Bill Text: IL SB2852 | 2017-2018 | 100th General Assembly | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

---

Bill Title: Amends the Real Estate Appraiser Licensing Act of 2002 and Appraisal Management Company Registration Act. Provides that the Secretary of Financial and Professional Regulation may require participation in a third-party, multi-state licensing system for the licensing of certified general real estate appraisers, certified residential real estate appraisers, associate real estate trainee appraisers, and real estate appraisal education providers; and registration of appraisal management companies. Makes corresponding changes in both Acts. Provides that the multi-state licensing system may share regulatory information and maintain records in compliance with the provisions of the Acts. Provides that the multi-state licensing system may charge an applicant an administration fee that shall be paid directly to the system. Defines "multi-state licensing system". In provisions of the Real Estate Appraiser Licensing Act of 2002 concerning criminal history record checks, provides that the Secretary may designate a multi-state licensing system to perform the checks. Effective immediately.

Spectrum: Bipartisan Bill

Status: (Failed) 2019-01-09 - Session Sine Die [SB2852 Detail]

Download: Illinois-2017-SB2852-Introduced.html

---

100TH GENERAL ASSEMBLY State of Illinois 2017 and 2018 SB2852 Introduced 2/13/2018, by Sen. Pamela J. Althoff SYNOPSIS AS INTRODUCED:
See Index
Amends the Real Estate Appraiser Licensing Act of 2002 and Appraisal Management Company Registration Act. Provides that the Secretary of Financial and Professional Regulation may require participation in a third-party, multi-state licensing system for the licensing of certified general real estate appraisers, certified residential real estate appraisers, associate real estate trainee appraisers, and real estate appraisal education providers; and registration of appraisal management companies. Makes corresponding changes in both Acts. Provides that the multi-state licensing system may share regulatory information and maintain records in compliance with the provisions of the Acts. Provides that the multi-state licensing system may charge an applicant an administration fee that shall be paid directly to the system. Defines "multi-state licensing system". In provisions of the Real Estate Appraiser Licensing Act of 2002 concerning criminal history record checks, provides that the Secretary may designate a multi-state licensing system to perform the checks. Effective immediately.
LRB100 16089 SMS 31208 b
FISCAL NOTE ACT MAY APPLY
A BILL FOR
SB2852 LRB100 16089 SMS 31208 b
AN ACT concerning regulation.
Be it enacted by the People of the State of Illinois,
represented in the General Assembly:
Section 5. The Real Estate Appraiser Licensing Act of 2002
is amended by changing Sections 1-10, 5-10, 5-15, 5-20, 5-22,
5-25, 5-55, 20-5, and 20-10 and by adding Section 5-7 as
follows:
(225 ILCS 458/1-10)
(Section scheduled to be repealed on January 1, 2022)
Sec. 1-10. Definitions. As used in this Act, unless the
context otherwise requires:
"Accredited college or university, junior college, or
community college" means a college or university, junior
college, or community college that is approved or accredited by
the Board of Higher Education, a regional or national
accreditation association, or by an accrediting agency that is
recognized by the U.S. Secretary of Education.
"Address of record" means the designated address recorded
by the Department in the applicant's or licensee's application
file or license file as maintained by the Department's
licensure maintenance unit. It is the duty of the applicant or
licensee to inform the Department of any change of address and
those changes must be made either through the Department's

