No. 29623 (Amendment): R162-104. Experience Requirement

DAR File No.: 29623
Filed: 03/07/2007, 05:09
Received by: NL

RULE ANALYSIS

Purpose of the rule or reason for the change:

The federal Appraisal Subcommittee, which monitors the states' appraiser licensing and certification programs, has informed the Division of Real Estate that its method of measuring the experience of those candidates who have been working in the areas of mass appraisal or governmental investigations is no longer acceptable and must be changed. The Division of Real Estate was also told that it was no longer acceptable to grant experience credit for textbook or journal article authorship and that those provisions must be deleted.

Summary of the rule or change:

The provisions pursuant to which mass appraisers and government investigators received so many experience points per month of employment are deleted and replaced by a system that grants so many points for each task that they perform. The provisions which granted experience credit for authorship are deleted. Clarifications are added to make it clear that a certain amount of experience points is equivalent to a certain number of hours of appraisal experience. Numerous minor technical changes and corrections are also made.

State statutory or constitutional authorization for this rule:

Subsections 61-2b-6(1)(l) and 61-2b-8(1)(b)

Anticipated cost or savings to:

the state budget:

It is anticipated that the State Tax Commission might incur additional costs as a result of this rule change in documenting the experience of any of its employees who apply for licensed or certified appraiser status. However, the Division of Real Estate has no choice but to revise this rule in accordance with the direction from the Appraisal Subcommittee representatives to do so. Any state that refuses to comply with such directives could have its appraisal regulatory program "disapproved", which would mean that there would be no new federally-related loans made in that state. The Division of Real Estate cannot calculate what the increased cost in documenting State employees' experience would be. The budget of the Division of Real Estate might also be impacted because it would no longer be able to grant experience credit to its own investigators for an appraisal investigation unless the investigators' did a Uniform Standards of Professional Appraisal Practice (USPAP) Standard 3 appraisal review in the case. This could make it more difficult for the Division of Real Estate to hire appraisal investigators, and more costly to investigate each case. These costs cannot be estimated, however.

local governments:

Local governments employ a large number of appraisers and appraisal trainees in their County Assessors' offices. Counties might incur additional costs as a result of this rule change in documenting the experience of any of its employees who apply for licensed or certified appraiser status. However, the Division of Real Estate has no choice but to revise this rule in accordance with the direction from the Appraisal Subcommittee representatives to do so. Any state that refuses to comply with such directives could have it appraisal regulatory program "disapproved", which would mean that there would be no new federally-related loans made in that state. The Division of Real Estate cannot calculate what the increased cost in documenting local government employees' experience would be.

other persons:

The only other persons who would be affected by this rule change would be candidates for appraisal licensure or certification whose experience has been earned through mass appraisal or government regulatory investigations. It is anticipated that there will be increased cost in documenting the appraisal experience of these persons, but the Division of Real Estate cannot estimate that cost. Regardless of the cost, the Division of Real Estate has no choice but to revise this rule in accordance with the direction from the Appraisal Subcommittee representatives, as explained above in the "state budget" and local government" sections.

Compliance costs for affected persons:

As explained above, it may cost candidates for appraisal licensure or certification more to document their experience. The Division of Real Estate cannot calculate the potential increased cost to these persons, and, as explained above, the Division of Real Estate has no choice but to revise this rule.

Comments by the department head on the fiscal impact the rule may have on businesses:

There appears to be no fiscal impact to businesses beyond the costs to the Division of Real Estate, the State Tax Commission and the local governments in documenting the experience of their employees, as discussed in the rule filing. Francine A. Giani, Executive Director

The full text of this rule may be inspected, during regular business hours, at the Division of Administrative Rules, or at:

Commerce
Real Estate
HEBER M WELLS BLDG
160 E 300 S
SALT LAKE CITY UT 84111-2316

Direct questions regarding this rule to:

Shelley Wismer at the above address, by phone at 801-366-0145, by FAX at 801-366-0315, or by Internet E-mail at [e-mail]

Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:

05/01/2007

This rule may become effective on:

05/09/2007

Authorized by:

Derek Miller, Director

RULE TEXT

R162. Commerce, Real Estate.

