Circular No. 204/2014/TT-BTC on training and professional development in real estate appraisal

CIRCULAR

Article 24Regulations on training and professional development in the specialized field of valuation

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Pursuant to the Law on Prices No. 11/2012/QH13 dated June 20, 2012;

Pursuant to the Government Decree No. 89/2013/NĐ-CP dated August 6, 2013 detailing certain provisions of the Price Law on valuation;

Pursuant to Decree No. 215/2013/NĐ-CP dated December 23, 2013, promulgated by the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

At the proposal of the Director of the Price Management Department;

The Minister of Finance shall issue a Circular to regulate training and professional development in the specialized field of valuation.

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Circular regulates training and professional development in the specialized field of valuation; issuance of certificates for valuation practice training, certificates for specialized professional development in valuation, and certificates for professional knowledge enhancement in valuation.

Article 2. Applicability

This Circular applies to individuals seeking to take the examination for obtaining a Valuation Practitioner Card, holders of Valuation Practitioner Cards, valuation practitioners engaged in practice; civil servants working in valuation activities in state agencies; organizations conducting training and professional development in the specialized field of valuation; state management agencies on valuation and other relevant agencies, organizations, and individuals involved in training and professional development in the specialized field of valuation (hereinafter referred to as training and professional development).

Article 3. Purpose of Training and Professional Development

1. To equip, systematize, and update knowledge about prices, valuation, and related laws to enhance valuation capabilities for individuals seeking to obtain a Valuation Practitioner Card, civil servants working in valuation activities in state agencies, and practicing valuation practitioners; at the same time, to improve understanding of valuation knowledge for those with such needs.

2. To standardize professional and vocational qualifications for individuals engaged in valuation activities.

Article 4. Principles of Training and Professional Development

1. Programs, contents, and duration of training and professional development in the specialized field of valuation must be appropriate for participants in accordance with this Circular.

2. Organizing training and professional development in the specialized field of valuation must comply with the provisions of this Circular.

3. The content of training and professional development in the specialized field of valuation must ensure continuous updates, quality improvement, and meet the requirements of participants, valuation firms, and state agencies.

Article 5. Requirements for Organizations Conducting Training and Professional Development

When organizing training and professional development, organizations must meet the following requirements:

1. Having a teaching staff meeting the standards stipulated in Article 6 of this Circular.

2. Having sufficient facilities to support training and professional development activities, including classrooms, desks, blackboards, teaching aids, and necessary equipment (owned or leased under contracts).

3. Having plans and programs for training and professional development in the specialized field of valuation that comply with this Circular.

Article 6. Standards for Teaching Staff Participating in Training and Professional Development

Teaching staff participating in training and professional development must meet the following standards:

1. For training in valuation practices and professional development in the specialized field of valuation:

a) Possessing a bachelor's or postgraduate degree in a relevant field corresponding to the subject taught;

b) Having at least 5 (five) years of work experience in research, teaching, or practical state management in the specialized field of valuation at Academies, Universities, or in relevant fields as specified in this Circular.

2. For professional knowledge enhancement in valuation:

a) Meeting the standards set out in Clause 1 of this Article;

b) Valuation practitioners participating in teaching must have at least 7 (seven) years of experience in valuation practice.

Article 7. Rights and responsibilities of training and development organizing units

1. Rights of training and development organizing units

a) Enrolling students and proactively implementing training and development activities in accordance with the objects specified in Articles 10, 16, and 22 of this Circular;

b) Collecting service fees from participants attending the courses. The level of service fee collection for training and development is decided by the head of the training and development unit. Collection, management, and utilization shall be carried out in accordance with the provisions of the law;

c) Issuing Professional Appraisal Training Certificates, Specialized Appraisal Training Development Certificates, and Knowledge Enhancement Certificates on Appraisal issued in accordance with Articles 15, 21, and 26 of this Circular.

