S.B. No. 1007
 
 
 
 
AN ACT
  relating to the practices and professions regulated by the Texas
  Appraiser Licensing and Certification Board.
         BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
         SECTION 1.  Section 1103.003, Occupations Code, is amended
  by amending Subdivisions (2-a), (6-b), (7), and (8) and adding
  Subdivisions (2-b), (4-a), and (5-a) to read as follows:
               (2-a)  "Appraisal review" has the meaning assigned by
  Section 1104.003.
               (2-b)  "Appraisal Standards Board" means the Appraisal
  Standards Board of the Appraisal Foundation, or its successor.
               (4-a)  "Appraiser trainee" means an appraiser trainee
  licensed under this chapter.
               (5-a)  "Certified appraiser" means a person who is
  certified under this chapter to practice as a certified general or
  certified residential appraiser.
               (6-b)  "Federal financial institution regulatory
  agency" means:
                     (A)  the Board of Governors of the Federal Reserve
  System;
                     (B)  the Federal Deposit Insurance Corporation;
                     (C)  the Office of the Comptroller of the
  Currency;
                     (D)  the Consumer Financial Protection Bureau
  [Office of Thrift Supervision];
                     (E)  the National Credit Union Administration; or
                     (F)  the successors of any of those agencies.
               (7)  "Licensed appraiser" ["State-certified real
  estate appraiser" or "certified appraiser" means a person who is
  certified under this chapter.
               [(8)     "State-licensed real estate appraiser" or
  "licensed appraiser"] means a person who is licensed under this
  chapter to practice as a residential real estate appraiser.
               (8)  "Supervisory appraiser" means a supervisory
  appraiser as defined by the Appraiser Qualifications Board.
         SECTION 2.  Section 1103.004, Occupations Code, is amended
  to read as follows:
         Sec. 1103.004.  EFFECT OF CHAPTER.  [(b)]  This chapter does
  not prohibit:
               (1)  a person authorized by law from performing an
  evaluation of real property for or providing an evaluation of real
  property to another person; [or]
               (2)  a real estate broker licensed under Chapter 1101
  or a sales agent [salesperson] acting under the authority of a
  sponsoring broker from providing to another person a written
  analysis, opinion, or conclusion relating to the estimated price of
  real property if the analysis, opinion, or conclusion:
                     (A)  is not referred to as an appraisal;
                     (B)  is given in the ordinary course of the
  broker's [or salesperson's] business; and
                     (C)  is related to the actual or potential
  acquisition, disposition, encumbrance, or management of an
  interest in real property; or
               (3)  an appraiser who is certified by a jurisdiction
  other than this state from performing an appraisal review of an
  appraisal performed on real property in this state, if the
  appraiser does not offer an opinion of value as part of the
  appraisal review.
         SECTION 3.  Section 1103.006, Occupations Code, is amended
  to read as follows:
         Sec. 1103.006.  APPLICATION OF SUNSET ACT. The Texas
  Appraiser Licensing and Certification Board [If the federal
  government removes the requirements for the preparation or use of
  an appraisal by federally regulated financial institutions, the
  board] is subject to Chapter 325, Government Code (Texas Sunset
  Act)[, and is subject to sunset review in the next regular session
  of the legislature following the date of the federal government's
  action]. Unless continued in existence [by that legislature] as
  provided by that chapter, the board is abolished and this chapter
  and Chapter 1104 expire September 1, 2019 [expires on the 90th day
  after the last day of the regular session of that legislature].
         SECTION 4.  Subchapter B, Chapter 1103, Occupations Code, is
  amended by adding Section 1103.0545 to read as follows:
         Sec. 1103.0545.  TRAINING. (a)  A person who is appointed
  to and qualifies for office as a member of the board may not vote,
  deliberate, or be counted as a member in attendance at a meeting of
  the board until the person completes a training program that
  complies with this section.
         (b)  The training program must provide the person with
  information regarding:
               (1)  this chapter and other laws applicable to the
  board;
               (2)  the programs, functions, rules, and budget of the
  board;
               (3)  the results of the most recent formal audit of the
  board;
               (4)  the requirements of laws relating to open
  meetings, public information, administrative procedure, and
  conflicts of interest; and
               (5)  any applicable ethics policies adopted by the
  board or the Texas Ethics Commission.
         (c)  A person appointed to the board is entitled to
  reimbursement for the travel expenses incurred in attending the
  training program regardless of whether the attendance at the
  program occurs before or after the person qualifies for office.
         SECTION 5.  Section 1103.055, Occupations Code, is amended
  to read as follows:
         Sec. 1103.055.  TERMS; VACANCIES. (a)  Appointed members of
  the board serve staggered six-year [two-year] terms, with the terms
  of one or two appraiser members and one or two public members
  expiring on January 31 of each odd-numbered year.
         (b)  If a vacancy occurs during a member's term, the governor
  shall appoint a person to fill the unexpired term [An appointed
  member may not serve more than three consecutive two-year terms].
         SECTION 6.  Section 1103.056, Occupations Code, is amended
  to read as follows:
         Sec. 1103.056.  OFFICERS; EXECUTIVE COMMITTEE. (a)  The
  governor shall designate a board member who is an appraiser to serve
  as presiding officer of the board.
         (b)  At a regular meeting in February of each year, the board
  shall elect from its members an [a presiding officer,] assistant
  presiding officer[,] and a secretary.
         (c) [(b)]  The presiding officer, assistant presiding
  officer, and secretary [officers elected under Subsection (a)]
  constitute the executive committee.
