IDAHO STATE BOARD OF REAL ESTATE APPRAISERS
Bureau of Occupational Licenses
1109 Main Street, Suite 220
Boise, Idaho
(208) 334-3233
Minutes of June 5, 2007
PRESENT: Paul J. Morgan – Chair
Stanley Moe, Board Member
Rick Bachmeier, Board Member
Ed Morse, Board Member
Patricia Lentz, Board Member
BUREAU STAFF: Tana Cory, Bureau Chief
Budd Hetrick, Deputy Bureau Chief
Roger Hales, Administrative Attorney
Emily Mac Master, Deputy Attorney General
Mike Gilmore, Senior Deputy Attorney General
Maria Brown, Technical Records Specialist I
ALSO PRESENT: Kenneth Johnson
Russell R. Wallace
Roni L. Harlan
Meeting called to order by Board Chair, Paul Morgan at 9:00 a.m.
MINUTES
The Board reviewed the April 10-11, 2007 minutes. Moved by Mr. Morse to approve the minutes as written. Seconded by Ms. Lentz, motion carried.
The Board reviewed the April 18, 2007 conference call minutes. Moved by Mr. Morse to approve the minutes. Seconded by Ms. Lentz, motion carried.
LEGISLATIVE REPORT
Ms. Cory, Bureau Chief, presented the legislative report. The Bureau has hired two Office Specialists, and two Investigators. The Board was given information on PERSI.
Ms. Cory updated the Board regarding the ongoing work being done to address the Appraisal Subcommittee’s letter to the Board.
FINANCIAL REPORT
Ms. Cory presented the financial report which indicates a balance of $135,122.04 as of 5/31/2007.
INVESTIGATIVE REPORT
Ms. Cory presented the investigative report.
For Board Determination:
Case number REA-P1C-2-2007-3: Following review, it was moved by Ms. Lentz to accept the Bureau’s recommendation for closure. Seconded by Mr. Morse, motion carried.
Case number REA-P4-1-2007-4: Following review, it was moved by Ms. Lentz to accept the Bureau’s recommendation for closure. Seconded by Mr. Morse, motion carried.
Case number REA-P1-2-2007-52: Following review, it was moved by Ms. Lentz to accept the Bureau’s recommendation for closure with the condition that the Bureau track and record the seize and desist order. Seconded by Mr. Morse, motion carried.
PROPOSED RULE
The Board discussed the current process for renewals that have the disciplinary question marked yes.
It was moved by Mr. Morse that the Board direct counsel to research and draft a rule which would allow the Board to deny, suspend, revoke, or condition an application based on any discipline. Seconded by Ms. Lentz, motion carried.
APPLICATION THROUGH EXAMINATION
The Board discussed requiring applicants to submit actual work samples and to delete all references to demonstration reports on the website and application based on the direction of the Appraisal Subcommittee. When an applicant submits an application, the Board secretary will now select two of appraisal reports from the experience log. The appraisal reports should be the most complex reports based on the number of hours logged and the number of approaches used. The reports should be amended to include the depreciation calculation example. The applicant will be sent a letter requesting the specific reports for the Board to review with the complete application.
It was moved by Mr. Morse that the Board direct staff to update the website and application with instructions detailing the process for submitting actual work samples. The Board secretary will now select two of the most complex appraisal reports from the experience log, and send a letter to the applicant requesting the submittal of the actual work samples with the depreciation calculation example. Mr. Bachmeier and Mr. Moe will draft two additional questions for the jurisprudence exam. Seconded by Mr. Moe, motion carried.
CORRESPONDENCE
The Board reviewed a letter from the Appraisal Institute.
The Board discussed a letter from Shane Black requesting clarification on disclosure. The Board directed Mr. Moe to respond to this letter and to forward a copy to Mr. Hales.
The Board discussed a letter from Paul Lorenzen requesting that the Board allow him to apply for licensure through reciprocity. The Board stated that an applicant may apply through reciprocity if licensure in the reciprocal state was gained through examination only.
It was moved by Mr. Morse to allow an applicant to apply through reciprocity if licensure in the reciprocal state was gained through examination only. Seconded by Ms. Lentz, motion carried.
The Board discussed an email regarding zillow.com. The Board stated that Idaho does not have a concern with zillow.com at this time due to being a non-disclosure state, but will continue to monitor the situation.
The Board reviewed the letter drafted by Mr. Hales to William A. McCann. The Board approved sending the letter to Mr. McCann.
The Board reviewed the letter and rules sent from Montana regarding requirements for licensure and reciprocal agreements.
It was moved by Mr. Morse to adopt a reciprocity agreement with the State of Montana. Seconded by Ms. Lentz, motion carried.
The Board reviewed a letter drafted by Mr. Morse to the Real Estate Commission.
It was moved by Ms. Lentz to approve sending the letter to the Real Estate Commission. Seconded by Mr. Bachmeier, motion carried.
CONTINUING EDUCATION
The Board discussed the requirement for continuing education during the first year of licensure. The Board secretary was asked to research the requirement with the Appraisal Subcommittee and report the findings back to the Board during the next Board meeting.
Moved by Ms. Lentz that the Board enter executive session to review audited continuing education which is exempt from public disclosure per 9-340C, Idaho Code. Seconded by Mr. Bachmeier, motion carried.