SB2852 - 2 - LRB100 16089 SMS 31208 b
website or by contacting the Department.
"Applicant" means person who applies to the Department for
a license under this Act.
"Appraisal" means (noun) the act or process of developing
an opinion of value; an opinion of value (adjective) of or
pertaining to appraising and related functions, such as
appraisal practice or appraisal services.
"Appraisal assignment" means a valuation service provided
as a consequence of an agreement between an appraiser and a
client.
"Appraisal consulting" means the act or process of
developing an analysis, recommendation, or opinion to solve a
problem, where an opinion of value is a component of the
analysis leading to the assignment results.
"Appraisal firm" means an appraisal entity that is 100%
owned and controlled by a person or persons licensed in
Illinois as a certified general real estate appraiser or a
certified residential real estate appraiser. "Appraisal firm"
does not include an appraisal management company.
"Appraisal management company" means any corporation,
limited liability company, partnership, sole proprietorship,
subsidiary, unit, or other business entity that directly or
indirectly performs the following appraisal management
services: (1) administers networks of independent contractors
or employee appraisers to perform real estate appraisal
assignments for clients; (2) receives requests for real estate

SB2852 - 3 - LRB100 16089 SMS 31208 b
appraisal services from clients and, for a fee paid by the
client, enters into an agreement with one or more independent
appraisers to perform the real estate appraisal services
contained in the request; or (3) otherwise serves as a
third-party broker of appraisal management services between
clients and appraisers. "Appraisal management company" does
not include an appraisal firm.
"Appraisal practice" means valuation services performed by
an individual acting as an appraiser, including, but not
limited to, appraisal, appraisal review, or appraisal
consulting.
"Appraisal report" means any communication, written or
oral, of an appraisal or appraisal review that is transmitted
to a client upon completion of an assignment.
"Appraisal review" means the act or process of developing
and communicating an opinion about the quality of another
appraiser's work that was performed as part of an appraisal,
appraisal review, or appraisal assignment.
"Appraisal Subcommittee" means the Appraisal Subcommittee
of the Federal Financial Institutions Examination Council as
established by Title XI.
"Appraiser" means a person who performs real estate or real
property appraisals.
"AQB" means the Appraisal Qualifications Board of the
Appraisal Foundation.
"Associate real estate trainee appraiser" means an

SB2852 - 4 - LRB100 16089 SMS 31208 b
entry-level appraiser who holds a license of this
classification under this Act with restrictions as to the scope
of practice in accordance with this Act.
"Board" means the Real Estate Appraisal Administration and
Disciplinary Board.
"Broker price opinion" means an estimate or analysis of the
probable selling price of a particular interest in real estate,
which may provide a varying level of detail about the
property's condition, market, and neighborhood and information
on comparable sales. The activities of a real estate broker or
managing broker engaging in the ordinary course of business as
a broker, as defined in this Section, shall not be considered a
broker price opinion if no compensation is paid to the broker
or managing broker, other than compensation based upon the sale
or rental of real estate.
"Classroom hour" means 50 minutes of instruction out of
each 60 minute segment of coursework.
"Client" means the party or parties who engage an appraiser
by employment or contract in a specific appraisal assignment.
"Comparative market analysis" is an analysis or opinion
regarding pricing, marketing, or financial aspects relating to
a specified interest or interests in real estate that may be
based upon an analysis of comparative market data, the
expertise of the real estate broker or managing broker, and
such other factors as the broker or managing broker may deem
appropriate in developing or preparing such analysis or

SB2852 - 5 - LRB100 16089 SMS 31208 b
opinion. The activities of a real estate broker or managing
broker engaging in the ordinary course of business as a broker,
as defined in this Section, shall not be considered a
comparative market analysis if no compensation is paid to the
broker or managing broker, other than compensation based upon
the sale or rental of real estate.
"Coordinator" means the Coordinator of Real Estate
Appraisal of the Division of Professional Regulation of the
Department of Financial and Professional Regulation.
"Department" means the Department of Financial and
Professional Regulation.
"Federal financial institutions regulatory agencies" means
the Board of Governors of the Federal Reserve System, the
Federal Deposit Insurance Corporation, the Office of the
Comptroller of the Currency, the Consumer Financial Protection
Bureau, and the National Credit Union Administration.
"Federally related transaction" means any real
estate-related financial transaction in which a federal
financial institutions regulatory agency engages in, contracts
for, or regulates and requires the services of an appraiser.
"Financial institution" means any bank, savings bank,
savings and loan association, credit union, mortgage broker,
mortgage banker, licensee under the Consumer Installment Loan
Act or the Sales Finance Agency Act, or a corporate fiduciary,
subsidiary, affiliate, parent company, or holding company of
any such licensee, or any institution involved in real estate

