RELATES TO: KRS 324A.035(1), (3), 324A.065, 324A.075, 12 U.S.C. 3331-3351
STATUTORY AUTHORITY: KRS 324A.035(1), (3), 324A.075, 12 U.S.C. 3331 - 3351
NECESSITY, FUNCTION, AND CONFORMITY: 12 U.S.C. 3331 through 3351 requires the board to promulgate administrative regulations for certification and licensure of appraisers of real property in federally related transactions. KRS 324A.075 authorizes the board to issue a license or certification to a person licensed or certified in another state under certain requirements. This administrative regulation establishes the requirements for certification or licensure of persons licensed or certified in another state.
Section 1. General. A licensee from another state who seeks to obtain a certification or license in Kentucky by reciprocity shall obtain a Kentucky real property appraiser certification upon terms and conditions established in this administrative regulation.
Section 2. (1) An individual who is a certified residential or a certified general real property appraiser out-of-state may apply for a Kentucky certification that is the same as the out-of-state certification held by that individual in the other state if the appraiser licensing program of the other state:
(a) Is in compliance with the provisions of the Financial Institutions Reform, Recovery, and Enforcement Act (FIRREA) of Title XI Real Estate Appraisal Reform Amendments (12 U.S.C. 3331-3351) as administered by the Appraisal Subcommittee (ASC) of the Federal Financial Institutions Examination Council (FFIEC); and
(b) Meets or exceeds the minimum certification criteria established by the Appraiser Qualifications Board (AQB) of The Appraisal Foundation upon application.
(2) To obtain a Kentucky certification issued by the board, an out-of-state applicant shall:
(a) Complete the notarized Application for KREAB Appraiser Credential;
(b) File with the board a letter of good standing, license history, the current National Registry Appraiser Report from the National Registry of the ASC, or other proof of good standing issued to the applicant for reciprocity by the out-of-state appraiser regulatory agency;
(c) Be identified on the National Registry of The Appraisal Subcommittee as an active certified real property appraiser that currently conforms to the AQB criteria;
(d) Not have received disciplinary action that limited or stopped the ability to complete the practice of real property appraising; and
(e) Not have lost a license to practice any profession by revocation, suspension, or voluntary surrender.
(3) The out-of-state applicant shall indicate whether the applicant:
(a) Has had an application for certification or licensure as an appraiser denied by any agency within the Commonwealth or any other state, and if so, explain and submit with the application a copy of the denial notice;
(b) Has been reprimanded, fined, or had a license, certificate, or registration suspended, revoked, restricted, denied, or surrendered in the Commonwealth or in any other state, and if so, submit with the application:
1. A written explanation; and
2. A copy of any documentation that describes the charges and action taken by the agency;
(c) Is the subject of any pending investigation, administrative sanction proceeding, hearing, trial, or similar action by any agency that granted or denied the license, certificate, or registration, and if so, explain and submit with the application a copy of any documentation describing the charges;
(d) Has ever entered a plea of nolo contendere, been found guilty of, or been convicted of a felony, or within the last ten (10) years of a misdemeanor, and if so, submit with the application:
1. An explanation of the offense;
2. The location of the proceedings; and
3. A copy of all final court documents identifying the charges and assessing the penalties;
(e) Is awaiting trial or sentencing in any criminal proceeding, and if so, submit with the application:
1. An explanation of the facts of the alleged offense; and
2. The location of the proceedings; and
(f) Has had any disciplinary action brought against him or her as a member of any professional organization or trade association, and if so, submit with the application:
1. An explanation of the action;
2. A copy of any document reflecting the allegations; and
3. The final action or decision if rendered.
Section 3. Exemption from requirements. No provision of this administrative regulation shall be construed to prohibit the professional appraisal practice activities of any out-of-state certified appraiser who is performing the duties and responsibilities while a direct full-time employee of any entity of the United States government.
Section 4. Incorporation by Reference. (1) "Application for KREAB Appraiser Credential", October 2014, is incorporated by reference.
(2) This material may be inspected, copied, or obtained, subject to applicable copyright law, at the Kentucky Real Estate Appraisers Board, 135 W. Irvine Street, Suite 301, Richmond, Kentucky 40475, (859) 623-1658, Monday through Friday, 8 a.m. to 4:30 p.m. (40 Ky.R. 182; Am. 536; eff. 10-4-2013; 41 Ky.R. 556; 1043; eff. 12-5-2014.)