         SECTION 7.  Section 1103.057(c), Occupations Code, is
  amended to read as follows:
         (c)  If the commissioner [presiding officer of the board] has
  knowledge that a potential ground for removal of an appointed board
  member exists, the commissioner shall notify the presiding officer
  of the board of the potential ground. The presiding officer shall
  immediately notify the governor and the attorney general that a
  potential ground for removal exists. If the potential ground for
  removal involves the presiding officer, the commissioner shall
  notify the next highest ranking officer of the board, who shall
  immediately notify the governor and the attorney general that a
  potential ground for removal exists.
         SECTION 8.  Section 1103.058, Occupations Code, is amended
  to read as follows:
         Sec. 1103.058.  PER DIEM; REIMBURSEMENT. (a)  An appointed
  board member is entitled to receive:
               (1)  $75 for each day the member engages in official
  duties as a board member; and
               (2)  reimbursement for actual and necessary expenses
  incurred in performing official duties as a board member.
         (b)  For purposes of this section, the board by rule may
  determine what constitutes a day or actual and necessary expenses.
         SECTION 9.  Subchapter B, Chapter 1103, Occupations Code, is
  amended by adding Section 1103.060 to read as follows:
         Sec. 1103.060.  EDUCATIONAL PRESENTATIONS. (a)  A member of
  the board or a board employee may make a presentation to a group of
  certificate or license holders for which the certificate or license
  holders may receive continuing education credit for the renewal of
  a certificate or license under Section 1103.211.  The board member
  or employee may not receive compensation for the presentation.
         (b)  Notwithstanding Subsection (a), the board member or
  employee may receive reimbursement for reasonable travel expenses.
         SECTION 10.  Section 1103.101(b), Occupations Code, is
  amended to read as follows:
         (b)  The board may delegate to the commissioner the
  responsibility for administering this chapter and Chapter 1104,
  including the approval of consent orders and agreements.
         SECTION 11.  Section 1103.102, Occupations Code, is amended
  to read as follows:
         Sec. 1103.102.  OTHER BOARD PERSONNEL. In addition to the
  commissioner, the board may employ other officers and employees as
  necessary to administer this chapter and Chapter 1104.
         SECTION 12.  Section 1103.103, Occupations Code, is amended
  to read as follows:
         Sec. 1103.103.  SALARIES.  [(a)]  The commissioner
  [administrator of the Texas Real Estate Commission] shall determine
  the salaries of the officers and employees of the board.
         SECTION 13.  Section 1103.104, Occupations Code, is amended
  to read as follows:
         Sec. 1103.104.  DUTIES OF COMMISSIONER. The commissioner
  shall:
               (1)  disseminate information;
               (2)  administer rules adopted by the board under this
  chapter or Chapter 1104;
               (3)  review each application for a certificate or
  license and make a recommendation for final action to the board;
               (4)  review and make recommendations to the board
  regarding the adoption of rules relating to:
                     (A)  the examination required by Subchapter F;
                     (B)  education and experience requirements for
  issuance of certificates and licenses;
                     (C)  continuing education for a certified or
  licensed appraiser;
                     (D)  standards of professional practice and
  ethics for a certified or licensed appraiser;
                     (E)  standards for a real estate appraisal
  performed by a certified or licensed appraiser; and
                     (F)  the fees established by the board under
  Section 1103.156 or Section 1104.052;
               (5)  collect fees established by the board;
               (6)  manage the staff and employees of the board; and
               (7)  perform any other duty prescribed by the board
  under this chapter or Chapter 1104.
         SECTION 14.  Section 1103.151, Occupations Code, is amended
  to read as follows:
         Sec. 1103.151.  RULES RELATING TO CERTIFICATES AND LICENSES.  
  The board may adopt:
               (1)  rules for certifying or licensing an appraiser or
  [approving an] appraiser trainee in this state that are in
  accordance with this chapter and consistent with applicable federal
  law;
               (2)  rules relating to the qualifying education and
  experience required for certifying or licensing an appraiser or
  [approving an] appraiser trainee that are consistent with the
  guidelines recognized by the Appraiser Qualifications Board;
               (3)  rules relating to the examination required by
  Subchapter F; and
               (4)  rules relating to procedures for the timely
  renewal of a certificate or[,] license[, or trainee approval].
         SECTION 15.  Section 1103.153, Occupations Code, is amended
  to read as follows:
         Sec. 1103.153.  RULES RELATING TO QUALIFYING OR CONTINUING
  EDUCATION. The board may adopt rules relating to:
               (1)  continuing education requirements for a certified
  or licensed appraiser or an [approved] appraiser trainee; and
               (2)  the requirements for approval of a provider,
  course, or instructor for qualifying or continuing education.
         SECTION 16.  Section 1103.154, Occupations Code, is amended
  to read as follows:
         Sec. 1103.154.  RULES RELATING TO PROFESSIONAL CONDUCT. The
  board may adopt:
               (1)  rules as necessary to conform to the minimum
  written standards of the Appraisal Standards Board by incorporating
  the Uniform Standards of Professional Appraisal Practice;
               (2)  rules requiring a certified or licensed appraiser
  or an appraiser trainee to comply with standards of competency,
  professional conduct, and ethics prescribed by the Uniform
  Standards of Professional Appraisal Practice, as adopted by the
  Appraisal Standards Board; and
               (3)  rules relating to the standards for the
  development of an appraisal and the conveyance of an appraisal
  report by a certified or licensed appraiser or an appraiser trainee
  that are recognized as substantially equivalent to or consistent
  with the Uniform Standards of Professional Appraisal Practice.