SB2852 - 6 - LRB100 16089 SMS 31208 b
financing that is regulated by state or federal law.
"Multi-state licensing system" means a web-based platform
that allows an applicant to submit his or her application or
license renewal application to the Department online.
"Person" means an individual, entity, sole proprietorship,
corporation, limited liability company, partnership, and joint
venture, foreign or domestic, except that when the context
otherwise requires, the term may refer to more than one
individual or other described entity.
"Real estate" means an identified parcel or tract of land,
including any improvements.
"Real estate related financial transaction" means any
transaction involving:
(1) the sale, lease, purchase, investment in, or
exchange of real property, including interests in property
or the financing thereof;
(2) the refinancing of real property or interests in
real property; and
(3) the use of real property or interest in property as
security for a loan or investment, including mortgage
backed securities.
"Real property" means the interests, benefits, and rights
inherent in the ownership of real estate.
"Secretary" means the Secretary of Financial and
Professional Regulation.
"State certified general real estate appraiser" means an

SB2852 - 7 - LRB100 16089 SMS 31208 b
appraiser who holds a license of this classification under this
Act and such classification applies to the appraisal of all
types of real property without restrictions as to the scope of
practice.
"State certified residential real estate appraiser" means
an appraiser who holds a license of this classification under
this Act and such classification applies to the appraisal of
one to 4 units of residential real property without regard to
transaction value or complexity, but with restrictions as to
the scope of practice in a federally related transaction in
accordance with Title XI, the provisions of USPAP, criteria
established by the AQB, and further defined by rule.
"Supervising appraiser" means either (i) an appraiser who
holds a valid license under this Act as either a State
certified general real estate appraiser or a State certified
residential real estate appraiser, who co-signs an appraisal
report for an associate real estate trainee appraiser or (ii) a
State certified general real estate appraiser who holds a valid
license under this Act who co-signs an appraisal report for a
State certified residential real estate appraiser on
properties other than one to 4 units of residential real
property without regard to transaction value or complexity.
"Title XI" means Title XI of the federal Financial
Institutions Reform, Recovery and Enforcement Act of 1989.
"USPAP" means the Uniform Standards of Professional
Appraisal Practice as promulgated by the Appraisal Standards

SB2852 - 8 - LRB100 16089 SMS 31208 b
Board pursuant to Title XI and by rule.
"Valuation services" means services pertaining to aspects
of property value.
(Source: P.A. 97-602, eff. 8-26-11; 98-1109, eff. 1-1-15.)
(225 ILCS 458/5-7 new)
Sec. 5-7. Multi-state licensing system. The Secretary may
require participation in a third-party, multi-state licensing
system for licensing under this Act. The multi-state licensing
system may share regulatory information and maintain records in
compliance with the provisions of this Act. The multi-state
licensing system may charge an applicant an administration fee.
(225 ILCS 458/5-10)
(Section scheduled to be repealed on January 1, 2022)
Sec. 5-10. Application for State certified general real
estate appraiser.
(a) Every person who desires to obtain a State certified
general real estate appraiser license shall:
(1) apply to the Department on forms provided by the
Department, or through a multi-state licensing system as
designated by the Secretary, accompanied by the required
fee;
(2) be at least 18 years of age;
(3) (blank);
(4) personally take and pass an examination authorized

