Florida Senate - 2017                              CS for SB 716
       
       
        
       By the Committee on Regulated Industries; and Senator Passidomo
       
       
       
       
       
       580-02478-17                                           2017716c1
    1                        A bill to be entitled                      
    2         An act relating to real estate appraisers; amending s.
    3         475.451, F.S.; revising authorized methods of
    4         instruction and certain requirements for specified
    5         real estate practice courses; amending s. 475.611,
    6         F.S.; defining and redefining terms; amending s.
    7         475.612, F.S.; authorizing appraisers to perform real
    8         property evaluations in connection with certain
    9         federally regulated transactions; requiring such
   10         appraisers to comply with certain standards; requiring
   11         the Florida Real Estate Appraisal Board to adopt
   12         rules; providing construction; repealing s. 475.6175,
   13         F.S., relating to registered trainee appraisers;
   14         amending s. 475.621, F.S.; requiring the Department of
   15         Business and Professional Regulation to transmit a
   16         specified roster to a certain appraisal subcommittee;
   17         requiring the department to collect an annual fee from
   18         certain appraisal management companies and transmit
   19         the fee to such appraisal subcommittee; requiring the
   20         board to establish a certain procedure and adopt
   21         rules; amending s. 475.6235, F.S.; deleting an
   22         exception by which the board may grant a registration
   23         to a person otherwise deemed not qualified; revising
   24         applicability; amending s. 475.6245, F.S.; authorizing
   25         the board to deny an application for renewal of an
   26         appraisal management company’s registration on
   27         specified grounds; amending s. 475.628, F.S.;
   28         authorizing the board to adopt rules establishing
   29         certain standards of practice for nonfederally related
   30         transactions; providing requirements and construction
   31         for such standards; reenacting s. 475.629, F.S.,
   32         relating to retention of records, to incorporate the
   33         amendment made by the act to s. 475.611, F.S., in a
   34         reference thereto; providing an effective date.
   35          
   36  Be It Enacted by the Legislature of the State of Florida:
   37  
   38         Section 1. Subsection (6) of section 475.451, Florida
   39  Statutes, is amended to read:
   40         475.451 Schools teaching real estate practice.—
   41         (6) Any course prescribed by the commission as a condition
   42  precedent to a person any person’s becoming initially licensed
   43  as a sales associate or broker may be taught by a in any real
   44  estate school in a classroom or via distance learning pursuant
   45  to s. 475.17(2) through the use of a video tape of instruction
   46  by a currently permitted instructor from any such school or may
   47  be taught by distance learning pursuant to s. 475.17(2). The
   48  commission may require that any such video tape course have a
   49  single session of live instruction by a currently permitted
   50  instructor from any such school; however, this requirement shall
   51  not exceed 3 classroom hours. All other prescribed courses,
   52  except the continuing education course required by s. 475.182,
   53  shall be taught by a currently permitted school instructor
   54  personally in attendance at such course or by distance learning
   55  pursuant to s. 475.17. The continuing education course required
   56  by s. 475.182 may be taught by distance learning pursuant to s.
   57  475.17 or by an equivalent correspondence course; however, any
   58  such correspondence course shall be required to have a final
   59  examination, prepared and administered by the school or course
   60  provider issuing the correspondence course. The continuing
   61  education requirements provided in this chapter do not apply to
   62  an attorney who is otherwise qualified under this chapter and
   63  who is a member in good standing of The Florida Bar.
   64         Section 2. Subsections (1) and (2) of section 475.611,
   65  Florida Statutes, are amended to read:
   66         475.611 Definitions.—
   67         (1) As used in this part, the term:
   68         (a) “Appraisal” or “appraisal services” means the services
   69  provided by certified or licensed appraisers or registered
   70  trainee appraisers, and includes:
   71         1. “Appraisal assignment” denotes an engagement for which a
   72  person is employed or retained to act, or could be perceived by
   73  third parties or the public as acting, as an agent or a
   74  disinterested third party in rendering an unbiased analysis,
   75  opinion, review, or conclusion relating to the nature, quality,
   76  value, or utility of specified interests in, or aspects of,
   77  identified real property.
   78         2. “Analysis assignment” denotes appraisal services that
   79  relate to the employer’s or client’s individual needs or
   80  investment objectives and includes specialized marketing,
   81  financing, and feasibility studies as well as analyses,
   82  opinions, and conclusions given in connection with activities
   83  such as real estate brokerage, mortgage banking, real estate
   84  counseling, or real estate consulting.
