzlement, obtaining money under false pretense, fraud, forgery, conspiracy to defraud, or any other offense involving moral turpitude which would reasonably affect the licensee's performance in the real estate business;
(3) 	The licensee has violated any of the provisions of G.S. 93A-6(a) when selling, leasing, or buying his own property; 
(4) 	The broker's unlicensed employee, who is exempt from the provisions of this Chapter under G.S. 93A-2(c)(6), has committed, in the regular course of business, any act which,  if committed by the broker, would constitute a violation of G.S. 93A-6(a) for which the broker could be disciplined ; or
(5)	The licensee, who is also a State certified real estate appraiser pursuant to Article 5 of this Chapter, has violated any provisions of Article 5."
(c)	The Commission may appear in its own name in superior court in actions for injunctive relief to prevent any person from violating the provisions of this Chapter or rules promulgated by the Commission. The superior court shall have the power to grant these injunctions even if criminal prosecution has been or may be instituted as a result of the violations, or whether the person is a licensee of the Commission.
(d)	Each broker shall maintain complete records showing the deposit, maintenance, and withdrawal of money or other property owned by his principals or held in escrow or in trust for his principals. The Commission may inspect these records periodically, without prior notice and may also inspect these records whenever the Commission determines that they are pertinent to an investigation of any specific complaint against a licensee.
(e)	When a person or entity licensed under this Chapter is accused of any act, omission, or misconduct which would subject the licensee to disciplinary action, the licensee, with the consent and approval of the Commission, may surrender his or its license and all the rights and privileges pertaining to it for a period of time established by the Commission.  A person or entity who surrenders his or its license shall not thereafter be eligible for or submit any application for licensure as a real estate broker or salesman during the period of license surrender."
Sec. 5.  G.S. 93A-32 reads as rewritten:
"§ 93A-32. Definitions.
As used in this Article:
(1)	‘Commission' means the North Carolina Real Estate Commission.
(2)	‘Private real estate school' means any real estate educational entity which is privately owned and operated by an individual, partnership,  corporation or association, and which conducts, for a profit or tuition charge, real estate salesman or broker prelicensing courses prescribed by G.S. 93A-4(a) or real estate appraiser precertification courses prescribed by G.S. 93A-63(c), provided that a private business or trade school licensed by the State Board of Community Colleges under G.S. 115D-571 to conduct courses other than those real estate courses described herein shall not be considered to be a private real estate school."
Sec. 6.  G.S. 93A-34(b) reads as rewritten:
	"(b) Application for a license shall be filed in the manner and upon the forms prescribed by the Commission for that purpose. The Commission may by rule set nonrefundable application fees not to exceed two hundred fifty dollars ($250.00) for each school location and fifty dollars ($50.00) for each real estate salesman or broker prelicensing course or real estate appraiser precertification course.  The application for a license shall be accompanied by the appropriate fees and shall contain the following:
(1)	Name and address of the applicant and the school;
(2)	Names, biographical data, and qualifications of director, administrators and instructors;
(3)	Description of school facilities and equipment;
(4) 	Description of course(s) to be offered and instructional materials to be utilized;
(5) 	Information on financial resources available to  equip and operate the school;
(6)	Information on school policies and procedures regarding administration, record keeping, entrance requirements, registration, tuition and fees, grades, student progress, attendance, and student conduct;
(7) 	Copies of bulletins, catalogues and other official               publications;
(8) 	Copy of bond required by G.S. 93A-36;
(9)	Such additional information as the Commission may deem necessary to enable it to determine the adequacy of the instructional program and the ability of the applicant to operate a school in such a manner as would best serve the public interest."
Sec. 7.  G.S. 93A-35(b) reads as rewritten:
	"(b) Licenses shall be renewable annually on July 1, provided that a renewal application accompanied by the appropriate renewal fees has been filed not later than June 1 in the form and manner prescribed by the Commission, and provided further that the applicant and school are found to be in compliance with the standards established for issuance of an original license. The Commission may by rule set nonrefundable renewal fees not to exceed one hundred twenty-five dollars ($125.00) for each school location and twenty-five dollars ($25.00) for each real estate salesman or broker prelicensing course or real estate appraiser precertification course."
