§ 24-98. Independent property appraisal.

If the feepayer shall opt not to have the value of any property dedication determined as set out in section 24-97(e)(3), the amount of credit shall be determined by the board of county commissioners based on an independent property appraisal (IPA), prepared by an individual who is both a member of the appraisal institute (MAI) and a state-certified general appraiser acceptable to the board of county commissioners, that is paid for by the feepayer. An independent property appraisal is an appraisal report containing the following:

(1)

Purpose of appraisal. The purpose of the appraisal which includes a statement of value to be estimated and the rights or interest being appraised.

(2)

Legal description of property.

(3)

Description of parent property. Description of the parent property to be appraised will include:

a.

Names of apparent owner of each interest being evaluated.

b.

Location of property.

c.

Total area of property in acres or square feet.

d.

Area of each interest in property being acquired in acres or square feet.

e.

A minimum of five years delineation of title.

f.

Present use and zoning.

g.

Utilities.

h.

Type and condition of improvements and special features that may add to or detract from the value of the property.

(4)

Highest and best use. The highest and best use of the property on which the appraisal is based before the acquisition of rights and interests to be acquired and the highest and best use of the remainder after the acquisition when a partial taking is involved. In either instance, if the existing use is not the premises on which the valuation is based, the appraisal will contain an explanation justifying the determination that the property is available and adaptable for a different highest and best use and there is demand for that use in the market.

(5)

Before and after valuation. The before and after method of valuation as interpreted by state law will be used in partial donations or special benefits to the residue land or improvements.

(6)

Approaches to value. The appraisal should include all applicable approaches to value. If an approach is not considered applicable, the appraiser must state why. All pertinent calculations used in developing the approaches will be shown.

a.

In the market approach, the appraisal report will contain a direct comparison of pertinent comparable sales to the property being appraised. The appraiser must include a statement setting forth his analysis and reasoning for each item of adjustment to comparable sales.

b.

Where in the income (capitalization) approach is used, there must be documentation to support the income, expenses, interest rate, capitalization rate, discount rate, or any other factors used in the analysis. Where it is determined that the market rental income is different from the existing or contract income, the increase or decrease must be explained and supported by market information.

c.

Where the cost approach is utilized, the appraisal report must contain the specific source of cost data, remaining economic life, and an explanation of each type of accrued depreciation.

(7)

Appraisal of after value. The appraisal of the after value must be supported to the same extent as the appraisal of the before value. This support should include one or more of the following:

a.

Sales comparable to the remainder properties.

b.

Sales of comparable properties from which there have been similar donations, or acquisitions for like usages.

c.

Development of the income approach on properties which show economic loss or gain as a result of similar acquisition or taking for like usages.

d.

Public sales of comparable lands by the state or other public agencies.

e.

In the event the data described in subsections (7)a through (7)d of this section are not available, the appraisal will so state and give the appraiser's reasoning for his value estimate.

(8)

Difference between before and after. The difference between the before and after appraisal will represent the value of the property to be acquired, including the damages to the remainder property. The appraiser will separately analyze and tabulate the difference showing a reasonable allocation to lane improvements, and damages.

(9)

More than one approach used. Where two or more of the approaches of value are used, the appraisal will show the correlation of the separate indications of value derived by each approach along with a reasonable explanation for the final conclusion of value. This correlation will be included for both before and after appraisals.

(10)

Photographs. All appraisals should include identified photographs of the subject property, including all principal above ground improvements or unusual features affecting the value of the property to be taken or damaged.

(11)

Sketch or plat. Appraisal reports for whole takings will contain a sketch or plat of the property showing boundary dimensions, location of improvements and other significant features of the property. For partial takings, the sketch or plat will also show the area to be acquired, relation of the improvements to the taking area and area of each remainder.

(12)

Comparable sales. Each appraisal report will contain or make reference to the comparable sales which were used in arriving at the fair market value.

a.

The appraiser must state the date of sale, names of parties to the transaction, consideration paid, financing, conditions of sale and with whom these were verified, the location, total area, type of improvements, appraiser's estimate of highest and best use at the date of sale, zoning and any other data pertinent to the analysis and evaluation thereof.

b.

If the appraiser is unable to verify the financing and conditions of sale from the usual sources, such as buyer, seller, broker, title or escrow company etc., he will so state.

c.

Pertinent comparable sales date should include identified photographs of all principal above ground improvements or unusual features affecting the value of the comparable.

(13)

Inspection of properties. All property appraised and the comparable sales which were relied upon in arriving at the fair market value estimate will be personally inspected in the field by the appraiser and all dates of inspection will be shown in the appraisal report.

(14)

Date of valuation. The effective date to which the valuation applies.

(15)

Limiting conditions. Statement of appropriate contingent and limiting conditions if any.

(16)

Certification and signature. The certification, signature and date of signature of the appraiser.

(Code 1982, § 1-18-11; Ord. No. 04-005, pt. A, 4-6-2004)