SB2852 - 9 - LRB100 16089 SMS 31208 b
by the Department and endorsed by the AQB;
(5) prior to taking the examination, provide evidence
to the Department, or through a multi-state licensing
system as designated by the Secretary, in Modular Course
format, with each module conforming to the Required Core
Curriculum established and adopted by the AQB, that he or
she has successfully completed the prerequisite classroom
hours of instruction in appraising as established by the
AQB and by rule; and
(6) prior to taking the examination, provide evidence
to the Department, or through a multi-state licensing
system as designated by the Secretary, that he or she has
successfully completed the prerequisite experience and
educational requirements in appraising as established by
AQB and by rule.
(b) Applicants must provide evidence to the Department, or
through a multi-state licensing system as designated by the
Secretary, of holding a Bachelor's degree or higher from an
accredited college or university.
(Source: P.A. 98-1109, eff. 1-1-15.)
(225 ILCS 458/5-15)
(Section scheduled to be repealed on January 1, 2022)
Sec. 5-15. Application for State certified residential
real estate appraiser. Every person who desires to obtain a
State certified residential real estate appraiser license

SB2852 - 10 - LRB100 16089 SMS 31208 b
shall:
(1) apply to the Department on forms provided by the
Department, or through a multi-state licensing system as
designated by the Secretary, accompanied by the required
fee;
(2) be at least 18 years of age;
(3) (blank);
(4) personally take and pass an examination authorized
by the Department and endorsed by the AQB;
(5) prior to taking the examination, provide evidence
to the Department, or through a multi-state licensing
system as designated by the Secretary, in Modular Course
format, with each module conforming to the Required Core
Curriculum established and adopted by the AQB, that he or
she has successfully completed the prerequisite classroom
hours of instruction in appraising as established by the
AQB and by rule; and
(6) prior to taking the examination, provide evidence
to the Department, or through a multi-state licensing
system as designated by the Secretary, that he or she has
successfully completed the prerequisite experience and
educational requirements as established by AQB and by rule.
(Source: P.A. 100-201, eff. 8-18-17.)
(225 ILCS 458/5-20)
(Section scheduled to be repealed on January 1, 2022)

SB2852 - 11 - LRB100 16089 SMS 31208 b
Sec. 5-20. Application for associate real estate trainee
appraiser. Every person who desires to obtain an associate real
estate trainee appraiser license shall:
(1) apply to the Department on forms provided by the
Department, or through a multi-state licensing system as
designated by the Secretary, accompanied by the required
fee;
(2) be at least 18 years of age;
(3) provide evidence of having attained a high school
diploma or completed an equivalent course of study as
determined by an examination conducted or accepted by the
Illinois State Board of Education;
(4) personally take and pass an examination authorized
by the Department; and
(5) prior to taking the examination, provide evidence
to the Department, or through a multi-state licensing
system as designated by the Secretary, that he or she has
successfully completed the prerequisite qualifying and any
conditional education requirements as established by rule.
(Source: P.A. 98-1109, eff. 1-1-15.)
(225 ILCS 458/5-22)
(Section scheduled to be repealed on January 1, 2022)
Sec. 5-22. Criminal history records check.
(a) Each applicant for licensure by examination or
restoration shall have his or her fingerprints submitted to the

SB2852 - 12 - LRB100 16089 SMS 31208 b
Department of State Police in an electronic format that
complies with the form and manner for requesting and furnishing
criminal history record information as prescribed by the
Department of State Police. These fingerprints shall be checked
against the Department of State Police and Federal Bureau of
Investigation criminal history record databases now and
hereafter filed. The Department of State Police shall charge
applicants a fee for conducting the criminal history records
check, which shall be deposited into the State Police Services
Fund and shall not exceed the actual cost of the records check.
The Department of State Police shall furnish, pursuant to
positive identification, records of Illinois convictions to
the Department. The Department may require applicants to pay a
separate fingerprinting fee, either to the Department or to a
vendor. The Department may adopt any rules necessary to
implement this Section.
(b) The Secretary may designate a multi-state licensing
system to perform the functions described in subsection (a).
The Department may require applicants to pay a separate
fingerprinting fee, either to the Department or to the
multi-state licensing system. The Department may adopt any
rules necessary to implement this subsection.
(Source: P.A. 98-1109, eff. 1-1-15.)
(225 ILCS 458/5-25)
(Section scheduled to be repealed on January 1, 2022)

