Oklahoma Insurance Department - CHAPTER 10. LICENSURE AND CERTIFICATION REQUIREMENTS

TITLE 600. REAL ESTATE APPRAISER BOARD

CHAPTER 10. LICENSURE AND CERTIFICATION REQUIREMENTS

Edition effective: July 14, 2008

Section

600:10-1-1. Purpose

600:10-1-2. Definitions

600:10-1-3. Licensed appraiser and certified residential appraiser classification [REVOKED]

600:10-1-4. Examination

600:10-1-5. Qualifying education prerequisites

600:10-1-6. Experience prerequisite

600:10-1-7. Continuing education

600:10-1-8. Course approval requirements

600:10-1-9. Address change

600:10-1-10. Standards of practice

600:10-1-11. Severability provision

600:10-1-12. Inactive status – annual fee payment

600:10-1-13. Renewals

600:10-1-14. Reinstatement of license or certification

600:10-1-15. Scope of Practice

600:10-1-16. Supervision of Trainee Appraisers

600:10-1-17. Application for Upgrade

[Authority: 59 O.S. § 858-706(A)]
[Source: Codified 5-15-92]

600:10-1-1. Purpose

The purpose of this chapter is to define the qualifying education, experience, and examination prerequisites necessary to obtain a real estate appraiser license or certification and continuing education requirements to maintain the license or certification.

[Source: Added at 8 OK Reg 983, eff 3-14-91 (emergency); Added at 9 OK Reg 1653, eff 5-15-92; Amended at 10 OK Reg 1539, eff 5-1-93]

600:10-1-2. Definitions

The following words or terms, when used in this Chapter, shall have the following meaning, unless the context clearly indicates otherwise:

"Board" means the Oklahoma Real Estate Appraiser Board.

"Certificates of course completion" means a document acceptable to the Board which signifies satisfactory completion of the course and reflects the hours of credit earned.

"Classroom hour" is equal to fifty (50) minutes out of each sixty (60) minute segment.

"Continuing education" means education that is creditable toward the education requirements that must be satisfied to renew licensure or certification as a Trainee, State Licensed Appraiser, State Certified Residential Appraiser, and State Certified General Appraiser.

"Instructor" means a person who meets the qualifications as set out at Section 10-1-8(a)(6).

"Provider" means a person, corporation, professional association or its local affiliates, or any other entity which is approved by the Board and provides approved qualifying and continuing education to real estate appraisers.

"Qualifying education" means education that is creditable toward the education requirements for initial licensure or certification or upgrade of existing licensure or certification under one or more of the four real estate appraiser classifications (Trainee Appraiser, State Licensed Appraiser, State Certified Residential Appraiser, and State Certified General Appraiser).

"Standards of professional appraisal practice" as referred to in the Oklahoma Certified Real Estate Appraisers Act, 59 O.S. §§858-700 et seq. means the Uniform Standards of Professional Appraisal Practice.

"State Certified General Appraiser"means a person who meets the requirements for certification pursuant to 59 O.S. § 858-710.

"State Certified Residential Appraiser" means a person who meets the requirements for certification pursuant to 59 O.S. § 858-710.

"State Licensed Appraiser" means a person who meets the requirements for certification pursuant to 59 O.S. § 858-710.

"Trainee Appraiser" means a person who meets the requirements for certification pursuant to 59 O.S. § 858-710.

"Uniform standards" means the Uniform Standards of Professional Appraisal Practice, as authorized by the Appraisal Subcommittee pursuant to the Financial Institutions Reform, Recovery, and Enforcement Act of 1989, which are the standards rules that meet the minimum requirements adopted by the Appraisal Foundation, and which are incorporated by reference.

[Source: Added at 8 OK Reg 983, eff 3-14-91 (emergency); Added at 9 OK Reg 1653, eff 5-15-92; Amended at 10 OK Reg 1539, eff 5-1-93; Amended at 19 OK Reg 1489 eff 7-14-02; Amended at 22 OK Reg 1503 eff 7-14-05]

600:10-1-3. Licensed Appraiser and Certified Residential Appraiser Classification [REVOKED]

[Source: Added at 8 OK Reg 983, eff 3-14-91 (emergency); Added at 9 OK Reg 1653, eff 5-15-92; Revoked at 10 OK Reg 1539, eff 5-1-93]

600:10-1-4. Examination

(a) To be certified as a State Licensed Appraiser, State Certified Residential Appraiser or State Certified General Appraiser the applicant must pass the examination that is appropriate for the applicable classification or certificate.

