VIEWS: 413 PAGES: 22 POSTED ON: 7/28/2011
V o l. 18 • N o. 4 July- August 2010 WalNut Creek N o r t h e r n Ca li f o r ni a Ch a p t e r o f t h e A p p r a i sa l I n s t i t u t e The Appraisal Institute and The Appraisal Foundation T he Appraisal Institute is cur- rently facing a ver y impor tant content and explanation of the situa- tion, which we later learned was for issue: As recently repor ted to us by Jeff Enright, MAI good reason: TAF was in the midst of our organization’s leadership, The considering what it perceived to have Appraisal Foundation (TAF) has pro- been a violation of its Code of Conduct. posed to suspend the AI as a sponsor of TAF for a seven-month period star t- It is important that Since that time, and following TAF’s formal decision to suspend the AI, ing September 15, 2010. This pending we understand our leadership has been substantially action by the entity responsible for more informative with regard to the the Uniform Standards of Professional exactly what is facts and other information per taining Appraisal Practice (USPAP) and mat- happening, and why. to the issues. President Sellers has ters relating to appraiser licensing held multiple LiveMeeting conferences and cer tif ication is in response to with Chapter and Regional leadership; allegations that the AI has “engaged Our membership first learned of the Vice President Sara Stephens, MAI, in conduct materially and seriously issue in an email sent by the Appraisal and Past President Jim Amorin, MAI, prejudicial to the purposes and inter- Institute’s President, Leslie Sellers, SRA, have participated in our Chapter’s ests of The Foundation.” Obviously, MAI, SRA, on June 18, 2010. President recent webinar titled “TAF Information this has caused significant confusion Sellers noted issues of “disagreement & Chapter Events Update”; and the AI and/or consternation among many of and miscommunication between the most recently made available hundreds our Chapter members. It is impor tant two organizations,” as well as TAF’s of pages of letters and presentation that we understand exactly what is accusations regarding actions by the material relating to the current situ- happening, and why. AI’s Government Relations Commit- ation, along with a summarized FAQ tee (GRC) and Washington of f ice. That original email was limited in its ➤ President ’s Message , page 12 In This Issue 2010 Fall Conference ......... 2 Lennhoff to Present FREE Resources .................. 3 “Yellow Book” Seminar National BOD Actions ........ 8 September 13-14 / San Jose CA PACE Suit ..................... 9 Feature Ar ticle ................. 10 I nsure that your work for the federal acquisition agencies meets the highest standards. Federal land acquisition programs have unique appraisal needs. This two-day seminar will acquaint par ticipants with these needs and provide IMHO: Unification................. 14 practical procedures and solutions to insure appraisal repor ts fulfill them. Any Member Benefits .............. 16 experienced residential or general appraiser interested in expanding their client Available Scholarships .... 18 base to include federal acquisition agencies will learn to apply the Uniform New Associate Requirements ...18 Appraisal Standards for Federal Land Acquisitions. The Nor thern California Chapter is pleased to have highly-rated and Opportunities in Litigation... 20 experienced instructor David Lennhoff, MAI, SR A, present this newly updated Classifieds & Calendar .... 22 and “in demand” offering. If you’ve not yet secured your space, you’ll want to do so immediately. Click here for additional details and to register. Northern California Chapter’s Mission Statement “To serve our members through education, professional development, and support in achieving their professional designations.” 2 Newsletter of the Northern California Chapter of the Appraisal Institute Return to page 1 Northern California Chapter Presents 2010 Annual F all Conf e rence Real Estate and Appraisal Symposium Plan to celebrate a 60-year tradition with us this Fall Early and Group registration discounts available Wednesday, October 20 San Francisco Hilton 925/932-7753 www.norcal-ai.org Return to page 1 July-August 2010 3 Members in the News H ere is a member who was literally in the news! Carole Laval, SR A, was recently quoted in an ar ticle titled “ Watch Dog Repor t / Assessor Cuts Cost Fresno County” running for Fresno County Assessor. Good luck, Carole! Richard M. Betts, MAI, SR A, has been granted Life Membership status. Rick has been a practicing (and that appeared in the Fresno Bee on August 8, 2010. Carole extremely active) member of the Appraisal Institute and currently ser ves as the Secretar y for the California Gov- its predecessor organizations continuously for at least 40 ernment Relations Subcommittee and is a member of the years and is currently engaged in business identified by Northern California Chapter’s Board of Directors. In addition the Standards of Professional Appraisal Practice. Con- to owning/managing Laval & Associates, she is currently gratulations, Rick! Don’t Miss Out Congratulations New Contact A re you getting the impor tant news you need to manage your business Newly Info in these challenging times? Are your peers and clients able to contact you Designated Howard R. Levy, MAI Howard Levy Appraisal Group, Inc. – easily? Are you taking advantage Michael Lockard, MAI 811 Third Street of the many discounts sent to you Associated Right of Way, Inc. Santa Rosa, CA 95404 via email? 1239 S. Highland Avenue 707/575 -7778 x11 Members are encouraged to keep Ripon, CA 95366 -9591 FA X 707/575 - 0240 their email addresses up to date. Simply 925/691-2838 howard@ log into w w w.appraisalinstitute.org / Fax: 925/691- 6505 howardlev yappraisal.com my appr aisalinstitute and click the mlockard@ar ws.com “Manage My Account ” tab. Missed a Workshop? Looking for Market Data? Couldn’t Decide which Breakout to Attend? Be sure to visit the download section of our website for FREE copies of available presentations ! http://www.norcal-ai.org/dwnld.html Handouts * Videos * Audio Recordings * Podcasts Online Education: Learn at your own pace anytime, anywhere. Top-notch Appraisal Institute courses and seminars come straight to your desktop with online education! Learn from any computer anywhere, whenever you have time. It’s easy, convenient and a great way to get the education you want. Check out the current course listing now! 4 Newsletter of the Northern California Chapter of the Appraisal Institute Return to page 1 2010 Officers and Directors & Branch Chapter Leadership O f f icers Kathr yn Sturgis- Bright , MAI Silicon Valley President ksb@sturgisbright .com Fred Arredondo, MAI – Chair Jef f Enright , MAI Rober t Hensley, MAI email@example.com jef firstname.lastname@example.org Rober t . Hensley@cbre.com Benj Becker – Vice Chair Vice President Josh Fronen, MAI email@example.com Larr y Hopper, MAI firstname.lastname@example.org Monterey Bay ldhopper@rpaappr aisal.com George Comitos, MAI Ellen Glasgow – Chair email@example.com firstname.lastname@example.org Treasurer Darin Polsley, MAI Bonnnie Brown – Co-Vice Chair Melissa Bach, MAI email@example.com firstname.lastname@example.org mbach@cbpappr aisal.com Carole Laval, SR A Brian Nicholson, SR A – Co-Vice Chair Secretar y claval@comcast .net email@example.com Brad MacLane, MAI br firstname.lastname@example.org 2010 Branch Chapter North Bay Bill Hafner, MAI – Chair E xO f f icio / Immediate Past Leadership email@example.com President Central California John Stobba – Vice Chair Steve Castellanos, MAI, SR A Carole Laval, SR A – Co- Chair stobbaappr aisals@comcast .net firstname.lastname@example.org claval@comcast .net Golden Gate National Director Kelly Stevens – Co- Chair Cherin Mooradian, MAI – Chair Claudia Carleton, MAI Kelly 0 email@example.com moor firstname.lastname@example.org email@example.com East Bay Michele Hegedus – Vice Chair Directors Marian Huntoon, SR A – Co- Chair michelehegedus@k pmg.com Sara Cohn, MAI firstname.lastname@example.org Sierra scohn@cbpappr aisal.com Nancy Townsend, SR A – Co- Chair Richard Taylor – Chair R. Scott Jura, SR A nancy t .email@example.com sjur a@giur a .com r t firstname.lastname@example.org Darin Polsley, MAI – Co- Chair Kelly Stevens Ross Schemmel – Vice Chair email@example.com firstname.lastname@example.org anislaus.ca .us Kelly 0 email@example.com 2010 Committee Chairs Membership Development Lori Horn, SR A – Co- Chair Matt Carriere – Co- Chair and Recr uitment 650/348- 4100 650/853-1638 Darin Polsley, MAI firstname.lastname@example.org mat t .email@example.com 925/933 - 5000 Marian Huntoon, SR A – Co- Chair Marlene Deason, SR A – Co- Chair firstname.lastname@example.org 510/547- 4585 209/604 -7276 FA X 925/228-2767 E xper ience Review – General email@example.com firstname.lastname@example.org Susan Burnett , MAI Education – Seminars Nominating 510/336 - 0052 George Comitos, MAI – Chair Steve Castellanos, MAI, SR A E xper ience Review – Residential 650/356 -1152 209/929-14 41 Peggy Darnall, MAI, SR A email@example.com firstname.lastname@example.org 510/523 - 4 477 Benj Becker – Vice Chair Scholarships email@example.com 650/356 -1153 Roland Burchard, MAI – Co- Chair firstname.lastname@example.org 925/932- 9200 Finance Melissa Bach, MAI Fall Conference roland@burchardandrinehar t .com 925/256 -1463 Erik Woodhouse Norm Hulberg, MAI – Co- Chair mbach@cbpappr aisal.com 925/935 - 9200 408/279-1520 X142 erik@burchardandrinehar t .com email@example.com Gover nment Relations Spr ing Conference Gar y DeWeese, MAI – Co- Chair Carole Laval, SR A Richard Taylor 925/216 - 8751 559/435 - 4043 209/569- 0450 gar ydeweese@comcast .net claval@comcast .net r t firstname.lastname@example.org Technology / Net wor king Education Public Relations Ryan Lorenzini – Co- Chair Joe Napoliello, MAI Rich Paddock 925/327-1660 x 208 650/875 -1459 209/551- 3110 r email@example.com firstname.lastname@example.org Rich@Paddock Appr aisal.net Kyle Brown – Co- Chair 831/455 -1991 k yle@sba-realest ate.com Wor kshops Gene Williams, MAI the Month Question of Newsletter 408/453-7439 email@example.com Education – Courses Q. Is there a way that I can see how many CE credits I’ve accu- mulated over the past year or two from the Appraisal Institute? A. Y es ! s implY log iNto “ mY ai ” ( at the top right CorNer of the NatioNal Web page ) aNd You CaN VieW Your reCords oNliNe . Tr y it ! Return to page 1 July-August 2010 5 ng troduci Art Estate Tax Return In of the Must-know strategies and great movies combine in the ultimate guide to Form 706 preparation and estate tax savings by Keith Schiller, Esq. Foreword by Charles W. Morris, Esq. Former IRS Territory Manager, Estate and Gift Tax for the Western United States FIRST One of my long-time friends asked, EDITION “Are you publishing your secrets for estate tax savings and opti- mum Form 706 preparation?” Art of The answer: “Yes!” the Estate T ”Keith Schiller’s work here, the substantive work tied togetherax Art Est of Return Tax Returate the with his personal insights and experiences and in some cases the insights of others is, by far, the best work on the subject that I have ever seen. By far!” n Charles W. Morris, Esq.; Former IRS Territory Manager, Estate and Gift Tax for the Western United States OVER TURE : CHAP TER 3 — SO ME LIK HOT AN E IT Must-k D SAVIN the ul now st S om e L i k G A FO timate rategi RTUN Schille E guide es to Form and great m “Schiller wrote this book the way Spielberg directs a r 706 pr ovies co eI eparat mbine SavincgilAr, Esqt. Hot and ion an in d esta 3-1 te tax savin movie — seamlessly weaving a complicated plot into Keith S h le gs Forew a spell-binding story — and that’s not easy when you Fortune ord by Forme r IRS Ter Charle ritory Manag s W. M er, Est ate and orris, Es are talking about an estate tax return.” 