         SECTION 17.  Section 1103.155(c), Occupations Code, is
  amended to read as follows:
         (c)  The board shall send a copy of the roster to the
  Appraisal Subcommittee at least weekly [annually].
         SECTION 18.  Section 1103.157, Occupations Code, is amended
  to read as follows:
         Sec. 1103.157.  GIFTS, GRANTS, AND DONATIONS. The board may
  solicit, accept, and administer gifts, grants, and donations of any
  kind from any public or private source for the purposes of this
  chapter and Chapter 1104.
         SECTION 19.  Section 1103.159, Occupations Code, is amended
  by amending Subsections (b) and (d) and adding Subsections (e),
  (f), and (g) to read as follows:
         (b)  The advisory committee consists of the assistant
  presiding officer of the board and four [two] persons appointed by
  the governor as follows:
               (1)  two members who are each designated as the [a]
  controlling person of an appraisal management company registered
  under Chapter 1104; and
               (2)  two [a] public members [member] with recognized
  business ability.
         (d)  The members of the advisory committee appointed by the
  governor serve staggered two-year terms, with the terms of one
  [the] appraisal management company member and one [the] public
  member expiring on January 31 of each year [alternating years].
         (e)  An appointed member may not serve more than two
  consecutive two-year terms.
         (f)  If a vacancy occurs during a member's term, the governor
  shall appoint a person to fill the unexpired term.
         (g)  The advisory committee may hold a meeting by telephone
  conference call or other video or broadcast technology.
         SECTION 20.  Section 1103.201, Occupations Code, is amended
  to read as follows:
         Sec. 1103.201.  CERTIFICATE OR LICENSE REQUIRED. (a)  A
  person may not perform an appraisal of real estate unless the person
  is licensed or certified as an appraiser under this chapter,
  registered as a temporary out-of-state appraiser under this
  chapter, or acting as an appraiser trainee under the supervision
  [sponsorship] of a supervisory [certified] appraiser.
         (b)  Unless the person holds the appropriate license or
  certification, a person may not:
               (1)  use the title "certified real estate appraiser"
  ["state-certified real estate appraiser"] or "licensed real estate
  appraiser" ["state-licensed real estate appraiser"]; or
               (2)  refer to an appraisal performed by the person as a
  "certified appraisal" or "licensed appraisal."
         SECTION 21.  Section 1103.202, Occupations Code, is amended
  to read as follows:
         Sec. 1103.202.  ELIGIBILITY REQUIREMENTS FOR CERTIFICATE OR
  LICENSE. To be eligible for a certificate or license under this
  chapter, an applicant must:
               (1)  pass the applicable examination required by
  Subchapter F;
               (2)  successfully complete the number and type of
  classroom hours or other educational qualifications required by the
  Appraiser Qualifications Board;
               (3)  provide evidence satisfactory to the board that
  the applicant has at least the minimum number of hours of experience
  in performing appraisals over the specified number of calendar
  years as required by the Appraiser Qualifications Board; [and]
               (4)  satisfy the board as to the applicant's honesty,
  trustworthiness, and integrity; and
               (5)  comply with the requirements of Sections 1103.203
  and 1103.2031.
         SECTION 22.  Section 1103.203, Occupations Code, is amended
  to read as follows:
         Sec. 1103.203.  CERTIFICATE OR LICENSE APPLICATION
  [ELIGIBILITY REQUIREMENTS FOR LICENSE].  (a)  An applicant for a
  certificate or license or for renewal of a certificate or license
  must submit an application to the board on the form prescribed by
  the board.
         (b)  The applicant must disclose in the application whether
  the applicant has:
               (1)  entered a plea of guilty or nolo contendere to a
  felony; or
               (2)  been convicted of a felony and the time for appeal
  has elapsed or the judgment or conviction has been affirmed on
  appeal.
         (c)  The disclosure under Subsection (b) must be provided
  regardless of whether a court order granted community supervision
  suspending the imposition of the sentence.
         (d)  The application must include the applicant's current
  mailing address and telephone number and the applicant's business
  e-mail address, if available. The applicant shall notify the board
  of any change in the applicant's mailing or e-mail address or
  telephone number while the application is pending.
         (e)  The applicant must provide any other information
  required by the board to comply with the Appraiser Qualifications
  Board's criminal history and background check requirements [To be
  eligible for a license under this chapter, an applicant must:
               [(1)  pass the examination required by Subchapter F;
               [(2)     successfully complete the number and type of
  classroom hours or other educational qualifications required by the
  guidelines of the Appraiser Qualifications Board;
               [(3)     provide evidence satisfactory to the board that
  the applicant has at least the minimum number of hours of experience
  in performing appraisals over the specified number of calendar
  years as required by the guidelines of the Appraiser Qualifications
  Board; and
               [(4)     satisfy the board as to the applicant's honesty,
  trustworthiness, and integrity].
         SECTION 23.  Subchapter E, Chapter 1103, Occupations Code,
  is amended by adding Section 1103.2031 to read as follows:
         Sec. 1103.2031.  CRIMINAL HISTORY RECORD INFORMATION
  REQUIREMENT. (a)  The board by rule may require that an applicant
  for a certificate or license or renewal of an unexpired certificate
  or license submit a complete and legible set of fingerprints, on a
  form prescribed by the board, to the board or to the Department of
  Public Safety for the purpose of obtaining criminal history record
  information from the Department of Public Safety or the Federal
  Bureau of Investigation.