R162-104. Experience Requirement.

R162-104-1. Measuring Experience.

104.1.1 Except for those applicants who qualify under Section 104[.17]-14, appraisal experience shall be measured in points according to the Appraisal Experience Points Schedules in Section R162-104-[18]15 of this rule and also in time accrued.

104.1.1.1 Experience for state-licensed applicants shall have been accrued in no fewer than 12 months. Experience for the certified residential applicants shall have been accrued in no fewer than 24 months, as required by the AQB. Experience for the certified general applicants shall have been accrued in no fewer than 30 months, as required by the AQB.

104.1.1.2 Applicants for the state-licensed category shall submit proof of at least 400 points of experience and a minimum of 2000 appraisal hours of experience. Applicants for certified residential shall submit proof of at least 100 additional points and 500 additional appraisal hours accrued after state-licensed status was obtained, for a total of 500 points and 2500 appraisal hours of experience. Applicants for certified general shall submit proof of at least 200 additional points and 1000 appraisal hours accrued after state-licensed status was obtained, for a total of 600 points and 3000 appraisal hours of experience.

 

R162-104-4. Proof of Experience.

104.4 The Division shall require the applicant to substantiate the experience claimed using the form required[furnish the following information for each appraisal for which points are claimed: property address or legal description, date of the appraisal, type of property, and any other information deemed appropriate] by the Division.

 

R162-104-5. Compliance with USPAP and Licensing Requirements.[, USPAP Limited Appraisals.]

104.5 No experience credit will be given for appraisals which were performed in violation of Utah law, [or ]the law of another jurisdiction, or the administrative rules adopted by the Division and the Board.

104.5.1 No experience credit will be given for appraisals unless the appraisals were done in compliance with USPAP.

104.5.2 In order to qualify as experience credit toward certification, the additional points for certification required by Subs[S]ection R162-104.1.1.2 must have been accrued while the applicant was licensed as an appraiser in Utah, or in another state if licensure was required in that state, at the time the appraisal was performed.

104.5.3 [For the purposes of this rule, limited appraisals are defined as opinions of value performed under, and resulting from, invoking the departure provision of USPAP, but do not include mass appraisals. Limited appraisals shall be granted 50% of the credit awarded an appraisal which is not a limited appraisal. Limited]Except for experience points claimed under Subsection R162-104.15.3, appraisals where only an exterior inspection of the subject property is performed shall be granted 25% of the credit awarded an appraisal which includes an interior inspection of the subject property.[is not a limited appraisal.] Not more than 25% of the total experience required for licensure or certification may be earned from [limited ]appraisals where the interior of the subject property is not inspected.

 

R162-104-[7]6. State-Licensed and State-Certified Applicants.

104.[7]6.1 Except for those applicants who qualify under Section R162-104[.17]-14, applicants applying for licensure as State-Licensed Appraisers shall be awarded points from [either the Residential Experience Points Schedule or the General Experience Points Schedule]the Points Schedules in Section R162-104-15 for their experience prior to licensure only if the experience claimed was gained in compliance with Sub[S]ection R162-105[.]-3.

104.[7]6.2 Applicants applying for certification as State-Certified Residential Appraisers must document at least 75% of the points submitted from the Residential Experience Points Schedule or the residential portion of the Mass Appraisal Points Schedule. No more than 25% of the total points submitted may be from the General Experience Points Schedule or from assignments listed on the Mass Appraisal Points Schedule other than 1 to 4 unit residential properties.

104.[7]6.3 Applicants applying for certification as State-Certified General Appraisers may claim points for experience from [either the Residential Experience Points Schedule or the General Experience Points Schedule]any of the Points Schedules in Section R162-104-15, so long as at least 50% of the total points has been earned from the General Experience Points Schedule or from assignments listed on the Mass Appraisal Points Schedule other than 1 to 4 unit residential properties.

 

[R162-104-8. Points from Authorship.

