Scope of Work (AO-32)

The determination of an appropriate scope of work in all appraisal and mass appraisal assignments, including ad valorem taxation assignments, is based on problem identification.  The assignment elements necessary for problem identification are identified in Standards Rule 1-2 (real property appraisal), Standards Rule 6-2 (real property and personal property mass appraisal) and Standards Rule 7-2 (personal property appraisal).  This information provides the appraiser with the basis for determining the scope of work necessary to develop credible assignment results.

In ad valorem taxation assignments, applicable laws and regulations of an assessing jurisdiction may define the assignment elements needed for problem identification.  For example, the type and definition of value is usually established by statute, as is the effective date of the appraiser’s opinions and conclusions (tax year, levy year, valuation date, etc).  Whatever the source of the assignment elements needed for problem identification, the appraiser must identify the problem to be solved, and determine and perform the scope of work necessary to develop credible assignment results.

In the interests of equity, the scope of work in mass appraisal assignments for ad valorem taxation can include consideration of appraisal level (the overall proximity between appraised values and actual prices) and the uniformity of property values (equity within groups of like properties). Standard Rule 6-1 (a) states:

In developing a mass appraisal, an appraiser must: (a) be aware of, understand, and correctly employ those recognized methods and techniques necessary to produce a credible mass appraisal;

The appraiser is responsible for recognizing when the concepts of appraisal level and appraisal uniformity are necessary for credible assignment results in a mass appraisal assignment for ad valorem taxation.