   85         3. “Appraisal review assignment” denotes an engagement for
   86  which an appraiser is employed or retained to develop and
   87  communicate an opinion about the quality of another appraiser’s
   88  appraisal, appraisal report, or work. An appraisal review may or
   89  may not contain the reviewing appraiser’s opinion of value.
   90         (b) “Appraisal Foundation” or “foundation” means The
   91  Appraisal Foundation established on November 20, 1987, as a not
   92  for-profit corporation under the laws of Illinois.
   93         (c) “Appraisal management company” means a person who
   94  performs appraisal management services regardless of the use of
   95  the term “appraisal management company,” “appraiser
   96  cooperative,” “appraiser portal,” “mortgage technology company,”
   97  or other term.
   98         (d) “Appraisal management services” means the coordination
   99  or management of appraisal services for compensation by:
  100         1. Employing, contracting with, or otherwise retaining one
  101  or more licensed or certified appraisers to perform appraisal
  102  services for a client; or
  103         2. Acting as a broker or intermediary between a client and
  104  one or more licensed or certified appraisers to facilitate the
  105  client’s employing, contracting with, or otherwise retaining the
  106  appraisers.
  107         (e) “Appraisal report” means any communication, written or
  108  oral, of an appraisal, appraisal review, appraisal consulting
  109  service, analysis, opinion, or conclusion relating to the
  110  nature, quality, value, or utility of a specified interest in,
  111  or aspect of, identified real property, and includes any report
  112  communicating an appraisal analysis, opinion, or conclusion of
  113  value, regardless of title. However, in order to be recognized
  114  in a federally related transaction, an appraisal report must be
  115  written.
  116         (f) “Appraisal review” means the act or process of
  117  developing and communicating an opinion about the quality of
  118  another appraiser’s appraisal, appraisal report, or work.
  119         (g) “Appraisal subcommittee” means the designees of the
  120  heads of the federal financial institutions regulatory agencies
  121  established by the Federal Financial Institutions Examination
  122  Council Act of 1978 (12 U.S.C. ss. 3301 et seq.), as amended.
  123         (h) “Appraiser” means any person who is a registered
  124  trainee real estate appraiser, a licensed real estate appraiser,
  125  or a certified real estate appraiser. An appraiser renders a
  126  professional service and is a professional within the meaning of
  127  s. 95.11(4)(a).
  128         (i) “Appraiser panel” means a network, list, or roster of
  129  licensed or certified appraisers approved by an appraisal
  130  management company to perform appraisals as independent
  131  contractors for the appraisal management company. An appraiser
  132  is an independent contractor for purposes of this paragraph if
  133  the appraiser is treated as an independent contractor by the
  134  appraisal management company for federal income tax purposes.
  135  The term “appraiser panel” includes:
  136         1.Appraisers accepted by the appraisal management company
  137  for consideration for future appraisal assignments in covered
  138  transactions or secondary mortgage market participants in
  139  connection with covered transactions.
  140         2.Appraisers employed by, contracted with, or otherwise
  141  retained by the appraisal management company to perform one or
  142  more appraisals in covered transactions or for secondary
  143  mortgage market participants in connection with covered
  144  transactions group of appraisers selected by an appraisal
  145  management company to perform appraisal services for clients on
  146  behalf of the company.
  147         (j) “Board” means the Florida Real Estate Appraisal Board
  148  established under this section.
  149         (k) “Certified general appraiser” means a person who is
  150  certified by the department as qualified to issue appraisal
  151  reports for any type of real property.
  152         (l) “Certified residential appraiser” means a person who is
  153  certified by the department as qualified to issue appraisal
  154  reports for residential real property of one to four residential
  155  units, without regard to transaction value or complexity, or
  156  real property as may be authorized by federal regulation.
  157         (m) “Client” means a person who contracts with an appraiser
  158  or appraisal management company for the performance of appraisal
  159  services.
  160         (n) “Covered transaction” means a consumer credit
  161  transaction secured by the consumer’s principal dwelling.