Moved by Mr. Morse that the Board enter regular session. Seconded by Ms. Lentz, motion carried.
The Board directed the Board secretary to outline the audit dates for each audit the Board reviews.
Moved by Mr. Morse to submit three continuing education audits to the investigative department. Seconded by Ms. Lentz, motion carried.
Moved by Mr. Morse to allow Board approved pre-licensure courses to count as continuing education. Seconded by Ms. Lentz, motion carried.
Moved by Ms. Lentz that the Board approve the course titled, “Advanced Case Studies” sponsored by ASFMRA for 36 continuing education hours. Seconded by Mr. Morse, motion carried.
Moved by Ms. Lentz that the Board approve the course titled, “Online Appraising Manufactured Housing” sponsored by the Appraisal Institute for 7 continuing education hours. Seconded by Mr. Morse, motion carried.
Moved by Ms. Lentz that the Board approve the course titled, “Property Taking through Eminent Domain in Idaho” sponsored by NBI, Inc. DBA National Business Institute for 7 continuing education hours. Seconded by Mr. Morse, motion carried.
Moved by Ms. Lentz that the Board approve the course titled, “Practical Guide To Zoning and Land Use Law” sponsored by NBI, Inc. DBA National Business Institute for 7 continuing education hours. Seconded by Mr. Morse, motion carried.
Moved by Ms. Lentz that the Board approve the course titled, “Income Approach” sponsored by Cooke Real Estate School for 7 continuing education hours. Seconded by Mr. Morse, motion carried.
Moved by Ms. Lentz that the Board approve the course titled, “2006 7 Hour USPAP Update” sponsored by Cooke Real Estate School for 7 continuing education hours. Seconded by Mr. Morse, motion carried.
Moved by Ms. Lentz that the Board approve the course titled, “The Cost Approach” sponsored by Cooke Real Estate School for 7 continuing education hours. Seconded by Mr. Morse, motion carried.
Moved by Ms. Lentz that the Board approve the course titled, “The Sales Comparison Approach” sponsored by Cooke Real Estate School for 7 continuing education hours. Seconded by Mr. Morse, motion carried.
Moved by Ms. Lentz that the Board approve the course titled, “Introduction to Commercial Appraisal” sponsored by Cooke Real Estate School for 3.5 continuing education hours. Seconded by Mr. Morse, motion carried.
The Board stated that all Pre-licensure provider applications must include a matrix.
ATTORNEY GENERAL’S RECOMENDATIONS
Ms. Mac Master, Deputy Attorney General, presented recommendations for the following complaint cases: REA-2007-21, REA-2007-40, REA-2007-45, REA-2007-49, and REA-2007-59. After review the Board presented their recommendations to the Office of the Attorney General.
Ms. Mac Master presented a status report of pending cases to the Board.
The Board directed the Board secretary to schedule a conference call on July 24, 2007 to discuss disciplinary matters.
The Board discussed the possibility of hiring a consultant who is a licensed appraiser to assist with Real Estate Appraiser cases.
Moved by Mr. Morse to add a request to hire a licensed appraiser for screening cases and applications to the Real Estate Appraisers budget. Seconded by Mr. Moe, motion carried.
Ms. Mac Master informed the Board that the Attorney General’s Office is currently reviewing its process for handling cases to see if there may be steps that can be omitted to accelerate the time it takes to present cases to the Board. The Board stated that they are in favor of any steps that the Attorney General’s office can take or omit that would accelerate the process.
Mr. Gilmore, Senior Deputy Attorney General presented the following complaint cases: REA-2007-59, REA-2006-6, REA-2007-61, and REA-2007-119. Mr. Morgan recused himself from REA-2007-61. After review the Board presented their recommendations to the Office of the Attorney General.
FORMAL DISCIPLINARY ACTION:
Mr. Gilmore presented the Board Stipulation and Consent order for the following case:
REA-2007-49: It was moved by Mr. Morse that the Board accept the consent agreement and authorize the Board Chair to sign on behalf of the Board. Seconded by Ms. Lentz, motion carried.
PRO-REVIEWERS
The Board discussed the current instructions for Pro-reviewers. Ms. Cory stated that the Real Estate Appraiser work group will take Mr. Morse’s new instructions and put a packet together for all Pro-reviewers. The Attorney General’s office would like for the Pro-reviewers to be specific in their reports as to why an appraisal does not meet standards.
EXECUTIVE SESSION
Moved by Mr. Morse that the Board enter executive session to review applications which is exempt from public disclosure per Idaho Code
67-2345 (1) (d). Seconded by Mr. Bachmeier, motion carried.
Moved by Mr. Morse that the Board enter regular session. Seconded by Mr. Bachmeier, motion carried.
Motion made by Mr. Bachmeier to approve the following applicants for examination:
Roni Harland LRA
Joseph Tierney LRA
Russell Wallace LRA
Mark Rawlings CGA
Jared Stein LRA
Travis Tucket LRA
Seconded by Ms. Lentz, carried.
Motion made by Mr. Bachmeier to deny the following applicants pending further information:
901042962
901073882
901066933
901066186
Seconded by Ms. Lentz, carried.
The Board meeting adjourned at 3:50 p.m.