3 Gift Tax for the Weste rn United q. States First Ed CHA ition Stephan R. Leimberg, Esq.; CEO of Leimberg and Le Clair, Inc. PTER Freder ick’ and publisher of Leimberg Information Services®, Inc. But the s of Hollyw Mellin oo ger Ca d Makes Se se Hol xy Ling ds the er Big Hur ie, ray! Estate Planning At The Movies™ — Art of the Estate 3.1 T he Gif and H t of Frederi is Wo ck Me Freder nderf ul CPA llinger Tax Return provides in-depth tax analysis and strategic Fred eric ick M ellin ge first p k’s of Holly r started us w th an arra h-up bra (t ood, in 19 e lingerie counsel while offering the ultimate in enjoyment of y line ha of women s ’s he “R ising 47 — St and lin become sy intimate ap ar”). Freder ring the co soon of mpany, fe gerie. nonym parel, ick’s se was G ous w an readability. Over 100 references to motion pictures Given I’s re th ith risq d the clot lls Freder turnin e times, Fr ué bras hing ic g to ederic of the k’s played their k’s targ , panties, la an gi et in succ te 1940s an important rlfriends an market bridge the gap between tax law and your experiences Even eeding busines tually, Victo decade d ‘50s s. , and role in d wiv contin the baby bo es. ued in om s. in 1977 Victoria’s ria’s Secret popul at the movies. You’ll find yourself enthralled in prod ucts and of fer ed Secret ick open eclipsed Fr catalog ding and mo ’s. 1 The ed esentat new ed surroun of Freder a softer pr its first store erick’s in th arity ion in in the Stanf e intimate cont ord Sh appare enjoyed re ge a niche ntile, yet en rival offer rast to the oppi l cinematic connections as you take in strategic for de cades ticing, in Am ed produc a more co edgier ng Center erican t line. Yet, mfortable culture . Freder image and sto ick’s an re d its analysis for preparation and presentation of the estate tax return, all of which are designed to save your clients money and enhance your practice. www.EstatePlanningAtTheMovies.com 6 Newsletter of the Northern California Chapter of the Appraisal Institute Return to page 1 News Wor th Noting Appraisal Reviews Increasingly Important After Real Estate Meltdown: The Appraisal Journal ChiCago (a ug . 6, 2010) that can be used to confirm that an appraisal complies R eviews of appraisal reports, an essential quality-control function in the real estate industr y and especially so in the wake of the residential and commercial market with regulator y requirements and appraisal standards. The ar ticle also gives a checklist of elements that the reviewer should address in his or her repor t. meltdowns, are the subject of The Appraisal Journal’s Sorenson writes that the essence of appraisal review Summer issue cover ar ticle. is to investigate, analyze and verify the logic and proce- The Appraisal Journal is the quar terly technical and dure used in an appraisal and to ensure a sound value academic publication of the Appraisal Institute, opinion. Appraisal reviews are the nation’s largest organization of real estate ordered by lenders, mor tgage appraisers. The materials presented in the insurance companies, and publication represent the opinions and views of government-sponsored enter- the authors and not necessarily prises, especially when there those of the Appraisal Institute. is a foreclosure that results “Developing the Appraisal Review in a full audit of the loan file. Opinion,” by Richard C. Soren- There are an estimated 11,000 son, MAI, offers a framework for to 14,000 appraisal reviewers appraisal reviews and identifies in the United States. the most common areas where Read “Developing the Appraisal appraisal deficiencies may be found. Review Opinion” in the Summer VALUES The author lists 12 steps as the 2010 issue of The Appraisal Journal star ting point for any review and at: ht tp://lumlibrar y.org /webpac/pdf/ provides a compliance checklist TAJ2010/AppraisalReview.pdf . Changes to Fair-Value accounting standards would be rules that require alter native investment Reporting Could Impact managers to disclose the effect on the repor ted value of cer tain assump- Valuations tions they made to value an asset. Currently, many valuations of assets U nder new U.S. and international exposure drafts of revised fair-value are made on a best estimate approach accounting proposals being cir- standards seeking public and industr y from managers using internal company culated, managers of private equity, comment by September 7. The IASB’s infor mation. Under the new r ules, venture capital and other alternative draft focuses on increased transpar- managers would have to disclose any private investment funds could face ency about fair-value measurements, of the significant inputs that went into muc h tougher r ules on explaining including valuation techniques and that best guess – a controversial move how they arrived at an asset’s value assumptions made to measure fair value, bec ause some industr y obser ver s and the methods used to appraise according to Pensions & Investments. believe this could expose managers such assets, according to Pensions The FASB’s draft would essentially to a host of legal issues, according to & Investments’ July 26 stor y. require managers to clearly state how Pensions & Investments. The proposed changes are part of an they arrived at fair-value valuations Another controversial change would ongoing effor t to standardize the way and would more plainly bring U.S. be the altering of ways that firms could fair-value repor ting is handled at the standards in line with international value assets. As it stands, a private international level, which has attracted ac c ounting standards, Pensions & equit y inve st ment f ir m c an eit her increasing interest since the financial Investment repor ted. combine assets and value them as crisis expanded overseas. Pensions & Among the more controversial poten- Investments repor ted that at the June tial changes to international and U.S. ➤ Fair-Value Changes, page 7 meeting of the G-20, executives of both the Financial Accounting Standards Board and the International Account- The proposed changes are part of an ing Standards Board were called to account for their progress converging ongoing effort to standardize the way the differences in accounting standards fair-value reporting is handled at the between nations. In conjunction with the G -20 meet- international level… ing, both the FASB and IASB released Return to page 1 July-August 2010 7 News Wor th Noting FHA Launches Refinance Opportunity another tool to for Underwater Homeowners help overcome the negative equity H omeowners under water on their mortgages could be getting relief through a government program designed is another tool to help overcome the negative equity problem facing many responsible homeowners who are looking problem facing to encourage principal write-downs for to refinance into a safer, more secure many responsible responsible borrowers, according to mortgage product.” homeowners a Department of Housing and Urban The FHA Short Refinance option is Development news release issued one of several Obama administration be current on their existing mortgage, August 6. qualify for the new loan under standard In an ef for t to help responsible FHA under writing requirements, have but struggling homeowners, HUD has a credit score equal to or greater than detailed adjustments to its refinance 500, and the property must be their program, which the agency hopes will primary residence. Also, the borrower’s enable lenders to provide additional existing first lien holder must agree refinancing options to homeowners who to write off at least 10 percent of the owe more than their home is worth. borrower’s unpaid principal balance, Starting September 7, the Federal br inging that bor rower ’s c ombined Housing Administration will offer certain loan-to-value ratio to no greater than under water non-FHA borrowers who 115 percent. are current on their existing mortgage Existing FHA-insured loans cannot and whose lenders agree to write be ref inanced, and the ref inanced off at least 10 percent of the unpaid FHA-insured first mortgage must have principal balance of the first mortgage, a loan-to-value ratio of no more than the opportunity to qualify for a new 97.75 percent. FHA-insured mortgage, according to To facilitate the refinancing of new the HUD news release. initiatives introduced as par t of an FHA-insured loans under this program, “ We’re throwing a life line out to administration plan to help stabilize the Treasury Department will provide those families who are current on their residential markets by helping 3 to 4 incentives to existing second lien holders mortgage and are experiencing financial million struggling homeowners through who agree to provide principal write- hardships because proper ty values the end of 2012. downs. To be eligible for the program, in their community have declined,” To be eligible for a new loan, the servicers are required to execute a FHA Commissioner David H. Stevens homeowner must owe more on their Servicer Participation Agreement with said in the HUD news release. “This mortgage than their home is worth, Fannie Mae on or before October 3. IVSC Releases Two Documents for Comment T he International Valuation Profes- sional Board of the International Valuation Standards Council has released timely for the International Valuation Professional Board to be defining the ‘Professional Valuer’.” ethical responsibilities of valuation professionals, according to the IVSC news release. for industr y comment two documents The documents — a discussion “It is our intention that this Discus- intended to define “professional valuer.” paper titled “Definition of a Profes- sion Paper, along with the companion Comments are due by September 30. sional Valuer,” and an exposure draft Code of Ethics Exposure Draft, will “Subsequent to the global finan- titled “Proposed Code of Ethics for afford both valuers and non-valuers the c ial c r isis, c hange is likely to be Professional Valuers” — were published oppor tunity to shape the expectations more f requent and m o re c o mplex to enhance the public’s awareness for the future of the global valuation than ever before,” IVPB Chair Brad of the valuation profession and the profession,” Wagar said. Wagar said in a July 20 IVSC news desired attributes of a professional The documents are available on the release. “Therefore, it is par ticularly appraiser while also addressing the IVSC website at http://w w w.ivsc.org/. Fair-Value Under the new proposal, firms would be required to individually value assets, neither the FASB nor the IASB has stated when it will release final stan- Changes which could negatively affect holdings that would be wor th more if they were dards for fair-value accounting rules. Insiders with knowledge of the proceed- grouped together, Pensions & Invest- ing say they could be made public by from page 6 ments repor ted. the first quar ter of 2011, according to a group, or value each individually. Despite issuing exposure drafts, Pensions & Investments. 