  162         (o)(n) “Department” means the Department of Business and
  163  Professional Regulation.
  164         (p)(o) “Direct supervision” means the degree of supervision
  165  required of a supervisory appraiser overseeing the work of a
  166  registered trainee appraiser by which the supervisory appraiser
  167  has control over and detailed professional knowledge of the work
  168  being done. Direct supervision is achieved when a registered
  169  trainee appraiser has regular direction, guidance, and support
  170  from a supervisory appraiser who has the competencies as
  171  determined by rule of the board.
  172         (q) “Evaluation” means a valuation permitted by any
  173  appraisal regulation of a federal financial institutions
  174  regulatory agency for transactions that do not require an
  175  appraisal because they qualify for an applicable exemption under
  176  federal law. The board shall adopt rules, as necessary, to
  177  define evaluations and the applicable exemptions under federal
  178  law.
  179         (r) “Federally regulated appraisal management company”
  180  means an appraisal management company that is owned and
  181  controlled by an insured depository institution, as defined in
  182  12 U.S.C. s. 1813, and regulated by the Office of the
  183  Comptroller of the Currency, the Board of Governors of the
  184  Federal Reserve System, or the Federal Deposit Insurance
  185  Corporation.
  186         (s)(p) “Federally related transaction” means any real
  187  estate-related financial transaction which a federal financial
  188  institutions regulatory agency or the Resolution Trust
  189  Corporation engages in, contracts for, or regulates, and which
  190  requires the services of a state-licensed or state-certified
  191  appraiser.
  192         (t)(q) “Licensed appraiser” means a person who is licensed
  193  by the department as qualified to issue appraisal reports for
  194  residential real property of one to four residential units or on
  195  such real estate or real property as may be authorized by
  196  federal regulation. After July 1, 2003, the department shall not
  197  issue licenses for the category of licensed appraiser.
  198         (u) “Order file” means the documentation necessary to
  199  support the performance of appraisal management services.
  200         (v)(r) “Registered trainee appraiser” means a person who is
  201  registered with the department as qualified to perform appraisal
  202  services only under the direct supervision of a certified
  203  appraiser. A registered trainee appraiser may accept appraisal
  204  assignments only from her or his primary or secondary
  205  supervisory appraiser.
  206         (w) “Secondary mortgage market participant” means a
  207  guarantor, insurer, underwriter, or issuer of mortgage-backed
  208  securities. The term includes an individual investor in a
  209  mortgage-backed security only if such investor also serves in
  210  the capacity of a guarantor, an insurer, an underwriter, or an
  211  issuer for the mortgage-backed security.
  212         (x)(s) “Signature” means personalized evidence indicating
  213  authentication of work performed by an appraiser and the
  214  acceptance of responsibility for the content of an appraisal,
  215  appraisal review, or appraisal consulting service or conclusions
  216  in an appraisal report.
  217         (y)(t) “Subsidiary” means an organization that is owned and
  218  controlled by a financial institution that is regulated by a
  219  federal financial institution regulatory agency.
  220         (z)(u) “Supervisory appraiser” means a certified
  221  residential appraiser or a certified general appraiser
  222  responsible for the direct supervision of one or more registered
  223  trainee appraisers and fully responsible for appraisals and
  224  appraisal reports prepared by those registered trainee
  225  appraisers. The board, by rule, shall determine the
  226  responsibilities of a supervisory appraiser, the geographic
  227  proximity required, the minimum qualifications and standards
  228  required of a certified appraiser before she or he may act in
  229  the capacity of a supervisory appraiser, and the maximum number
  230  of registered trainee appraisers to be supervised by an
  231  individual supervisory appraiser.
  232         (aa)(v) “Training” means the process of providing for and
  233  making available to a registered trainee appraiser, under direct
  234  supervision, a planned, prepared, and coordinated program, or
  235  routine of instruction and education, in appraisal professional
  236  and technical appraisal skills as determined by rule of the
  237  board.
  238         (bb)(w) “Uniform Standards of Professional Appraisal
  239  Practice” means the most recent standards approved and adopted
  240  by the Appraisal Standards Board of The Appraisal Foundation.
  241         (cc)(x) “Valuation services” means services pertaining to
  242  aspects of property value and includes such services performed
  243  by certified appraisers, registered trainee appraisers, and
  244  others.
  245         (dd)(y) “Work file” means the documentation necessary to
  246  support an appraiser’s analysis, opinions, and conclusions.
