An Act to codify an advisory committee board council for the appraisal appraiser certification program.

Be it enacted by the Legislature of the State of South Dakota:

Section 1. That chapter 36-21B be amended with a NEW SECTION:

The secretary of the Department of Labor and Regulation shall establish an advisory committee board council for purposes of soliciting input from appraisers, financial institutions, and other experts in the areas of appraisal appraiser certification program administration, in order to sustain a program that is consistent with applicable federal and state requirements.

The advisory committee board council shall consist of ten eleven members:

(1) One representative Director of the Division of Banking;

(2) One representative Executive Director of the South Dakota Real Estate Commission;

(3) One licensed real estate broker in this state;

(4) One banking financial institution representative;

(5) One mortgage broker; and

(6) Five Six licensed or certified appraisers in this state:

(a) One state-licensed appraiser located anywhere in the state;

(b) Two state-certified residential appraisers, one located in eastern South Dakota and one located in western South Dakota;

(c) Two state-certified general appraisers, one located in eastern South Dakota and one located in western South Dakota; and

(d) One institutional staff appraiser.

Section 2. That chapter 36-21B be amended with a NEW SECTION:

Each committee board council member shall serve a term of three years, except that three of the those who are members as licensed or certified appraisers that are initially appointed shall serve a term of two years. No committee board council member may be appointed to more than three consecutive, full terms. If a vacancy occurs, the board shall appoint a person to fill the unexpired term council will recommend to the secretary of the Department of Labor and Regulation a person to fill the unexpired term. The appointment of a person to an unexpired term is not considered a full term. Term limits do not apply to the director of the Banking Division or the Executive Director of the South Dakota Real Estate Commission. These members represent a department staff position.

The committee board council shall meet quarterly at such time and place within this state as shall be designated by the secretary of the Department of Labor and Regulation. The committee board council shall meet the requirements of chapter 1-25 regarding open meetings.

Each committee board council member, except the members representing a department staff position, shall receive travel and subsistence expense, and per diem in accordance with rules established by the State Board of Finance. In addition, per diem at rates established by the board Eligible members must be paid each member for each day of actual service for traveling to, attending, and returning from meetings of the committee board council. Travel, subsistence, and per diem must be paid on vouchers duly verified and approved according to the rules determined by the board State Board of Finance.

Section 3. That chapter 36-21B be amended with a NEW SECTION:

To be eligible to serve as a council member, a candidate for the appraiser, real estate broker, or mortgage broker position must hold an applicable license, certificate, or credential in good standing in this state. To be considered in good standing, the candidate must not have been subject to any disciplinary action that affects legal eligibility to engage in appraisal practice, real estate brokerage, or mortgage brokerage for three years after successful completion of any sanctions imposed. Examples of sanctions that affect a licensee’s eligibility to practice are suspension, revocation or voluntary surrender.

Section 4. That chapter 36-21B be amended with a NEW SECTION:

If an appraiser, real estate broker, or mortgage broker member of the council is subject to any disciplinary action that affects legal eligibility to engage in appraisal practice, real estate brokerage, or mortgage brokerage, the council shall recommend that the secretary of the Department of Labor and Regulation remove the member.