ASC Issues Proposed Rule on Collection and Transmission of Appraisal Management Company Annual Registry Fees
WASHINGTON – The Appraisal Subcommittee of the Federal Financial Institutions Examination Council (ASC) today issued a proposed rule that would implement collection and transmission of appraisal management company (AMC) annual registry fees by State appraiser certifying and licensing agencies that elect to register and supervise AMCs. An AMC is an entity that serves as an intermediary between appraisers and lenders and provides appraisal management services.
Title XI of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA), as amended (Title XI), established the ASC. The purpose of Title XI is to provide protection of Federal financial and public policy interests by upholding Title XI requirements for appraisals performed for federally related transactions. Section 1109 of Title XI was amended by the Dodd-Frank Wall Street Reform and Consumer Protection Act to require States that elect to register and supervise AMCs to collect:
- from AMCs that have been in existence for more than a year an annual registry fee of $25 multiplied by the number of appraisers working for or contracting with such AMC in such State during the previous year; and
- from AMCs that have not been in existence for more than a year, $25 multiplied by an appropriate number to be determined by the
The $25 may be adjusted, up to a maximum of $50, at the discretion of the ASC, if necessary to carry out the ASC’s Title XI functions. The proposed rule would set the annual AMC registry fee that States would collect and transmit to the ASC if they elect to register and supervise AMCs. The proposed rule sets forth the ASC’s interpretation of the phrase “working for or contracting with” as used in the calculation of annual AMC registry fees.
For the proposed rule click HERE. The ASC is seeking comments from the public on all aspects of the proposal. The public will have 60 days to review and comment on the proposal and the proposed Paperwork Reduction Act analysis. The comment period will close on July 19, 2016.
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