  247         (2) Wherever the word “operate” or “operating” appears in
  248  this part with respect to a registered trainee appraiser,
  249  registered appraisal management company, licensed appraiser, or
  250  certified appraiser; in any order, rule, or regulation of the
  251  board; in any pleading, indictment, or information under this
  252  part; in any court action or proceeding; or in any order or
  253  judgment of a court, it shall be deemed to mean the commission
  254  of one or more acts described in this part as constituting or
  255  defining a registered trainee appraiser, registered appraisal
  256  management company, licensed appraiser, or certified appraiser,
  257  not including, however, any of the exceptions stated therein. A
  258  single act is sufficient to bring a person within the meaning of
  259  this subsection, and each act, if prohibited herein, constitutes
  260  a separate offense.
  261         Section 3. Subsection (7) is added to section 475.612,
  262  Florida Statutes, to read:
  263         475.612 Certification, licensure, or registration
  264  required.—
  265         (7) Notwithstanding any other law, an appraiser may perform
  266  an evaluation of real property in connection with a real estate
  267  related financial transaction, as defined by rule of the board,
  268  where the transaction is regulated by a federal financial
  269  institutions regulatory agency. The appraiser shall comply with
  270  the standards for evaluations imposed by the federal financial
  271  institutions regulatory agency and other standards as prescribed
  272  by the board. However, in no event may an evaluation be referred
  273  to or construed as an appraisal.
  274         Section 4. Section 475.6175, Florida Statutes, is repealed.
  275         Section 5. Section 475.621, Florida Statutes, is amended to
  276  read:
  277         475.621 Registry of licensed and certified appraisers;
  278  registry of appraisal management companies.—
  279         (1) The department shall transmit to the appraisal
  280  subcommittee, at least no less than annually, a roster listing
  281  individuals who hold a valid state license or certification as
  282  an appraiser. The department shall transmit to the appraisal
  283  subcommittee, at least annually, a roster listing individuals or
  284  companies that hold a valid state registration as an appraisal
  285  management company.
  286         (2) The department shall collect from such individuals who
  287  perform or seek to perform appraisals in federally related
  288  transactions, an annual fee as set by rule of, and transmitted
  289  to, the appraisal subcommittee. The department shall collect
  290  from such appraisal management companies that perform or seek to
  291  perform appraisal management services in covered transactions an
  292  annual fee set by rule of the board and transmitted to the
  293  appraisal subcommittee.
  294         (3) Notwithstanding the prohibition against requiring
  295  registration of a federally regulated appraisal management
  296  company as provided in s. 475.6235(8)(b), the board shall
  297  establish a procedure to collect from a federally regulated
  298  appraisal management company an annual fee as set by rule of the
  299  board and transmitted to the appraisal subcommittee.
  300         Section 6. Subsections (5) and (8) of section 475.6235,
  301  Florida Statutes, are amended to read:
  302         475.6235 Registration of appraisal management companies
  303  required; exemptions.—
  304         (5) Each person listed in paragraph (2)(f) must be
  305  competent and qualified to engage in appraisal management
  306  services with safety to the general public and those with whom
  307  the person may undertake a relationship of trust and confidence.
  308  If any person listed in paragraph (2)(f) has been denied
  309  registration, licensure, or certification as an appraiser or has
  310  been disbarred, or if the person’s registration, license, or
  311  certificate to practice or conduct any regulated profession,
  312  business, or vocation has been revoked or suspended by this or
  313  any other state, any nation, any possession or district of the
  314  United States, or any court or lawful agency thereof because of
  315  any conduct or practices that would have warranted a like result
  316  under this part, or if the person has been guilty of conduct or
  317  practices in this state or elsewhere that would have been
  318  grounds for disciplining her or his registration, license, or
  319  certification under this part had the person then been a
  320  registered trainee appraiser or a licensed or certified
  321  appraiser, the person is shall be deemed not to be qualified to
  322  be registered unless, because of lapse of time and subsequent
  323  good conduct and reputation, or other reason deemed sufficient,
  324  it appears to the board that the interest of the public is not
  325  likely to be endangered by the granting of registration.
  326         (8) This section does not apply to:
  327         (a) A financial institution, as defined in s. 655.005,
  328  which owns and operates an internal appraisal office, business
  329  unit, or department; or
  330         (b) A federally regulated An appraisal management company
  331  that is a subsidiary owned and controlled by a financial
  332  institution, as defined in s. 655.005, that is regulated by a
  333  federal financial institution regulatory agency.