104.8 The cumulative points from appraisal textbook and article authorship shall not exceed 50% of the cumulative points submitted.

]

R162-104-[9]7. Review or Supervision of Appraisals.

104.[9]7 Review appraisals will be awarded experience credit when the appraiser has performed technical reviews of appraisals prepared by either employees, associates or others, provided the appraiser complied with Uniform Standards of Professional Appraisal Practice Standards Rule 3 when the appraiser was required to comply with the rule. The following points shall be awarded for review or supervision of appraisals:

104.[9]7.1 [Review of appraisals which does not include a physical inspection of the property and verification of the data, commonly known as a desk review, shall be worth 20% of the points awarded to the appraisal if a separate written review appraisal report is prepared.]Review of an appraisal which includes verification of the data, but which does not include a physical inspection of the property, commonly known as a desk review, shall be worth 30% of the points awarded to the appraisal if a separate written review appraisal report is prepared. Except as provided in Subsection R162-104.7.5, a [A] maximum of 100 points may be earned by desk review of appraisals.

104.[9]7.2 Review of appraisals which includes a physical inspection of the property and verification of the data, commonly known as a field review, shall be worth 50% of the points awarded to the appraisal if a separate written review appraisal report is prepared. Except as provided in Subsection R162-104.7.5, a [A] maximum of 100 points may be earned by field review of appraisals.

104.[9]7.3 Supervision of appraisers shall be worth 20% of the points awarded to the appraisal. A maximum of 100 points may be earned by supervision of appraisers.

104.[9]7.4 Except as provided in Subsection R162-104.7.5, n[N]ot more than 50% of the total experience required for certification may be granted under Subsections R162-104[-9(104.9.1)].7.1 through R162-104[-9(104.9.3)].7.3 and R162-104[-11(104.11.1)].9.1 and R162-104[-11(104.11.3)].9.3 combined.

104.7.5 Applicants whose experience was earned through review of appraisals with no opinion of value developed as part of the review performed in conjunction with investigations by government agencies are not subject to the point limitations in Subsections R162-104.7.1, R162-104.7.2, and R162-104.7.4.

 

R162-104-[10]8. Condemnation Appraisals.

104.[10]8 Condemnation appraisals shall be worth an additional 50% of the points normally awarded for the appraisal if the condemnation appraisal included a before and after appraisal because of a partial taking of the property.

 

R162-104-[11]9. Preliminary Valuation Estimates, Comparative Market Analysis, Real Estate Consulting Services, and Other Real Estate Experience.

104.[11]9.1 Preliminary valuation estimates, range of value estimates or similar studies, and other real estate related experience gained by bankers, builders, city planners and managers, or other individuals may be granted credit for up to 50% of the experience required for certification in accordance with Section R162-104-[17]14[ of this rule], so long as the experience demonstrates to the Board that the applicant has the ability to arrive at a fair market value of property and to properly document value conclusions.

104.[11]9.2 Comparative market analysis by real estate licensees may be granted up to 100% experience credit toward certification in accordance with Section R162-104-[17]14[ of this rule], when the analysis is prepared in conformity with USPAP Standards Rules 1 and 2 and the individual can demonstrate to the Board that he is using similar techniques as appraisers to value properties and effectively utilize the appraisal process.

104.[11]9.3 Appraisal analysis, real estate counseling or consulting services, and feasibility analysis/study will be awarded experience credit in accordance with Section R162-104-[17]14 [of this rule ]for up to 50% of the experience required toward certification so long as the services were performed in accordance with USPAP Standards Rules 4 and 5.

104.[11]9.4 Not more than 50% of the total experience required for certification may be granted under Subsections R162-104[-11(104.11.1)].9.1 and R162-104[-11(104.11.3)].9.3 and R162-104[-9(104.9.1)].7.1 through R162-104[-9(104.9.3)].7.3 combined.

 

[R162-104-12. Ad Valorem Appraisal and Benchmark Appraisal.

