201 KAR 30:040. Standards of practice.

 

      RELATES TO: KRS 324A.035, 324A.050(1)(j), 12 C.F.R. 225.62-225.67, 12 U.S.C. 3331, 3336, 3339

      STATUTORY AUTHORITY: KRS 324A.035(3)(d)

      NECESSITY, FUNCTION, AND CONFORMITY: KRS 324A.035(3)(d) requires the board to establish by administrative regulation standards of professional appraisal practice. 12 U.S.C. 3331, 3336, and 3339 and 12 C.F.R. 225.64 and 225.65 require that real estate appraisals in connection with federally related transactions be performed in accordance with appraisal standards promulgated by the Appraisal Standards Board of the Appraisal Foundation. This administrative regulation establishes the standards of professional practice.

 

      Section 1. Certificate holders or licensees listed in subsections (1) through (5) of this section shall comply with the Uniform Standards of Professional Appraisal Practice:

      (1) A certified general real property appraiser;

      (2) A certified residential real property appraiser;

      (3) A licensed real property appraiser;

      (4) An associate real property appraiser; and

      (5) A licensed nonfederal real property appraiser.

 

      Section 2. The standard for the calculation and reporting of above-grade square footage and below-grade square footage in single-family houses shall be the American National Standard for Single-Family Residential Buildings; Square Footage-Method for Calculating, ANSI Z765-2003.

 

      Section 3. Appraisal Reporting Requirements. For each appraisal assignment that includes an appraisal management company reference as the client or agent for the client, an appraiser shall identify within the appraisal report:

      (1) The name that is on file with the board for the appraisal management company;

      (2) The Kentucky registration number that is on file with the board for the appraisal management company; and

      (3) The fee that will be paid to the appraiser for each appraisal assignment ordered by an appraisal management company, unless the appraiser is a W-2 employee of the appraisal management company.

 

      Section 4. Incorporation by Reference. (1) The following material is incorporated by reference:

      (a) "Uniform Standards of Professional Appraisal Practice", 2014 - 2015; and

      (b) "American National Standard for Single Family Residential Buildings; Square Footage Method for Calculating, ANSI Z765-2003", 2003.

      (2) This material may be inspected, copied, or obtained, subject to applicable copyright law, at the Kentucky Real Estate Appraisers Board, 135 W. Irvine Street, Suite 301, Richmond, Kentucky 40475, (859) 623-1658, Monday through Friday, 8 a.m. to 4:30 p.m.

      (3) This material may also be obtained from the Appraisal Standards Board of the Appraisal Foundation, 1029 Vermont Avenue, N.W., Suite 900, Washington, D.C. 20005-3517, (202) 347-7722. (19 Ky.R. 2166; Am. 2461; eff. 7-9-93; 20 Ky.R. 2050; eff. 3-1-94; 21 Ky.R. 2157; 2669; eff. 4-21-95; 22 Ky.R. 1669; 1994; eff. 5-16-96; 23 Ky.R. 3608; 4111; eff. 6-13-97; 27 Ky.R. 1539; 2428; eff. 3-19-2001; 28 Ky.R. 1487; eff. 2-11-2002; 29 Ky.R. 2501; 2865; eff. 6-16-03; 31 Ky.R. 144; eff. 11-5-04; 31 Ky.R. 144; 1344; 1517; eff. 3-11-05; 23 Ky.R. 2330; eff. 9-1-06; 35 Ky.R. 2487; eff. 7-31-2009; TAm eff. 12-28-2009; 37 Ky.R. 101; eff. 10-1-2010; 38 Ky.R. 1469; 1723; eff. 5-4-12; 40 Ky.R. 113; 862; 1039; eff. 12-6-2013.)