8 Newsletter of the Northern California Chapter of the Appraisal Institute Return to page 1 News from National AI Board Sends Core Rick Borges, Competency, International MAI, SRA, Issues to 45-Day Notice Elected as And Other Important Decisions from the National Vice August 2010 National BOD Meeting President CHICAGO (Aug. 17, 2010) – Rich- The Appraisal Institute Board of Directors sent two impor tant topics to 45 - Day ard L. (Rick) Borges II, MAI, SR A, Notice and addressed other pressing issues during its Aug. 12-13 meeting formerly of Seymour, Ind., has been in Chicago. elected as 2011 vice president of the Appraisal Institute, the nation’s larg- Core Competency est professional organization of real The Board passed a motion to direct 45 -Day Notice to the membership of estate appraisers. proposed amendments to the Bylaws and Regulations that would implement Borges will ser ve as vice president the changes in designation requirements reflected in the Core Competency of the Appraisal Institute beginning Model, which recently was shared with membership via an exposure draft Jan. 1, 2011. The following year he will (http://www.appraisalinstitute.org/myappraisalinstitute/corecompetencies.aspx). ser ve as president-elect, and in 2013 The Core Competency Project Team and the Admissions and Designation will become the Appraisal Institute’s Qualifications Committee worked for about two years to create the core com- president for one year, followed by a petency model. ADQC believes that its implementation will keep the MAI and year as immediate past president. He also will ser ve on the organization’s SR A designation requirements relevant and rigorous for all qualified candidates Executive Committee those four years and will strengthen the Appraisal Institute in the long run. and will be a member of the Board International Members of Directors during that time as well. The Board also sent to 45 -Day Notice three items related to the Appraisal “I truly appreciate the oppor tunity Institute’s international members. The first would define as international members to continue ser ving the public, the all AI members whose principal place of business or residence falls outside Appraisal Institute and the appraisal the United States, U.S. territories and Canada. The second would create profession as a member of the Institute’s a regional structure for international members, and the third would create leadership team,” Borges said. “It is a chapter structure for international members. The Board passed motions a great honor that brings tremendous sending all three issues to 45 -Day Notice so that members may provide their responsibility requiring long and hard work that I am eager to begin. I look feedback before the Board’s next meeting. for ward to building the Appraisal Insti- And in Other Actions tute’s relationship with its more than ■ The Board also elected three Board members to the Appraisal Institute’s 25,000 members in about 60 countries Audit Committee for 2011: Harmon H. Garrin, MAI, SR A; John (Pat) Asay, around the globe.” MAI; and Jim Amorin, MAI, SR A. He has been a member of the Appraisal ■ Voted to fund chapters up to $625,000, taken from Associate member Institute since 1978, a member of the dues, in 2011. The Appraisal Institute in 2011 also will provide $15 from National and Indiana Associations tuition revenue of each online course/seminar (excluding webinars and of Realtors and the Jackson County special programs), which has a registration fee in excess of $100, to be Board of Realtors since 1974 and the credited to chapters on a quar terly basis. Columbus (Ind.) Board of Realtors since 1997. Borges received the President’s ■ Passed a motion to hold an annual national conference and expo for Award from the Appraisal Institute in AI’s membership beginning in 2011, with the first event to take place 2009, the Richard E. Nichols, MAI, next August in Las Vegas. SRA, Lifetime Achievement Award from ■ Approved ADQC’s recommendations to appoint a project team (up to six the Hoosier State Chapter in 2008, the members) to study the organizational impact, legal issues, implementa- Edward L. White Achievement Award tion timeframe and cost and revenue projections of a potential Candidate from the Hoosier State Chapter in 2000, member program. the Dick Snyder Ser vice Award from ■ Voted to hold the May 2011 Board of Directors and Strategic Planning the Indiana Association of Realtors Committee meetings in Puer to Rico, at the invitation of the Puer to Rico in 1984 and the Realtor of the Year Chapter, based on research that showed the meetings would cost less Award from the Jackson County Board than if they were held in Chicago. of Realtors in 1982. ■ Approved a 45 -Day Notice item dealing with three appraisal repor t alter- Borges is a par tner with his wife, native for the MAI designation, described as a “housekeeping” item to B. LaVonne Borges, SR A, in Borges revise Regulation No. 1. ■ The next AI Board of Directors is scheduled for Nov. 3 -5 in Miami. ➤ National Vice President , page 9 Return to page 1 July-August 2010 9 National Vice AI’s Newest Release: Visual Valuation: Implementing President from page 8 Valuation Modeling and Geographic & Borges Real Estate Advisors, a full- Information Solutions ser vice real estate firm with offices in Seymour and Greenwood, Ind., providing T his book offers innovative thinking and technological solutions to many of the issues confronting the valuation technologies to address valuation issues. The discussions and demonstrations provided will educate appraisers new counseling, brokerage, development and appraisal ser vices since 1977. profession today. It explores information to valuation modeling and GIS while He is concluding three years of technology — the latest also addressing the concerns of more ser vice as a member of the Appraisal generation of geographic sophisticated users who are already Standards Board of The Appraisal information systems comfortable with practical applications Foundation. In addition, Borges has (GIS), valuation model- of the technology. Each chapter can be been a contributor and developer for ing applications, and read on its own or as part of a larger several appraisal-related tex tbooks predictive analytics argument about the evolution of appraisal and seminars, including “Appraising software — and its practice in the 21st century. implementation by real This new text, written by Mark R. Residential Properties,” fourth edition, published by the Appraisal Institute estate professionals. Linne, MAI, SRA with Michelle Thomp- in 2007. The valuation sce- son, PhD, is a 318-page, soft-cover narios presented in this new book range publication. To order, call 1-800/504- from the approachable to the complex, 7440 (stock number: 0737M); Member Appraisal as various contributors with diverse $50. / Non-Member $60. (plus shipping Institute expertise find ways to leverage existing and handling). Seeks Award during the Appraisal Institute’s awards level; provides ser vice to his or her Nominations luncheon in Miami. The Lifetime Achievement Award community; and has contributed to the appraisal profession for at least T he Appraisal Institute is seeking nominations by AI members and chapters for lifetime achievement and is presented to an Appraisal Institute member who demonstrates high ethi- cal standards; has volunteered several 20 years. The Outstanding Ser vice Award is presented to an individual who has outstanding ser vice awards. Nomi- years of ser vice and contribution to contributed ideas, service and dedica- nations are due by Sept. 15 for the the Appraisal Institute on the chapter, awards, which will be presented Nov. 3 regional, national and/or international ➤ Award Nominations, page 13 Legislative Update Fannie/Freddie Overseer Sued ...the state of by California Attorney General California could T he regulator y agency responsible for overseeing mor tgage giants either own or guarantee about half of all U.S. mor tgages and have stopped stand to lose more Fannie Mae and Freddie Mac has been sued by the California Attorney accepting loans tied to PACE. The subsequent shutdown of the than $100 million General over its role in ef fectively PACE program after the FHFA’s posi- in federal stimulus shutting down a program that allows tion was released prompted California homeowners to finance solar panels Attorney General Jerr y Brown to file money if the PACE and other energy-saving improvements suit. Calling the FHFA’s move a “regu- through their proper ty tax bills. lator y strangulation of the st ate’s program isn’t The Federal Housing Finance Agency grass-roots program,” Brown alleges on July 6 said that the Property Assessed in the suit that the federal government revived. Clean Energy program, known as PACE, had mischaracterized PACE funds as presented “unusual and difficult risk “loans” instead of “assessments” and management challenges” for lenders, improperly por trayed the program as the PACE program isn’t revived. That’s ser vic ers and mor tgage secur ities violating Fannie and Freddie’s stan- because the Obama administration investors in a “ fragile housing finance dard lending procedures, according has devoted more than $150 million market,” according to The Los Angeles to the Times. in stimulus funds to PACE nationwide. Times. Since then the market for loans According to Brown, the state of California, the state in which PACE with PACE assessments has essen- California could stand to lose more than has its roots, is par ticularly active in tially frozen as Fannie and Freddie $100 million in federal stimulus money if promoting the program. 10 Newsletter of the Northern California Chapter of the Appraisal Institute Return to page 1 Feature Ar ticle of the Month Are You Sustainable? Past environmental disasters like the Deepwater to add construction and real estate to the sector-specific Horizon oil spill have generated power ful fundamental guidelines in the widely used sustainabilit y repor ting shifts in business methods and approach. framework known as the Global Repor ting Initiative. Clearly, positioning real estate to maximize financial By Timothy P. Runde, MAI, LEED AP and Stacey Thoyre returns requires that an owner understand sustainability. W ith so much attention focused on green building, it’s easy to miss the real stor y: Sustainability, a much larger and more power ful force. Dubbed an emerging For example, now that one in four square feet of offices in downtown San Francisco is cer tified under LEED, what kind of competitive disadvantage do brown buildings face? “megatrend” in the May Har vard Business Review, sus- . How many brown buildings do you want in your por tfolio tainability is profoundly changing the way corporations in an environment of increasingly common and stringent do business and consumers behave. The trend is global green building codes and market forces like Ceres that and cuts across industries, touching retail giant Wal-Mar t are pressuring institutional investors to adopt sustain- Stores Inc., landlord Tishman Speyer and Oakland health ability principles? Will McMansions in the suburbs retain care company Kaiser Permanente. Seventy percent of their value if Generation Y prefers urban centers and commercial real-estate executives cite sustainability as transit-oriented development? What if consumers react a critical business issue and 89 percent consider it in to sustainability imperatives by permanently reducing how their real estate decisions, according to the 2009 annual much they buy or where they shop? A structural shift to sur vey by global real estate ser vices company Jones lower levels of consumption would increase retail vacancy Lang LaSalle. and suppress rents, causing devaluation. But what is sustainability, and how does it differ from One doesn’t have to agree with the principle of sustain- green building? Green building describes a process (build- ability to heed its influence. What gives sustainability its ing green) and a product (a green building). Sustainability, traction relies on basic issues of supply versus demand. on the other hand, is the underlying principle that gives Global population is projected to increase nearly 40 per- rise to expressions as diverse as green building, farmers’ cent to 9.2 billion people by 2050, according to the U.S. markets, hybrid cars, solar panels, cap-and-trade legisla- Census Bureau. Much of this population growth will occur tion, sustainability product indices, responsible proper ty in developing nations like Brazil, India and China, where investing, clean-tech investment and countless others. In consumption rates are expected to increase dramatically a Venn diagram, green building, corporate social respon- to levels akin to those of developed nations. With Ear th’s sibility, conser vation, environmentalism and the local food finite resources, this