BOARD MEMBERS

 Harold G. Brantley, Chair – Appraiser Member

 Sam E. Blackburn, Vice-Chair – Lender Member 

 G. Herbert Pritchett – Appraiser Member

 Dorsey G. Hall – Lender Member 

 Kathy J. Mayfield – Consumer Member

Steven L. Beshear

Governor

 C 

 STAFF 

 Larry Disney – Executive Director

 Angie Thomas – Staff Assistant 

 Ravon Radmard – Executive Secretary 

 

 

135 W. IRVINE STREET, SUITE 301

RICHMOND, KENTUCKY 40475

PHONE: (859) 623-1658 FAX: (859) 623-2598

www.kreab.ky.gov

November 13, 2012 

Ms. Lori Schuster

The Appraisal Subcommittee

1401 H Street NW

Suite 760

Washington DC 20005

RE: Docket Number AS12-16

Dear Ms. Schuster:

On behalf of the Kentucky Real Estate Appraisers Board and staff, it is my pleasure to submit the 

following comments concerning the proposed amendments to the Policy Statements. 

Policy Statement 7:

Item B. Enforcement Process, sub-item 1 includes the comment that “absent special documented 

circumstances, final administrative decisions regarding complaints must occur within one year (12 

months) of the complaint filing date.” 

The above requirement is not considered reasonable, given the make-up of state regulatory processing 

procedures and given the fact that some states have unusually large caseloads compared to other states. 

Also, the time period is dependent upon many factors, e.g., number of credentialed appraisers, number 

of suspicious activity reports, etc.

Frankly, the state appraiser regulatory agencies have few options available to process complaint cases 

within a defined time period, including but not limited to the following:

1. Agency controlled Mediation Hearings that can result in an agreed settlement, in absence of a 

regulatory hearing.
KREAB Comment

Proposed Policy Statement Revisions

November 13, 2012

Page 2 of 2

135 W. IRVINE STREET, SUITE 301

RICHMOND, KENTUCKY 40475

PHONE: (859) 623-1658 FAX: (859) 623-2598

www.kreab.ky.gov

2. The agency having control of the hearing process without any specific time allowances for 

delay.

3. The agency has the funding and resources that will permit investigations to be completed 

within no longer than 3 months, regardless of the number of complaint allegations pending. 

Therefore, if for whatever reason the total time for a complaint allegation being lodged until settlement 

remains at twelve (12) months, there should be a segregation of that time which can be managed under 

the direct control of the agency versus the judicial process, i.e., only the investigation and agency 

controlled mediation process.

The minute the case is scheduled for an administrative hearing or mediation outside the regulatory 

agency control, the time for completion is totally dependent upon the judicial schedule, and outside the 

control of a regulatory agency. Thus, it is not fair or reasonable to cite the regulatory agency for a 

deficiency in these matters. State appraiser regulatory agencies cannot and should not be cited for the 

calendars of which the court system, including the regulatory hearing process, is managed.

This one issue is no doubt cause for the preponderance of state appraiser regulatory agencies being 

noted as out of compliance with the effective enforcement requirements. Continuing to permit this 

unfair practice does no good for the profession or in building of public trust in the process.

The board and staff of the Kentucky Real Estate Appraisers Board strongly encourage an amendment 

to the proposed language in the Timely Enforcement section of the proposed revision to Policy 

Statement 7.

We thank you for this opportunity to comment.

Sincerely,

Larry Disney

Executive Director

Cc: File