  334         Section 7. Subsection (1) of section 475.6245, Florida
  335  Statutes, is amended to read:
  336         475.6245 Discipline of appraisal management companies.—
  337         (1) The board may deny an application for registration or
  338  renewal registration of an appraisal management company; may
  339  investigate the actions of any appraisal management company
  340  registered under this part; may reprimand or impose an
  341  administrative fine not to exceed $5,000 for each count or
  342  separate offense against any such appraisal management company;
  343  and may revoke or suspend, for a period not to exceed 10 years,
  344  the registration of any such appraisal management company, or
  345  place any such appraisal management company on probation, if the
  346  board finds that the appraisal management company or any person
  347  listed in s. 475.6235(2)(f):
  348         (a) Has violated any provision of this part or s.
  349  455.227(1); however, any appraisal management company registered
  350  under this part is exempt from s. 455.227(1)(i).
  351         (b) Has been guilty of fraud, misrepresentation,
  352  concealment, false promises, false pretenses, dishonest conduct,
  353  culpable negligence, or breach of trust in any business
  354  transaction in this state or any other state, nation, or
  355  territory; has violated a duty imposed upon her or him by law or
  356  by the terms of a contract, whether written, oral, express, or
  357  implied, in an appraisal assignment; has aided, assisted, or
  358  conspired with any other person engaged in any such misconduct
  359  and in furtherance thereof; or has formed an intent, design, or
  360  scheme to engage in such misconduct and committed an overt act
  361  in furtherance of such intent, design, or scheme. It is
  362  immaterial to the guilt of the appraisal management company that
  363  the victim or intended victim of the misconduct has sustained no
  364  damage or loss; that the damage or loss has been settled and
  365  paid after discovery of the misconduct; or that such victim or
  366  intended victim was a customer or a person in confidential
  367  relation with the appraisal management company or was an
  368  identified member of the general public.
  369         (c) Has advertised services in a manner that is fraudulent,
  370  false, deceptive, or misleading in form or content.
  371         (d) Has violated any provision of this part or any lawful
  372  order or rule issued under this part or chapter 455.
  373         (e) Has been convicted or found guilty of, or entered a
  374  plea of nolo contendere to, regardless of adjudication, a crime
  375  in any jurisdiction that directly relates to the activities of
  376  an appraisal management company or that involves moral turpitude
  377  or fraudulent or dishonest conduct. The record of a conviction
  378  certified or authenticated in such form as admissible in
  379  evidence under the laws of the state shall be admissible as
  380  prima facie evidence of such guilt.
  381         (f) Has had a registration, license, or certification as an
  382  appraiser or a registration as an appraisal management company
  383  revoked, suspended, or otherwise acted against; has been
  384  disbarred; has had her or his registration, license, or
  385  certificate to practice or conduct any regulated profession,
  386  business, or vocation revoked or suspended by this or any other
  387  state, any nation, or any possession or district of the United
  388  States; or has had an application for such registration,
  389  licensure, or certification to practice or conduct any regulated
  390  profession, business, or vocation denied by this or any other
  391  state, any nation, or any possession or district of the United
  392  States.
  393         (g) Has become temporarily incapacitated from acting as an
  394  appraisal management company with safety to those in a fiduciary
  395  relationship with her or him because of drunkenness, use of
  396  drugs, or temporary mental derangement; however, suspension of a
  397  registration in such cases shall only be for the period of such
  398  incapacity.
  399         (h) Is confined in any county jail, postadjudication; is
  400  confined in any state or federal prison or mental institution;
  401  or, through mental disease or deterioration, can no longer
  402  safely be entrusted to deal with the public or in a confidential
  403  capacity.
  404         (i) Has failed to inform the board in writing within 30
  405  days after pleading guilty or nolo contendere to, or being
  406  convicted or found guilty of, any felony.
  407         (j) Has been found guilty, for a second time, of any
  408  misconduct that warrants disciplinary action, or has been found
  409  guilty of a course of conduct or practice that shows that she or
  410  he is incompetent, negligent, dishonest, or untruthful to an
  411  extent that those with whom she or he may sustain a confidential
  412  relationship may not safely do so.
