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Public Act 098-0933 | ||||
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AN ACT concerning regulation.
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Be it enacted by the People of the State of Illinois,
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represented in the General Assembly:
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Section 5. The Real Estate Appraiser Licensing Act of 2002 | ||||
is amended by changing Section 5-5 as follows:
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(225 ILCS 458/5-5)
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(Section scheduled to be repealed on January 1, 2022)
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Sec. 5-5. Necessity of license; use of title; exemptions.
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(a) It
is unlawful for a person to (i) act, offer services, | ||||
or advertise services
as a State certified general real estate
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appraiser, State certified residential real estate appraiser, | ||||
or associate real estate trainee appraiser, (ii)
develop a real | ||||
estate appraisal,
(iii)
practice as a real estate
appraiser, or | ||||
(iv)
advertise or hold himself or herself out to be a real | ||||
estate
appraiser
without a license issued under this Act. A | ||||
person who
violates this subsection is
guilty of a Class A | ||||
misdemeanor for a first offense and a Class 4 felony for any | ||||
subsequent offense.
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(a-5) It is unlawful for a person, unless registered as an | ||||
appraisal management company, to solicit clients or enter into | ||||
an appraisal engagement with clients without either a certified | ||||
residential real estate appraiser license or a certified | ||||
general real estate appraiser license issued under this Act. A |
person who violates this subsection is guilty of a Class A | ||
misdemeanor for a first offense and a Class 4 felony for any | ||
subsequent offense. | ||
(b) It
is unlawful for a person, other than a
person who | ||
holds a valid license issued pursuant to this
Act as a State | ||
certified general real estate appraiser, a
State
certified
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residential real estate appraiser,
or an associate real estate | ||
trainee appraiser to use these titles or any other title, | ||
designation, or
abbreviation likely to create the
impression | ||
that the person is licensed as a real estate appraiser pursuant | ||
to
this Act. A person who
violates this subsection is guilty of | ||
a Class A misdemeanor for a first offense and a Class 4 felony | ||
for any subsequent offense.
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(c)
The licensing requirements of this Act
do not
require a | ||
person who holds a
valid license pursuant to the Real Estate | ||
License Act of 2000, to be licensed
as a real estate appraiser
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under this Act,
unless that person is
providing
or attempting | ||
to provide an appraisal report, as defined in Section
1-10 of | ||
this Act, in connection with a federally-related transaction. | ||
Nothing in this Act shall prohibit a person who holds a valid | ||
license under the Real Estate License Act of 2000 from | ||
performing a comparative market analysis or broker price | ||
opinion for compensation, provided that the person does not | ||
hold himself out as being a licensed real estate appraiser. | ||
(d) Nothing in this Act shall preclude a State certified | ||
general real estate appraiser, a State certified residential |
real estate appraiser, or an associate real estate trainee | ||
appraiser from rendering appraisals for or on behalf of a | ||
partnership, association, corporation, firm, or group. | ||
However, no State appraisal license or certification shall be | ||
issued under this Act to a partnership, association, | ||
corporation, firm, or group.
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(e) This Act does not apply to a county assessor, township | ||
assessor, multi-township assessor, county supervisor of | ||
assessments, or any deputy or employee of any county assessor, | ||
township assessor, multi-township assessor, or county | ||
supervisor of assessments who is performing his or her | ||
respective duties in accordance with the provisions of the | ||
Property Tax Code.
