Appraisal Fee Transparency Act of 2019

IIB 116TH CONGRESS 1ST SESSION H. R. 3619 IN THE SENATE OF THE UNITED STATES SEPTEMBER 23, 2019 Received; read twice and referred to the Committee on Banking, Housing, and Urban Affairs AN ACT To amend the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 to provide the Appraisal Sub- committee with the authority to modify annual registry fees for appraisal management companies, to maintain a registry of trainees and charge a lower trainee registry fee, and to allow grants to States to assist appraiser and potential appraiser compliance with the Real Prop- erty Appraiser Qualification Criteria, and for other pur- poses. VerDate Sep 11 2014 03:13 Sep 24, 2019 Jkt 089200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6652 E:\BILLS\H3619.RFS H3619 kjohnson on DSK79L0C42 with BILLS 2 HR 3619 RFS Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Appraisal Fee Trans- 4 parency Act of 2019’’. 5 SEC. 2. ANNUAL REGISTRY FEES FOR APPRAISAL MANAGE- 6 MENT COMPANIES. 7 Subparagraph (B) of section 1109(a)(4) of the Fi- 8 nancial Institutions Reform, Recovery, and Enforcement 9 Act of 1989 (12 U.S.C. 3338(a)(4)(B)) is amended— 10 (1) in clause (ii), by striking the period at the 11 end and inserting a semicolon; and 12 (2) by inserting after and below clause (ii) the 13 following: 14 ‘‘except that if the Appraisal Subcommittee de- 15 termines that the fees established under clause 16 (i) or (ii) result in adverse consequences or are 17 otherwise not appropriately tailored to meet the 18 goals of this paragraph, the Appraisal Sub- 19 committee may establish a new formula for 20 fees, which new formula may not take effect 21 until the Appraisal Subcommittee submits a re- 22 port to the Congress justifying its decision to 23 establish such a new formula, setting forth the 24 VerDate Sep 11 2014 03:13 Sep 24, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H3619.RFS H3619 kjohnson on DSK79L0C42 with BILLS 3 HR 3619 RFS new formula, and explaining how the new for- 1 mula will affect such fees.’’. 2 SEC. 3. TRAINEE APPRAISERS. 3 (a) MAINTENANCE ON NATIONAL REGISTRY.—Para- 4 graph (3) of section 1103(a) of the Financial Institutions 5 Reform, Recovery, and Enforcement Act of 1989 (12 6 U.S.C. 3332(a)(3)) is amended by striking ‘‘and licensed’’ 7 and inserting ‘‘, licensed, and trainee’’. 8 (b) ANNUAL REGISTRY FEES.—Subparagraph (A) of 9 section 1109(a)(4) of the Financial Institutions Reform, 10 Recovery, and Enforcement Act of 1989 (12 U.S.C. 11 3338(a)(4)(A)) is amended— 12 (1) by inserting ‘‘including trainee appraisers,’’ 13 after ‘‘transactions,’’; 14 (2) by inserting ‘‘except that the Appraisal Sub- 15 committee may, in its discretion, charge a fee for 16 trainee appraisers not exceeding $20’’ after ‘‘$40,’’; 17 and 18 (3) by inserting before the semicolon the fol- 19 lowing: ‘‘; except that nothing in this subparagraph 20 may be construed to require a State to establish or 21 operate an program for trainee appraisers’’. 22 (c) DEFINITION.—Section 1121 of the Financial In- 23 stitutions Reform, Recovery, and Enforcement Act of 24 VerDate Sep 11 2014 03:13 Sep 24, 2019 Jkt 089200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H3619.RFS H3619 kjohnson on DSK79L0C42 with BILLS 4 HR 3619 RFS 1989 (12 U.S.C. 3350) is amended by adding at the end 1 the following new paragraph: 2 ‘‘(12) TRAINEE APPRAISER.—The term ‘trainee 3 appraiser’ means an individual who meets the min- 4 imum criteria established by the Appraiser Qualifica- 5 tion Board for a trainee appraiser license and is 6 credentialed by a State appraiser certifying and li- 7 censing agency.’’. 8 SEC. 4. GRANTS TO NONPROFITS AND INSTITUTIONS OF 9 HIGHER EDUCATION FOR COMPLIANCE EF- 10 FORTS. 11 Paragraph (5) of section 1109(b) of the Financial In- 12 stitutions Reform, Recovery, and Enforcement Act of 13 1989 (12 U.S.C. 3338(b)(5)) is amended by inserting 14 ‘‘nonprofit organizations, and institutions of higher edu- 15 cation’’ after ‘‘licensing agencies,’’. 16 SEC. 5. REQUIREMENT TO DISCLOSE APPRAISAL FEES. 17 Section 4(c) of the Real Estate Settlement Proce- 18 dures Act of 1974 (12 U.S.C. 2603(c)) is amended by 19 striking ‘‘may’’ and inserting ‘‘shall’’. 20 SEC. 6. INCLUSION OF DESIGNEE OF SECRETARY OF VET- 21 ERANS AFFAIRS ON APPRAISAL SUB- 22 COMMITTEE. 23 The first sentence of section 1011 of the Federal Fi- 24 nancial Institutions Examination Council Act of 1978 (12 25 VerDate Sep 11 2014 03:13 Sep 24, 2019 Jkt 089200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H3619.RFS H3619 kjohnson on DSK79L0C42 with BILLS 5 HR 3619 RFS U.S.C. 3310) is amended by inserting ‘‘the Department 1 of Veterans Affairs,’’ after ‘‘Protection,’’. 2 SEC. 7. DETERMINATION OF BUDGETARY EFFECTS. 3 The budgetary effects of this Act, for the purpose of 4 complying with the Statutory Pay-As-You-Go Act of 2010, 5 shall be determined by reference to the latest statement 6 titled ‘‘Budgetary Effects of PAYGO Legislation’’ for this 7 Act, submitted for printing in the Congressional Record 8 by the Chairman of the House Budget Committee, pro- 9 vided that such statement has been submitted prior to the 10 vote on passage. 11 Passed the House of Representatives September 19, 2019. Attest: CHERYL L. JOHNSON, Clerk. VerDate Sep 11 2014 03:13 Sep 24, 2019 Jkt 089200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H3619.RFS H3619 kjohnson on DSK79L0C42 with BILLS