104.12 Ad valorem appraisal and benchmark appraisal by property type will earn the same number of points as fee appraisal where the individual can demonstrate that he performed highest and best use analysis, developed the model in model specification, or developed adjustments to the model in model calibration, and where the individual can demonstrate the appraisal was performed in accordance with Standards Rule 6 of the Uniform Standards of Professional Appraisal Practice.

]

R162-104-[13]10. Experience Participation.

104.[13]10 An applicant for certification must be able to prove more than 50% participation in the data collection, verification of data, reconciliation, analysis, identification of property and property interests, compliance with USPAP standards[ and all Advisory Opinions of USPAP], and preparation and development of the appraisal report in order to count the appraisal for experience credit. With the exception of experience claimed under Subsection R162-104.15.3, [E]experience credit will be granted to only one [registered or ]licensed appraiser per completed appraisal even though more than one may have participated in the development of the appraisal.

 

R162-104-[14]11. Unacceptable Experience.

104.[14]11 An applicant will not receive points toward satisfying the experience requirement for licensure or certification for performing the following:

(a) Appraisals of the value of a business as distinguished from the appraisal of commercial real estate; or

(b) Personal property appraisals.

 

R162-104-[15]12. Verification of Experience.

104.[15]12 The Board, at its discretion, may verify the claimed experience by any of the following methods: verification with the clients; submission of selected reports to the Board; and field inspection of reports identified by the applicant at the applicant's office during normal business hours.

 

R162-104-[16]13. Experience Review Committee.

104.[16]13 There may be a committee appointed by the Board to review the experience claimed by applicants for licensure or certification.

104.[16]13.1 The Committee shall:

104.[16]13.1.1 Review all applications for adherence to the experience required for licensure or certification;

104.[16]13.1.2 Correspond with applicants concerning submissions, if necessary; and

104.[16]13.1.3 Make recommendations to the Division and the Board for licensure or certification approval or disapproval.

104.[16]13.2 Committee composition. The Committee shall be composed of appraisers from the following categories: residential appraisers; commercial appraisers; farm and ranch appraisers; right-of-way appraisers; and [ad valorem]mass appraisers.

104.[16]13.2.1 The chairperson of the committee shall be appointed by the Board.

104.[16]13.2.2 Meetings may be called upon the request of the chairperson or upon the written request of a quorum of committee members.

104.[16]13.3 New Review. If the review of an application has been performed by the Experience Review Committee, and the Board has denied the application based on insufficient experience, the applicant may request that the Board review the issue again by making a written request within thirty days after the denial stating specific grounds upon which relief is requested. The Board shall thereafter consider the request and issue a written decision.

 

R162-104-[17]14. Special Circumstances.

104.[17]14 Applicants having experience in categories other than those shown on the Appraisal Experience Points Schedules, or applicants who believe the Experience Points Schedules do[es] not adequately reflect their experience, or applicants who believe the Experience Points Schedules do[es] not adequately reflect the complexity or time spent on an appraisal, may petition the Board on an individual basis for evaluation and approval of their experience as being substantially equivalent to that required for licensure or certification. Upon a finding that an applicant's experience is substantially equivalent to that required for licensure or certification, the Board may [waive experience points, give an applicant credit for months of experience, or both]accept the alternate experience and award the applicant an appropriate number of points for the alternate experience.[

104.17.1 Full-time elected county assessors and any person performing an appraisal for the purpose of establishing the fair market value of real estate for the assessment roll may, as an alternative to using the Appraisal Experience Points Schedule, be awarded points as provided in Section 104.17.2, provided that they have experience in at least three of the following categories and no more than one-third of their experience comes from any one of the following categories:

104.17.1.1 Property description/identification;

104.17.1.2 Highest and best use analysis;

104.17.1.3 Land value estimates;

104.17.1.4 Cost approach;

104.17.1.5 Sales comparison;

104.17.1.6 Income capitalization approach.

104.17.2 Full-time elected county assessors may be awarded 200 points for every year of service. Any person performing an appraisal for the purposes of establishing the fair market value of real estate for the assessment roll may be awarded 200 points for every year of full-time service that is substantiated by the applicant. If the applicant requests that experience points be granted for employment in other than one-year increments, the number of points allowable under this section may be prorated in proportion to the number of months of full-time employment substantiated by the applicant.