Sec. 8.  Chapter 93A of the General Statutes is amended by adding a new Article to read:
“Article 5.
"Real Estate Appraisers.
"§ 93A-60.  Title.
This Article shall be known and may be cited as the ‘North Carolina Certified Real Estate Appraisers Act'.
"§ 93A-61.  Certification Use.
(a)	From and after October 1, 1990, it shall be unlawful for any person in this State to assume or use the title ‘State certified residential real estate appraiser' or ‘State certified general real estate appraiser', or any title, designation or abbreviation likely to create the impression of certification by the State of North Carolina as a real estate appraiser, or to describe or refer to any appraisal of real estate located in this State by the term ‘certified' or any similar term, unless the person has first been certified by the North Carolina Real Estate Commission (hereinafter referred to as the Commission) under the provisions of this Article.  The Commission may adopt for the exclusive use of persons certified under the provisions of this Article, a seal, symbol or other mark identifying the user as a State certified real estate appraiser.
(b)	Any person certified as a real estate appraiser by an appraisal trade organization shall retain the right to use the term ‘certified' or any similar term in identifying himself to the public, provided that in each instance wherein such term is used, the name of the certifying organization or body is prominently and conspicuously displayed immediately adjacent to such term, and provided further that the use of such term does not  create the impression of certification by the State of North Carolina.
(c)	Nothing in this Article shall abridge, infringe upon or otherwise restrict the right to use the term ‘certified county appraiser' or any similar term by persons certified by the North Carolina Department of Revenue to perform ad valorem tax appraisals, provided that such term is not used in a manner that creates the impression of certification by the State of North Carolina to perform real estate appraisals other than ad valorem tax appraisals.
(d)	No certification shall be issued under the provisions of this Article to a partnership, association, corporation, firm or group, nor shall the term ‘State certified real estate appraiser' or any similar term be used following or immediately in connection with the name of a partnership, association, corporation or other firm or group or in such manner that it might create the impression of certification by the State of North Carolina as a real estate appraiser.  However, nothing herein shall preclude a State certified real estate appraiser from rendering appraisals for or on behalf of a partnership, association, corporation, firm or group, provided that the appraisal report is prepared by, or under the immediate personal direction of, the State certified real estate appraiser and is reviewed and signed by such State certified appraiser.
(e)	Nothing in this Article shall preclude a real estate broker or salesman licensed under Article 1 of this Chapter who is not a State certified real estate appraiser from appraising real estate for compensation, provided such persons do not represent themselves as being State certified or their appraisal reports as being certified.
(f)	Nothing in this Article shall require a State certified real estate appraiser to render a certified real estate appraisal when performing an appraisal assignment; however, in the event a State certified real estate appraiser performs a real estate appraisal which is not represented as being ‘certified', then such appraiser must clearly inform the person to whom the appraisal report is given and must prominently disclose on the appraisal report that the appraisal is not a certified real estate appraisal.
(g)	Nothing in this Article shall entitle a State certified real estate appraiser to appraise real estate for ad valorem tax purposes unless he has first been certified by the North Carolina Department of Revenue pursuant to G.S. 105-294.
"§ 93A-62.  Definitions.
When used in this Article, unless the context otherwise requires, the term:
(1)	‘Appraisal' or ‘real estate appraisal' means an analysis, opinion or conclusion as to the value of identified real estate or specified interests therein.
(2)	‘Appraisal assignment' means an engagement for which an appraiser is employed or retained to act, or would be perceived by third parties or the public as acting, as a disinterested third party in rendering an unbiased appraisal.
(3)	‘Appraisal report' means any communication, written or oral, of an appraisal.
