Thursday, April 8, 2010
Proposed legislation to regulate Appraisal Management Companies cleared the Regulated Industries Committee in the Florida Senate April 8, 2010. Bills introduced by Senator Lee Constantine (S2210), and Senator Mike Fasano, (S1552), were consolidated with a Committee Substitute.
Senator John Thrasher, of Jacksonville, FL, offered an amendment to the Committee Substitute. The amendment increases the size of the Florida Real Estate Appraisal Board from 7 to 9 members. The two additional members of the FREAB will be representatives of the appraisal management industry.
This is certainly a poke in the eye from the AMC stakeholders. More than likely, the amendment was suggested by the folks from LPS. The company is headquartered in Jacksonville. The deputy general counsel and chief compliance officer for Lender Processing Services, Donald Blanchard, is taking the lead for the AMC stakeholders and actively promoting amendments to weaken the effort to regulate AMCs in the Sunshine State.
Check out Don Blanchard's profile on LinkedIn. Prior to taking the position at LPS, he was Deputy General Counsel, EVP for Countrywide Financial Corp. He also served as president of TAVMA.
It remains to be seen if this amendment will survive through appropriations. Additional board members cost money. We'll keep you posted.
HB 303 - Regulation of Real Estate Appraisers and Appraisal Management Companies, was passed by the House General Government Policy Council with amendments similar to those offered in the Florida Senate Regulated Industries Committee. The General Government Policy Council was the last committee stop for the bill on the House side of the Legislature. Consideration by the full House of Representatives is the next step.
At the request of the Department of Business and Professional Regulation, HB 303 was amended to make the effective date July 1, 2011. This will allow time for the Florida Real Estate Appraisal Board to adopt the necessary rules to enact the legislative requirements.