104.17.2.1 Part-time employment. Any person performing an appraisal for the purposes of establishing the fair market value of real estate for the assessment roll may be awarded a number of points for part-time service that has been pro-rated in proportion to the average number of hours worked per week during the months for which points are claimed. For the purposes of this rule, full-time service is defined as 40 hours per week.]

104.[17.3]14.1 Fulltime elected county assessors and any person performing an appraisal for the purposes of establishing the fair market value of real estate for the assessment roll are not subject to the limitations in Subs[S]ection R162-105.3.[

104.17.4 Fulltime investigators with the Division who perform appraisal investigations may be awarded 200 points for every 18 months of service. They are not subject to the limitations in Section 105.3.]

 

R162-104-[18]15. Appraisal Experience Points Schedules.

104.[18]15 Points shall be awarded as follows[:]. The point schedule in Table 1 is intended to award one experience point for every five hours of appraisal experience.

104.[18]15.1 Residential Experience Points Schedule. The following points shall be awarded to form appraisals. Three points may be added to the points shown if the appraisal was a narrative appraisal instead of a form appraisal.

 

TABLE 1

(a)  One-unit dwelling, above-grade

living area less than 4,000 square

feet, including a site                              1 point

  (1) One-unit dwelling, above-

grade living area 4,000 square

feet or more, including a site                      1.5 points

(b) Multiple one-unit dwellings in

the same subdivision or condominium

project which are substantially similar

  (1) 1-25 dwellings                                1 point per

                                                    dwelling up

                                                    to a maximum

                                                    of 6 points

  (2) Over 25 dwellings                             A total of 10

                                                    points

(c)  Two[-] to four-unit dwelling                   4 points

(d)  Employee Relocation Counsel

reports completed on currently accepted

Employee Relocation Counsel form                    2 points



(e)  Residential lot, 1-4 unit[family]              1 point

(f) Multiple lots in the same subdivision

which are substantially similar

  (1) 1-25 lots                                     1 point per

                                                    lot up to a

                                                    maximum of

                                                    6 points

  (2) Over 25 lots                                  A total of

                                                    10 points

(g)  Small parcel up to 5 acres                     1 point

(h)  Vacant land, 20-500 acres                      4-8 points,

[A maximum of 50 points may be awarded for]         as determined

[appraisal of vacant land.]                         by the Board



(i)  Recreational, farm, or timber acreage suitable

for a house site, up to 10 acres                     2 points

Over 10 acres                                        3 points

(j)  All other unusual structures or acreages,       1-[5]7 points

which are much larger or more complex than           as determined

typical properties                                   by the Board

[(k)  Residential appraisal textbook                 As determined

authorship, not to exceed 20 points per year         by the Board

(l)  Residential appraisal articles in journals of

approved national appraisal organizations,

not to exceed 20 points per year                     10 points]

(k)  Review of residential appraisals with no

opinion of value developed as part of the

review performed in conjunction with

investigations by government agencies               2-10 points

 

104.15.1.1 Government Agency Experience. Applicants whose experience was earned primarily through review of residential appraisals with no opinion of value developed as part of the review that were performed in conjunction with investigations by government agencies will be required to submit proof of having performed at least the following number of one-unit dwelling appraisals conforming to USPAP Standards 1 and 2:

104.15.1.1.1 Applicants for State-Licensed Appraiser: five.

104.15.1.1.2 Applicants for State-Certified Residential Appraiser: eight.

104.15.1.2 A maximum of 50 experience points may be earned from appraisal of vacant land.

104.[18]15.2 General Experience Points Schedule. All appraisal reports claimed must be narrative appraisal reports. The point schedule in Table 2 is intended to award one experience point for every five hours of appraisal activity. Experience points listed in Table 2 may be increased by 50% for unique and complex properties if the applicant notes the number of extra points claimed on the Appraiser Experience Log submitted by the applicant and maintains in the workfile for the appraisal an explanation about why the extra points are claimed.