(b) Prior to taking the appraiser examination, an individual must make application for Trainee, State Licensed, State Certified Residential or State Certified General Appraiser and shall satisfy all licensing and certification requirements as set forth by the Appraiser Qualification Criteria promulgated by the Appraiser Qualification Board of the Appraisal Foundation, which are incorporated by reference.

(c) Applicants for State Licensed, State Certified Residential and State Certified General Appraiser must complete the required hours in both education and experience before making application to take the appraiser examination.

(d) If requirements are satisfactorily met by applicants for State Licensed Appraiser, State Certified Residential Appraiser or State Certified General Appraiser, notification shall be sent to the applicant allowing that applicant to take the examination on the next available test date.

(e) There shall be no examination required to be certified as a Trainee Appraiser; however, applicants for Trainee Appraiser must provide the identification of a qualified supervisory appraiser in the manner described by 600:10-1-16(a).

[Source: Added at 8 OK Reg 983, eff 3-14-91 (emergency); Added at 9 OK Reg 1653, eff 5-15-92; Amended at 10 OK Reg 1539, eff 5-1-93; Amended at 12 OK Reg 1807, eff 7-1-95; Amended at 13 OK Reg 3517, eff 9-1-96; Amended at 19 OK Reg 1489 eff 7-14-02; Amended at 22 OK Reg 1503 eff 7-14-05; Amended eff 11-1-06 emergency]; Amended at 24 OK Reg 2316 eff 7-14-07]

600:10-1-5. Qualifying education prerequisites

Classroom hours shall be approved by the Board pursuant to the guidelines set forth in the Appraiser Qualification Criteria promulgated by the Appraiser Qualifications Board of the Appraisal Foundation. Copies of official transcripts of college records or certificates of course completion will be considered as satisfactory evidence for qualifying education requirements.

600:10-1-6. Experience prerequisite

(a) An original certification as a State Licensed Appraiser, State Certified Residential Appraiser or State Certified General Appraiser shall not be issued to any person who does not possess the minimum experience criteria set forth by the Appraiser Qualifications Board of the Appraisal Foundation provided any state licensed appraiser who becomes state licensed prior to July 1, 2001, shall not be required to attain the minimum requirements of experience promulgated by the Appraiser Qualifications Board to maintain certification as a state licensed appraiser.

(b) Applications for certification as a State Licensed Appraiser or State Certified Residential Appraiser must be accompanied by a One Hundred Fifty Dollar ($150.00) non-refundable application fee. Applications for certification as a State Certified General Appraiser must be accompanied by a Two Hundred Twenty Five Dollar ($225.00) non-refundable application fee.

(c) Experience credit shall be allowed in accordance with the guidelines set forth by the Appraiser Qualification Criteria promulgated by the Appraiser Qualifications Board of the Appraisal Foundation.

(d) Each applicant for certification shall furnish under oath on forms prescribed by the Board a detailed listing of the real estate appraisal reports or file memoranda for each year for which experience is claimed by the applicant.

(e) Applicants for the State Licensed, State Certified Residential, or State Certified General classifications are required to submit, in addition to the approved application form, properly completed experience log forms according to the basic form approved by the Board. Additionally, applicants for either the State Licensed, State Certified Residential, or State Certified General classifications shall submit the following:

(1) A letter of verification from a third party (or parties, i.e., employer, appraiser supervisor, etc.) stating and confirming direct knowledge that the applicant has achieved the stated hours of real estate appraisal experience, and

(2) Copies of at least three actual written real estate appraisal reports that exemplify the type of appraisal work experience that credit is being applied for. Reports submitted must be self-contained or summary reports of appraisals. Applicants for Certified General Appraiser must submit reports of at least two non-residential appraisals.