type of increased demand will cer- movement would all be sustainability subsets. tainly have significant repercussions. For all that, sustainability remains ill-defined. Many In the past, technology eased some supply constraints, definitions have evolved but not a universal one. In a most notably the Green Revolution that—temporarily at business setting, sustainability often is expressed as a least— alleviated wor ld hunger through industr ialized triple bottom line concept. The social and environmen- agriculture beginning in the 1940s. The problem is that tal benefits and costs of an activity must be reconciled technological fixes often create unintended consequences alongside economic costs and benefits. Sustainability such as the resultant water crisis that now faces many considers intergenerational equity and implies stewardship of the countries that benefited the most from the Green of collective resources. Revolution. While the most obvious example of sustainability in In addition, recent events, such as Hurricane Katrina real estate is green building, its effects are impacting and the Deepwater Horizon catastrophes, have illuminated vir tually the entire built environment. As individuals and the limits and risks of modern technology and intensified corporations continue to adopt sustainability principles public awareness of the true costs of the Western lifestyle. and practices, land use and location preferences will be These costs, as well as the unintended and unantici- affected. This ubiquitous impact flows from real estate’s pated water crisis caused by the Green Revolution, are unique characteristics: it is location-specific and immobile; examples of what economists call externalities—the effects difficult to cost-effectively alter; and created to house human of an activity not anticipated or paid for at the time of the activity, personal and work-related. If green building is an event. In 1989, the Exxon Valdez prompted the formation indication, market conditions can change rapidly. Last year of Ceres, whose initial goal was ensuring that companies alone, the square footage of San Francisco office space be held more accountable for the environmental and social certified under the Leadership in Energy and Environmental impacts of their businesses. For Lee Scott, the former Design grew by more than 800 percent. Quickly-changing chief executive of Wal-Mar t, Hurricane Katrina was the conditions add to real estate risk of obsolescence. defining moment that precipitated the well-documented Real estate is resource -intensive to construct and transformation in the retailer’s business model to embrace operate. Some estimates peg buildings for 40 percent of sustainability. energy consumption in the United States and 73 percent of It is difficult not to draw parallels between Katrina in carbon-dioxide emissions due to electricity consumption. 2005 and the Deepwater Horizon disaster in 2010 but the Ceres, a nonprofit aimed at integrating sustainability into capital markets, and its United Nations par tner are about ➤ Sustainable?, page 11 Return to page 1 July-August 2010 11 Sustainable? ment capital, and Katrina prompted the largest global retailer to fundamentally A Peek at from page 10 change its business model to embrace sustainability, what changes will occur Fall differences illuminate more. Even con- sidering human contribution to climate due to Deepwater Horizon? Cer tainly, we will see increased interest and Conference change and the inadequacies of the New Orleans levy system, Katrina was financial suppor t for clean technology and alternative-energy sources. But 2010 U a disaster of primarily natural origin. the strongest — and most lasting — nder the leadership of Erik Woodhouse, The Deepwater Horizon catastrophe is effects may derive from the individual the 2010 Annual Fall Conference of purely human origin. It is impossible consumers who realize that we, as a Commit tee is put ting the f inishing to deny the externalities of our current society, cannot continue viewing and touches on this year’s 60th consecu- way of life when we see 24/7 stream- using our resources — people and tive conference. Plan to join over 40 ing video of the gushing oil and image planet — in the way we have had. top-notch speakers, 450+ of your peers after image of devastated marshland, Whether today’s corporations follow and allied real estate professionals, coastline and wildlife. suit and hasten adoption of sustain- and onsite vendors on Wednesday, Deepwater Horizon prompts larger ability principles with a focus on the October 20th. Once again, we are questions about the real costs of oil three bottom lines is unknown. For pleased to present this dynamic event exploration and exploitation. Even to those of us betting on the power of at the San Francisco Hilton. those not sympathetic to environmental human sensibility and the collective advocacy, the link from the horrific effect of consumers and businesses Jon Haveman to damage to the gulf ’s ecosystem to betting with their feet, the smart money would seem to be on sustainability. Deliver the Keynote the assault on the economic system is over whelming. Jobs have been and Address Timothy P. Runde, MAI, LEED AP, is a J will be lost; local economies will be par tner with Carneghi- Blum & Par tners on Haveman is a founding partner of crushed; shareholders face significant and has been appraising commercial real Beacon Economics. Dr. Haveman is losses. The Exxon Valdez experience estate in the San Francisco Bay Area an expert in goods movement, interna- suggests years, more likely decades, since 1989. Stacey Thoyre, a published tional trade for recovery. writer who is educated in risk manage- ment and finance, has worked in the Risk policy, and From a business standpoint, it makes labor market Management accounts division of Marsh sense to ponder: If the Valdez spill & McLennan. They have been married issues. He launched the creation of Ceres, which for more than 20 years. has authored via its Investor Network on Climate Risk Article reprinted with permission from The a number now encompasses $9.8 trillion of invest- Registry, July/August 2010. of special rep or t s on transpor- t at i o n a n d security issues at California’s seaports, business out- Jon Haveman print events sourcing, and trade in technology products. He has a lengthy record of publishing ar ticles in the areas of labor and international economics. He also has a histor y of online work related to private asset accumula- tion in the United States. Dr. Haveman is routinely contacted by the press to discuss his work and has testified at numerous Federal and State government hearings on issues related to seapor t activity and security, technology trade, and l o c al e c o no mic deve l o pment . we are your source for bay area Prior to launching Beacon, he was the real estate coverage. Director of the Economy Program at the Public Policy Institute of Califor- nia. He received his Ph.D and M.S. in Economics from The University of Michigan (1992) and his B.S. in Econom- Subscribe to our monthly, print journal online at ics from the University of Wisconsin. www.theregistrysf.com/Subscriptions.html. ➤ Fall Conference 2010, page 21 12 Newsletter of the Northern California Chapter of the Appraisal Institute Return to page 1 President’s We have a dedicated leadership team Message that is working tirelessly to try to from page 1 solve that problem. Now is not the time to document. The posted mater ial is let rumors, innuendo, or personal available for any AI member to review; log into “ My AI” via the Appraisal politics compromise that work. Institute’s national website – w w w. appraisalinstitute.org . I n summary, TAF’s pending suspension of the AI relates to our communications with Congressional representatives and have been considered contradictor y to TAF’s interests, had it passed and had TAF intended to pursue additional against the AI. It has expressed its desire to remain a proud and productive sponsor, in accord with the heritage allied appraisal organizations. Those educational of ferings in the future, established since the creation of TAF, communications per tained to work on was defeated. Interestingly, despite and believes that the missions of the then-pending legislation that was part of TAF’s reaction to the education limi- organizations are compatible. However, the recently passed Financial Services tation language, it has also said that the AI has also been clear in that it Reform Bill (H.R. 4173), and stemmed our “dissent and disagreement are must remain able to discuss matters that from requests originally made to the welcomed and encouraged, and that are impor tant to our organization, the AI from Congressman Paul Kanjorski’s the Institute is...free to discuss ideas profession, and/or the public interest, office. Discussions occurred between as it sees fit.” I have difficulty under- without fear of reprisal from TAF. Our our GRC and the congressman’s staff, standing how the AI can be punished GRC studies and develops positions on as well with representatives of the for communication, while also being many pieces of proposed government American Society of Appraisers (ASA), “ free to discuss ideas”. legislation, making regular proposals the American Society of Farm Manag- Many of our members have expressed to our Board of Directors regarding ers and Rural Appraisers (ASFMR A), opinions similar to mine. They are con- its rec ommendations. It frequently and the National Association of Inde- fused in that the punishment doesn’t discusses issues with Congress and pendent Fee Appraisers (NAIFA). They seem to fit the crime. Some feel that allied industr y groups to express its related to language that might have there must be something else involved thoughts and positions, and cannot restr icted The Foundation’s abilit y in TAF’s recent decision. Based on for feit that right out of concern for to offer education beyond that which what I have learned over the past few TAF retaliation. they already provide (the 7-hour and 15 -hour USPAP programs). The lan- guage that was being considered was months, I agree. Like many disputes, this one appears to involve a mix of politics, power, and personality con- T he Appraisal Institute’s leadership has been very interested in obtain- ing the views of its members regarding not entirely new. It had precedence in flicts. The suppor ting documentation this matter. It has heard from many existing legislation (the SAFE Act) that available on the AI website explains in our organization, and continues already affected the mortgage industry, some of this, through additional details to solicit input. I personally appreci- and was being considered by the GRC regarding historical communication ate the feedback from those of our as to its applicability to TAF. While problems between the AI and TAF, Chapter members who have expressed our GRC ultimately repor ted to the AI as well as related, but independent their opinions and concerns to me in Board of Directors that it suppor ted disputes which may have played a part telephone calls, emails, and through the inclusion of the education limitation in the current circumstances. Concerns questions submitted via the webinar we language, the Board decided to exclude over fair competition between educa- held at the end of July. Be assured that that component from the proposed tion ser vice providers appear to be a ever y one of those points of view has legislative appraisal amendments to factor, as does the recognition of the been delivered directly to our national the Financial Ser vices Reform Bill. substantial investment made by the leadership, and (per a confirmation I TAF considers these actions by the AI to restructure its educational offer- received from President Sellers) passed AI to represent “conduct materially and ings to conform with the 2008 USPAP onto the Board of