         (b)  If the board implements the requirement under
  Subsection (a), the board may not issue a certificate or license to
  or renew the certificate or license on active status of an applicant
  who does not comply with that requirement.
         (c)  If the board implements the requirement under
  Subsection (a), the board shall conduct a criminal history check of
  an applicant for a certificate or license or renewal of a
  certificate or license using information:
               (1)  provided by the applicant under this section and
  Section 1103.203; and
               (2)  made available to the board by the Department of
  Public Safety, the Federal Bureau of Investigation, or any other
  criminal justice agency under Chapter 411, Government Code.
         (d)  The board may:
               (1)  enter into an agreement with the Department of
  Public Safety or other federally authorized entity to administer a
  criminal history check required under this section; and
               (2)  authorize the Department of Public Safety or other
  federally authorized entity to collect from each applicant the
  costs incurred by the department in conducting the criminal history
  check.
         SECTION 24.  Section 1103.204(c), Occupations Code, is
  amended to read as follows:
         (c)  The board shall give an applicant for a certificate or
  license credit toward fulfilling the requirements of Section
  [Sections] 1103.202(2) [and 1103.203(2)] for classroom hours taken
  in the course of becoming licensed as a real estate broker or sales
  agent [salesperson] or for professional development or continuing
  education courses taken, whether the classroom hours or courses are
  taken by a person as a real estate broker or sales agent
  [salesperson] or as an employee of a financial institution engaged
  in real estate-related financial transactions, if the classroom
  hours or courses satisfy the requirements established by the
  guidelines recognized by the Appraiser Qualifications Board.
         SECTION 25.  Sections 1103.205(a) and (c), Occupations Code,
  are amended to read as follows:
         (a)  This [Except as provided by Section 1103.208, this]
  chapter does not limit the amount of time in which an applicant for
  a certificate or license is required to satisfy the experience
  requirements under this subchapter.
         (c)  For the purpose of determining the qualifications of an
  applicant for a certificate or license under this chapter,
  acceptable appraisal experience includes:
               (1)  any one or any combination of the categories
  recognized by the Appraiser Qualifications Board; and
               (2)  experience as a real estate mortgage lending
  officer of a financial institution or as a real estate broker that
  includes the actual performance or technical review of real estate
  appraisals.
         SECTION 26.  Section 1103.206(b), Occupations Code, is
  amended to read as follows:
         (b)  The board shall adopt a reliable method to verify the
  evidence of appraisal experience submitted by an applicant for a
  certificate or license. The method must include the review of
  appraisal experience of all applicants for certification [and must
  rely on appropriate sampling techniques that are applied to not
  more than five percent of the license applications received by the
  board]. An applicant [whose application is selected for
  verification] has at least 60 days after the date notice is sent [of
  selection] to submit [prepare] any records requested by the board.
  The board may not require the applicant to provide more information
  than the information the board may obtain under Section 1103.207.
         SECTION 27.  Section 1103.207(a), Occupations Code, is
  amended to read as follows:
         (a)  In addition to the information or documentation
  specified by this subchapter, the board may obtain other
  information or documentation from an applicant for a certificate or
  license under this chapter if the board determines that:
               (1)  a formal [consumer complaint or peer] complaint
  against the applicant alleging fraud, incompetency, or malpractice
  is reasonable; or
               (2)  other just cause exists for requiring further
  information.
         SECTION 28.  Section 1103.209(a), Occupations Code, is
  amended to read as follows:
         (a)  The board shall issue a reciprocal license or 
  certificate [or license] to an applicant from another state if:
               (1)  the appraiser licensing and certification program
  of the other state is in compliance with 12 U.S.C. Section 3331 et
  seq.;
               (2)  the applicant [appraiser] holds a valid license or
  certificate from a state whose requirements for licensure or
  certification meet or exceed the licensure or certification
  requirements of this state; [and]
               (3)  the applicant [appraiser] satisfies the board as
  to the appraiser's honesty, trustworthiness, and integrity; and
               (4)  the applicant complies with the requirements of
  Sections 1103.203 and 1103.2031.
         SECTION 29.  Section 1103.2091, Occupations Code, is amended
  to read as follows:
         Sec. 1103.2091.  PROBATIONARY CERTIFICATE OR[,] LICENSE[,
  OR TRAINEE APPROVAL]. (a)  The board may issue a probationary
  certificate or license to [or approve] an appraiser or an appraiser
  trainee, as applicable [on a probationary basis].
         (b)  The board by rule shall adopt reasonable terms for
  issuing a probationary certificate or license [and for approval of
  an appraiser trainee on a probationary basis].
         (c)  A person who holds a probationary certificate or license
  [or who is approved as an appraiser trainee] under this section must
  disclose the probationary status to all clients before accepting an
  assignment.
         SECTION 30.  Sections 1103.211(b) and (c), Occupations Code,
  are amended to read as follows:
         (b)  A person may renew a certificate or license by:
               (1)  paying the renewal fee; [and]
               (2)  providing evidence satisfactory to the board that
  the person has completed continuing education requirements that
  comply with the guidelines recognized by the Appraiser
  Qualifications Board and that are imposed by rule under this
  chapter;
               (3)  satisfying the board as to the person's honesty,
  trustworthiness, and integrity; and
               (4)  complying with the requirements of Sections
  1103.203 and 1103.2031.