SB2852 - 13 - LRB100 16089 SMS 31208 b
Sec. 5-25. Renewal of license.
(a) The expiration date and renewal period for a State
certified general real estate appraiser license or a State
certified residential real estate appraiser license issued
under this Act shall be set by rule. Except as otherwise
provided in subsections (b) and (f) of this Section, the holder
of a license may renew the license within 90 days preceding the
expiration date by:
(1) completing and submitting to the Department, or
through a multi-state licensing system as designated by the
Secretary, a renewal application form as provided by the
Department;
(2) paying the required fees; and
(3) providing evidence to the Department, or through a
multi-state licensing system as designated by the
Secretary, of successful completion of the continuing
education requirements through courses approved by the
Department from education providers licensed by the
Department, as established by the AQB and by rule.
(b) A State certified general real estate appraiser or
State certified residential real estate appraiser whose
license under this Act has expired may renew the license for a
period of 2 years following the expiration date by complying
with the requirements of paragraphs (1), (2), and (3) of
subsection (a) of this Section and paying any late penalties
established by rule.

SB2852 - 14 - LRB100 16089 SMS 31208 b
(c) (Blank).
(d) The expiration date and renewal period for an associate
real estate trainee appraiser license issued under this Act
shall be set by rule. Except as otherwise provided in
subsections (e) and (f) of this Section, the holder of an
associate real estate appraiser license may renew the license
within 90 days preceding the expiration date by:
(1) completing and submitting to the Department, or
through a multi-state licensing system as designated by the
Secretary, a renewal application form as provided by the
Department;
(2) paying the required fees; and
(3) providing evidence to the Department, or through a
multi-state licensing system as designated by the
Secretary, of successful completion of the continuing
education requirements through courses approved by the
Department from education providers approved by the
Department, as established by rule.
(e) Any associate real estate appraiser trainee whose
license under this Act has expired may renew the license for a
period of 2 years following the expiration date by complying
with the requirements of paragraphs (1), (2), and (3) of
subsection (d) of this Section and paying any late penalties as
established by rule. An associate real estate trainee appraiser
license may not be renewed more than 2 times.
(f) Notwithstanding subsections (c) and (e), an appraiser

SB2852 - 15 - LRB100 16089 SMS 31208 b
whose license under this Act has expired may renew or convert
the license without paying any lapsed renewal fees or late
penalties if the license expired while the appraiser was:
(1) on active duty with the United States Armed
Services;
(2) serving as the Coordinator of Real Estate Appraisal
or an employee of the Department who was required to
surrender his or her license during the term of employment.
Application for renewal must be made within 2 years
following the termination of the military service or related
education, training, or employment. The licensee shall furnish
the Department with an affidavit that he or she was so engaged.
(g) The Department shall provide reasonable care and due
diligence to ensure that each licensee under this Act is
provided with a renewal application at least 90 days prior to
the expiration date, but each licensee is responsible to timely
renew or convert his or her license prior to its expiration
date.
(Source: P.A. 96-844, eff. 12-23-09.)
(225 ILCS 458/5-55)
(Section scheduled to be repealed on January 1, 2022)
Sec. 5-55. Fees.
(a) The Department shall establish rules for fees to be
paid by applicants and licensees to cover the reasonable costs
of the Department in administering and enforcing the provisions