Directors. They are seriously prejudicial to the purposes changes. However, from what I have thankful for the information and invite and interests of the Foundation” and gathered through discussions with additional communication regarding therefore in violation of its Code of national leadership; the documents this and any other issues that are of Conduct for Sponsors. This is the reason posted to the website; and conversa- concern to the membership. given for the proposed suspension. tions with cer tain of our members who While many of our members have It is impor tant to again note that the have close connections to the events expressed suppor t for the AI’s posi- proposal the GRC made to our Board of the past few months, the AI has tion regarding the TAF situation, some of Directors, regarding the education done an honorable and respectable have suggested that there might be limitation issue, was ultimately not sup- job in attempting to resolve the matter c onnec tions bet ween our pending por ted by the Board and therefore not at hand. Unfor tunately, the effor t has suspension and that of the previously forwarded to Congressman Kanjorski’s so far fallen on deaf ears. failed attempt of unification with the office. The discussions stopped at the level of the GRC’s recommendation to the AI Board and the Board’s sub- O ur organization has stated its opinion that nothing it has done has prejudiced TAF, and that there is ASA and ASFMRA. Others have alluded to repercussions from decisions made sequent vote. A proposal that might no basis for TAF to take any action ➤ President ’s Message , page 13 Return to page 1 July-August 2010 13 President’s In keeping with the public. The Appraisal Institute will remain the independent voice for the Message the Appraisal appraisal profession. While our leadership has indicated from page 12 Institute’s mission, its desire is to work directly with TAF to fix the problem at hand and to establish by prior AI leadership regarding other we will speak out new communication arrangements so issues (see the IMHO ar ticle by John to advance the that similar issues do not arise in the Hillas, SR A, included in this newslet- future, the AI has also stated that it ter). As I previously indicated, I believe interests of our will vigorously defend itself and its that politics and personality conflicts members, our reputation with regard to this matter. may be an ingredient in the current I am confident that our leadership will crisis; however, I also believe it is profession and ultimately make the best decisions. impor tant to study the logic behind the proposed suspension from TAF on its independent merits, and to recognize the public. The Appraisal Institute I encourage all of our Chapter mem- bers to learn more about this issue and to ask the difficult questions. The our very competent national leadership will remain the information is available to all of us via in its current composition. We have a the AI website. The amount of material problem, and need to find a solution. independent voice is substantial, but one can gain a fairly We have a dedicated leadership team for the appraisal clear understanding of the AI’s posi- that is working tirelessly to tr y to solve tion by reviewing the June 15th letter that problem. Now is not the time to let profession. from President Sellers to TAF (item rumors, innuendo, or personal politics 12 on the list of downloads available compromise that work or other wise the USPAP document at a discount on the website; you must log into My divide our organization. for 21.5 months. Our ability to offer AI). Additionally, Chapter members are The AI is clearly at a crossroads education, including USPAP, will not always welcome to call me directly, or with respect to its relationship with TAF. be affected, nor will our obligations to send me your thoughts via email. I As the situation currently stands, we to comply with USPAP. will answer what questions I can, and are to be suspended as a sponsoring The AI’s Board of Directors has will pass along your remaining concerns member in mid-September. We have studied and will continue to study all to national leadership. Alternatively, a right to a final hearing regarding of its options regarding the proposed you can communicate directly with any the proposed suspension (beyond suspension. On September 1, it plans other members of your Chapter Board the presentation already made by our to present the facts regarding what of Directors; the Chapter or National national leadership to TAF, in June). the TAF Board of Trustees has deter- office; and/or National Director and That is tentatively set to take place mined to be the Appraisal Institute’s Chapter member Claudia Carleton, MAI. on September 1. If the suspension violation of The Foundation’s Bylaws. Contact information for each of these holds, the AI will lose the privilege The Board has fur thermore said that, individuals/resources is contained in of identifying itself as a sponsor of in keeping with AI’s mission, it will this newsletter. TAF for seven months, along with speak out to advance the interests — Jeff Enright, MAI the right to reproduce and/or obtain of our members, our profession, and 2010 Chapter President Award Nominations FREE Copy from page 9 of USPAP d ay! tion to ensure a specific program or effor t is implemented at the chapter, appraisalinstitute.org/myappraisalin- stitute/Nominate/Default .aspx . O rd e r Yo u rs To region, national and/or international Appraisal Institute level. This Appraisal Institute member members may receive a must be instrumental in the success A r e you a m em b e r o f th e complimentar y copy of of the program or effor t, which also USPAP sent directly to must be far enough along to measure App r ais al Ins titute? them from the National and provide proof of success. Addi- If not, join today and start Of fice. Appraisal Institute tionally, the program or effor t must be beneficial to chapters, regions, enjoying all the benefits members may call national or international members or that membership can offer, 312/335- 4469 or email the profession. uspap@appraisalinstitute. The Appraisal Institute’s Awards including discounts on all org to request their Selection Panel will select the win- ners. Those selected will be asked to Appraisal Institute books. free copy. attend the awards luncheon at their Another benefit… own expense. For more information, Questions? of Appraisal Institute visit the members-only section of the Appraisal Institute’s website at: w w w. Call us at 888-7JOINAI. Membership 14 Newsletter of the Northern California Chapter of the Appraisal Institute Return to page 1 IMHO: Submitted by: A Closer Look John A. Hillas, SRA at Unification Appraisal Institute Board of Directors, 2007-08 IMHO (In my humble opinion) is a column in which our members have an opportunity to share their opinions and ideas. If you have an opinion The AI is huge that you would like to share, please for ward it to firstname.lastname@example.org . in real estate, while the ASA is a Is This All About Unification? leader in personal What Do You Really Know? property and A business valuation, ll of this talk about suspension Although the AI membership and staff of the AI from The Appraisal dwar fs the combined numbers of the F oundati o n has d r ed g ed u p ASA and ASFMR A, ever y effor t was and the ASFMRA some old stuff that I think needs to made to keep ever yone feeling as be talked about. Some facts need to equals, so there were an equal number is a leader in replace rumors and some dots need from each organization that comprised farm management. to be connected. the Unification team. In the spirit of A Primer on Unification unity, I am told that the team members Everyone recognized Unification of the valuation pro - all took off their separate association pins, and each instead wore US flags the benefits, and fession is something that the AI has worked on and discussed for a ver y when they met in person. everyone had There were numerous meetings, in long time. A major step was taken in joining the AIREA and SREA to form person and via conference calls. There something to bring the AI in the early 1990s, but it is not were many phone calls and emails. There were joint meetings, where the to the table. yet finished. Unification, or what we used to call leaders of the three organizations got “ the umbrella,” is consistent with the together and discussed the benefits of new organization would be formed. vision of the AI. Unification of the valu- a unified profession, with disciplines for There was to be lots of legal and ation profession is part of the Appraisal real estate, personal property, business human resources issues involving an Institute’s Long valuation and management. The AI is estimated 140 or so employees, and Range Plan. huge in real estate, while the ASA is a some employees would not be retained. There have ...facts leader in personal proper ty and busi- The new organization would have b e en, an d to ness valuation, and the ASFMR A is a three officers and a board of governors. some ex tent need to leader in farm management. Ever yone The governance would acknowledge continue to be replace recognized the benefits, and everyone had something to bring to the table. the four primar y disciplines of real estate, personal proper ty, business m a ny c o l l a b - orative effor ts, rumors... Hundreds of thousands of dollars were valuation and management. That all par ticularly in invested. sounded f ine and reasonable, and the areas of gover nment relations It all culminated in a plan to create consistent with where we all knew that and the body of knowledge. ASA and the “ABC Organization.” The real name we wanted to end up: a truly multi- ASFMR A members were unilaterally would come later. disciplinary organization for all valuers, given AI member rates for attendance at AI courses, seminars and workshops. This practice continues today in many A lthough the AI had five members on the team, and one of those team members was actually also on the AI with discipline-specific criterion in the governance structure to assure proper representation. areas, including offerings sponsored Board at the time, the plan details Devil in the Details by the Nor thern California Chapter. communicated to the AI Board during From the perspective of the AI, Nonetheless, the most recent major the process were scant. We got the however, the devil was in the details. ef for ts toward Unification ended in plan as an almost-final document. The At that time, the AI had 24,000 mem- late 2007. The AI, ASA and ASFMR A plan was presented to the AI Board of bers, the new combined organization had invested much time, effor t and Directors via email, along with all of would have had about 30,000. The money to that point, all split 50/35/15% the other materials normally provided vast majority of the organization would because the ASA and ASFMR A are prior to a BOD meeting. We had more have been made up of AI members. nowhere near the size of the AI and than a couple of days, but not quite The AI had 115 -120 employees and just don’t have the financial strength. a week to review it all, as I recall. I a full corporate structure. The ASA In a manner sensitive to the proud remember being troubled by the plan, and ASFMRA combined had something heritage of each of these three organi- as the details became clear. like 20 -30 employees, and I think they zations, a Unification project team was The plan called for completely dis- were in multiple locations. assembled consisting of five members mantling the Appraisal Institute, the from each of the AI, ASA and ASFMRA. ASA and the ASFMR A. An entirely ➤ IMHO: Unification, page 15 Return to page 1 July-August 2010 15 IMHO: substantial amount in any case. It would have essentially depleted the H ow did things get so awr y? How did the AI members of the Unifi- Unification