[Source: Added at 8 OK Reg 983, eff 3-14-91 (emergency); Added at 9 OK Reg 1653, eff 5-15-92; Amended at 10 OK Reg 1539, eff 5-1-93; Amended at 11 OK Reg 1883, eff 5-15-94; Amended at 12 OK Reg 1807, eff 7-1-95; Amended at 19 OK Reg 1489 eff 7-14-02; Amended eff 11-1-06 emergency; Amended at 24 OK Reg 2316 eff 7-14-07]

600:10-1-7. Continuing education

(a) All Trainee, State Licensed, State Certified Residential and State Certified General Appraisers shall complete the minimum classroom hours set forth in the Appraiser Qualification promulgated by the Appraiser Qualifications Board of the Appraisal Foundation for the three (3) year period preceding renewal. These hours may be obtained any time during the three year term which concludes on the expiration date printed on the certificate.

(b) Copies of official transcripts of college records or certificates of course completion will be considered as satisfactory evidence for continuing education requirements.

(c) Up to one-half the required hours of continuing education may be Board-approved courses offered by distance education as defined by the Appraiser Qualification Criteria of the Appraiser Qualifications Board of the Appraisal Foundation.

(d) As a part of the continuing education requirement, all Trainee, State Licensed, State Certified Residential and State Certified General Appraisers must successfully complete the seven (7) hour National USPAP Update Course, or an approved equivalent, every two calendar years, commencing on January 1, 2005.

[Source: Added at 8 OK Reg 983, eff 3-14-91 (emergency); Added at 9 OK Reg 1653, eff 5-15-92; Amended at 10 OK Reg 1539, eff 5-1-93; Amended at 12 OK Reg 1807, eff 7-1-95; Amended at 19 OK Reg 1489 eff 7-14-02; Amended at 23 OK Reg 1110, eff 7-14-06]

600:10-1-8. Course approval requirements

(a) Any person or entity seeking to conduct an approved course for qualifying or continuing education credits shall make application and submit documents, statements and forms as may reasonably be required by the Board. All providers shall provide to the Board:

(1) Name and address of the provider;

(2) Contact person and his or her address and telephone number;

(3) The location of the courses or programs, if known;

(4) The number and type of education credit hours requested for each course;

(5) Topic outlines which list the summarized topics covered in each course and upon request, a copy of any course materials. If a prior approved course has substantially changed, a summarization of those changes.

(6) The names and qualifications of instructors. An instructor shall have a minimum of one (1) of the following qualifications:

(A) A baccalaureate degree in any field and three (3) years of experience directly related to the subject matter to be taught; a masters degree in any field and one (1) year of experience directly related to the subject matter to be taught; a masters or higher degree in a field that is directly related to the subject matter to be taught; five (5) years of real estate appraisal teaching experience directly related to the subject matter to be taught; seven (7) years of real estate appraisal experience directly related to the subject matter to be taught; or(B) Possess other educational, teaching, or professional qualifications determined by the Board to constitute an equivalent to one or more of the qualifications in the previously stated paragraphs (A), (B), or (C) of this paragraph.

(b) Approval of courses and instructors shall be for a three year period. Courses and instructors may be renewed for an additional period on application to the Board.

(c) Applications for course approvals and instructor approvals shall be accompanied by application fees as provided for below:

(1) Applications for approval of qualifying education courses that have not been approved by the Course Approval Program of the Appraiser Qualifications Board must be accompanied by a Two Hundred Dollar ($200.00) non-refundable application fee.

(2) Applications for approval of qualifying education courses that have been approved by the Course Approval Program of the Appraiser Qualifications Board must be accompanied by a Fifty Dollar ($50.00) non-refundable application fee.

(3) Applications for approval of continuing education courses that have not been approved by the Course Approval Program of the Appraiser Qualifications Board must be accompanied by a Fifty Dollar ($50.00) non-refundable application fee.

(4) Applications for approval of continuing education courses that have been approved by the Course Approval Program of the Appraiser Qualifications Board must be accompanied by a Twenty Dollar ($20.00) non-refundable application fee.

(5) Applications for approval of instructors shall be accompanied by a Fifty Dollar ($50.00) non-refundable application fee.

(6) Applications for renewal of any course or instructor shall be accompanied by a Twenty Dollar ($20.00) non-refundable application fee.

(d) Course providers shall provide written notice of date, time, place, and title of courses to be presented not less than seven (7) days in advance of the beginning date of the course. Courses presented shall be subject to unannounced compliance inspection by a representative of the Board.

