Bipartisan Legislation Targets Appraisal Licensing Modernization
The Portal for Appraisal Licensing Act, known as the PAL Act, was reintroduced in the House of Representatives April 20. The bipartisan legislation is intended to modernize the real estate appraisal licensing system by reducing costs and cutting red tape for appraisers and those who use the services of appraisers.
HR 2771 is co-sponsored by Reps. Barry Loudermilk, R-Ga.; David Kustoff, R-Tenn.;
Josh Gottheimer, D-N.J.; and Ritchie Torres, D-N.Y. The legislation would modernize the real estate appraisal licensing system by establishing the Portal for Appraisal Licensure, a cloud-based nationwide licensing system for appraisers that would be similar to the regulatory structures enacted for other industries, such as insurance and mortgage originators.
The PAL Act would authorize the Appraisal Subcommittee to work with state appraiser regulatory agencies to utilize the platform for:
- Coordinating with stakeholders to establish and maintain the system,
- Licensing management and establishing consistent application and renewal procedures,
- Coalescing education renewal periods for certified and licensed appraisers,
- Conducting a common background check for states where they are required, and
- Sharing information in real-time across state lines.
The Appraisal Institute views the PAL Act as an opportunity to fix a costly and inefficient system, lower costs and bolster the appeal of the profession.
The legislation currently enjoys bipartisan support with a dozen co-sponsors. Similar legislation has not yet been introduced in the Senate, but AI is hopeful that will soon change.