reser ves of the Appraisal Institute. There was no way the AI Board could cation team justify expending vir tually all of our reser ves and making a new from page 14 agree to this. It was not a responsible organization comprised in vir tually all thing to do with the members’ money, facets of a vast majority of AI members, The AI had about $5 - 6,000,000 in and the new organization governance yet be only roughly a quar ter of the reser ves, the ASA and ASFMR A had did not recognize the over whelming governance? I don’t know what they ver y small reser ves in comparison. contribution to be made by the AI as were thinking, and they were not talk- Historically, the AI had absorbed 50% compared to the ASA and ASFMR A. ing about it. Ever yone was/is angr y at T of all costs associated with this effor t, he AI board convened and discussed the AI over it. Cries of “do it for the the ASA 35% and the ASFMR A 15%. this at great length. Many of us were good of the profession” were the only This was not commensurate with the deeply committed to Unification and replies to requests for explanation. actual breakdowns, but acknowledged we tried to come up with ways to make Fast Forward to the the disparities. this work. We discussed modifications 2007 VP Election The plan described how the three to the plan that, for instance, gave the It is possible that another series of officers would be selected, one from AI at least 51% of the governance at events in 2007 had negative impacts each organization. the outset, adjusted over time as the on the unification ef for ts, and that It also described how the Board of different disciplines grew. After some was the 2007 election of the AI Vice Directors/Governors would be struc- time of discussion, we were told by the President. A petition came from the tured. It involved a formula that was AI Unification team member who was AI Board that all five VP candidates comprised in par t by discipline and also on the AI BOD that the plan had be considered by the Board of Direc- in par t by predecessor organization. already been worked out and agreed tors, instead of only the one that was The Appraisal Institute would con- upon by the teams, and it was basically nominated by the nominating commit- tribute 80% of the members, 80% of the a take it or leave it deal. Unfor tunately, tee. This so angered the committee, funds, and 80% of the staff, but would the AI Board had to then vote it down. and emotions boiled and accusations comprise only 26% of the governance. Emotions ran high and the whole flew. The vitriol continued and grew. I t was readily apparent that this was not going to work. It was understood that eventually the relative sizes of Unification team and the folks from the ASA and ASFMR A were deeply disap- Nasty letters and emails, and scream- ing phone calls ensued. pointed, as were we all. We actually Although the AI Board hears com- the disciplines would change over never voted down “Unification”, but the mittee recommendations all of the time, time, but in the meanwhile it would effor t was essentially killed when we and agrees with some and disagrees be over whelmingly the real estate voted not to fund our 50% share of the with others, never had a committee discipline, and over whelmingly the $200,000 requested by the Unification whose recommendation not been fol- Appraisal Institute membership. The lowed acted out in such a manner. team to continue their meetings to plan was just not consistent with the A ngr y slanderous c omments were finalize this unacceptable plan. There f iduciar y responsibilit y that the AI thrown about in meetings and emails, was nothing that could be done at that Board members had to the member- tear ful presentations were made in point. Hard feelings ensued, mostly ship of the AI. front of a confused membership. Wild directed at the AI Board and Officers. rumors of misdeeds flew like wildfire. We were told that we “ failed,” but I The plan called personally think that there is no way that such a plan should have been put A ll of this angst and anger during the months leading up to the date for completely for th in the first place. when the Unification decision was to be made resulted in strained relationships. dismantling the The governance disparity aside for Following the demise of the “ take it a moment, the idea of completely dis- Appraisal Institute, mantling three organizations to star t a or leave it” Unification plan, and the board election of someone other than the ASA and the new one was unrealistic. Mergers and acquisitions happen all of the time in the committee recommendation, things continued to get more and more ugly. ASFMRA. An entirely the private sector, and no business This at a time when the economy was would have done what was proposed in new organization this case. The only appropriate course failing, markets were crashing, gov- ernment issues were growing, and all would be formed. would have been to initially assimilate attention should have been focused the 4- 6,000 ASA and ASFMR A mem- on external problems. bers into the organization of 24,000 Instead, the unrest was so great Literally at the meeting where we AI members; and to initially assimilate about the rumors of misdeeds that were to vote on approving additional the staf f of the ASA and ASFMR A some past leaders star ted a grass funds ($200,000) to continue final- into the AI staff. The Unification team roots campaign to tr y and diminish the izing this, we were provided with the insisted that the ASA and ASFMR A integrity of the AI leadership. Some of financial details of how the plan would people would not just “join the AI” these angry people were very influential, be put into action. even if the name was subsequently and before long there were members The cost of the plan was loosely changed. The Unification team said badmouthing the very organization that estimated in the millions of dollars, that the only way it would work was $2- 4,0 0 0,0 0 0 or $ 4 - 6,0 0 0,0 0 0 – a to star t completely from scratch. ➤ IMHO: Unification, page 20 16 Newsletter of the Northern California Chapter of the Appraisal Institute Return to page 1 “My Appra isal Appraisal Institute WO W u te Instit hip ers Membership Tha ! t Memb that es G r e ’s includ ? ” Benefits at! to o My Appraisal Institute Membership includes that too?” W hy did you join the Appraisal Institute? Professional recognition? Personal growth? Career advancement? Network- ing oppor tunities? Discounts on education and ser vices? The Appraisal Institute offers a variety of membership benefits that are sure to help in many areas of your real estate appraisal career. Each month we will highlight some of the benefits available to Appraisal Institute members. Read below to find out how your membership quickly pays for itself! To review all the member benefits available to you, click here . Er rors & Omissions Insurance. To help safeguard your practice, obtain errors and omissions insurance through the Appraisers Liability Insurance Program. For more information, contact: LIA Administrators & Insurance Ser vices, P.O. Box 1319, Santa Barbara, CA 93102, 800/334- 0652; or at their website: w w w.liabilit y.com . Comprehensive Protection Plans and Medical Insurance Ser vices . A wide selection of protection plans as well as medical insurance ser vices are available to members through the Real Estate Appraisers Group Insurance Trust (REAGIT). For more information, members can login and click here . ■ Major and Limited Medical Insurance Ser vices ■ 10 -Year Level Term-Life Insurance ■ Disability Income Protection Insurance ■ Professional Overhead Expense Plan ■ Medicare Supplement Insurance Plan ■ Dental Insurance Plan ■ Hospital Indemnity Plan Please note, the benefits discussed in the program(s) above are for informational purposes only and may be subject to separate terms and conditions ef fective at the time the member signs up to par ticipate with the company administering the respective program(s). Members may be required to agree to separate terms and conditions by the company administering the respective program(s) prior to par ticipating in the program. MAI and SRA Designations N eed a way to dif ferentiate and d i s t i n g u i s h yo u r s e l f i n t h i s hi g h ly c o m p et it i ve m a r ket p lac e? The Appraisal Institute of fers the most prestigious designations in the appraisal profession. For more information on designations, visit http://www.appraisalinstitute.org/about/ designations.asp Return to page 1 July-August 2010 17 Branch Chapter Coming Happenings This Fall A ccessible, af fordable and informative! Our Branch Chapters provide a variety of resources to help you succeed. Watch for programs Vineyard Valuation throughout the geographic areas ser viced by the Nor thern California Chapter. Take a quick peek at what’s on the horizon: Fresno Area Appraisers to Gather November 5 Sept. 28 — For t Washington Countr y Club, Fresno Monterey Joint EBBC / IRWA Networking Lunch Nov. 17 Presenter: Les Hausrath, Attorney — Wendel Rosen Conference Center, Oakland F or information/registration on Fresno offerings please call 559/433 - 9257. For all other programs, please visit ht tp://w w w.norcal-ai.org / event .html or contact the Chapter Office at 925/932-7753. We are always looking for topics that interest and can benefit you! If you have an idea for a workshop that would be of value, please contact your local Branch Chapter Chair (see list, page 4). What is the Advertise With Us! Appraisal Institute? T he Appraisal News offers a fabulous opportunity to get your name, company, products or services in front of over 3,700 appraisers and T he Appraisal Institute is a global membership association of profes- sional real estate appraisers, with more real estate-related professionals. Simply send than 25,000 members and 91 chapters us a PDF of your ad designed to fit one of the throughout the world. Its mission is to formats in the table below. Fonts used in the advance professionalism and ethics, ad must be embedded when the PDF is created; global standards, methodologies, and colors used should be RGB. Photographs and practices through the professional graphics should be rendered at highest quality. development of property economics worldwide. Organized in 1932, the Available Ad Sizes Appraisal Institute advocates equal Full page = $500 1/4 page = $150 opportunity and nondiscrimination in 10"h x 7.5"w 4.75"h x 3.75"w the appraisal profession and conducts 1/2 page = $275 Business Card = $75 its activities in accordance with appli- 4.75"h x 7.5"w 2.38"h x 3.75"h cable federal, state and local laws. We also offer banner ads on our Web site — for Members of the Appraisal Institute NEW! $100! Your ad will be displayed for 30 days. just benefit from an array of professional For more information, contact Lisa Estes at education and advocacy programs, 925/932-7753 or e-mail email@example.com . and may hold the prestigious MAI, SRPA and SRA designations. Learn more at w w w.appraisalinstitute.org . 