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(e-5) For the purposes of this Act, valuation waivers may | ||
be prepared by a licensed appraiser notwithstanding any other | ||
provision of this Act, and the following types of valuations | ||
are not appraisals and may not be represented to be appraisals, | ||
and a license is not required under this Act to
perform such | ||
valuations if the valuations are performed by (1) an employee | ||
of the Illinois Department of Transportation who has completed | ||
a minimum of 45 hours of course work in real estate appraisal, | ||
including the principals of real estate appraisals, appraisal | ||
of partial acquisitions, easement valuation, reviewing | ||
appraisals in eminent domain, appraisal for federal aid highway | ||
programs, and appraisal review for federal aid highway programs | ||
and has at least 2 years' experience in a field closely related |
to real estate ; or (2) a county engineer who is a registered | ||
professional engineer under the Professional Engineering | ||
Practice Act of 1989 ; (3) an employee of a municipality who has | ||
(i) completed a minimum of 45 hours of coursework in real | ||
estate appraisal, including the principals of real estate | ||
appraisals, appraisal of partial acquisitions, easement | ||
valuation, reviewing appraisals in eminent domain, appraisal | ||
for federal aid highway programs, and appraisal review for | ||
federal aid highway programs and (ii) has either 2 years' | ||
experience in a field clearly related to real estate or has | ||
completed 20 hours of additional coursework that is sufficient | ||
for a person to complete waiver valuations as approved by the | ||
Federal Highway Administration; or (4) a municipal engineer who | ||
has completed coursework that is sufficient for his or her | ||
waiver valuations to be approved by the Federal Highway | ||
Administration and who is a registered professional engineer | ||
under the Professional Engineering Act of 1989 , under the | ||
following circumstances: | ||
(A) a valuation waiver in an amount not to exceed | ||
$10,000 prepared pursuant to the federal Uniform | ||
Relocation Assistance and Real Property Acquisition | ||
Policies Act of 1970, or prepared pursuant to the federal | ||
Uniform Relocation Assistance and Real Property | ||
Acquisition for Federal and Federally-Assisted Programs | ||
regulations and which is performed by (1) an employee of | ||
the Illinois Department of Transportation and co-signed, |
with a license number affixed, by another employee of the | ||
Illinois Department of Transportation who is a registered | ||
professional engineer under the Professional Engineering | ||
Practice Act of 1989 or (2) an employee of a municipality | ||
and co-signed with a license number affixed by a county or | ||
municipal engineer who is a registered professional | ||
engineer under the Professional Engineering Practice Act | ||
of 1989 ; and | ||
(B) a valuation waiver in an amount not to exceed | ||
$10,000 prepared pursuant to the federal Uniform | ||
Relocation Assistance and Real Property Acquisition | ||
Policies Act of 1970, or prepared pursuant to the federal | ||
Uniform Relocation Assistance and Real Property | ||
Acquisition for Federal and Federally-Assisted Programs | ||
regulations and which is performed by a county or municipal | ||
engineer who is employed by a county or municipality and is | ||
a registered professional engineer under the Professional | ||
Engineering Practice Act of 1989. In addition to his or her | ||
signature, the county or municipal engineer shall affix his | ||
or her license number to the valuation. | ||
Nothing in this subsection (e-5) shall be construed to | ||
allow the State of Illinois, a political subdivision thereof, | ||
or any public body to acquire real estate by eminent domain in | ||
any manner
other than provided for in the Eminent Domain Act. | ||
(f) A State real estate appraisal certification or license | ||
is not required under this Act for any of the following: |
(1) A person, partnership, association, or corporation | ||
that performs appraisals of property owned by that person, | ||
partnership, association, or corporation for the sole use | ||
of that person, partnership, association, or corporation. | ||
(2) A court-appointed commissioner who conducts an | ||
appraisal pursuant to a judicially ordered evaluation of | ||
property. | ||
However, any person who is certified or licensed under this Act | ||
and who performs any of the activities set forth in this | ||
subsection (f) must comply with the provisions of this Act. A | ||
person who violates this subsection (f) is guilty of a Class A | ||
misdemeanor for a first offense and a Class 4 felony for any | ||
subsequent offense. | ||
(g) This Act does not apply to an employee, officer, | ||
director, or member of a credit or loan committee of a | ||
financial institution or any other person engaged by a | ||
financial institution when performing an evaluation of real | ||
property for the sole use of the financial institution in a | ||
transaction for which the financial institution would not be | ||
required to use the services of a State licensed or State | ||
certified appraiser pursuant to federal regulations adopted | ||
under Title XI of the federal Financial Institutions Reform, | ||
Recovery, and Enforcement Act of 1989, nor does this Act apply | ||
to the procurement of an automated valuation model. | ||
"Automated valuation model" means an automated system that | ||
is used to derive a property value through the use of publicly |
available property records and various analytic methodologies | ||
such as comparable sales prices, home characteristics, and | ||
historical home price appreciations.
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(Source: P.A. 97-602, eff. 8-26-11; 98-444, eff. 8-16-13.)
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