2. Responsibilities of training and development organizing units

a) Adhering to regulations on organizing training and development; inspecting, evaluating learning outcomes, and issuing Certificates and Certificates of Completion in accordance with the provisions of this Circular;

b) Strictly complying with reporting systems as stipulated in this Circular;

c) Being responsible under the law for the accuracy and legality of Certificates and Certificates of Completion issued by their own unit;

d) Not issuing Certificates and Certificates of Completion to individuals not listed in the enrollment list or those who participated in the course but did not meet the requirements of the course as stipulated in this Circular;

đ) Retaining all relevant files related to the organization of training and development as specified in Article 9 of this Circular;

e) Providing complete, accurate, and timely information, documents, and reports as required by competent state agencies regarding the organization of training and development;

g) Being subject to inspection and supervision by the Ministry of Finance in the implementation of the provisions of this Circular.

Article 8. Procedures for organizing training and development

1. When organizing specialized appraisal training and development, the training and development organizing unit must meet all requirements stipulated in Article 5 of this Circular. During the process of organizing training and development, within the latest ten working days from the date of failing to meet these requirements, the unit has the responsibility to report in writing to the Ministry of Finance.

2. At least five working days before the start of the course/class (each course/class), the training and development organizing unit must send to the Ministry of Finance (Price Management Department) a notice of the course/class opening, along with the following documents:

a) Decision to open the course/class by the head of the unit;

b) List of students and lecturers according to the Model prescribed in Appendix No. 1 promulgated together with this Circular;

c) List of Course/Class Management Board;

d) Content, program, materials, and schedule of the course/class.

3. Upon completion of each topic, the training and development organizing unit must collect student feedback on the quality of the course/class (including knowledge enhancement classes on appraisal) using the Quality Assessment Form as prescribed in Appendix No. 2 promulgated together with this Circular.

4. Within the latest ten working days from the end of the course/class, the training and development organizing unit must submit to the Ministry of Finance (Price Management Department) a report on the results of training and development, along with the following documents:

a) Decision recognizing the achievement of course/class requirements;

b) List of students meeting course/class requirements and receiving Certificates/Certificates of Completion as prescribed in Appendix No. 3 promulgated together with this Circular.

5. Annually, the training and development organizing unit must submit a report on the annual situation and direction of training and development activities to the Ministry of Finance (Price Management Department) according to the Report Model prescribed in Appendix No. 4 promulgated together with this Circular. The deadline for submitting the report is no later than January 31 of the year immediately following the reported year.

Article 9. Archiving Training and Refresher Course Records

1. The archiving of training and refresher course records includes:

a) Documents stipulated in Articles 8 and 12 of this Circular;

b) Teaching contracts and contract termination documents (if any);

c) Attendance sheets for each participant with signatures from instructors confirming attendance at each session;

d) Application forms for participants or Decisions from units sending them to train (if any);

đ) Participants' examination papers;

e) Certified copies or copies verified against original Appraiser Qualification Cards for participants attending refresher courses on appraisal expertise;

g) Documentation proving the qualifications and work experience of instructors participating in teaching;

h) Quality assessment forms for training and refresher courses;

i) Other related documents (if any).

2. The minimum retention period is 10 (ten) years.

Chapter II

TRAINING IN APPRAISAL PRACTICE

Article 10. Training Recipients

1. Individuals who wish to take the exam to obtain an Appraiser Qualification Card.

2. Other individuals with relevant needs.

Article 11. Training Organizing Units

Units that meet the requirements for organizing training and refresher courses as stipulated in Article 5 of this Circular may organize training in appraisal practice:

1. Academies and Universities with specialized training programs in appraisal approved by competent state authorities according to the law.

2. Units under the Ministry of Finance with functions to provide training and refresher courses in appraisal practice.

3. Professional organizations in appraisal.

Article 12. Registration for Training

1. Training units specified in Article 11 of this Circular can only organize training and issue Appraisal Practice Training Certificates after registering with the Ministry of Finance and receiving written approval from the Ministry of Finance regarding their training activities.

2. Contents of the registration documents

a) A training registration form for appraisal practice according to the Model prescribed in Appendix 5 issued together with this Circular;

b) For Academies and Universities: Certified copies of establishment decisions issued by competent state authorities; Documentation proving the training programs offered, including appraisal expertise.

For units under the Ministry of Finance with functions to provide training and refresher courses in appraisal practice: Certified copies of establishment decisions issued by competent state authorities; Regulations on organizational structure and operations of the unit, including its training and refresher course functions in appraisal practice.

