SB 351 Summary

• Renames the Alabama Real Estate Appraisers Act to the Alabama Real Estate Appraisers and Appraisal Management Company Registration and Regulation Act, establishing a new regulatory framework for appraisal management companies.

• Requires appraisal management companies to register with the State of Alabama Real Estate Appraisers Board and maintain a $20,000 surety bond; registration is valid for one year and must be renewed annually.

• Prohibits appraisal management companies from influencing appraiser independence through coercion, fee manipulation, business threats, or conditioning payments on specific valuations; restricts removal of appraisers without written notice and opportunity to respond.

• Mandates appraisal management companies verify appraiser licenses, conduct annual quality control audits of appraisals, maintain service records for five years, and pay appraisers within 45 days of completed work.

• Authorizes the board to censure, suspend, or revoke registration and impose fines up to $25,000 for violations; excludes entities that exclusively employ in-house appraisers and certain financial institution departments from regulation.