(e) In addition to accepting courses approved as described in this section, qualifying and continuing education credits may be granted to an individual in such case that said individual supplies acceptable documentation showing that the offering meets applicable Board requirements for the category of credit applied for, including proof that said individual attended and successfully completed the offering. Said individual shall make application and submit documents, statements and forms as may reasonably be required by the Board.

(1) Applications by individuals for qualifying or continuing education credits must be submitted on a form prescribed by the Board at least seven (7) days in advance of the beginning date of the course except as provided in 600:10-1-8(e)(3) below and must be accompanied by a non-refundable application fee of $50.00.

(2) All applications shall include:

(A) Name and address of the provider;

(B) Contact person and his or her address and telephone number;

(D) Time schedule (brochure, course outline, course description);

(E) Total minutes of instruction, not including breaks, meals or introductions

(F) Faculty name(s) and credentials (if not in brochure or description);

(G) The number and type of education credit hours requested for each course;

(H) Credit will not be finally approved until the Board receives a certificate of course completion or equivalent proof that said individual attended and successfully completed the course. The Board may also request additional information, including, but not limited to, a copy of the complete set of course materials, before finally approving credit.

(3) Applications by individuals for qualifying or continuing education credits not submitted at least seven (7) days in advance of the beginning date of the course must be submitted no later than sixty (60) days after the ending date of the course and must be accompanied by a non-refundable application fee of $50.00. In addition to the requirements in OAC 600:10-1-8(e)(2) above, applications submitted pursuant to this subsection must include:

(A) Whether there has been approval by another Oklahoma state agency, agency of another state, or federal agency, and hours of credit approved by any such agency(ies);

(B) A specific statement detailing the manner in which each hour and/or topic of instruction of the course satisfies the standards of the Appraisal Qualifications Board regarding acceptable continuing or qualifying education;

(D) A certificate of course completion or equivalent proof that said individual attended and successfully completed the course.

(f) The Board may automatically accept without further review, courses pre-approved by the Appraiser Qualifications Board of the Appraisal Foundation.

(g) The Board may withhold or withdraw approval of any provider for violation of or non-compliance with any provision of this chapter.

(h) No person or entity sponsoring, conducting, or teaching a course of study shall advertise that it is endorsed, recommended or accredited by the Board. Such person or entity may indicate that a course of study has been approved by the Board if that course of study has been pre-approved by the Board before it is advertised or held. Any such statement regarding Board approval shall specify the number of classroom hours approved, and whether the course is approved for qualifying education hours, continuing education hours, or both.

(i) At the completion of each course, the provider shall provide to the Board a list of all licensees and those attending qualifying courses who completed the course on a Course Completion Form approved by the Board.

(j) Providers shall maintain course records for at least five (5) years. The Board may order an examination of a provider for good cause shown.

[Source: Added at 8 OK Reg 983, eff 3-14-91 (emergency); Added at 9 OK Reg 1653, eff 5-15-92; Amended at 10 OK Reg 1539, eff 5-1-93; Amended at 19 OK Reg 1489 eff 7-14-02; Amended at 23 OK Reg 1110, eff 7-14-06; Amended eff 11-1-06, emergency; Amended at 24 OK Reg 2316 eff 7-14-07; Amended at 25 OK Reg 1431, eff 7-14-08]

600:10-1-9. Address Change

It is the responsibility of each applicant and each Trainee, State Licensed, State Certified Residential and State Certified General Real Estate Appraiser to notify the Board of a change of business address, residence address, or mailing address. Change of address notification shall be made, in writing, by mail, fax or e-mail, within ten (10) days of the change of address. Failure to do so may result in administrative action against the appraiser.

600:10-1-10. Standards of practice

The standards of practice governing real estate appraisal activities will be the Uniform Standards of Professional Appraisal Practice as promulgated by the Appraisal Standards Board of the Appraisal Foundation.

[Source: Added at 8 OK Reg 983, eff 3-14-91 (emergency); Added at 9 OK Reg 1653, eff 5-15-92]

600:10-1-11. Severability provision

If any provision of this chapter, or application of such provision to any person or circumstances, shall be held invalid, the remainder of the chapter, and the application of such provision to persons or circumstances other than those as to which it is held invalid, shall not be affected thereby.