         (c)  For purposes of Subsection (b)(2), the board shall
  accept as continuing education any educational offering that
  complies with the guidelines recognized by the Appraiser
  Qualifications Board that a certified or licensed appraiser was
  awarded by [a national appraiser organization approved by the board
  as] a provider of qualifying appraisal education approved by the
  board.
         SECTION 31.  Section 1103.2111, Occupations Code, is amended
  to read as follows:
         Sec. 1103.2111.  LATE RENEWAL OF CERTIFICATE OR[,] LICENSE[,
  OR TRAINEE APPROVAL]. (a)  A person whose certificate or[,]
  license[, or approval] has been expired for 90 days or less may
  renew the certificate or[,] license[, or approval] by paying to the
  board a fee equal to 1-1/2 times the required renewal fee. If a
  certificate or[,] license[, or approval] has been expired for more
  than 90 days but less than six months, the person may renew the
  certificate or[,] license[, or approval] by paying to the board a
  fee equal to two times the required renewal fee.
         (b)  A certificate or[,] license[, or approval] that is
  renewed under this section shall expire on the date that would apply
  had the certificate or[,] license[, or approval] been timely
  renewed.
         (c)  A person may not perform an appraisal in a federally
  related transaction while the person is not actively licensed or
  certified as an appraiser or an appraiser trainee.
         (d)  If a person's certificate or[,] license[, or approval]
  has been expired six months or longer, the person may not renew the
  certificate or[,] license[, or approval]. The person may obtain a
  new certificate or[,] license[, or approval] by complying with the
  requirements and procedures for an original application.
         SECTION 32.  Sections 1103.213(a), (b), (c), (d), and (f),
  Occupations Code, are amended to read as follows:
         (a)  The board may place on inactive status the certificate
  or license of a person who [an appraiser if the appraiser]:
               (1)  is not acting as an appraiser or an appraiser
  trainee;
               (2)  is not acting as a supervisory appraiser of
  [sponsoring] an appraiser trainee; and
               (3)  submits a written application to the board before
  the expiration date of the [appraiser's] certificate or license.
         (b)  The board may place on inactive status the certificate
  or license of an appraiser or an appraiser trainee whose
  certificate or license has expired if the person:
               (1)  [appraiser] applies for inactive status on a form
  prescribed by the board not later than the 180th day after [the
  first anniversary of] the expiration date of the [appraiser's]
  certificate or license; and
               (2)  meets the requirements of Section 1103.2111.
         (c)  A supervisory [An] appraiser applying for inactive
  status shall terminate the appraiser's association with each
  appraiser trainee supervised [sponsored] by the appraiser by giving
  written notice to each appraiser trainee before the 30th day
  preceding the date the appraiser applies for inactive status.
         (d)  An appraiser or an appraiser trainee on inactive status:
               (1)  may not perform any activity regulated under this
  chapter;
               (2)  must pay annual renewal fees; and
               (3)  is not required to pay the annual registry fee
  described by Section 1103.156(b).
         (f)  The board shall return [remove] an appraiser's
  certificate or license to active [from inactive] status if the
  appraiser:
               (1)  submits an application to the board;
               (2)  pays the required fee; [and]
               (3)  submits proof of complying with the cumulative
  continuing education requirements of Section 1103.211 during the
  period the license has been on inactive status;
               (4)  satisfies the board as to the person's honesty,
  trustworthiness, and integrity; and
               (5)  complies with the requirements of Sections
  1103.203 and 1103.2031 [two years preceding the date the
  application under Subdivision (1) is filed].
         SECTION 33.  Section 1103.252(b), Occupations Code, is
  amended to read as follows:
         (b)  The board or the testing service may collect an
  examination fee from an applicant for a certificate or license.
         SECTION 34.  Section 1103.253, Occupations Code, is amended
  to read as follows:
         Sec. 1103.253.  TIME AND PLACE OF EXAMINATION; NOTICE. The
  board or the testing service shall offer the examination at least
  once each month in Austin and at other locations and times as the
  board may determine or require.  The board shall provide public
  notice of all examinations on the board's Internet website
  [(a)  The examination must be offered at least twice each year.
         [(b)     The board shall determine the time and place of the
  examination.
         [(c)     The board shall give reasonable public notice of the
  examination in the manner provided by board rule.
         [(d)     The board may assign an examination date and site to an
  applicant. The assigned site must be the nearest examination site
  available to the applicant].
         SECTION 35.  Section 1103.255, Occupations Code, is amended
  to read as follows:
         Sec. 1103.255.  EXPERIENCE [NOT] REQUIRED BEFORE TAKING
  EXAMINATION. An applicant for the examination must [is not
  required to] fulfill the applicable experience requirement for a
  certificate or license before taking the examination.
         SECTION 36.  Sections 1103.257(a) and (b), Occupations Code,
  are amended to read as follows:
         (a)  Not later than the 10th [31st] day after the date a
  person takes an examination, the board or the testing service shall
  notify the person of the examination results. [If an examination is
  graded or reviewed by a national testing service, the board shall
  notify the person of the examination results not later than the 31st
  day after the date the board receives the results from the testing
  service.]
         (b)  If notice of the examination results will be delayed for
  more than 10 [90] days after the examination date, the board shall
  notify each examinee of the reason for the delay not later than the
  10th [90th] day.
         SECTION 37.  Section 1103.302, Occupations Code, is amended
  to read as follows:
         Sec. 1103.302.  REGISTRATION APPLICATION. A person may
  register with the board by:
               (1)  completing a registration form prescribed by the
  board; [and]
               (2)  meeting the requirements established under this
  chapter; and
               (3)  paying the required fee.