SB2852 - 16 - LRB100 16089 SMS 31208 b
of this Act. The Department, with the advice of the Board, may
also establish rules for general fees to cover the reasonable
expenses of carrying out other functions and responsibilities
under this Act.
(b) The administration fee charged by the multi-state
licensing system shall be paid directly to the multi-state
licensing system.
(Source: P.A. 96-844, eff. 12-23-09; 97-602, eff. 8-26-11.)
(225 ILCS 458/20-5)
(Section scheduled to be repealed on January 1, 2022)
Sec. 20-5. Education providers.
(a) Beginning July 1, 2002, only education providers
licensed or otherwise approved by the Department may provide
the qualifying and continuing education courses required for
licensure under this Act.
(b) A person or entity seeking to be licensed as an
education provider under this Act shall provide satisfactory
evidence of the following:
(1) a sound financial base for establishing,
promoting, and delivering the necessary courses;
(2) a sufficient number of qualified instructors;
(3) adequate support personnel to assist with
administrative matters and technical assistance;
(4) a written policy dealing with procedures for
management of grievances and fee refunds;

SB2852 - 17 - LRB100 16089 SMS 31208 b
(5) a qualified administrator, who is responsible for
the administration of the education provider, courses, and
the actions of the instructors; and
(6) any other requirements as provided by rule.
(c) All applicants for an education provider's license
shall make initial application to the Department on forms
provided by the Department, or through a multi-state licensing
system as designated by the Secretary, and pay the appropriate
fee as provided by rule. The term, expiration date, and renewal
of an education provider's license shall be established by
rule.
(d) An education provider shall provide each successful
course participant with a certificate of completion signed by
the school administrator. The format and content of the
certificate shall be specified by rule.
(e) All education providers shall provide to the Department
a monthly roster of all successful course participants as
provided by rule.
(Source: P.A. 98-1109, eff. 1-1-15.)
(225 ILCS 458/20-10)
(Section scheduled to be repealed on January 1, 2022)
Sec. 20-10. Course approval.
(a) Only courses offered by licensed education providers
and approved by the Department, courses approved by the AQB, or
courses approved by jurisdictions regulated by the Appraisal

SB2852 - 18 - LRB100 16089 SMS 31208 b
Subcommittee shall be used to meet the requirements of this Act
and rules.
(b) An education provider licensed under this Act may
submit courses to the Department, or through a multi-state
licensing system as designated by the Secretary, for approval.
The criteria, requirements, and fees for courses shall be
established by rule in accordance with this Act and the
criteria established by the AQB.
(c) For each course approved, the Department shall issue a
license to the education provider. The term, expiration date,
and renewal of a course approval shall be established by rule.
(d) An education provider must use an instructor for each
course approved by the Department who (i) holds a valid real
estate appraisal license in good standing as a State certified
general real estate appraiser or a State certified residential
real estate appraiser in Illinois or any other jurisdiction
monitored by the Appraisal Subcommittee, (ii) holds a valid
teaching certificate issued by the State of Illinois, (iii) is
a faculty member in good standing with an accredited college or
university or community college, or (iv) is an approved
appraisal instructor from an appraisal organization that is a
member of the Appraisal Foundation.
(Source: P.A. 98-1109, eff. 1-1-15.)
Section 10. The Appraisal Management Company Registration
Act is amended by changing Sections 10, 35, 40, and 55 and by

SB2852 - 19 - LRB100 16089 SMS 31208 b
adding Section 32 as follows:
(225 ILCS 459/10)
Sec. 10. Definitions. In this Act:
"Address of record" means the designated address recorded
by the Department in the applicant's or registrant's
application file or registration file maintained by the
Department's registration maintenance unit. It is the duty of
the applicant or registrant to inform the Department of any
change of address, and the changes must be made either through
the Department's website or by contacting the Department's
registration maintenance unit within a prescribed time period
as defined by rule.
"Applicant" means a person or entity who applies to the
Department for a registration under this Act.
"Appraisal" means (noun) the act or process of developing
an opinion of value; an opinion of value (adjective) of or
pertaining to appraising and related functions.
"Appraisal firm" means an appraisal entity that is 100%
owned and controlled by a person or persons licensed in
Illinois as a certified general real estate appraiser or a
certified residential real estate appraiser. An appraisal firm
does not include an appraisal management company.
"Appraisal management company" means any corporation,
limited liability company, partnership, sole proprietorship,
subsidiary, unit, or other business entity that directly or