 

TABLE 2

(a)  Apartment buildings, 5-100 units                8 points

Over 100 units                                      10 points

(b)  Hotel or motels, 50 units or fewer              6 points

51-150 units                                         8 points

Over 150 units                                      10 points

(c)  Nursing home, rest home, care facilities,

Fewer than 80 beds                                   8 points

Over 80 beds                                        10 points

(d)  Industrial or warehouse building,

Fewer than 20,000 square feet                        6 points

Over 20,000 square feet, single tenant               8 points

Over 20,000 square feet, multiple tenants           10 points

(e)  Office buildings

Fewer than 10,000 square feet                        6 points

Over 10,000 square feet, single tenant               8 points

Over 10,000 square feet, multiple tenants           10 points

(f)  Entire condominium projects, using income

approach to value

5- to 30-unit project                                6 points

31- or more-unit project                            10 points

(g)  Retail buildings

Fewer than 10,000 square feet                        6 points

More than 10,000 square feet, single tenant          8 points

More than 10,000 square feet, multiple tenants      10 points

(h)  Commercial, multi-[family]unit, industrial,

or other nonresidential use acreage

[Fewer than 10 acres                                  4 points

10  acres or more                                     6 points]

1 to 99 acres                                       4-8 points

100 acres or more, income approach to value       10-12 points

(i)  All other unusual structures or assignments       1 to 20

which are much larger or more complex than the       points as

properties described in (a) to (h) herein.          determined

                                                      by Board

[(j) Textbook authorship in general appraisal        As determined

topics, not to exceed 20 points per year            by Board

(k) General field journal articles in journals of

approved national appraisal organizations,

not to exceed 20 points per year                    10 points]

[(l)](j) Entire Subdivisions or Planned Unit

Developments (PUDs)

1- to 25-unit subdivision or PUD                      6 points

Over 25-unit subdivision or PUD                      10 points

[(m)](k)  Feasibility or market analysis,              1 to 20

maximum 100 points                                   points as

                                                    determined

                                                      by Board

[Ad Valorem appraisals

(n) Development and implementation of multiple

regression model - land valuation guide, up to

5000 parcels                                         20 points

For each additional 5000 parcels, add 1 point

(o) Depreciation study and analysis                  20 points

(p) Sales ratio study and implementation - physical

inspection and review, maximum 50 points             10 points

(q) Development of standards of practice for             10-20

assessment administration and writing of those       points as

guidelines, maximum 40 points                       determined

                                                      by Board

(r) State-assessed property - gravel pits,         1-20 points

mines, utilities                                 as determined

                                                     by Board]



Farm and Ranch appraisals                     Form   Narrative

[(s)](l) Separate grazing privileges          4 pts.    5 pts.

or permits

[(t)](m)  Irrigated cropland, pasture other than

rangeland, 1 to 10 acres                      2 pts.    3 pts.

11-50 acres                                   2.5 pts.  4 pts.

51-200 acres                                  3 pts.    5 pts.

201-1000 acres                                5 pts.    8 pts.

More than 1000 acres                          8 pts.   10 pts.

[(u)](n) Dry farm, 1 to 1000 acres            3 pts.    5 pts.

More than 1000 acres                          4 pts.    8 pts.

[(v)](o) Improvements on properties other than

a rural residence, maximum 2 points:



Dwelling                                      1 pt.      1 pt.

Sheds                                         0.5 pt.  0.5 pt.

[(w)](p)  Cattle ranches

0-200 head                                    3 pts.    4 pts.

201-500 head                                  5 pts.    6 pts.

501-1000 head                                 6 pts.    8 pts.

More than 1000 head                           8 pts.   10 pts.

[(x)] (q) Sheep ranches

0-2000 head                                   5 pts.    6 pts.

More than 2000 head                           7 pts.    9 pts.

[(y)](r) Dairies, includes all improvements

except a dwelling

1-100 head                                    4 pts.    5 pts.

101-300 head                                  5 pts.    6 pts.

More than 300 head                            6 pts.    7 pts.

