Passage of HB 2806 and signing by the Governor has now made the West Virginia appraisal management company bond a statutory requirement for operating within the state. The new law defines AMCs and their services as a person or firm that performs or provides appraisal management services, directly or indirectly, through the use of software products or online, or by any means of communication. “Appraisal management services” means the business of managing the process of having an appraisal performed for compensation or pecuniary gain requires licensing and a West Virginia appraisal management company bond, Those services include but are not limited to: (1) Conducting business directly or indirectly by telephone, electronically, mail or in person; (2) Providing related administrative and clerical duties; (3) Recruiting, selecting or retaining appraisers; (4) Verifying qualifications of appraisers; 5) Establishing and administering an appraiser panel; 6) Receiving appraisal orders from clients; 7) Contracting and negotiating fees with appraisers to perform appraisal services; (8) Receiving appraisals from the appraiser and submitting completed appraisals to clients; (9) Tracking and determining the status of orders for appraisals; (10) Reviewing, verifying and conducting quality control of a completed appraisal; (11) Collecting fees from the clients; and, (12) Compensating appraisers for appraisal services rendered. The West Virginia appraisal management company bond is contemplated under WV §30-38A-9. The surety bond must not exceed $100,000, be in the form prescribed by the Appraisers Board, be issued by an surety company authorized to do business in West Virginia and accrue to the state for the benefit of any claimant against the registrant to secure the faithful performance of the registrant’s obligations. The Appraisers Board may bring suit on behalf of the party having a claim against the registrant. Consumer claims shall be given priority in recovering from the surety bond and claimants may make claim under the West Virginia appraisal management company bond for up to one year after the AMC ceases doing business in West Virginia. Currently no bond form has been offered under the rulemaking authority of the Board so we have no indication as to how onerous the obligation will be or what formula the Board will use to determine an applicant’s bond penal sum. Regardless of the Board’s manuscripted bond obligation, national surety leader, Surety One, Inc. will offer same day bonding of all appraisal management company bond applicants in West Virginia. Operating in multiple states? No problem! We offer surety bonds in ALL fifty states. Visit SuretyOne.com, call (787) 333-0222 or (800) 373-2804, or email Underwriting@SuretyOne.com for further information on the new West Virginia AMC surety bond law or for a West Virginia appraisal management company bond application