SB2852 - 20 - LRB100 16089 SMS 31208 b
indirectly performs the following appraisal management
services: (1) administers networks of independent contractors
or employee appraisers to perform real estate appraisal
assignments for clients; (2) receives requests for real estate
appraisal services from clients and, for a fee paid by the
client, enters into an agreement with one or more independent
appraisers to perform the real estate appraisal services
contained in the request; or (3) otherwise serves as a
third-party broker of appraisal management services between
clients and appraisers.
"Appraisal report" means a written appraisal by an
appraiser to a client.
"Appraisal practice service" means valuation services
performed by an individual acting as an appraiser, including,
but not limited to, appraisal, appraisal review, or appraisal
consulting.
"Appraiser" means a person who performs real estate or real
property appraisals.
"Assignment result" means an appraiser's opinions and
conclusions developed specific to an assignment.
"Board" means the Real Estate Appraisal Administration and
Disciplinary Board.
"Client" means the party or parties who engage an appraiser
by employment or contract in a specific appraisal assignment.
"Controlling Person" means:
(1) an owner, officer, or director of an entity seeking

SB2852 - 21 - LRB100 16089 SMS 31208 b
to offer appraisal management services;
(2) an individual employed, appointed, or authorized
by an appraisal management company who has the authority
to:
(A) enter into a contractual relationship with a
client for the performance of an appraisal management
service or appraisal practice service; and
(B) enter into an agreement with an appraiser for
the performance of a real estate appraisal activity; or
(3) an individual who possesses, directly or
indirectly, the power to direct or cause the direction of
the management or policies of an appraisal management
company.
"Coordinator" means the Coordinator of the Appraisal
Management Company Registration Unit of the Department or his
or her designee.
"Department" means the Department of Financial and
Professional Regulation.
"Entity" means a corporation, a limited liability company,
partnership, a sole proprietorship, or other entity providing
services or holding itself out to provide services as an
appraisal management company or an appraisal management
service.
"End-user client" means any person who utilizes or engages
the services of an appraiser through an appraisal management
company.

SB2852 - 22 - LRB100 16089 SMS 31208 b
"Financial institution" means any bank, savings bank,
savings and loan association, credit union, mortgage broker,
mortgage banker, registrant under the Consumer Installment
Loan Act or the Sales Finance Agency Act, or a corporate
fiduciary, subsidiary, affiliate, parent company, or holding
company of any registrant, or any institution involved in real
estate financing that is regulated by State or federal law.
"Multi-state licensing system" means a web-based platform
that allows an applicant to submit his or her application for
original registration or registration renewal application to
the Department online.
"Person" means individuals, entities, sole
proprietorships, corporations, limited liability companies,
and partnerships, foreign or domestic, except that when the
context otherwise requires, the term may refer to a single
individual or other described entity.
"Quality control review" means a review of an appraisal
report for compliance and completeness, including grammatical,
typographical, or other similar errors, unrelated to
developing an opinion of value.
"Real estate" means an identified parcel or tract of land,
including any improvements.
"Real estate related financial transaction" means any
transaction involving:
(1) the sale, lease, purchase, investment in, or
exchange of real property, including interests in property

SB2852 - 23 - LRB100 16089 SMS 31208 b
or the financing thereof;
(2) the refinancing of real property or interests in
real property; and
(3) the use of real property or interest in property as
security for a loan or investment, including mortgage
backed securities.
"Real property" means the interests, benefits, and rights
inherent in the ownership of real estate.
"Secretary" means the Secretary of Financial and
Professional Regulation.
"USPAP" means the Uniform Standards of Professional
Appraisal Practice as adopted by the Appraisal Standards Board
under Title XI.
"Valuation" means any estimate of the value of real
property in connection with a creditor's decision to provide
credit, including those values developed under a policy of a
government sponsored enterprise or by an automated valuation
model or other methodology or mechanism.
(Source: P.A. 97-602, eff. 8-26-11.)
(225 ILCS 459/32 new)
Sec. 32. Multi-state licensing system. The Secretary may
require participation in a third-party, multi-state licensing
system for registration under this Act. The multi-state
licensing system may share regulatory information and maintain
records in compliance with the provisions of this Act. The