For the Vietnam Appraisal Association: Certified copies of the Association's Charter approved by competent state authorities.

c) Training program plans for appraisal practice approved by the head of the training unit;

d) Lists of instructors participating in teaching and proposed locations for training;

đ) Models of Appraisal Practice Training Certificates according to the Model prescribed in Appendix 6 issued together with this Circular.

3. The head of the training organizing unit is responsible for the information declared in the training registration dossier.

4. Within 15 (fifteen) working days from the date of receipt of a complete set of registration documents as prescribed, the Ministry of Finance will review and issue a written approval for the unit to organize training in appraisal practice. In case of rejection, the Ministry of Finance will respond in writing and specify the reasons for rejection.

Article 13. Forms of organization, content, and training program for appraisal business skills

1. The appraisal business skills training course shall be organized in a concentrated period continuously or in multiple periods but not exceeding three (3) months for each course and must ensure sufficient teaching and learning duration, content, and program as prescribed in Clause 2 of this Article.

2. The minimum duration for a training course is set at 160 hours, including review content and examination to assess learning outcomes. One hour is calculated as fifty (50) minutes of study and ten (10) minutes of break time.

3. A class of the appraisal business skills training course shall have a maximum of seventy (70) trainees.

4. The training organizing unit shall use the Appraisal Business Skills Training Materials issued uniformly nationwide by the Ministry of Finance as stipulated in Article 28 of this Circular; and shall be responsible for updating new contents and regulations related to the pricing and appraisal field during the teaching process.

Article 14. Examination and assessment of learning outcomes

1. At the end of the appraisal business skills training course, the training organizing unit must organize an examination and assessment of learning outcomes. The examination will be conducted through two (2) written tests; wherein, the test for common knowledge part lasts one hundred twenty (120) minutes, and the test for business skills knowledge part lasts one hundred fifty (150) minutes. The content of the tests must reflect the basic knowledge of the subjects in the curriculum.

2. Marks for the tests are scored on a scale of ten (10) points. A test score below five (5) points is considered unsatisfactory.

3. Trainees who do not attend the minimum eighty percent (80%) of the training time as prescribed for each course component shall not be eligible to participate in the examination and assessment of learning outcomes for that component and must retake the missing component.

4. In cases where trainees cannot attend the examination and assessment due to maternity leave, accidents, illness with a hospital certificate (hereinafter referred to as special reasons), the trainee must submit a request to postpone the examination and must obtain approval from the Head of the training organizing unit.

5. Trainees who fail the examination and those who did not take the examination due to special reasons as prescribed in Clause 4 of this Article have the right to retake the examination once. The time for organizing the retake examination for these trainees shall be decided by the Head of the training organizing unit but not later than six (6) months from the date of completion of the training course.

Article 15. Certificate of Appraisal Business Skills Training

1. Trainees who achieve a score of five (5) points or higher in all tests are deemed to have met the requirements of the course and shall be awarded the Certificate of Appraisal Business Skills Training.

2. The Head of the training organizing unit (or a deputy authorized by the Head of the training organizing unit) shall sign and issue the Certificate of Appraisal Business Skills Training.

The Certificate of Appraisal Business Skills Training shall be in accordance with the Model prescribed in Appendix 6 attached to this Circular and must bear the embossed photograph stamp of the trainee.

3. The Certificate of Appraisal Business Skills Training is one of the conditions for registering to take the examination for the Appraiser License.

4. Cases of reissuing the Certificate due to loss, damage, fire, destruction caused by natural disasters, enemy actions, or other force majeure reasons shall be reviewed and decided by the training organizing unit, but must clearly state the reissued Certificate and bear legal responsibility for such reissuance.

