June 8, 2023

A legislative rules committee met Tuesday to review proposed rule changes to the state appraisers program that would make it easier for appraiser trainees to get work experience and address the appraiser shortage in the state.
A proposed “Experience Training Program,” the first of its kind nationally, would act as an internship for trainees while accounting for the lack of supervisors under the current system to complete the state requirements to get their appraiser license.
Yet in the meeting, legislators were unable to approve a memorandum of understanding and review of program work material for the certificate of completion in accordance to the training program’s proposed rules.
The meeting comes a day after the Government Accountability Board ruled to partially close and partially dismiss an investigation into misconduct allegations that Gov. Kristi Noem misused her position to help her daughter, Kassidy Peters, obtain a state real estate appraiser program. 
No discussion about the closed investigation was had during the meeting.
Presenters to the committee acknowledged that requiring a supervisor for appraiser trainees is a major hurdle.
Amy Frank, who in her 25 years of appraisal experience has only had three trainees, said she’s invested roughly $50,000 into her current trainee that’s been with her for a year.
The supervisor requirement was placed in 2009 after complaints from the public that appraisers weren’t experienced enough.
More:Report: Kristi Noem’s daughter got preferential treatment in real estate appraiser program
The proposed program would allow 20 trainees to one trainer for a six-month program as per the federal government guidelines, according to rules proposed by the Department of Labor and Management. 
That six-month program would be administered through a memorandum of understanding between the DOLM and the program administrator, most likely South Dakota State University.
But, appraisers like Frank and Craig Steinley representing the Professional Appraisers Association of South Dakota, worried six months wasn’t enough time for the trainees to get experience that would get them hired.
Steinley explained banks looking to hire appraisers want someone with at least a few years of experience.
More:Gov. Kristi Noem says documents dated after mansion meeting ‘100% prove’ daughter was treated fairly
Steinley, who received grant money to study how more people in South Dakota could become appraisers, recommended an 18-month ETP that would give trainees the experience needed to complete the state licensed credential.
If trainees wanted to pursue a certified residential or certified general credential, they could continue their education. 
“A D.C. program will not work in South Dakota,” he said, criticizing the federal six-month low-end recommendation.
Amber Mulder, representing the DOLM, said the goal of the ETP was for trainees to hit the minimum amount of hours needed and if they felt they needed more experience, they could do it on their own time.
Legislators also worried about the language surrounding the certificate of completion section of rules, stating the language as written did not allow for work materials to be turned over to the DOLM prior to certification.
In the supervisor program, all appraiser work must be turned over to the department for review.
Mulder assured the committee that appraiser work done during the ETP would be reviewed by the trainer.
The Experience Training Program, minus the memorandum of understanding and certificate of completion sections, were passed. 
Follow Annie Todd on Twitter @AnnieTodd96. Reach out to her with tips, questions and other community news at atodd@argusleader.com or give her a call at 605-215-3757.


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