(a)

1. (1)

   1. (A) Before applying for registration in Arkansas, the appraisal management company must be registered with the Secretary of State.
   2. (B) The appraisal management company must maintain the registered business name with the Secretary of State.
   3. (C) The appraisal management company must use the registered business name for all transactions in this state.
2. (2) A domestic appraisal management company shall designate an agent for service of process pursuant to Arkansas Code § 4-20-105(a).
3. (3) A foreign appraisal management company shall provide a certificate of authority issued by the Secretary of State and a copy of the company’s filing with the Secretary of State appointing an agent for service of process.

(b) General application requirements for initial registration and renewal.

1. (1) An appraisal management company shall submit to the State Board of Appraisers, Abstracters, and Home Inspectors the following information to apply for initial registration and renewal:

   1. (A)

(i) A completed written application form, available on the board's website or from the board office.

1. (ii) Required information includes, but is not limited to:

(a)

1. (1) (a)(1) The name, mailing address, website address, and telephone number of the AMC.
2. (2) (2) The name on the application form must match the name registered with the Secretary of State;

(b) (b) The name, mailing address, email address, and telephone contact information of the controlling person or managing principal;

1. (c) (c) The name, mailing address, email address, and telephone contact information of any subject individual that owns ten percent (10%) or more of the AMC;

   1. (d) (d) For all subject individuals, the credential numbers issued by any state to do business as an appraiser;

(g)

1. (1) (g)(1) The application shall be accompanied with a surety bond in the amount of twenty thousand dollars ($20,000) in a form and format approved by the board.
2. (2) (2) Cash or securities may, with the board’s approval, be deposited in lieu of a bond;

(h) (h) The AMC shall submit with the application the required filing fee stipulated on the form; and

1. (i) (i) A completed criminal history report authorization form for all subject individuals;

   1. (B) A disclosure and documentation of any administrative disciplinary action must be included with the application if an AMC, in whole or in part, directly or indirectly, is owned by any person or subject individual who has had his or her appraiser credential refused, denied, cancelled, surrendered in lieu of revocation, or revoked in any state for a substantive cause;
   2. (C) A signed and dated certification attesting to all the requirements found in Arkansas Code § 17-14-405(b)(6); and

   3. (D) A signed and dated certification attesting the following:

      1. (i) That the AMC maintains for at least five (5) years:

(b) (b) A copy of each written complaint received by the appraisal management company, along with proof of documentation showing the complaint was forwarded to the AMC’s client for the appraisal assignment;

1. (ii) A certification that any employee of the appraisal management company that performs the act or process of developing and communicating a reviewer’s own opinion of value as part of the appraisal review for a property located in this state is an Arkansas credentialed real estate appraiser; and

   1. (iii) Maintain a system to verify the competency of appraisers on the AMC’s appraiser panel that meets the minimum requirements in Arkansas Code § 17-14-405(b)(6).

2. (2)

   1. (A) If the board finds that there is substantial reason to deny the application, the board shall notify the applicant that the application has been denied and shall afford the applicant an opportunity for a hearing before the board to show cause why the application should not be denied.
   2. (B) All proceedings concerning the denial of a certificate of registration shall be governed by the Arkansas Administrative Procedure Act, Arkansas Code § 25-15-201 et seq.
3. (3) The acceptance by the board of an application for registration does not constitute the approval of its contents or waive the authority of the board to take disciplinary action.

4. (4) Initial registrations are issued for a period of twelve (12) months.

   1. (c) Criteria specific to renewal.
5. (1) An appraisal management company’s registration will be placed in an inactive status if the renewal fees are not paid by the expiration date.
6. (2) An AMC whose registration is in an inactive status shall cease operating as an appraisal management company in Arkansas.
7. (3) Renewal applications received after the expiration date and within six (6) months of the expiration of the registration shall be assessed a late fee of fifty dollars ($50.00) per month or partial month, in addition to the renewal fee.
8. (4) If an AMC whose registration is in an inactive status does not submit a complete renewal application within six (6) months from the date of expiration of the registration, the appraisal management company must reapply and pay all applicable fees.

9. (5)

   1. (A) It is the policy of the board to mail or send electronically a renewal notice to registrants at the last mailing address or email address on file with the board at least thirty (30) days prior to the expiration date of the registration.

   2. (B) Neither the failure of the board to send such a notice nor the registrant’s failure to receive such a notice shall excuse the requirement to timely renew and pay the renewal fee.

      1. (d) Criminal background checks.
10. (1) When an applicant applies for initial registration or renewal, and the board receives the appropriate application form and the appropriate fee, the board staff will provide the applicant with instructions to obtain his or her background check.
11. (2) If the applicant does not have a criminal history, agency personnel will issue the AMC registration when all other requirements are fulfilled.

12. (3)

    1. (A) If the applicant’s criminal history report contains a disqualifying conviction or convictions, the applicant’s application will not be approved.
    2. (B) A letter indicating there is a disqualifying conviction will be sent to the applicant by restricted and certified mail with the applicant as the only person who may sign for the receipt of the letter at the United States Postal Service.

13. (4)

    1. (A) It is the policy of the board not to provide a copy of the Federal Bureau of Investigation criminal history record to the applicant.
    2. (B) The applicant may obtain a copy of the record by submitting fingerprints and a fee to the Federal Bureau of Investigation.
    3. (C) Information regarding this process may be obtained on the Federal Bureau of Investigation’s website.

14. (5) Each applicant with a disqualifying conviction who requests a waiver may:

    1. (A) Appear before the board; or
    2. (B) Choose to allow the board to make a determination on the request for a waiver based on the file documentation obtained by the board and that submitted by the applicant.
15. (6) Waiver requests for a disqualifying conviction may be made in accordance with 17 CAR § 200-103(e).