Chapter III

CONTINUING PROFESSIONAL DEVELOPMENT IN APPRAISAL BUSINESS SKILLS

Article 16. Recipients of Training

1. Officials and civil servants engaged in appraisal work in state agencies.

2. Other officials and civil servants who have a need for training in specialized appraisal work.

Article 17. Units Organizing Training

The following units that meet the requirements for organizing training as stipulated in Article 5 of this Circular shall be authorized to organize specialized appraisal training:

1. The Financial Cadre Training School under the Ministry of Finance.

2. The National Data Center and Price Service Center under the Price Management Department (Ministry of Finance).

Article 18. Forms of Organization, Content, and Program of Specialized Appraisal Training

1. A specialized appraisal training course shall be organized in a concentrated manner for a continuous period not exceeding two weeks per course and must ensure sufficient teaching and learning time, content, and program as prescribed in Clause 2 of this Article.

2. The minimum duration for a training course is 44 hours, including review content and assessment of learning outcomes. One hour is calculated as 50 minutes of study and 10 minutes of break.

3. A class in a specialized appraisal training course shall have a maximum of 70 trainees.

Article 19. Organization of Compilation and Review of Training Materials for Specialized Appraisal Work

1. The unit organizing the training course shall compile training materials based on the unified appraisal vocational training materials issued by the Ministry of Finance nationwide; at the same time, it must include contents on state management in the field of prices, appraisals, and implementation of state appraisals.

2. The Ministry of Finance shall organize the review of training materials compiled by the training organizing unit.

3. The composition, tasks, working regulations of the Review Board; the procedures for organizing the review of training materials shall be carried out in accordance with the laws on training and cadre development.

Article 20. Assessment of Learning Outcomes

1. At the end of the specialized appraisal training course, the training organizing unit must organize an assessment of learning outcomes. The assessment will be conducted through a written test lasting 150 minutes. The test content must reflect the basic knowledge of the topics in the training program.

2. The test score is marked out of ten points. A test score below five points is considered unsatisfactory.

3. Trainees who do not attend at least 80% of the training time specified for each module according to the course requirements shall not be eligible to participate in the assessment of learning outcomes and must retake the missed modules.

4. In special circumstances, if trainees do not participate in the assessment of learning outcomes, they must submit a request for postponement of the test and obtain approval from the Head of the training course organizing unit.

5. Trainees who fail the test and those who did not take the test due to special reasons as stipulated in Clause 4 of this Article have the right to retake the test once. The time for organizing the retake test for these trainees shall be decided by the Head of the training organizing unit but shall not exceed six months from the date of completion of the training course.

Article 21. Certificate for Professional Training in Valuation Appraisal

1. A trainee who scores 5 (five) points or higher on the examination will be considered to have met the course requirements and will be issued a Certificate for Professional Training in Valuation Appraisal.

2. The head of the training unit (or his/her deputy authorized by the head of the training unit) shall sign and issue the Certificate for Professional Training in Valuation Appraisal.

The Certificate for Professional Training in Valuation Appraisal shall be in accordance with the Model specified in Appendix No. 6 attached hereto and must bear the embossed photograph stamp of the trainee.

3. In cases where the Certificate needs to be reissued due to loss, damage, fire, destruction caused by natural disasters, enemy actions, or other force majeure reasons, the training unit shall examine and decide on such reissuance but must clearly record the reissued Certificate and assume legal responsibility for this reissuance.

4. Officials and civil servants holding the Certificate for Professional Training in Valuation Appraisal; officials and civil servants holding the Valuation Appraiser Card issued by the Ministry of Finance, and officials and civil servants who already hold a college, university, or postgraduate degree in price management or valuation appraisal may participate in the Valuation Appraisal Review Board as stipulated in Clause 2, Article 28 of Decree No. 89/2013/NĐ-CP dated August 6, 2013 of the Government detailing the implementation of certain provisions of the Law on Prices regarding valuation appraisal.

Chapter IV

SPECIALIZATION KNOWLEDGE TRAINING ON VALUATION APPRAISAL

Article 22. Recipients of Knowledge Training

Specialization knowledge training on valuation appraisal (hereinafter referred to as updating knowledge on valuation appraisal) shall be provided to the following recipients:

1. Valuation appraisers practicing their profession.

2. Individuals holding a Valuation Appraiser Card but not having registered to practice within twelve months from the date of issuance of the Card, or valuation appraisers who have ceased registration to practice for more than twelve months.