(4)	‘Certificate' means that document issued by the North Carolina Real Estate Commission evidencing that the person named therein has satisfied the requirements for certification as a State certified real estate appraiser and bearing a certificate number assigned by the Commission.
(5)	‘Certificate holder' means a person certified by the Commission under the provisions of this Article.
(6)	‘Certified appraisal' means any appraisal performed by a State certified real estate appraiser and represented as being certified.
(7)	‘Certified appraisal report' means any communication, written or oral, of an appraisal by a State certified real estate appraiser which is represented as being certified.
(8)	‘Commission' means the North Carolina Real Estate Commission.
(9)	‘Net income capitalization analysis' means any appraisal method that involves estimating the value of income-producing real estate by the process of converting anticipated future net income into an indication of present value.
(10)	‘Real estate' or ‘real property' means land, including the air above and ground below and all appurtenances and improvements thereto, as well as any interest or right inherent in the ownership of land.
(11)	‘Real Estate Appraisal Advisory Committee' or ‘Advisory Committee' means the advisory body established by the Commission pursuant to the provisions of this Article.
(12)	‘Real estate appraiser' or ‘appraiser' means a person who for a fee or valuable consideration develops and communicates real estate appraisals or otherwise gives an opinion of the value of real estate or any interest therein.
(13)	‘Real estate appraising' means the practice of developing and communicating real estate appraisals.
(14)	‘Residential real estate' means any parcel of real estate, improved or unimproved, that is exclusively residential in nature and that includes or is intended to include a residential structure containing not more than 12 dwelling units and no other improvements except those which are typical residential improvements that support the residential use for the location and property type.  A residential unit in a condominium, townhouse, or cooperative complex or a planned unit development is considered to be residential real estate.
(15)	‘State certified real estate appraiser' means a person who develops and communicates real estate appraisals and who holds a current, valid certificate issued to him as either a State certified general real estate appraiser or a State certified residential real estate appraiser under the provisions of this Article.
"§ 93A-63.  Classifications of State certification; qualifications for State certification; applications; application fees; examinations.
(a)	There shall be two classifications of certification for State certified real estate appraisers:
(1)	‘State certified residential real estate appraiser', consisting of persons authorized to independently perform certified appraisals of residential real estate as defined in G.S. 93A-62, provided that such appraisals do not involve the use of a net income capitalization analysis; and
(2)	‘State certified general real estate appraiser', consisting of persons authorized to perform certified appraisals of all types of real estate.
(b)	A licensed real estate broker or salesman who is not certified under this Article may assist a State certified real estate appraiser in the performance of a certified appraisal, provided that he is actively and personally supervised by the State certified appraiser and provided further that any appraisal report rendered in connection with the certified appraisal is reviewed and signed by the State certified real estate appraiser.
(c)	Any person desiring to obtain certification as a State certified residential real estate appraiser or a State certified general real estate appraiser shall make written application for such certification to the Commission on such forms as are prescribed by the Commission setting forth the applicant's qualifications for certification.  Each applicant for State certification shall hold a current real estate broker or salesman's license in this State and satisfy the following qualification requirements:
(1)	Each applicant for certification as a State certified residential real estate appraiser shall have satisfactorily completed, within the five-year period immediately preceding the date application is made, through a school approved by the Commission, a real estate appraisal fundamentals course consisting of at least 30 hours of classroom instruction and a residential real estate appraisal principles and practices course consisting of at least 45 hours of classroom instruction, in subjects determined by the Commission, and shall present evidence satisfactory to the Commission of at least two years of full-time experience in real estate appraising within the five-year period immediately preceding the date application is made; or the applicant shall possess education or experience which is found by the Commission to be equivalent to such courses and experience.
(2)	Each applicant for certification as a State certified general real estate appraiser shall have satisfactorily completed, within the five-year period immediately preceding the date application is made, through a school approved by the Commission, a course of instruction in general real estate appraisal practices consisting of at least 90 hours of classroom instruction in subjects determined by the Commission, such course of instruction to be in addition to the education required for certification as a State certified residential real estate appraiser, and shall present evidence satisfactory to the Commission of at least two years of full-time experience in real estate appraising within the five-year period immediately preceding the date application is made; or the applicant shall possess education or experience which is found by the Commission to be equivalent to the above requirements.