[Source: Added at 8 OK Reg 983, eff 3-14-91 (emergency); Added at 9 OK Reg 1653, eff 5-15-92]

600:10-1-12. Inactive status – annual fee payment

(a) If an appraiser no longer wishes to pay the annual fee payment and registry fee to retain the license or certification, prior to the expiration date printed on the certificate, the appraiser must surrender his/her license or certification by returning his/her certificate and pocket card to the Oklahoma Real Estate Appraiser Board.

(b) If an appraiser wishes to reinstate a surrendered credential, the appraiser may do so by applying for reinstatement, remitting any required fees, and complying with any applicable continuing education requirements as set forth in 600:10-1-14.

[Source: Added at 13 OK Reg 3517, eff 9-1-96; Amended at 19 OK Reg 1489 eff 7-14-02; Amended at 25 OK Reg 1421, eff 7-14-08]

600:10-1-13. Renewals

At the end of the license/certification cycle, the license or certification of an appraiser who does not renew will automatically terminate upon the expiration date.

[Source: Added at 13 OK Reg 3517, eff 9-1-96; Amended at 19 OK Reg 1489 eff 7-14-02]

600:10-1-14. Reinstatement of license or certification

(a) An appraiser may reactivate his/her license or certification within ninety (90) days following its expiration date by paying required fees in addition to a late fee. With the application for a renewal, the trainee, the state licensed, state certified residential or state certified general real estate appraiser shall present evidence of having completed the continuing education requirements for renewal.

(b) Ninety-one (91) days to twenty-four (24) months after expiration, an appraiser may reinstate his/her license or certification, upon approval by the Oklahoma Real Estate Appraisal Board, by applying for reinstatement of licensure or certification, paying the annual fee, registry fee and a reinstatement fee. In addition, the appraiser must complete the continuing education requirements for renewal and the continuing education requirements for reinstatement as described by the Appraiser Qualification Criteria promulgated by the Appraiser Qualification Board of The Appraisal Foundation.

(c) Once an appraiser has been expired for twenty-four (24) months, he/she must re-apply by completing Board education, experience and testing requirements in addition to paying all applicable fees.

[Source: Added at 13 OK Reg 3517, eff 9-1-96; Amended at 19 OK Reg 1489 eff 7-14-02; Amended at 25 OK Reg 1431, eff 7-14-08]

600:10-1-15. Scope of practice.

The authorized scope of practice for Trainee, State Licensed, State Certified Residential and State Certified General Appraisers shall be the scope of practice specified by the corresponding section of the Real Property Appraiser Qualification Criteria promulgated by the Appraiser Qualification Board of the Appraisal Foundation. For the purpose of scope of practice considerations, a complex residential property is defined as a property consisting of one to four residential units that exhibits one or more atypical factors such as size, design characteristics, locational characteristics, physical condition characteristics, or ownership; or exhibits non-conforming zoning, landmark or historical place designation, lack of appraisal data or other similar unusual or atypical factors.

[Source: Added at 19 OK Reg 1489 eff 7-14-02]

600:10-1-16. Supervision of trainee appraisers.

(a) Trainee Appraisers shall report to the Board, on a form prescribed by the Board, the identity of any supervisory appraiser. Trainee Appraisers may have more than one supervisory appraiser. When a Trainee Appraiser has more than one supervisory appraiser, each shall be reported to the Board as indicated above.

(1) The supervisor-trainee relationship shall become effective on the date of receipt of the original required form with original signatures in the administrative office of the Board.

(2) A supervisory appraiser shall notify the Board in writing immediately when supervision of a Trainee Appraiser has been terminated by the supervisory appraiser or the Trainee Appraiser.

(b) Trainee Appraisers shall maintain an appraisal log on a form prescribed by the Board. Separate appraisal logs shall be maintained for work performed with each supervisory appraiser. This appraisal log shall record the following information:

(1) Client name and date of report,

(2) Address or legal description of the real property appraised,

(3) Description of the work performed by the trainee appraiser and the scope of review and supervision of the supervisory appraiser,

(4) Number of actual hours worked,

(5) Type of property appraised,

(6) Form number or description of report rendered, and

(7) The signature and state certificate number of the supervisory appraiser.