3. Other individuals with a need.

Article 23. Units Organizing Knowledge Updates

The following units that meet the training and professional development requirements set forth in Article 5 of this Circular shall organize updates on knowledge on valuation appraisal:

1. National Data Center and Price Service Center under the Price Management Department (Ministry of Finance).

2. Professional organizations in valuation appraisal.

Article 24. Forms, Contents, Materials, and Duration of Knowledge Updates on Valuation Appraisal

1. Forms of knowledge update

a) Attending knowledge update classes;

b) Participating in teaching knowledge update classes for valuation appraisers as stipulated in point a, Clause 1 of this Article;

c) Attending formal meetings of the Association of Valuation Appraisers in ASEAN (AVA) where there are specialized seminars on valuation appraisal.

2. Content of knowledge update

a) Legal regulations on prices, valuation appraisals, and related laws affecting valuation appraisal activities in Vietnam and internationally updated during the year of update;

b) Management skills, valuation appraisal experience, case studies on valuation appraisal; Vietnamese valuation standards, international valuation standards, and professional ethics;

c) Other relevant knowledge and information on valuation appraisal.

3. Materials for knowledge update

a) Knowledge update materials must contain basic contents as prescribed in Clause 2 of this Article and be presented in the form of written documents or electronic data;

b) Knowledge update materials shall be compiled for each class and implemented by the organizing unit. These materials must be submitted to the Ministry of Finance together with the notice of the first class opening in the year of update as stipulated in Clause 2, Article 8 of this Circular for the Ministry of Finance to review and adjust the content if necessary.

4. The minimum duration for knowledge update is twenty hours within the one-year period immediately preceding the date of registration for valuation appraisal practice.

Article 25. Calculation of Update Hours Knowledge

1. The update of knowledge on valuation appraisal shall be organized into multiple classes within a year. Each class shall be held continuously for one period and must ensure sufficient time, content, and materials in accordance with the provisions of Clause 2, Clause 3, and Clause 4 of Article 24 of this Circular. Each knowledge update class shall not exceed 70 participants.

2. Valuation appraisers attending classes to update knowledge on valuation appraisal shall have their update hours calculated at a ratio of 1 hour of study equals 1 hour of update knowledge. The duration of update hours shall not exceed 4 (four) hours/session and 8 (eight) hours/day. Valuation appraisers must attend the full duration of a course to be eligible for calculation of update hours for that course.

3. Valuation appraisers participating in teaching classes to update knowledge for other valuation appraisers shall have their update hours calculated at a ratio of 1 hour of teaching equals 1.5 hours of update knowledge. The duration of teaching hours shall not exceed 4 (four) hours/session and 8 (eight) hours/day..

4. Valuation appraisers who have attended update classes or participated in teaching update classes but have not completed the required number of update hours as stipulated in Clause 4 of Article 24 of this Circular must continue to attend other update classes organized by the same entity to make up the required number of update hours, but not more than 2 (two) classes/year.

5. In cases where valuation appraisers are unable to complete the required update knowledge time due to maternity leave, accidents, illness, and have a certificate from a hospital for more than 2 (two) months, they may postpone their update hours for the year if they meet the following three conditions:

a) Submitting a request for postponement of update hours for the year to the Ministry of Finance (Price Management Department);

b) Having a certificate from the organization providing updates confirming that the valuation appraiser has updated knowledge for at least 10 hours;

c) Providing proof for the special reasons mentioned above (original copy).

Within 10 (ten) working days from the date of receipt of the request for postponement of update hours and related documents, the Ministry of Finance (Price Management Department) will issue a response regarding the postponement of update hours.

6. Valuation appraisers whose update hours for the year are postponed according to Clause 5 of this Article may continue to register for practice in the following year but must complete the remaining update hours from the previous year within the following year, no later than six months from the date of approval of the registration for valuation appraisal practice.

If, after six months, the required number of update hours is not completed, such valuation appraiser shall not be permitted to practice valuation appraisal until they complete the required number of update hours as stipulated in Clause 4 of Article 24 of this Circular.

7. Valuation appraisers who participate in formal meetings of the Association of Valuation Appraisers of ASEAN (AVA) and whose meeting program includes specialized seminars on valuation appraisal shall be considered to have attended 20 hours of update knowledge.