(d)	Each applicant for certification as a State certified general real estate appraiser who is certified as a State certified residential real estate appraiser shall, at the time application is made, have satisfied any continuing education requirements which may be prescribed by the Commission under G.S. 93A-64(b) of this Article.
(e)	Each application for certification as a State certified real estate appraiser shall be accompanied by a fee fixed by the Commission but not to exceed one hundred fifty dollars ($150.00).
(f)	Any person who files with the Commission an application for certification as a State certified real estate appraiser shall be required to take an oral or written examination to determine his qualifications for certification.  The Commission may also make such investigation as it deems necessary into the ethical background of the applicant to determine his qualifications with due regard to the paramount interests of the public as to his honesty, truthfulness and integrity.  If the results of the examination and investigation shall be satisfactory to the Commission, then the Commission shall issue to such person a certificate, authorizing such person to act as a State certified residential real estate appraiser or a State certified general real estate appraiser in this State.
"§ 93A-64.  Certificate renewal; renewal fees; continuing education; reinstatement; replacement certificates; certification history.
(a)	Certificates issued under this Article shall expire on the 30th day of June of every year and shall become invalid after that date unless renewed prior to the expiration date by filing an application with and paying to the Executive Director of the Commission the fee required by the Commission, which may not exceed one hundred dollars ($100.00).  Prerequisite to the renewal of a real estate appraiser certificate, the certificate holder must satisfy any continuing education requirements which may be prescribed by the Commission under G.S. 93A-64(b), and shall have previously renewed or concurrently applied for the renewal of his real estate broker or salesman license.  The Commission may adopt rules establishing a system of certificate renewal in which certificates expire annually with varying expiration dates.
(b)	The Commission may by rule require, as a prerequisite to certificate renewal, the completion of education courses approved by the Commission or courses determined by the Commission to be equivalent to such instruction, provided that such continuing education requirements do not exceed 24 hours of classroom instruction during any two-year period.
(c)	All certificates reinstated after the expiration date shall be subject to a late filing fee of ten dollars ($10.00) per month for each month or part thereof that such license is lapsed, not to exceed one hundred twenty dollars ($120.00).  Such late filing fee shall be in addition to the required renewal fee.  In the event a certificate holder fails to reinstate his certificate within 12 months after the expiration date thereof, the Commission may, in its discretion, consider such person as not having been previously certified, and thereby subject to the provisions of this Article relating to the issuance of an original certificate, including the examination requirements set forth herein.  Applications to reinstate certificates expired for 12 or more months shall be accompanied by the fee required for an original certificate and the accrued one hundred twenty dollar ($120.00) late filing fee.
(d)	Replacement certificates may be issued by the Commission upon payment of five dollars ($5.00) by the certificate holder.  Certification by the Commission of the certification history of a person certified under this Article shall be made only after the payment of a fee of ten dollars ($10.00) to the Commission.
"§ 93A-65.  Education program approval and fees.
(a)	The Commission may by rule prescribe minimum standards for the approval and renewal of approval of schools to conduct appraiser precertification courses required by G.S. 93A-63(c).  Such standards may address subject matter, program structuring, instructional materials, requirements for satisfactory course completion, instructors, and other related matters relevant to the provision of such courses in a manner that best serves the public interest.
(b)	The Commission may by rule set nonrefundable fees chargeable to appraisal trade organizations for the approval and annual renewal of approval of their education programs as equivalent to the precertification courses required by G.S. 93A-63(c), provided that such fees shall not exceed three hundred dollars ($300.00) per course for approval and one hundred fifty dollars ($150.00) per course for renewal of approval.  Fees chargeable to licensed private real estate schools to conduct appraiser precertification courses are established by Article 3 of this Chapter.  No fees shall be charged for the approval or renewal of approval to conduct appraiser precertification courses where such courses are offered by an accredited North Carolina college, university, junior college, or community or technical college, or by a licensed North Carolina private business school.
