BILL NUMBER: AB 709	AMENDED
	BILL TEXT

	AMENDED IN SENATE  SEPTEMBER 5, 2007
	AMENDED IN SENATE  MAY 29, 2007
	AMENDED IN ASSEMBLY  MARCH 27, 2007

INTRODUCED BY   Assembly Member Keene

                        FEBRUARY 22, 2007

   An act to add Section 11329 to the Business and Professions Code,
relating to real estate.


	LEGISLATIVE COUNSEL'S DIGEST


   AB 709, as amended, Keene. Real estate appraisers.
   Existing law, the federal Financial Institutions Reform, Recovery
and Enforcement Act of 1989, prohibits the criteria established by
the federal financial institutions regulatory agencies, among other
organizations, from excluding a certified or licensed appraiser for
consideration for an assignment solely by virtue of membership or
lack of membership in any appraisal organization.
   Existing law, the Real Estate Appraisers' Licensing and
Certification Law, provides for the licensure and regulation of real
estate appraisers and vests the duty of enforcing and administering
that law in the Director of the Office of Real Estate Appraisers.
   This bill would provide that when a public agency, including, but
not limited to, a city or county, decides that a contract with a
designated member of an appraisal organization is necessary to
provide an appraisal, as defined, of real property, any designated
member of any appraisal organization that is a member of the
Appraisal Foundation shall be allowed to submit a proposal if
specified criteria are met. The bill would authorize that member to
bring a civil action  for equitable relief  against a public
agency that violates this provision, as specified, and would
prohibit the office from participating in that action.  The bill
would prohibit a public agency from requiring the member to waive
certain rights, including the right to bring that action, as a
condition of submitting a proposal or doing business with the agency.
The bill would require that a waiver by a member of the right to
file and pursue a civil action be knowing, voluntary, and not made a
condition of submitting a proposal or doing business with a public
agency, and would, among other things,   provide that the
public agency has the burden of provi   ng that the waiver
meets those conditions.  The bill would also prohibit construing
the Real Estate Appraisers' Licensing and Certification Law to
require or authorize the office or the director to enforce 
this provision   these provisions  .
   By requiring a city or county, among others, to allow those
specified members to submit a proposal, this bill would impose a
state-mandated local program.
   The California Constitution requires the state to reimburse local
agencies and school districts for certain costs mandated by the
state. Statutory provisions establish procedures for making that
reimbursement.
   This bill would provide that, if the Commission on State Mandates
determines that the bill contains costs mandated by the state,
reimbursement for those costs shall be made pursuant to these
statutory provisions.
   Vote: majority. Appropriation: no. Fiscal committee: yes.
State-mandated local program: yes.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 11329 is added to the Business and Professions
Code, to read:
   11329.  (a) Notwithstanding any other provision of law, when a
public agency decides that a contract with a designated member of an
appraisal organization is necessary to provide an appraisal of real
property, any designated member of any appraisal organization that is
a member of the Appraisal Foundation shall be allowed to submit a
proposal if both of the following requirements are met:
   (1) The member has at least five years of experience as a licensed
appraiser at a certified level. A member with a license at a
certified level issued by another state shall obtain a reciprocal
license at a certified level pursuant to the regulations adopted by
the director.
   (2) The appraisal is performed pursuant to the Uniform Standards
of Professional Appraisal Practice.
   (b) A designated member of an appraisal organization that is a
member of the Appraisal Foundation who meets the requirements of
subdivision (a) but is not allowed to submit a proposal in violation
of this section may bring a civil action  for equitable relief
 against the public agency that committed the violation. The
office shall not participate in an action brought pursuant to this
subdivision. 
   (c) A public agency shall not require a member to waive the rights
provided under this section, or any right or procedure provided for
in any other state law regarding the right to file and pursue a civil
action, as a condition of submitting a proposal or doing business
with the agency. Any waiver by a member of the right to file and
pursue a civil action must be knowing, voluntary, and not made a
condition of submitting a proposal or doing business with a public
agency. Any waiver by a member, including, but not limited to, an
agreement to arbitrate a claim, that is required as a condition of
submitting a proposal or doing business with a public agency shall be
presumed involuntary, unconscionable, against public policy, and
unenforceable. The public agency has the burden of proving that any
waiver of rights, including any agreement to arbitrate a claim, was
knowing, voluntary, and not made a condition of submitting a proposal
or doing business with the agency. For purposes of this subdivision,
"member" means a designated member of an appraisal organization that
is a member of the Appraisal Foundation.  
   (c) 
    (d)    For purposes of this section, the
following terms shall have the following meanings:
   (1) "Appraisal" means a written estimate of value based upon the
assembling, analyzing, and reconciling of facts and value indicators
for the real property in question.
   (2) "Public agency" means the state or any city, county, city and
county, district, or other local authority or public body of or
within the state. 
   (d) 
    (e)    Nothing in this part shall be construed
to authorize or require the office or the director to enforce this
section.
  SEC. 2.  If the Commission on State Mandates determines that this
act contains costs mandated by the state, reimbursement to local
agencies and school districts for those costs shall be made pursuant
to Part 7 (commencing with Section 17500) of Division 4 of Title 2 of
the Government Code.