Appraisal Subcommittee Releases Final Rule on Temporary Waiver Requests

The Federal Registry on Oct. 7 published the Appraisal Subcommittee’s long-awaited final rule, which amends its existing policies on temporary waiver requests. This rule addresses waivers of appraisal licensing requirements, not appraisals, which still must comply with the Uniform Standards of Professional Appraisal Practice. The rule will take effect Dec. 6.

The amended policy redefines “petition” to include state financial institutions’ regulatory agencies as potential petitioners, which could possibly lead to more temporary waiver requests. It also states that mandatory and discretionary waiver terminations must be published in the Federal Register, the latter requiring a 30-day comment period.

The Appraisal Institute and a coalition of valuation organizations submitted a letter in March to the ASC in which they expressed support for actions involving temporary waiver requests, but expressed concerns about unintended negative consequences and continued misunderstanding regarding the nature of relief provided through the grant of a waiver.