[(z)](s) Orchards

5-50 acres                                    6 pts.    8 pts.

More than 50 acres                            8 pts.   10 pts.

[(aa)](t) Rangeland/timber

0-640 acres                                   4 pts.    5 pts.

More than 640 acres                           6 pts.    7 pts.

[(bb)](u) Poultry

0-100,000 birds                               6 pts.    8 pts.

More than 100,000 birds                       8 pts.   10 pts.

[(cc)](v) Mink

0-5000 cages                                  6 pts.    7 pts.

More than 5000 cages                          8 pts.   10 pts.

[(dd)](w) Fish farms                          8 pts.   10 pts.

[(ee)](x) Hog farms                           8 pts.   10 pts.

(y) Review of Table 2 appraisals with

no opinion of value developed as part

of the review performed in conjunction

with investigations by government agencies         4-20 points

 

104.15.2.1 Government Agency Experience. Applicants for certification as a State-Certified General Appraiser whose experience was earned primarily through review of appraisals that are listed on Table 2 with no opinion developed as part of the review that were performed in conjunction with investigations by government agencies will be required to submit proof of having performed at least eight Table 2 appraisals conforming to USPAP Standards 1 and 2.

104.[18]15.2.[1]2 Appraisals on commercial or multi-unit[family] form reports shall be worth 75% of the points normally awarded for the appraisal.

104.15.3 Mass Appraisal Experience Points Schedule. The point schedule in Table 3 is intended to award one experience point for every five hours of mass appraisal activity.

 

TABLE 3

(a) One-unit dwelling, above-grade

living area less than 4,000 square feet

  (1) Exterior inspection, highest and

best use analysis, data collection only              .1 point

  (2) Interior and exterior inspection,

highest and best use analysis, data

collection only                                      .2 point

  (3) Inspection, highest and best use

analysis, data collection, valuation

analysis, conclusion, report                        .75 point

(b) One-unit dwelling, above-grade

living area 4,000 square feet or more

  (1) Exterior inspection, highest and

best use analysis, data collection only             .15 point

  (2) Interior and exterior inspection,

highest and best use analysis, data

collection only                                      .3 point

  (3) Inspection, highest and best use

analysis, data collection, valuation

analysis, conclusion, report                          1 point

(c) Two to four unit dwelling

  (1) Exterior inspection, highest and

best use analysis, data collection only              .3 point

  (2) Interior and exterior inspection,

highest and best use analysis, data

collection only                                      .6 point

  (3) Inspection, highest and best use

analysis, data collection, valuation

analysis, conclusion, report                         3 points

(d) Commercial and industrial buildings,

depending on complexity

  (1) Exterior inspection, highest and

best use analysis, data collection only        .2 to 1 point

  (2) Interior and exterior inspection,

highest and best use analysis, data

collection only                                .4 to 2 points

  (3) Inspection, highest and best use

analysis, data collection, valuation

analysis, conclusion, report                1.5 to 7.5 points

(e) Agricultural and other improvements,

depending on complexity

  (1) Exterior inspection, highest and

best use analysis, data collection only        .1 to .5 point

  (2) Interior and exterior inspection,

highest and best use analysis, data

collection only                                 .2 to 1 point

  (3) Inspection, highest and best use

analysis, data collection, valuation

analysis, conclusion, report                  .75 to 4 points

(f) Vacant land, depending on complexity

  (1) Inspection, highest and best

use analysis, data collection only             .1 to .5 point

  (2) Inspection, highest and best

use analysis, data collection, valuation

analysis, conclusion, report                   .5 to 5 points

  (3) Land segregation (division)

analysis and processing, no field

inspection                                          .05 point

  (4)Land segregation (division)