         SECTION 38.  Section 1103.303, Occupations Code, is amended
  to read as follows:
         Sec. 1103.303.  ELIGIBILITY REQUIREMENTS FOR REGISTRATION.
  A person is eligible to register with the board if:
               (1)  the certification and licensing program under
  which the person is certified or licensed by another state has not
  been disapproved by the Appraisal Subcommittee [Appraiser
  Qualifications Board]; and
               (2)  the person's appraisal business in this state does
  not exceed six months.
         SECTION 39.  Section 1103.351, Occupations Code, is amended
  to read as follows:
         Sec. 1103.351.  SUPERVISORY APPRAISER [SPONSOR]. (a)  The
  board may authorize a certified appraiser under this chapter to
  supervise [sponsor] an appraiser trainee if the certified appraiser
  meets the requirements of the board consistent with applicable
  federal law.
         (b)  An appraiser trainee may have more than one supervisory
  appraiser [sponsor].
         SECTION 40.  Section 1103.352, Occupations Code, is amended
  to read as follows:
         Sec. 1103.352.  APPLICATION FOR APPRAISER TRAINEE. An
  applicant for a license [approval] as an appraiser trainee and each
  supervisory appraiser [sponsor] of the applicant must apply to the
  board using the online application on the board's Internet website
  or on a form prescribed by the board.
         SECTION 41.  Section 1103.353, Occupations Code, is amended
  to read as follows:
         Sec. 1103.353.  ELIGIBILITY REQUIREMENTS FOR APPRAISER
  TRAINEE. To be eligible for a license [approval] as an appraiser
  trainee, an applicant must:
               (1)  be at least 18 years of age;
               (2)  be a citizen of the United States or a lawfully
  admitted alien;
               (3)  have been a resident of this state for the 60 days
  preceding the date the application is filed;
               (4)  satisfy the board as to the applicant's honesty,
  trustworthiness, and integrity; [and]
               (5)  comply with the requirements of Sections 1103.203
  and 1103.2031; and
               (6)  meet all other qualifications established by the
  board.
         SECTION 42.  Sections 1103.354(a) and (b), Occupations Code,
  are amended to read as follows:
         (a)  An appraiser trainee licensed [approved] by the board
  may perform an appraisal under the direction of a supervisory
  appraiser [sponsor or authorized supervisor of the trainee].
         (b)  The supervisory appraiser [sponsor or authorized
  supervisor] shall sign each report prepared by the appraiser
  trainee performing an appraisal under the direction of the
  supervisory appraiser [sponsor or authorized supervisor]. The
  supervisory appraiser [sponsor or authorized supervisor] is
  responsible to the public and to the board for the appraiser
  trainee's reports and conduct.
         SECTION 43.  Section 1103.355(a), Occupations Code, is
  amended to read as follows:
         (a)  The board may reprimand an appraiser trainee or suspend
  or revoke an appraiser trainee's license [authority] to act as an
  appraiser trainee for a violation of this chapter or a rule adopted
  under this subchapter.
         SECTION 44.  Section 1103.356, Occupations Code, is amended
  to read as follows:
         Sec. 1103.356.  RENEWAL OF APPRAISER TRAINEE LICENSE
  [APPROVAL]. A person may renew a license [an approval] as an
  appraiser trainee by:
               (1)  paying the renewal fee established by the board;
               (2)  providing evidence satisfactory to the board of
  completion of any required continuing education; and
               (3)  meeting any other renewal requirement established
  by the board.
         SECTION 45.  Section 1103.405, Occupations Code, is amended
  to read as follows:
         Sec. 1103.405.  PROFESSIONAL STANDARDS. A person who holds
  a [license,] certificate, license, or registration [approval]
  issued under this chapter shall comply with:
               (1)  the most current edition of the Uniform Standards
  of Professional Appraisal Practice adopted by the Appraisal
  Standards Board of the Appraisal Foundation; or
               (2)  other standards provided by board rule that are at
  least as stringent as the Uniform Standards of Professional
  Appraisal Practice.
         SECTION 46.  Section 1103.451, Occupations Code, is amended
  to read as follows:
         Sec. 1103.451.  INITIATION OF COMPLAINT PROCESS. (a)  Any
  person, including a member of the board, may initiate the complaint
  process under this subchapter by submitting to [filing with] the
  board a written allegation of a violation of this chapter
  [complaint] on a form prescribed by the board.
         (b)  The board, on its own motion, may file a formal
  complaint against:
               (1)  a certified or licensed appraiser, an appraiser
  trainee, or a registrant under Subchapter G; or
               (2)  [an appraiser trainee who is approved by the board
  under Subchapter H.
         [(c)     A complaint alleging that a certified or licensed
  appraiser or an approved appraiser trainee has violated a rule of
  professional conduct adopted by the board must be filed with the
  board.
         [(d)     The board, on its own motion, may file a formal
  complaint against] a person who engages in an activity for which a
  certificate or license is required under this chapter without
  holding a certificate or license.
         (c)  This subchapter and Subchapter K apply to a complaint
  filed under Subsection (b)(2) [this subsection] in the same manner
  as they apply to a complaint filed under Subsection (b)(1) [(b)].
         (d)  An investigation of an alleged [(e)     A complaint
  alleging a] violation by a person licensed or[,] certified[, or
  approved] under this chapter may not be terminated solely on the
  basis that the person fails to renew the certificate or[,]
  license[, or approval].
