HF 737

as introduced - 92nd Legislature (2021 - 2022) Posted on 02/25/2021 05:41pm

A bill for an act
relating to commerce; allowing continuing education credit, evaluations, and
modifying standards of conduct for real property appraisers; amending Minnesota
Statutes 2020, sections 82B.021, by adding subdivisions; 82B.03, by adding a
subdivision; 82B.19, by adding a subdivision; 82B.195, by adding a subdivision;
proposing coding for new law in Minnesota Statutes, chapter 82B.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2020, section 82B.021, is amended by adding a subdivision
to read:

new text begin Subd. 14a. new text end

new text begin Evaluation. new text end

new text begin "Evaluation" means an estimate of the value of real property,
made in accordance with the Interagency Appraisal and Evaluation Guidelines provided to
an entity regulated by a federal financial institution's regulatory agency, for use in a real
estate-related financial transaction for which an appraisal is not required by federal law.
new text end

Sec. 2.

Minnesota Statutes 2020, section 82B.021, is amended by adding a subdivision to
read:

new text begin Subd. 16a. new text end

new text begin Interagency Appraisal and Evaluation Guidelines. new text end

new text begin "Interagency Appraisal
and Evaluation Guidelines" means the appraisal and evaluation guidelines provided by a
federal financial institution's regulatory agency, as provided by Federal Register, volume
75, page 77450 (2010), as amended.
new text end

Sec. 3.

Minnesota Statutes 2020, section 82B.03, is amended by adding a subdivision to
read:

new text begin Subd. 3. new text end

new text begin Evaluation. new text end

new text begin A licensed real estate appraiser may provide an evaluation. When
providing an evaluation, a licensed real estate appraiser is not engaged in real estate appraisal
activity and is not subject to this chapter. An evaluation by a licensed real estate appraiser
under this subdivision must contain a disclosure that the evaluation is not an appraisal.
new text end

Sec. 4.

Minnesota Statutes 2020, section 82B.19, is amended by adding a subdivision to
read:

new text begin Subd. 5. new text end

new text begin Out-of-state continuing education credit. new text end

new text begin (a) For purposes of this subdivision,
"classroom course" means an educational process where there is no geographic separation
between the instructor and the learner.
new text end

new text begin (b) Notwithstanding section 45.30, subdivisions 1 and 6, the commissioner must grant
a licensee continuing education credit for a classroom course completed out of state if:
new text end

new text begin (1) the course has been approved for continuing education credit by the regulator of
appraisers in at least two other states, provided the continuing education requirements in
the approving states comply with the Appraiser Qualifications Board requirements;
new text end

new text begin (2) the course content, textbooks, and examinations utilized by the Minnesota licensee
are substantially similar to those approved for use by the other states in which the course
is approved; and
new text end

new text begin (3) the licensee provides the commissioner with:
new text end

new text begin (i) a request for credit for a continuing education course completed out of state;
new text end

new text begin (ii) a certificate of successful course completion from the educator; and
new text end

new text begin (iii) a fee to be determined by the commissioner.
new text end

new text begin (c) The commissioner must grant a licensee the same number of continuing education
credits for the classroom course as the number approved by the out-of-state appraisal
regulatory authority. If other states have approved a different number of continuing education
credits for a course, the commissioner must grant a licensee credit for the highest number
of credits approved by another state.
new text end

new text begin (d) This subdivision does not apply to continuing education courses subject to section
45.306.
new text end

Sec. 5.

Minnesota Statutes 2020, section 82B.195, is amended by adding a subdivision to
read:

new text begin Subd. 5. new text end

new text begin Evaluation. new text end

new text begin When providing an evaluation, a licensed real estate appraiser is
not required to comply with the Uniform Standards of Professional Appraisal Performance.
new text end

Sec. 6.

new text begin [82B.25] VALUATION BIAS.
new text end

new text begin Subdivision 1. new text end

new text begin Definition. new text end

new text begin For the purposes of this section, "valuation bias" means to
explicitly, implicitly, or structurally select data and apply that data to an appraisal
methodology or technique in a biased manner that harms a protected class, as defined by
the Fair Housing Act of 1968, and its amendments.
new text end

new text begin Subd. 2. new text end

new text begin Education. new text end

new text begin Within two years of receiving a license under this chapter, and as
required by the Appraiser Qualifications Board, a real property appraiser shall provide
evidence of satisfactory completion to the commissioner of a continuing education course
on the valuation bias of real property.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2021. A person who holds a
license as a real property appraiser must complete the seminar required under this section
within two years of the effective date.
new text end