analysis and processing, field

inspection                                           .1 point

(g) Data input and review for experience

points claimed under Subsections

R162-104-15.3(a) through (f)                        .01 point

(h) Land valuation guideline

  (1) 25 or fewer parcels                            2 points

  (2) 26 to 500 parcels                              6 points

  (3) Over 500 parcels                           5 additional

                                              points for each

                                              500 parcels, up

                                              to a maximum of

                                                    25 points

(i) Assessment/sales ratio study, data

collection, verification, sample

inspection, analysis, conclusion, and

implementation

  (1) Base study of 100 reviewed sales              25 points

  (2) Additional increments of 100

sales                                            Add 5 points

                                                 for each 100

                                                   additional

                                               sales, up to a

                                                maximum of 75

                                                       points

(j) Multiple Regression Model,

Development and Implementation

  (1) Less than 5,000 parcels                       20 points

  (2) Additional increments of 500

parcels                                       Add 1 point for

                                              each additional

                                              500 parcels, up

                                              to a maximum of

                                                    75 points

(k) Depreciation study and analysis                 20 points

(l) Reviews of "Land Value in Use"

in accordance with U.C.A. Section

59-2-505

  (1)Office review only                             .05 point

  (2) Field review                                   .1 point

(m) Natural Resource Properties,

depending on complexity

  (1) Sand and Gravel, per site               1.5 to 4 points

  (2) Mine                                   1.5 to 22 points

  (3) Oil and Gas, per site                  .33 to 10 points

(n) Pipelines and gas distribution

properties, depending on complexity            2 to 8 points

(o) Telephone and electrics properties,

depending on complexity                        1 to 16 points

(p) Airline and railroad properties,

depending on complexity                       2 to 16 points

(q) Appraisal review/audit, depending

on complexity                                .5 to 25 points

(r) Capitalization rate study                       16 points

 

104.15.3.1 Single-property appraisals performed under USPAP Standards 1 and 2 by mass appraisers will receive the same number of points shown in Tables 1 and 2.

104.15.3.2 Review and supervision of appraisals by mass appraisers will receive points in accordance with Subsection R162-104.7.

104.15.3.3 Mass appraisers and mass appraisal trainees who perform 60% or more of the appraisal work will receive 100% of the points shown on Table 3. Mass appraisers and mass appraisal trainees who perform between 25% and 59% of the appraisal work will receive 50% of the points shown on Table 3. Mass appraisers and mass appraisal trainees who perform less than 25% of the appraisal work will receive no credit for the appraisal assignment.

104.15.3.4 Applicants for State-Licensed Appraiser whose experience was earned primarily through mass appraisal will be required to submit proof of having performed at least five appraisals conforming to USPAP Standards 1 and 2. Applicants for certification as a State-Certified Residential Appraiser whose experience was earned primarily through mass appraisal will be required to submit proof of having performed at least eight one-unit residential appraisals conforming to USPAP Standards 1 and 2. Applicants for certification as a State-Certified General Appraiser whose experience was earned primarily through mass appraisal will be required to submit proof of having performed at least eight Table 2 appraisals conforming to USPAP Standards 1 and 2.

104.15.3.5 No more than 60% of the total points submitted for licensure or certification may have been earned from Subsections R162-104.15.3(a)(1) and (2), R162-104.15.3(b)(1) and (2), R162-104.15.3(c)(1) and (2), R162-104.15.3(d)(1) and (2), R162-104.15.3(e)(1) and (2), and R162-104.15.3(f)(1) combined.

104.15.3.6 No more than 25% of the total points submitted for licensure or certification may have been earned from Subsections R162-104.15.3(f)(3) and (4) combined.

104.15.3.7 No more than 20% of the total points submitted for licensure or certification may have been earned from Subsection R162-104.15.3(g).

104.15.3.8 Mass appraisal of property with a personal property component of less than 50% of value will be allowed the full experience points shown on Table 3 for the category of property appraised. Mass appraisal of property with a personal property component of 50% to 85% of value will be allowed 50% of the experience points shown on Table 3 for the category of property appraised. Mass appraisal of property with a personal property component greater than 85% will be awarded no experience points.

 

KEY: real estate appraisals, experience

Date of Enactment or Last Substantive Amendment: [November 24, 2004]2007

Notice of Continuation: February 15, 2007

Authorizing, and Implemented or Interpreted Law: 61-2b-1 through 61-2b-40