  413         (k) Has made or filed a report or record, either written or
  414  oral, that the appraisal management company knows to be false;
  415  has willfully failed to file a report or record required by
  416  state or federal law; has willfully impeded or obstructed such
  417  filing; or has induced another person to impede or obstruct such
  418  filing. However, such reports or records shall include only
  419  those that are signed or presented in the capacity of an
  420  appraisal management company.
  421         (l) Has obtained or attempted to obtain a registration,
  422  license, or certification by means of knowingly making a false
  423  statement, submitting false information, refusing to provide
  424  complete information in response to an application question, or
  425  engaging in fraud, misrepresentation, or concealment.
  426         (m) Has paid money or other valuable consideration, except
  427  as required by this section, to any member or employee of the
  428  board to obtain a registration, license, or certification under
  429  this section.
  430         (n) Has instructed an appraiser to violate any standard of
  431  professional practice established by rule of the board,
  432  including standards for the development or communication of a
  433  real estate appraisal or other provision of the Uniform
  434  Standards of Professional Appraisal Practice.
  435         (o) Has engaged in the development of an appraisal or the
  436  preparation of an appraisal report, unless the appraisal
  437  management company is owned or controlled by certified
  438  appraisers.
  439         (p) Has failed to communicate an appraisal without good
  440  cause.
  441         (q) Has accepted an appraisal assignment if the employment
  442  itself is contingent upon the appraisal management company
  443  reporting a predetermined result, analysis, or opinion or if the
  444  fee to be paid for the performance of the appraisal assignment
  445  is contingent upon the opinion, conclusion, or valuation reached
  446  upon the consequences resulting from the appraisal assignment.
  447         (r) Has failed to timely notify the department of any
  448  change in principal business location as an appraisal management
  449  company.
  450         (s) Has influenced or attempted to influence the
  451  development, reporting, or review of an appraisal through
  452  coercion, extortion, collusion, compensation, inducement,
  453  intimidation, bribery, or any other means, including, but not
  454  limited to:
  455         1. Withholding or threatening to withhold timely payment
  456  for an appraisal, unless such nonpayment is based upon specific
  457  quality or other service issues that constitute noncompliance
  458  with the appraisal engagement agreement.
  459         2. Withholding or threatening to withhold future business
  460  from an appraiser.
  461         3. Promising future business, promotions, or increased
  462  compensation for an appraiser, whether the promise is express or
  463  implied.
  464         4. Conditioning a request for appraisal services or the
  465  payment of an appraisal fee, salary, or bonus upon the opinion,
  466  conclusion, or valuation to be reached or upon a preliminary
  467  estimate or opinion requested from an appraiser.
  468         5. Requesting that an appraiser provide an estimated,
  469  predetermined, or desired valuation in an appraisal report or
  470  provide estimated values or comparable sales at any time before
  471  the appraiser’s completion of appraisal services.
  472         6. Providing to an appraiser an anticipated, estimated,
  473  encouraged, or desired value for a subject property or a
  474  proposed or target amount to be loaned to the borrower, except
  475  that a copy of the sales contract for purchase transactions may
  476  be provided.
  477         7. Providing to an appraiser, or any person related to the
  478  appraiser, stock or other financial or nonfinancial benefits.
  479         8. Allowing the removal of an appraiser from an appraiser
  480  panel without prior written notice to the appraiser.
  481         9. Obtaining, using, or paying for a second or subsequent
  482  appraisal or ordering an automated valuation model in connection
  483  with a mortgage financing transaction unless there is a
  484  reasonable basis to believe that the initial appraisal was
  485  flawed or tainted and such basis is clearly and appropriately
  486  noted in the loan file, or unless such appraisal or automated
  487  valuation model is issued pursuant to a bona fide prefunding or
  488  postfunding appraisal review or quality control process.
  489         10. Any other act or practice that impairs or attempts to
  490  impair an appraiser’s independence, objectivity, or
  491  impartiality.
  492         (t) Has altered, modified, or otherwise changed a completed
  493  appraisal report submitted by an appraiser to an appraisal
  494  management company.
  495         (u) Has employed, contracted with, or otherwise retained an
  496  appraiser whose registration, license, or certification is
  497  suspended or revoked to perform appraisal services or appraisal
  498  management services.
  499         (v) Has required or attempted to require an appraiser to
  500  sign any indemnification agreement that would require the
  501  appraiser to hold harmless the appraisal management company or
  502  its owners, agents, employees, or independent contractors from
  503  any liability, damage, loss, or claim arising from the services
  504  performed by the appraisal management company or its owners,
  505  agents, employees, or independent contractors and not the
  506  services performed by the appraiser.