(c)	The Commission may by rule prescribe minimum standards for the approval and annual renewal of approval of schools and other course sponsors to conduct appraiser continuing education courses.  Such standards may address subject matter, instructional materials, requirements for satisfactory course completion, minimum course length, instructors, and other related matters relevant to the provision of such courses in a manner that best serves the public interest.
(d)	Nonrefundable fees may be charged to schools and course sponsors for the approval and annual renewal of approval to conduct appraiser continuing education courses, provided that such fees shall not exceed one hundred dollars ($100.00) per course for approval and fifty dollars ($50.00) per course for renewal of approval, and provided further that no fees shall be charged for the approval or renewal of approval to conduct appraiser continuing education courses where such courses are offered by an accredited North Carolina college, university, junior college, or community or technical college, or by an agency of the federal, State or local government.  A nonrefundable fee not to exceed fifty dollars ($50.00) per course may be charged to current or former certificate holders requesting approval by the Commission of a course for continuing education credit when approval of such course has not been previously obtained by the offering school or course sponsor.
"§ 93A-66.  Nonresident certification.
(a)	An applicant from another state which offers real estate appraiser certification or licensing privileges to residents of North Carolina may become State certified by conforming to all of the provisions of this Article, and, in the discretion of the Commission, such other terms and conditions as are required of North Carolina residents applying for certification or licensure in such other state; provided that the Commission may exempt from the examination prescribed in G.S. 93A-63(f) a real estate appraiser duly certified or licensed in another state if a similar exemption is extended to State certified real estate appraisers from North Carolina.
(b)	Every applicant for State certification under this Article who is not a resident of this State shall submit with his application for certification an irrevocable consent that service of process in any action against the applicant arising out of the applicant's activities as a State certified real estate appraiser may be made by delivery of the process on the Executive Director of the Commission.
"§ 93A-67.  Rule-making authority.
The Commission shall have the authority to adopt rules and regulations not inconsistent with the provisions of this Article and the General Statutes of North Carolina which may be reasonably necessary to implement, administer and enforce the provisions of this Article, including, but not limited to, the authority to:
(1)	Prescribe forms and procedures for submitting information to the Commission;
(2)	Prescribe standards for the development and communication of real estate appraisals by persons certified under this Article.
"§ 93A-68.  Real Estate Appraisal Advisory Committee.
The Commission shall appoint a Real Estate Appraisal Advisory Committee for the purpose of rendering technical advice and assistance to the Commission.  To the extent possible, the membership of the committee shall be representative of the members of the real estate appraisal business and its various organizations and associations.  Members of the Advisory Committee shall be paid the per diem allowances at the rates set forth in G.S. 93B-5; provided that none of the expenses of the committee shall be payable out of the Treasury of the State of North Carolina.
"§ 93A-69.  Register of applicants; roster of State certified appraisers; financial report to Secretary of State; administrative expenses.
(a)	The Executive Director of the Commission shall keep a register of all applicants for State certification as real estate appraisers, showing for each the date of application, name, business or residence address, and whether the certificate was granted or refused.
(b)	The Executive Director of the Commission shall also keep a current roster showing the names and places of business of all State certified real estate appraisers, which roster shall be kept on file in the office of the Commission and be opened to public inspection.
(c)	On or before the first day of September of each year, the Commission shall file with the Secretary of State a copy of the roster of real estate appraisers certified by the Commission and a report containing a complete statement of income received by the Commission in connection with the certification of real estate appraisers for the preceding fiscal year ending June 30th, attested by the affidavit of the Executive Director of the Commission.  The report shall be made a part of those annual reports required under the provisions of G.S. 93A-5 and G.S. 93A-53.
