The Board Amends Rule 159.155 Regarding Periodic Review of Appraisals by AMCs
The Texas Appraiser Licensing and Certification Board (TALCB or Board) recently amended Rule 159.155(a)(2) to reduce from 5% to 2% the number of appraisal reports that need to be randomly reviewed each year by an AMC licensed to operate in Texas.
Why was this change made?
This amendment is an effort to further reduce costs and burdens on license holders, while still meeting the mandatory periodic review requirement. The amendment also conforms this rule to USPAP updates adopted by the ASB, and aligns the required scope of work for performing a periodic review to the requirements for performing an appraisal review in USPAP.
When does this change take effect?
The change was adopted at the Board’s meeting on November 16, 2018 and went into effect on December 9, 2018.
How Do I Determine the Annual Review Cycle for my AMC?
The review period is determined by an AMC’s license period. If your license renews on July 1, 2020, the review period for calculating the total number of reports runs from July 1 to June 30 each year.
So how do I implement this change?
TALCB expects you to complete reviews for 5% of reports received from the start of your cycle through December 9, 2018, and reviews for 2% of reports received from December 10, 2018 through the end of your cycle. For example: If your cycle starts on July 1, 2018, then from July 1, 2018 to December 9, 2018 you would complete reviews on 5% of those assignments, and review 2% of assignments received for the remainder of your cycle from December 10, 2018 to June 30, 2019.