SB2852 - 24 - LRB100 16089 SMS 31208 b
multi-state licensing system may charge the applicant an
administration fee.
(225 ILCS 459/35)
Sec. 35. Application for original registration.
Applications for original registration shall be made to the
Department on forms prescribed by the Department, or through a
multi-state licensing system as designated by the Secretary,
and accompanied by the required fee. All applications shall
contain the information that, in the judgment of the
Department, will enable the Department to pass on the
qualifications of the applicant to be registered to practice as
set by rule.
(Source: P.A. 97-602, eff. 8-26-11.)
(225 ILCS 459/40)
Sec. 40. Qualifications for registration.
(a) The Department may issue a certification of
registration to practice under this Act to any applicant who
applies to the Department on forms provided by the Department,
or through a multi-state licensing system as designated by the
Secretary, pays the required non-refundable fee, and who
provides the following:
(1) the business name of the applicant seeking
registration;
(2) the business address or addresses and contact

SB2852 - 25 - LRB100 16089 SMS 31208 b
information of the applicant seeking registration;
(3) if the business applicant is not a corporation that
is domiciled in this State, then the name and contact
information for the company's agent for service of process
in this State;
(4) the name, address, and contact information for any
individual or any corporation, partnership, limited
liability company, association, or other business
applicant that owns 10% or more of the appraisal management
company;
(5) the name, address, and contact information for a
designated controlling person;
(6) a certification that the applicant will utilize
Illinois licensed appraisers to provide appraisal services
within the State of Illinois;
(7) a certification that the applicant has a system in
place utilizing a licensed Illinois appraiser to review the
work of all employed and independent appraisers that are
performing real estate appraisal services in Illinois for
the appraisal management company on a periodic basis,
except for a quality control review, to verify that the
real estate appraisal assignments are being conducted in
accordance with USPAP;
(8) a certification that the applicant maintains a
detailed record of each service request that it receives
and the independent appraiser that performs the real estate

SB2852 - 26 - LRB100 16089 SMS 31208 b
appraisal services for the appraisal management company;
(9) a certification that the employees of the appraisal
management company working on behalf of the appraisal
management company directly involved in providing
appraisal management services, will be appropriately
trained and familiar with the appraisal process to
completely provide appraisal management services;
(10) an irrevocable Uniform Consent to Service of
Process, under rule; and
(11) a certification that the applicant shall comply
with all other requirements of this Act and rules
established for the implementation of this Act.
(b) Applicants have 3 years from the date of application to
complete the application process. If the process has not been
completed in 3 years, the application shall be denied, the fee
shall be forfeited, and the applicant must reapply and meet the
requirements in effect at the time of reapplication.
(Source: P.A. 97-602, eff. 8-26-11.)
(225 ILCS 459/55)
Sec. 55. Fees.
(a) The fees for the administration and enforcement of this
Act, including, but not limited to, original registration,
renewal, and restoration fees, shall be set by the Department
by rule. The fees shall not be refundable.
(b) All fees and other moneys collected under this Act

SB2852 - 27 - LRB100 16089 SMS 31208 b
shall be deposited in the Appraisal Administration Fund, except
as provided in subsection (c) of this Section.
(c) The administration fee charged by a multi-state
licensing system under Section 32 shall be paid directly to the
multi-state licensing system.
(Source: P.A. 97-602, eff. 8-26-11.)
Section 99. Effective date. This Act takes effect upon
becoming law.
SB2852 - 28 - LRB100 16089 SMS 31208 b
INDEX
Statutes amended in order of appearance