18 Newsletter of the Northern California Chapter of the Appraisal Institute Return to page 1 Agenda for Associates New Courses Let Us Help Pay for Your Tuition! for those 2010 Scholarship Deadline Fast Approaching Seeking the MAI T he Nor thern California Chapter is currently accepting applications for the George and Alber ta Stauss Scholarship, and the Nor thern California Chapter Residential Education Scholarship. Whether you are Designation just star ting a career as a real estate appraiser or nearing completion of your designation requirements, one of these scholarships may be just T he Appraisal Institute is in the final phases of the development for the new Advanced Education for the MAI right for you. The Stauss Scholarship gives preference to those seeking the MAI designation. New releases include: ■ Advanced Income Capitalization designation while the Northern California Residential Education Scholarship ■ Advanced Market Analysis & HBU gives preference to those specializing in residential real estate rather ■ Advanced Concepts & Case Studies than commercial (general). ■ Qualitative Analysis (to premiere Act Now ! Click here to download your application today! The in 2011) application deadline is September 15, 2010. Each of these new AE course has been designed with an online compo- nent. The pre-class, online session New Requirements Affect gives par ticipants the f lexibilit y to AI Associate Members’ complete two of the 35 (or 40) hours of the course when it is most convenient Appraisal Reports for them. The online session provides a blended approach to learning, enabling I n conjunction with the Appraisal Institute’s new continuing education require- ments, which took effect July 1, Associate members now must include a cer tification statement in each of their repor ts that indicates their continuing par ticipants to complete the first par t of the course at their own speed. For more information on these new education status. of ferings, click here . If you have Although some Associate members might not yet be aware, their written specific questions on how these new repor ts now must include a cer tification statement that says either “As of courses might affect you, contact the the date of this repor t, I (Associate Member’s name) have/has completed Appraisal Institute Ser vice Center. the Standards and Ethics Education Requirement of the Appraisal Institute These knowledgeable counselors are for Associate Members” or “As of the date of this repor t, I (Associate Mem- available to help you c ho ose t he ber’s name) have not /has not completed the Standards and Ethics Education education path that’s best for you, Requirement of the Appraisal Institute for Associate Members.” suppor t you through the designation To assist members in understanding the changes, view the downloadable process and much more. The Appraisal PDF for Associate Members: Click here . In addition, a separate webinar Institute Ser vice Center is now open presentation geared toward members has also been recorded. Members can Monday through Friday, 7:00 a.m. to access the recording by simply clicking here . For comprehensive information 6:00 p.m. central time. E-mail: aiser- on CE requirements, visit w w w.appraisalinstitute.org /ce or contact the AI firstname.lastname@example.org . Phone: Ser vice Center at 312/335 - 4111. 888 -7JOINAI (888/756 - 4624). ot Q ue v e G For s t i o Stay in Touch: u’ questions n Associate has New Email Yo s? about designa- Patti Gorman tion requirements, email@example.com contact the Admissions Depar tment at 312/335 - 4111 or e-mail admissions@ appraisalinstitute.org. These dedicated professionals s! Th are here to assist you er y’ achieve your goal of e designation. ve s w Got An Return to page 1 July-August 2010 19 Looking for Education New Business 2010 Upcoming Educational Offerings Opportunities? ❑ Seminar : “ Yellow Book ” Unifor m Standards Sept 13 -14 For Federal Land Acquisitions Litigation Appraising: Instructor(s): David Lennhof f, MAI, SR A Specialized Topics and Location: University of Phoenix, San Jose Applications ❑ Wor kshop: Wrestling with Uncer taint y Sept 16 New Laws – New Economics September 23-24 / Oakland Instructor(s): Panelists including Bob Clark, OREA P lan now to join Harr y Holzhauer, MAI, SR A, when he presents this two-day course on business opportuni- Location: Four Points by Sheraton, Pleasanton ❑ Course: National USPAP Update (7- Hour) Sept 30 Instructor(s): Stephanie Coleman, MAI, SR A ties in specialized types of litigation Location: Carr America Conference Center, Pleasanton other than eminent domain in which the valuation of real estate is frequently ❑ Course: Business Practices & Ethics Oct 1 an issue. Examples of topics covered Instructor(s): Stephanie Coleman, MAI, SR A include environmental contamination, Location: Carr America Conference Center, Pleasanton ad valorem tax assessments, construc- ❑ Course: General Site Valuation & Cost Oct 5 - 8 tion defects, bankruptcies, fraud and Instructor(s): Arlen C. Mills, MAI, SR A misrepresentation cases, income and Location: University of Phoenix, Oakland estate ta x disputes, and divorc es. ❑ 2010 Annual Fall Conference Oct 20 Through problem-solving activities, Opening Keynote: John Haveman, Beacon Economics participants will apply new concepts and 16 Informative Breakout Sessions address how to best handle valuation Location: Hilton, San Francisco and repor ting issues in a professional legal setting. Par ticipants will gain an ❑ Seminar : Vineyard Valuation Nov 5 understanding of the terminology and Instructor(s): Panelists concepts involved in litigation valuation Location: Monterey ser vices in specialty areas and will ❑ Seminar : SF Bay Area Green Panel Dec 6 learn about the many oppor tunities Instructor(s): Panelists available for expanding their practices Location: TBA in litigation valuation. Interested in attending? Hurr y to Yes, please provide me with pre- registration information take advantage of early registration on the above checked education programs. discounts and to secure your spot! Since this is the only remaining offering Name Phone of this course on the west coast for the remainder of 2010, it is expected to FA X Email sell-out. Remaining seats are limited. There are three ways to receive advanced notification of Click here for additional details and these upcoming education of ferings: u visit our website at to register. Note: In addition to earning CE w w w.norcal-ai.org ; v call us at 925/932-7753; or, w fax this hours for Litigation Appraising: Spe- page back to 925/932-7754. We reser ve the right to cancel cialized Topics and Applications, you or substitute dates, locations and/or instructors as necessar y. may earn a Cer tificate of Completion Interested attendees are encouraged to register at least one in Litigation. For more information on month prior to the of fering to help avoid possible cancellation. the cer tificate program, click here . Requesting a Duplicate Attendance Certificate I f your renewal cycle is about to come due, don’t wait to start gathering your attendance cer tificates and getting all Center at ht t p: //w w w. a p pr ais alin - s t i t u t e . o r g /e d u c a t i o n /d ow n l o a d s / Cer tif icate _ Request _ Form. PDF or sure to include the date (month/year) and the name of the program. Due to the amount of back-up documentation of your continuing education records in 312/335 - 4140. stored in the archives, allow a mini- order. The Chapter Office only maintains To request a duplicate attendance mum of three weeks for your request records for seminars and workshops, cer tificate for a conference, seminar to be processed. Non-members of the while the National Office maintains or workshop offered by the Nor thern Nor thern California Chapter should the records for courses (regardless if California Chapter, submit your request include a $15 processing fee with their the course was sponsored by a local to the Chapter Office in writing. Due written request. This research will be chapter). For course transcripts contact to the volume of requests, only written provided to members of the Nor thern the Appraisal Institute’s Information requests/faxes can be handled. Be California Chapter at no charge. 20 Newsletter of the Northern California Chapter of the Appraisal Institute Return to page 1 IMHO: It is past time to I t is past time to get over all this old histor y and move for ward. The Unification get over all this Appraisal Foundation needs to drop this nonsense of suspension of the AI. from page 15 old history and This Foundation thing is personal, political and shameful in my opinion. through all of this, was still working move for ward. They are talking about suspending to continue what they always have the AI from the Appraisal Foundation done, speak for the valuation profes- The Appraisal from September 2010 to April 2011. sion when and where such speaking Foundation needs to What purpose will that ser ve? Will needed to be done. Still angr y, many it all suddenly be better after April looked outside and star ted joining a drop this nonsense 2011? Will the pesky AI have learned European-based organization trying to make inroads into the US market. It of suspension its lesson? It sounds punitive to me, and for ver y weak apparent reasons. was like the “I hate the AI” club. These of the AI. It sounds to me just like the “aware” angr y members have been ver y useful communications from a year or two in tr ying to diminish their own AI while ago that was well - intentioned but escor ting in another organization. I I h ear c o mp laint s ab out t r ave l misguided/uninformed. The AI invested frown whenever I see an AI member expenses, and in par ticular, I hear lots of time and your dues dollars (over with those letters behind their name. complaints about the AI involvement $100,000) refuting all of that, and will I s it a coincidence that the AI members of the unification team included a few members of the nominating committee in the International Conference held in Cancun. Some called it a spending fight this as well. Ironic that The Foundation is claiming that the AI secretly acted in a manner spree and a folly or boondoggle. I can that acted so scorned? That nominat- say that the AI Board approved the that would harm them (a claim that was ing committee had been in effect for motion to join in that conference and totally disproven), while at the same 4-5 years – repeatedly selecting the hold the AI Board meeting there only time, bringing in an outsider to be The nominee for the future VP of the AI. if the costs were less than or equal Foundation’s “international” body. The One member of that committee actually to the cost of holding the meetings AI, a founding and sponsoring orga- told me with fer vor that “ this is where in Chicago. The Board was sensitive nization, is already an international the REAL power of the AI resides.” to the concerns of appearances, and organization. Some at The Foundation I think that the nominating committee we took it upon ourselves to make seem to have a personal dislike of the was together too long and there were sure that the members knew about Appraisal Institute. Maybe it is time for personal dislikes and views, some of the comparative costs. In hindsight, some fresh faces in The Foundation. which were rooted in the differences we did not do a ver y good job of com- Put egos aside and get the emo- of opinion that arose in 2003 - 05 when municating that. tions in check. If unification was ever a the governance of the AI was restruc- We ARE an International organiza- good idea, it is still a good idea. That tured. Notable is that in all other levels tion, and we HAVE a growing member is how I see it. Remember, I was there. of governance in the AI, nominating base in Mexico as well as in Cen- — John A. Hillas, SRA committees roll over at 1 or 2 year tral and South America. With costs Appraisal Institute inter vals. There is wisdom in that. addressed, it was a no-brainer. We Board of Directors, 2007-08 The nominating process should result par ticipated with pride. As a side note in the ver y best candidate ever y year I will say that I voted in favor of the AI without regard to personal differences. Board par ticipating in the conference, A First Hand Account but my Region chose (wisely in my I write this IMHO ar ticle in frustra- opinion) that it was unnecessar y to tion as I see it all erupting again now hold our Regional Meeting there. The with the rumors and comments going costs were just too great coming from Advertising Guidelines around due to the announcement of the Pacific Nor thwest. Where the AI & Deadlines the possible suspension of the AI from Board par ticipation was cost neutral, The Appraisal Foundation. It is time for the Region’s