State lawmakers to look into Noem, appraisers
SIOUX FALLS, S.D. – South Dakota lawmakers will be taking a look at a state agency that has been at the center of questions about whether Gov. Kristi Noem used her influence to aid her daughter’s application for a real estate appraiser license.
At first glance, the first item of business for the Legislature’s Government Operations and Audit Committee on Thursday appears routine: “Department of Labor and Regulation to discuss the Appraiser Certification Program.”
But it could have a big impact for the Republican governor, who has generated speculation about a 2024 White House bid. Noem has come under scrutiny after The Associated Press reported that she held a meeting in her office last year that included her daughter, Kassidy Peters, and the director of the Appraiser Certification Program, which had moved days earlier to deny Peters’ application for a license. Peters received her certification four months later.
Here’s what to know about the committee’s meeting:
Who will be speaking?
Lawmakers have carved out a few hours to hear from four people.
One is the Appraiser Certification Program’s former director, Sherry Bren. She was called into the July 2020 meeting in the governor’s office and was pressured to retire shortly after Peters received her license that November.
Another official slated to speak is Secretary of Labor and Regulation Marcia Hultman. She was also in the meeting and later pressured Bren to retire. Hultman has defended her actions by saying there have been positive changes at the agency since Bren left.
Lawmakers have also called the president of the state’s professional appraiser association, Sandra Gresh.
She has raised concerns about the new direction of the state program.
The director of the state’s Office of Risk Management, Craig Ambach, also is expected to appear. His office helped negotiate a $200,000 payment to Bren for her to retire and withdraw an age discrimination complaint.
What happened at the meeting?
It is not entirely clear. The governor hasn’t answered detailed questions about the meeting. Bren told the AP it covered the procedures for appraiser certification and that she was presented with a letter from Peters’ supervisor that criticized the agency’s decision to deny the license.
Noem has said she didn’t ask for special treatment for her daughter. She has cast the episode as yet another way she has “cut the red tape” to solve a shortage of appraisers and smooth the homebuying process.
Is there a shortage of appraisers?
Yes. Industry experts have long said that’s a problem, especially in rural states. In South Dakota, many experienced appraisers are nearing retirement age.
However, the governor’s ability to “streamline” requirements for a license would be limited because they are mostly set at the federal level.
What will the committee do?
It’s not clear. Republican lawmakers said they will start by asking about the state agency and why there are difficulties to becoming an appraiser. But they also acknowledged that the meeting was an opportunity to question the governor’s conduct.
If lawmakers are satisfied, they could move on from the issue.
They also could decide to delve deeper. The committee has the power to subpoena witnesses and records, but that would require approval from the Executive Board, a ranking committee of top legislators.