         (e)  The board may not conduct an investigation of a person
  certified, licensed, or registered under this chapter or Chapter
  1104 for an allegation of a violation submitted to the board later
  than the fourth anniversary of the date the alleged violation
  occurred.
         SECTION 47.  Section 1103.452, Occupations Code, is amended
  to read as follows:
         Sec. 1103.452.  REVIEW AND INVESTIGATION. (a)  The [On
  receipt of a complaint or on its own motion, the] board shall review
  and investigate an alleged act or omission that is the subject of an
  allegation submitted or a formal complaint filed under Section
  1103.451 [the board believes is a ground for disciplinary action].
         (b)  An investigator designated by the commissioner
  [presiding officer of the board] shall investigate each allegation
  or formal [in a] complaint [to determine whether probable cause
  exists for a hearing on the complaint].
         (c)  If the board determines at any time that an allegation
  or formal [a] complaint is inappropriate or without merit [does not
  present facts that are grounds for disciplinary action], the board
  or the commissioner shall dismiss the complaint and may not take
  further action.
         (d)  For purposes of Subsection (c), a determination that the
  allegation or complaint is inappropriate or without merit includes
  a determination that the allegation or complaint:
               (1)  is not within the board's jurisdiction;
               (2)  was made in bad faith or filed for the purpose of
  harassment or to gain a competitive or economic advantage; or
               (3)  lacks sufficient basis in fact or evidence.
         SECTION 48.  Section 1103.453(b), Occupations Code, is
  amended to read as follows:
         (b)  A peer investigative committee consists of two or more
  [three] certified or licensed appraisers. The presiding officer of
  the committee must be an appraiser member of the board. Each
  remaining committee member shall certify to the board that the
  member is familiar with the appraisal process in the appraisal that
  is the subject of the complaint.
         SECTION 49.  Section 1103.455(a), Occupations Code, is
  amended to read as follows:
         (a)  At the conclusion of the investigation of a complaint,
  the investigator shall prepare [submit to the board] a written
  report to enable the board to determine what further action is
  necessary.
         SECTION 50.  Section 1103.456, Occupations Code, is amended
  to read as follows:
         Sec. 1103.456.  ACTION BASED ON REPORT. Based on the report
  prepared [submitted] under Section 1103.455, the board may:
               (1)  order further investigation of the complaint;
               (2)  permit the appraiser or appraiser trainee who is
  the subject of the complaint to participate in a voluntary [attend
  an informal] discussion of the facts and circumstances of the
  alleged violation [as provided by Section 1103.457];
               (3)  determine that there is not probable cause to
  believe that a violation occurred and dismiss the case; or
               (4)  determine that there is probable cause to believe
  that a violation occurred and proceed as the complainant with a
  contested case hearing under Subchapter K.
         SECTION 51.  Section 1103.458, Occupations Code, is amended
  by amending Subsection (d) and adding Subsection (g) to read as
  follows:
         (d)  A board member who participates in negotiating a consent
  order under this section is [not] disqualified from participating
  in the adjudication of a contested case that results from the
  negotiation.
         (g)  An appraiser or appraiser trainee may be disciplined for
  failure to comply with a consent order.
         SECTION 52.  Section 1103.459(d), Occupations Code, is
  amended to read as follows:
         (d)  An appraiser or appraiser trainee may be disciplined
  [prosecuted] for failure to comply with a consent agreement.
         SECTION 53.  Section 1103.460, Occupations Code, is amended
  to read as follows:
         Sec. 1103.460.  CONFIDENTIALITY OF INVESTIGATION MATERIAL
  [PUBLIC AVAILABILITY OF FINAL DECISION].  (a)  Information or
  material, including any investigation file, is confidential and not
  subject to disclosure under Chapter 552, Government Code, or any
  other means of legal compulsion for release, including disclosure,
  discovery, or subpoena, if the information or material is prepared
  or compiled by the board in connection with a complaint,
  investigation, or audit of any person subject to the jurisdiction
  of the board.
         (b)  Notwithstanding Subsection (a), information or material
  prepared or compiled by the board in connection with a complaint,
  investigation, or audit may be disclosed:
               (1)  to the respondent;
               (2)  to a person providing a service to the board,
  including a peer investigative committee appointed under Section
  1103.453, an expert or other witness, or an investigator, if the
  information is necessary for preparation for, or a presentation in,
  a disciplinary proceeding against an applicant or license holder,
  or a subsequent trial or appeal taken from a disciplinary
  proceeding;
               (3)  to an entity in another jurisdiction that
  licenses, registers, credentials, or disciplines any person
  subject to the jurisdiction of the board;
               (4)  to a law enforcement agency;
               (5)  to the State Office of Administrative Hearings; or
               (6)  to the board, or a panel of the board, for use
  during any proceeding conducted by the State Office of
  Administrative Hearings or in a subsequent trial or appeal of a
  board action or order.
         (c)  The release of information under Subsection (b) is not a
  voluntary disclosure for purposes of Section 552.007, Government
  Code.
         (d)  The board may require a confidentiality agreement be
  signed by a person entitled to receive information under Subsection
  (b) before releasing the information.
         (e)  Notwithstanding Subsection (a), on the dismissal or
  final resolution of a complaint, investigation, or audit,
  information or material prepared or compiled by the board in
  connection with the complaint, investigation, or audit, including a
  completed audit report or a final order of the board, is subject to
  disclosure under Chapter 321 or 552, Government Code [A final
  decision of the board relating to a disciplinary action, including
  a consent order or consent agreement, may be provided to another
  state or made available to the public].