(d)	All fees collected by the Commission under this Article shall be deposited into the operating account of the Commission.  None of the expenses incurred by the Commission in administering this Article, including the compensation of expenses of the Real Estate Appraisal Advisory Committee or any officer or employee of the Commission, may be paid or payable out of the Treasury of the State of North Carolina, and the Real Estate Appraisal Advisory Committee may not make or incur any expense, debt or other financial obligation binding upon the Commission or the State of North Carolina.
"§ 93A-70.  Disciplinary action by Commission.
(a)	The Commission may take disciplinary action.  Upon its own motion, or on the verified complaint of any person, the Commission may investigate the actions of any person certified under this Article or any other person who shall assume to act in such capacity.  If the Commission finds probable cause that a person certified under this Article has violated any of the provisions of this Article or G.S. 93A-6 of this Chapter, the Commission may hold a hearing on the allegations of misconduct.
The Commission shall have power to suspend or revoke at any time certification privileges granted under the provisions of this Article or to reprimand any certificate holder if, following a hearing, the Commission adjudges the certificate holder to be guilty of any of the following:
(1)	Procuring or attempting to procure certification pursuant to this Article by making a false or fraudulent representation.
(2)	Conviction, including a conviction based upon a plea of nolo contendere or no contest, of any criminal offense involving moral turpitude which would reasonably affect the performance of the certificate holder in the real estate appraisal business, or entry of a final civil judgment against the certificate holder on grounds of fraud, misrepresentation or deceit in the making of any appraisal of real estate;
(3)	Making any willful or negligent misrepresentation or any willful or negligent omission of material fact;
(4)	Accepting an appraisal assignment when the employment is contingent upon the appraiser reporting a predetermined result, analysis, or opinion, or when the fee to be paid for the performance of the appraisal assignment is contingent upon the opinion, conclusion, or valuation reached or upon consequences resulting from the appraisal assignment;
(5)	Acting or holding oneself out as a State certified general real estate appraiser when certified as only a State certified residential real estate appraiser;
(6)	Failing as a State certified real estate appraiser to actively and personally supervise a licensed real estate broker or salesman not certified under this Article who assists the State certified real estate appraiser in performing certified real estate appraisals;
(7)	Failing to retain for three years and to make available to the Commission for its inspection without prior notice, originals or true copies of all written contracts engaging his services to appraise real property, and all reports and supporting data assembled and formulated by the appraiser in preparing the reports;
(8)	Paying a fee or valuable consideration to any person for acts or services performed in violation of this Article;
(9)	Acting as a real estate appraiser in such an unworthy or incompetent manner as to endanger the interest of the public;
(10)	Violating any of the standards for the development or communication of real estate appraisals or any other rule promulgated by the Commission;
(11)	Performing any other act which constitutes improper, fraudulent, or dishonest conduct; or
(12)	Violating any of the provisions of this Chapter.
(b)	When a person certified under this Article is accused of any act, omission, or misconduct which would subject him to disciplinary action, the certificate holder, with the consent and approval of the Commission, may surrender his certificate and all the rights and privileges pertaining to it for a period of time established by the Commission.  A person who surrenders his certificate shall not thereafter be eligible for or submit any application for certification as a real estate appraiser during the period that the certificate is surrendered.
"§ 93A-71.  Penalty for violation of this Article.
(a)	Any person violating the provisions of this Article shall, upon conviction thereof, be deemed guilty of a misdemeanor and shall be punished by a fine or imprisonment, or by both fine and imprisonment, in the discretion of the court.
(b)	The Commission may appear in its own name in superior court in actions for injunctive relief to prevent any person from violating the provisions of this Article or rules promulgated by the Commission.  The superior court shall have the power to grant these injunctions even if criminal prosecution has been or may be instituted as a result of the violations, or whether the person is the holder of a certificate issued by the Commission under this Article."
Sec. 9.  This act shall become effective upon ratification except for Sections 1 through 7 which shall become effective July 1, 1990.