LINZ, in close consultation with the New Zealand Institute of Valuers (NZIV), began a review of the current occupational regulation scheme for valuers in August 2013. The scheme had not been reviewed since it was established under the Valuers Act 1948.
The purpose of the review was to ensure New Zealand’s occupational regulation regime for valuers:
- meets the needs of consumers of valuation services, valuers and other participants in the property market
- is based on objectives of efficiency, effectiveness, quality, sustainability and fairness
- is consistent with international best practice
- maintains public confidence that valuers are acting in a fair, impartial way.
Findings from the review
The review found the scheme to be generally sound and recommended retaining key features, such as the:
- governance model
- certification model
- funding model
- protection for the title “registered valuer”
- co-regulatory approach by the government and profession.
The review identified problems, such as:
- a lack of accountability and transparency in the governance structure
- inefficiencies with the disciplinary process
- an inadequate range of available sanctions
- insufficient Government oversight of the standards-setting process.
Consultation on proposals to improve the scheme
The review findings, recommendations and proposals for change were presented in a public discussion document. 64 submissions were received. There was strong support for most of the proposals.
Download the discussion document, individual submissions and a summary of the submissions below under attachments.
Revising the proposals
LINZ is revising the details of these proposals, based on the feedback received and targeted consultation with key stakeholders. The work has progressed more slowly than originally envisaged. Resources have had to be diverted to higher priority projects, including Te Ture Whenua Māori Act Review, Canterbury Property Boundaries work, and the development of the Taxation (Land Information and Offshore Persons Information) Bill.
Seeking Cabinet approval to change the scheme
We are now aiming to seek Cabinet policy decisions in 2016. If approved by Cabinet, the proposals will require changes to legislation. On current indicative timing a Valuers Bill could be introduced by the end of 2016, passed into law in 2017 and come into force in 2018. There would be another opportunity for public input during the normal select committee process after the Bill is introduced.