         SECTION 54.  Section 1103.519, Occupations Code, is amended
  to read as follows:
         Sec. 1103.519.  MOTION [APPLICATION] FOR REHEARING. (a)  A
  [Not later than the 20th day after the date a final decision is
  issued in a contested case, a] party may file a motion for rehearing
  [an application] with the board [for a rehearing]. The motion
  [application] must state:
               (1)  the specific grounds for rehearing; and
               (2)  the relief sought.
         (b)  A motion for rehearing filed under this section is
  governed by Chapter 2001, Government Code [The application is
  denied if the board does not grant it before the 20th day after the
  date the commissioner is served with the application].
         SECTION 55.  Section 1103.522, Occupations Code, is amended
  to read as follows:
         Sec. 1103.522.  WAITING PERIOD [REINSTATEMENT OF
  CERTIFICATE OR LICENSE].  A person whose certificate or license has
  been revoked, [or] a person who has surrendered a certificate or
  license issued by the board, or a person whose application for a
  certificate or license has been denied after a hearing under
  Section 1103.508 may not apply to the board for a certificate or
  license [reinstatement] until the second anniversary of the date of
  revocation, [or] surrender, or denial.
         SECTION 56.  Subchapter K, Chapter 1103, Occupations Code,
  is amended by adding Section 1103.523 to read as follows:
         Sec. 1103.523.  COST RECOVERY. The administrative law judge
  may award reasonable costs to the board on a request for and proof
  of the costs if the respondent fails to appear for the hearing under
  Section 1103.510, including any costs:
               (1)  charged by the State Office of Administrative
  Hearings; and
               (2)  related to the preparation for the hearing,
  including costs of discovery, depositions, subpoenas, service of
  process, witness expenses, travel expenses, and investigation
  expenses.
         SECTION 57.  Section 1103.552, Occupations Code, is amended
  by adding Subsection (c) to read as follows:
         (c)  Notwithstanding any other law, an administrative
  penalty collected under this section shall be deposited in a
  restricted fund maintained and operated by the board to develop
  educational programs for appraisers or conduct studies that enhance
  consumer protection.
         SECTION 58.  Subchapter L, Chapter 1103, Occupations Code,
  is amended by adding Section 1103.5525 to read as follows:
         Sec. 1103.5525.  CEASE AND DESIST ORDER. (a)  If it appears
  to the board that a person is violating this chapter, Chapter 1104,
  or a rule adopted under this chapter or Chapter 1104, the board,
  after notice and opportunity for a hearing, may issue a cease and
  desist order prohibiting the person from engaging in the activity.
         (b)  A violation of an order under this section constitutes
  grounds for imposing an administrative penalty under this chapter
  or Chapter 1104.
         SECTION 59.  The following provisions of the Occupations
  Code are repealed:
               (1)  Section 1103.005;
               (2)  Section 1103.2015; and
               (3)  Section 1103.457.
         SECTION 60.  (a)  Section 1103.055, Occupations Code, as
  amended by this Act, does not affect the terms of the members of the
  Texas Appraiser Licensing and Certification Board who are serving
  on the effective date of this Act. Members appointed to fill
  vacancies occurring on or after the effective date of this Act shall
  be appointed to serve staggered terms in accordance with that
  section.
         (b)  Section 1103.159, Occupations Code, as amended by this
  Act, does not affect the terms of the members of the advisory
  committee who are serving on the effective date of this Act. Not
  later than the 60th day after the effective date of this Act, the
  governor shall appoint the two new members of the advisory
  committee to serve staggered terms in accordance with that section.
         (c)  The changes in law made by this Act apply only to an
  application for a license or certificate submitted to the Texas
  Appraiser Licensing and Certification Board on or after the
  effective date of this Act. An application for a license or
  certificate submitted before that date is governed by the law in
  effect on the date the application was submitted, and the former law
  is continued in effect for that purpose.
         (d)  The changes in law made by this Act apply only to a
  disciplinary proceeding or a contested case hearing under Chapter
  1103, Occupations Code, for conduct that occurs on or after the
  effective date of this Act.  Conduct that occurs before the
  effective date of this Act is governed by the law in effect on the
  date the conduct occurred, and the former law is continued in effect
  for that purpose.
         SECTION 61.  This Act takes effect January 1, 2016.
 
 
 
 
 
 
  ______________________________ ______________________________
     President of the Senate Speaker of the House     
 
         I hereby certify that S.B. No. 1007 passed the Senate on
  April 21, 2015, by the following vote:  Yeas 28, Nays 2;
  May 28, 2015, Senate refused to concur in House amendment and
  requested appointment of Conference Committee; May 29, 2015, House
  granted request of the Senate; May 31, 2015, Senate adopted
  Conference Committee Report by the following vote:  Yeas 26,
  Nays 5.
 
 
  ______________________________
  Secretary of the Senate    
 
         I hereby certify that S.B. No. 1007 passed the House, with
  amendment, on May 24, 2015, by the following vote:  Yeas 109,
  Nays 33, two present not voting; May 29, 2015, House granted
  request of the Senate for appointment of Conference Committee;
  May 31, 2015, House adopted Conference Committee Report by the
  following vote:  Yeas 114, Nays 27, two present not voting.
 
 
  ______________________________
  Chief Clerk of the House   
 
 
 
  Approved:
 
  ______________________________ 
             Date
 
 
  ______________________________ 
            Governor