(1) a properly completed trainee-supervisory report form is on file in the administrative office of the Board, and

(2) the Trainee Appraiser either signs the certification required by Standards Rule 2-3 of the Uniform Standards of Professional Appraisal Practice, or the supervisory appraiser gives credit to the Trainee Appraiser in the certification and complies with the requirements of Standards Rule 2-2(a)(vii), 2-2(b)(vii), or 2-2(c)(vii) as applicable.

(d) Both supervisory and trainee appraisers shall maintain complete workfiles as required by the Uniform Standards of Professional Appraisal Practice and the Oklahoma Certified Real Estate Appraisers Act.

(e) A supervisory appraiser shall meet the following requirements:

(1) have been a State Licensed or Certified Appraiser for a period of at least three (3) years;

(2) be a State Certified General Appraiser, State Certified Residential Appraiser, or State Licensed under AQB Criteria Appraiser on a credential issued by the Oklahoma Real Estate Appraiser Board, provided however, that trainee-supervisor relationships between State Licensed under AQB Criteria Appraisers shall only be permissible until January 1, 2008;

(3) be in good standing with the Board and not subject to any disciplinary action within the last two years that affects the supervisor’s legal eligibility to engage in appraisal practice; and

(4) accept responsibility for training, guidance, and direct supervision of the Trainee Appraiser by signing the form referenced in (a), above.

(f) A supervisory appraiser shall:

(1) accept responsibility for a Trainee Appraiser’s appraisal reports by signing each report and certifying that the report is in compliance with the Uniform Standards of Professional Appraisal Practice, and

(2) personally inspect each appraised property with the Trainee Appraiser until the supervisory appraiser determines that the Trainee Appraiser is competent, in accordance with the Competency Rule of the Uniform Standards of Professional Appraisal Practice, for the property type.

(g) Prior to assuming duties as a supervisory appraiser, an appraiser who has been disciplined by the Board must receive approval from the Board.

(i) A supervisory appraiser may assume responsibility for more than three Trainee Appraisers under the following terms and conditions:

(1) The supervisor must apply for authority to supervise more than three Trainee Appraisers with the Board on forms approved by the Board for this purpose. This approval shall extend to the supervisor or supervisors, the facility and the training plan. Any approval issued hereunder shall specify a maximum number of trainees authorized.

(2) The supervisor must specify the location of the facility to be used for this purpose, which may not be a residence. The facility must have posted hours, approved by the Board, during which the facility will be open and a qualified supervisor present. During the operating hours, the facility and all records specified herein shall be subject to unannounced compliance inspection by a representative of the Board.

(3) The supervisor must prepare a training plan, based on the Core Curriculum and the Real Property Appraiser Body of Knowledge promulgated by the Appraiser Qualification Board of The Appraisal Foundation, appropriate to the level of licensure to which the trainee aspires and for which the supervisor is qualified. This training plan should, as a minimum, include learning objectives for the experience to be gained, a planned time line for further qualifying and continuing education required to bring the trainee to a fully qualified status, and a checklist for monitoring progress by the trainee toward meeting these objectives.

(4) Records maintained in the training facility must include the training plan, an appraisal log, a workfile for each appraisal assignment, and a progress checklist, each maintained on a contemporaneous basis, for each Trainee Appraiser. In addition, appropriate reference materials should be on hand, which must include the current edition of the USPAP.

(5) Approval of any supervisor or supervisors under this paragraph may be conditioned upon an interview of such supervisors by a representative of the Board.

Trainee-supervisor relationships existing as of July 13, 2005 that do not otherwise qualify under this paragraph shall remain permissible until January 1, 2008.

[Source: Added at 19 OK Reg 1489 eff 7-14-02; Amended at 22 OK Reg 1503 eff 7-14-05; Amended at 23 OK Reg 1110, eff 7-14-06; Amended eff 11-1-06 emergency; amended at 24 OK Reg 2316 eff 7-14-07]

600:10-1-17 Application for upgrade.

Should an appraiser applying for upgrade of an existing licensure status to a higher status have an active complaint in the disciplinary process, the application for upgrade shall be held in abeyance until such time as the disciplinary process is concluded.

[Source: Added at 19 OK Reg 1489 eff 7-14-02]