2017 Rhode Island General Laws
Title 5 - Businesses and Professions
Chapter 5-20.9 - Real Estate Appraisal Management Company Registration Act [Effective July 1, 2018]
Section 5-20.9-4 - Requirements for registration. [Effective July 1, 2018.].

§ 5-20.9-4. Requirements for registration. [Effective July 1, 2018.].

(a) Appraisal management companies shall provide the following information upon registration:

(1) Name and contact information of the entity seeking registration;

(2) Name and contact information of the controlling person for the entity;

(3) If the entity is not a corporation domiciled in this state, the name and contact information for the company's agent for service of process in this state; and

(4) Name, address, and contact information for any individual or any corporation, partnership, or other business entity who or that owns 10% or more of the appraisal management company.

(b) Contact information shall include the entity's business and mailing address, telephone number, facsimile number, and electronic mail (email) address.

(c) An appraisal management company shall certify that the following is true upon its initial registration and upon each renewal of its registration:

(1) The registered entity has a system and process in place to verify that a person being added to the appraiser panel of the appraisal management company holds a certification or license in good standing in this state to perform appraisals;

(2) The registered entity has a system in place to periodically perform a quality assurance review of the work of independent fee appraisers who or that are performing real estate appraisal services on its behalf to ensure that appraisal services are being conducted in accordance with USPAP; and

(3) The registered entity maintains a detailed record of each service request that it receives for five (5) years.

(4) The registered entity maintains a system to assure that the appraiser selected for an appraisal assignment is independent of the transaction and has the requisite education, expertise, and experience necessary to competently complete the appraisal assignment for the particular market and property type.

(5) The registered entity will have a system in place to ensure that real estate appraisal services are provided independently and free from inappropriate influence and coercion under the appraisal independence standards established under § 129E of the Truth in Lending Act, 15 U.S.C. § 1639e, including the requirement that independent fee appraisers be compensated at a customary and reasonable rate when the appraisal management company is providing services for a consumer credit transaction secured by the principal dwelling of a consumer.

(d) A person, who, directly or indirectly owns more than ten percent (10%) of an applicant, or any officer, controlling person, employee in charge, or managing principal of an applicant, shall furnish to the department authorization for a state or national criminal history background check. An appraisal management company that has an owner of more than ten percent (10%), directly or indirectly, or any officer, controlling person, employee in charge, or managing principal, who has had a license or certificate to act as an appraiser or to engage in any activity related to the transfer of real property refused, denied, canceled, or revoked in this state or in any other state, whether on a temporary or permanent basis or, who is not of good moral character as determined by the director, shall not be eligible for licensure.

History of Section.
(P.L. 2017, ch. 14, § 1; P.L. 2017, ch. 26, § 1.)