costs would have been ■ The newsletter submission deadline is the details of the Unification Plan to be significantly higher. Hence, Region I noon on the 5th of the preceding month. All known. People need to know why the did not go to Cancun. submissions for the September/October issue AI Board voted not to continue down must be received by noon on September 5. We the path of unification. It was just not reserve the right to reject or edit advertisements acceptable. The 2007 election is long If unification was submitted for publication. Classified ads are lim- over and the VP ultimately elected by the AI Board has per formed admira- ever a good idea, it ited to 40 words and a $40 publishing fee must accompany submissions from non-affiliates. bly. Contrar y to slanderous rumors, is still a good idea. Classified advertising is complimentary for AI there was no nefarious plot or back members. All ads will be printed on a space room deals. Ever ything was done in That is how I available basis. The Appraisal Institute does not accordance with the AI Bylaws and impor tantly, with the best interest of see it. Remember, endorse any of the ads that appear and assumes no responsibility for the reliability of ads other the AI in mind. I was there. than to publish them. Submit ads via email to I know because I was there. firstname.lastname@example.org Return to page 1 July-August 2010 21 Fall Conference 2010 been damaged from a detrimental condition, such as a hurricane, oil spill, soil subsidence problems, ear thquake from page 11 damage, and environmental contamination fur ther compli- cates the appraisal process. In this session, we will hear He specializes in International and Labor Economics. He from an exper t who wrote, among other titles, the book has been a senior economist with the President’s Council Real Estate Damages: Applied Economics and Detrimental of Economic Advisers, and held a faculty position in the Conditions (2008). This session is intended to provide a business school at Purdue University. basic over view of key concepts (including the Detrimental But wait, there is plenty more! Here is a glimpse at some Condition Model and Detrimental Condition Matrix), and of the 16 breakout sessions that will be featured this year: will focus on case studies. Residential Hot Topics Focus on FHA Financing: Three Industrial Market Update Perspectives on Residential Lending Bay Area Office Market Update With the dramatic price adjustments in Bay Area resi- Trends in Residential Real Estate dential real estate, the changes in conforming loan amounts State of the Local Multifamily Market and borrower qualifications and with the increased risk Understanding the Foreclosure Process involved in the purchase of ‘problematic’ proper ties (shor t sales, REOs and distressed proper ties), FHA financing has Using Technology to Maximize Efficiency become an increasingly dominant share of the residential Valuation Issues: Hotels & Shopping Centers real estate market, both nationwide and in the Bay Area. FHA Financing: Perspectives on Residential Lending This session will offer three perspectives on the current Where Have All the Commercial Foreclosures Gone? and future state of FHA financing. It will offer both an Detrimental Conditions and Real Estate Damages over view of the current and future state of FHA lending as Case Studies in Green Building Valuation well as a nuts and bolts practical guide for the residential Sustainability: Beyond Green Building appraiser on how to stay on top of this rapidly changing Bay Area Retail Market Update but increasingly impor tant source of residential financing Repor t Writing Today Case Studies in Green Building Valuation Capital Markets Valuing green or high per formance buildings involves more than just tweaking a DCF or finding the right set of Valuation Issues: Hotels and comparables. More than ever, appraisers need to know Shopping Centers their market and understand the degree to which the market W e asked many Assessors in California about problem- has adopted sustainability and green building principles. atic valuation issues they are facing. Two topics came This session provides real-world examples from various to the forefront. They are the valuation for real estate tax perspectives to show how green building features are assessment of Hotels and Shopping Centers. Hotels have seen and valued in today’s marketplace. Get abreast of the unique issue of attempting to isolate real estate from this cutting-edge trend and hear how these professionals business value since California does not assess business are dealing with this growing sector of the market. value. Anchored shopping centers have the complicated Residential Hot Topics W element of the valuation of in-line space versus anchor hile our industr y is constantly changing, in the last space. Suzanne Mellen, MAI, and Linda Congleton will few years we have seen a significant increase in the discuss typical issues brought in assessment appeals and pace of changes — from the HVCC to FHA requiring the share interesting cases recently argued in California. This use of Cer tified Appraisers to the raising of the education session will give insight into the viewpoint of the assessor and experience bars for appraisal licensing. This session and that of the taxpayer and should provide some tools will touch on these changes and also cover the impact of to help in your valuations. recently passed HR4173. In addition, we will examine other Where Have all the potential state and federal regulations regarding issues such as BPO’s. Lastly the session will discuss the Uniform Commercial Foreclosures Gone? Mor tgage Data Program and how it will impact appraisers. Since the beginning of the recent credit crisis, we have been hearing about a “ tsunami” of commercial foreclo- Plan Now and Save! sures on the horizon, yet a seemingly small percentage Early and group discounts are available. The confer- of distressed commercial proper ties actually make to the ence is being submitted for 6 -hours of Appraisal Institute, auction block. One repor t notes that over 50% of the OREA and SBE CEC. For more information, visit ht tp:// institutional-grade real estate in the U.S. changed hands w w w.norcal-ai.org /event .html . from 2004 to 2007 and most of these proper ties were over-leveraged. So where are all the commercial foreclo- sures? This panel will seek to explain the mechanics of defaults in commercial proper ties and address the process by which banks handle non- and under-per forming loans. Detrimental Conditions and Real Estate Damages Appraising a proper ty under “normal circumstances” always presents a set of challenges. A proper ty that has 22 Newsletter of the Northern California Chapter of the Appraisal Institute Return to page 1 Upcoming Programs & Events at a Glance Sun Mon Tu e We d Th u Fr i S at AUG 2 9 30 31 SEP 1 2 3 4 Net working — Fresno August 31 – October 1, 2010 5 6 7 8 9 10 11 12 13 14 15 16 17 18 Yellow Book Seminar BOD Meeting — San Jose Workshop & Chapter Meeting — Pleasanton 19 20 21 22 23 24 25 Litigation Appraising — Oakland 26 27 28 29 30 OCT 1 2 Net working USPAP Update Bus Practices — Fresno (7- Hour) — Pleasanton — Pleasanton Appraisers Wanted ■ Stanislaus County: Appraiser II. The Appraiser Assessment Appeals team. Requires a BA org/portal/site/bnc and click on “Apply online II performs office and field duties in the appraisal degree and 8 years of specialized experience. with our Application for Advisory Appointment.” of real and personal property for tax assessment For more information and to apply, please visit: ■ Appraiser Trainee Wanted. A well-respected purposes. The Appraiser II classification may http://www.jobaps.com/sf/sup/BulPreview. fee firm in Chico, CA is looking for a commercial also be responsible for providing technical train- asp?R1=PEX&R2=0923&R3=056569 appraisal trainee intent upon working toward a ing to appraisal staff and works under minimum ■ Senior Real Estate Appraiser/Real Estate Certified General Real Estate Appraisal license supervision. This position is subject to overtime, Advisor. This contractor position is located in the with 1-2 years of recent production experience, standby, callback assignments and performs Department of State, Bureau of Overseas Build- preferably under the supervision of a designated related duties as assigned. Commercial real ings Operations. We are currently seeking to fill MAI. The qualified candidate must have strong estate experience is preferred, but is not required. vacancies in our Division to perform real estate verbal and written communication skills and Closing Date/Time: Fri. 08/27/10 5:00 PM Pacific appraisal review and market studies associated be proficient with Microsoft Word and Excel. Time. Salary: $22.75 - $27.65 Hourly; $1,820.00 with our worldwide real estate program. The ideal Experience with ArcView GIS or general real - $2,212.00 Biweekly; $3,943.33 - $4,792.67 candidate will have a minimum of ten years of estate experience is a plus. Programs used Monthly; $47,320.00 - $57,512.00 Annually. For experience in appraisal and/or appraisal review in the office include Microsoft Word, Excel, further job details and application information and must be proficient in Excel, Word and Pow- Paint Shop Pro and FileMaker Pro. Substantial please visit – http://agency.governmentjobs. erPoint. Contact David Banks at 703/728-7167. completion of coursework toward the license com/stanislaus/default.cfm ■ County of Santa Clara. The Office of the County is a plus. The majority of the work is in Butte ■ Hulberg & Associates, one of the largest and Assessor is seeking individuals who may be County with some in Glenn and Shasta Counties. most respected commercial real estate appraisal interested in serving on Santa Clara County’s In-house databases of comparables provide for firms in the Bay Area, is accepting applications Assessment Appeals Board (AAB). The AAB report production efficiency. The work involves for an Appraisal Analyst in its San Ramon Office. has the full responsibility for equitably resolv- challenging assignments including subdivi- Applicants should be detail-oriented, analyti- ing all assessment appeals. Candidates must sions, apartments, industrial, office, eminent cal, extremely organized, and have a general be fair, possess a high degree of integrity free domain, special use properties, and mixed-use knowledge of the Bay Area. The position requires from political influence, have excellent cogni- developments. A residential licensee with some excellent communication skills and the ability to tive problem solving skills, and demonstrate commercial experience may be considered. This work with minimal supervision. Strong computer the ability to exercise solid judgment leading to is a great opportunity for career advancement skills, particularly with Word and Excel, and a fair and equitable conclusions, all in addition to in an excellent work environment within a fun four-year college degree are required. If you possessing a judicial temperament. In addition to town in a growing area with lots of recreational are interested in this position, send resume and the minimum qualifications provided by the State opportunity. It is easy to bike to work and there cover letter via email to email@example.com. Revenue and Taxation Code, candidates with is minimal traffic - get out of the rat race. Send ■ Manager II - Chief of Standards and Appeals, specific desirable characteristics and experience cover letter, resume and salary requirement Real Property Division. City of San Francisco will be given preference. Interested applicants marked “Confidential” to Scott S. Hamm, MAI is seeking manager of Standards Unit and should complete the application at www.sccgov. P.O. Box 6160 Chico, CA 95927.
Pages to are hidden for
"The Appraisal Institute and The Appraisal Foundation"Please download to view full document