Public Act 098-0444
 
HB2720 EnrolledLRB098 05475 MGM 35509 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 Section 5-5 as follows:
 



    (225 ILCS 458/5-5)


    (Section scheduled to be repealed on January 1, 2022)

    Sec. 5-5. Necessity of license; use of title; exemptions. 

    (a) It
 is unlawful for a person to (i) act, offer services, 
or advertise services

as a State certified general real estate

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.

    (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

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.

    (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

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.


    (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.

    (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) or an employee of a county engineer who 
is a registered professional engineer under the Professional 
Engineering Practice 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 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; 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 engineer who 
    is employed by a county and is a registered professional 
    engineer under the Professional Engineering Practice Act 
    of 1989. In addition to his or her signature, the county 
    engineer shall affix his or her license number to the 
    valuation.
        (1)  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, as

amended; or 
        (2) a valuation waiver in an amount not to exceed 
    $10,000 prepared pursuant to the federal Uniform 
    Relocation Assistance and Real Property Acquisition for 
    Federal and

Federally-Assisted Programs regulations. 
    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.

(Source: P.A. 96-844, eff. 12-23-09; 97-602, eff. 8-26-11.)

 
 
    Section 99. Effective date. This Act takes effect upon 
becoming law.