  507         Section 8. Section 475.628, Florida Statutes, is amended to
  508  read:
  509         475.628 Professional standards for appraisers registered,
  510  licensed, or certified under this part.—
  511         (1) The board shall adopt rules establishing standards of
  512  professional practice which meet or exceed nationally recognized
  513  standards of appraisal practice, including standards adopted by
  514  the Appraisal Standards Board of the Appraisal Foundation. Each
  515  appraiser registered, licensed, or certified under this part
  516  must comply with the rules. Statements on appraisal standards
  517  which may be issued for the purpose of clarification,
  518  interpretation, explanation, or elaboration through the
  519  Appraisal Foundation are binding on any appraiser registered,
  520  licensed, or certified under this part, upon adoption by rule of
  521  the board.
  522         (2) The board may adopt rules establishing standards of
  523  practice, other than standards adopted by the Appraisal
  524  Standards Board of the Appraisal Foundation, for nonfederally
  525  related transactions. The board shall require that an appraiser,
  526  when performing an appraisal or appraisal service for any
  527  purpose other than a federally related transaction, must also
  528  comply with the Ethics and Competency Rules of the standards
  529  adopted by the Appraisal Standards Board of the Appraisal
  530  Foundation and other requirements as determined by rule of the
  531  board. Assignments completed using alternate standards do not
  532  satisfy the experience requirements of s. 475.617 unless those
  533  assignments comply with the standards adopted by the Appraisal
  534  Standards Board of the Appraisal Foundation.
  535         Section 9. For the purpose of incorporating the amendment
  536  made by this act to section 475.611, Florida Statutes, in a
  537  reference thereto, section 475.629, Florida Statutes, is
  538  reenacted to read:
  539         475.629 Retention of records.—An appraiser registered,
  540  licensed, or certified under this part shall prepare and retain
  541  a work file for each appraisal, appraisal review, or appraisal
  542  consulting assignment. An appraisal management company
  543  registered under this part shall prepare and retain an order
  544  file for each appraisal, appraisal review, or appraisal
  545  consulting assignment. The work file and the order file shall be
  546  retained for 5 years or the period specified in the Uniform
  547  Standards of Professional Appraisal Practice, whichever is
  548  greater. The work file must contain original or true copies of
  549  any contracts engaging the appraiser’s or appraisal management
  550  company’s services, appraisal reports, and supporting data
  551  assembled and formulated by the appraiser or company in
  552  preparing appraisal reports or engaging in appraisal management
  553  services and all other data, information, and documentation
  554  required by the standards for the development or communication
  555  of a real estate appraisal as approved and adopted by the
  556  Appraisal Standards Board of The Appraisal Foundation, as
  557  established by rule of the board. The order file must contain
  558  original or true copies of any contracts engaging the
  559  appraiser’s services, the appraisal reports, any engagement
  560  materials or instructions from the client, and all other
  561  documents required by the standards for the development or
  562  communication of a real estate appraisal as approved and adopted
  563  by the Appraisal Standards Board of The Appraisal Foundation, as
  564  established by rule of the board. Notwithstanding the foregoing,
  565  while general contracts and materials pertaining to impaneling
  566  of an appraiser by an appraisal management company shall be
  567  retained under this section, such contracts and materials are
  568  not required to be maintained within the order file. Except as
  569  otherwise specified in the Uniform Standards of Professional
  570  Appraisal Practice, the period for retention of the records
  571  applicable to each engagement of the services of the appraiser
  572  or appraisal management company runs from the date of the
  573  submission of the appraisal report to the client. Appraisal
  574  management companies shall also retain the company accounts,
  575  correspondence, memoranda, papers, books, and other records in
  576  accordance with administrative rules adopted by the board. These
  577  records must be made available by the appraiser or appraisal
  578  management company for inspection and copying by the department
  579  upon reasonable notice to the appraiser or company. If an
  580  appraisal has been the subject of or has served as evidence for
  581  litigation, reports and records must be retained for at least 2
  582  years after the trial or the period specified in the Uniform
  583  Standards of Professional Appraisal Practice, whichever is
  584  greater.
  585         Section 10. This act shall take effect October 1, 2017.