June 20, 2018
Ohio Enacts Law Establishing AMC Oversight and Certification
Ohio Gov. John Kasich on June 14 signed Substitute House Bill 213, legislation that establishes the state’s appraisal management company licensing and oversight program and makes minor changes to the state’s existing appraiser licensing and certification law.
AMCs currently operating in Ohio will not be required to register and otherwise comply with the law until six months after its June 14 effective date. That six-month period gives the Ohio Real Estate Appraiser Board time to promulgate several rules necessary to implement the program, including one on “presumptions of compliance with regard to customary and reasonable fees” that AMCs are required to pay to appraisers.
A provision of note: the law requires appraisers working for AMCs to include within the body of their appraisal report the license, certificate or registration number of the AMC that engaged their services. Additionally, appraisers working for AMCs are required to include within the body of the appraisal report the “actual fees paid to the appraiser.”
The law is mostly consistent with the federal Minimum Requirements for Appraisal Management Companies as promulgated by the federal bank regulatory agencies, as well as the Appraisal Institute’s Appraisal Management Company Model Registration Act. However, the law is applicable to all entities providing residential appraisal management services in Ohio and does not exempt entities with fewer than 15 independent in-state contractor appraisers on their appraiser panel.
Ohio is the 48th state to enact an AMC law. Similar laws are pending in New York and Massachusetts. Washington, D.C., and four U.S. territories opted out of adopting AMC laws.
Read more about HB 213.