Article 26. Certificate of Knowledge Update on Valuation Appraisal

1. Valuation appraisers who have completed the required number of update hours as stipulated in Clause 4 of Article 24 of this Circular shall be issued a Certificate of Knowledge Update on Valuation Appraisal.

2. The head of the entity organizing the update (or a deputy authorized by the head of the entity organizing the update) shall sign and issue the Certificate of Knowledge Update on Valuation Appraisal.

The Certificate of Knowledge Update on Valuation Appraisal shall be in the form prescribed in Appendix No. 6 attached to this Circular.

3. The Certificate of Knowledge Update on Valuation Appraisal is one of the conditions for valuation appraisers to register for practice in valuation appraisal.

In cases where valuation appraisers participate in formal meetings of the Association of Valuation Appraisers of ASEAN (AVA) and the meeting program includes specialized seminars on valuation appraisal, the Certificate of Participation in the Meeting shall serve as a substitute for the Certificate of Knowledge Update on Valuation Appraisal when registering for practice in valuation appraisal.

Chapter V

IMPLEMENTATION

Article 27. Responsibilities of the Ministry of Finance in managing training and professional development in appraisal valuation

1. Receiving and reviewing applications for organizing professional training in appraisal valuation. Issuing approval or disapproval documents for units to organize training according to regulations.

2. Supervising and inspecting the organization of training and professional development in appraisal valuation; promptly identifying and handling violations according to legal provisions.

3. Receiving, processing, and storing training and professional development materials in appraisal valuation as stipulated in Articles 8, 12, and Clause 5 of Article 25 of this Circular for a minimum period of 10 (ten) years from the year of implementation.

4. Periodically or unexpectedly, the Ministry of Finance (Price Management Department) conducts inspections on the organization of training and professional development in appraisal valuation by training and development units.

Article 28. Training Materials for Professional Appraisal Valuation

1. The Ministry of Finance takes the lead and coordinates with professional organizations in appraisal valuation and related units to compile unified training materials for professional appraisal valuation throughout the country.

2. Training materials for professional appraisal valuation must be consistent with the content and training program for professional appraisal valuation as stipulated in Clauses 1 and 2 of Article 13 of this Circular. Lecturers must regularly update policies, laws, and current situations up to the time of the course to teach students.

3. The Ministry of Finance uniformly manages the issuance of training materials for professional appraisal valuation that charge fees to ensure compensation for compilation, printing, and distribution costs.

Article 29. Administrative Sanctions for Organizing Training and Professional Development in Appraisal Valuation

1. Organizations and individuals who violate administrative regulations in organizing training and professional development in appraisal valuation as stipulated in this Circular shall be subject to administrative sanctions ranging from warnings to suspension of training activities, revocation of issued certificates and training certificates, depending on the nature and severity of the violation.

2. The authority to impose sanctions, forms of sanctions, fines, supplementary measures, and remedial actions for violations are implemented according to the provisions of Government Decree No. 109/2013/ND-CP dated September 24, 2013, on administrative sanctions in price management, fees, charges, invoices, and guiding documents.

Chapter VI

IMPLEMENTING PROVISIONS

Article 30. Transitional Provisions

1. Certificates for training and professional development in appraisal valuation issued according to Decision No. 87/2008/QD-BTC dated October 22, 2008, of the Minister of Finance before the effective date of this Circular continue to be valid and can be used to register for the examination to obtain an Appraiser Certificate.

2. Within the latest six (6) months from the effective date of this Circular, training and development units for professional appraisal valuation according to Decision No. 87/2008/QD-BTC dated October 22, 2008, of the Minister of Finance must re-register for professional appraisal valuation training according to this Circular to continue organizing training.

Article 31. Effective Date

1. This Circular takes effect from February 15, 2015, and replaces Decision No. 87/2008/QD-BTC dated October 22, 2008, of the Minister of Finance on the issuance of regulations on training and professional development in appraisal valuation.

2. During the implementation process, if there are difficulties or obstacles, they should be reported promptly for the Ministry of Finance to study and make appropriate amendments and supplements./.