No preview available
HomeMy WebLinkAboutC20-051 Great Outdoors ColoradoGccoGREATOUTDOORSCOLORADOGUIDELINESFORAPPRAISALSOFGOCO-flJNDEDLANDACQUISITIONSFairMarketValuePolicyGOCOwillnotparticipateinprojects whereasellerorgrantorhasreceivedorwillreceiveconsiderationgreaterthanthefairmarketvalueoftheinterestconveyed,asestablishedbyanappraisalpreparedincompliancewiththeUniformStandardsofProfessionalAppraisalPractice(“USPAP”)andotherapplicablestandards.AppraisalStandardsForGOCO’spurposes,anacceptableappraisalmust:•Beintheformof anAppraisalReport.ARestrictedAppraisalReportisnotacceptable.•ComplywithALLapplicablestandards.GOCOwillacceptappraisalsthatcomplywithUSPAPANDanyadditionalstandardsappropriateforagiventransaction,e.g.,TreasuryRegulationsand/ortheUniformAppraisalStandardsfor FederalLandAcquisitions(“UASFLA”a.k.a.“Yellow Book”).•Appropriatelyidentifythepropertyandaddressanyenhancementorlargerparcelidentificationissuespursuanttotherelevantstandards.•AddresstheappropriateClient. Theappraisalmustidentifythe“Client” asthepurchaser,anotherprojectpartnerthatdoesnothaveanownershipinterestinthepropertybeingacquired,orthesellerandthepurchaserjointly.GOCOwillnotacceptanappraisaladdressedtothesellerastheonlyClient.•ListGOCOasanIntendedUser.•Identifyaneffectivedateofvaluewithinoneyearofclosing.Ifclosinghasnot occurredwithinoneyearoftheeffectivevaluedate,GOCOwillrequireanewappraisaloranupdateletter.ThenewappraisalorupdateletterwillbesubjecttoGOCO’sappraisalreviewprocess.•Bepresentedinnarrativeformat.Underlimitedcircumstances,GOCOmayacceptaformappraisal.GranteesmustrequestGOCO’sadvanceapprovaltosubmitaformappraisalfor review.UpdatedMarch2018DocuSign Envelope ID: 8CD14CF5-BF93-4180-A361-9BD6D0730714C20-051 •Excludethevalueofanystructuresorimprovementsontheproperty.Ifanappraisedpropertycontainsstructuresorimprovements,theappraisalshouldseparatelystatethecontributoryvalue(ifany)ofthestructures/improvements.Withlimitedexceptions,GOCOfundscannotbeappliedtowardthepurchasepriceofstructuresorotherimprovementsontheland.ReviewProcessGOCOtakesitsobligationsasfiduciaryofpublictrustfundsveryseriously.Inordertoensureitlivesuptothoseobligationsineverytransaction,GOCOwillcommissionathoroughreviewofeveryappraisal.GOCO’sreviewprocessissummarizedasfollows:1.Everyappraisalwillbereviewedbyaprofessionalreviewappraiserwhohasexperienceappraisingthetypeofpropertyandpropertyinterestappraised.GOCO’sreviewerwillconductaUSPAPStandard3appraisalreview,whichwillnotinvolveanindependentconclusionofvalue.ThepurposeofthisreviewistodeterminewhethertheappraisalcomplieswithapplicablestandardsandisreliableforGOCO’suseinfundingtheacquisitionoftheinterestappraised.GOCOisthesoleclientoftheappraisalreview.2.Throughoutthereviewprocess,allsubstantivediscussionregardingtheappraisalshouldoccurbetweenthegrantee’scontractappraiserandGOCO’sreviewappraiser.GOCOwillbeincontactwithitsreviewerperiodicallytotracktheprogressofthereviewandencouragesthegranteetobeincontactwiththecontractappraiserregardingthesame.ItisimproperforagranteetocontactGOCO’sreviewerregardinganyissuewiththereviewwithoutfirstobtainingGOCO’sexpresspermission.3.GOCOwillassignareviewerwithinfourweeksofthegrantaward(assuminganappraiserhasalreadybeenselectedbythegranteeorthelandowner).GOCOwillconsultwiththegrantee,projectpartners,andthecontractappraiserregardingthechoiceofareviewer;however,theultimatedecisionwillremainatGOCO’ssolediscretion.4.ThereviewappraiserwillcontactthecontractappraisertodiscusstheappraisalwithintwoweeksofreceivingtheintroductoryemailfromGOCOandsubsequentlydeterminethemostappropriatescopeofworknecessarytoensureathoroughreview.Thereviewappraiserwillbeavailabletoaskandanswerquestionsandreviewtheworkfileincludingtheanalysisandworkproduct,whilethecontractappraiserworkstocompletethereport.Thecontractappraisermaysubmitdraftstothereviewerormaychoosetosubmitafinalproductonly.5.Oncethereviewerreceivesthefinaldraftappraisal,heorsheshallcompleteaninitialread-throughofthedocumentwithinareasonableperiodoftimeagreedtobyGOCO.Ifthefinaldraftappraisalisacceptableandapprovedbythereviewer,thereviewershallcompletethewrittenreviewreportwithinareasonableperiodoftimeagreedtobyUpdatedMarch2018DocuSign Envelope ID: 8CD14CF5-BF93-4180-A361-9BD6D0730714 GOCO.GOCOstaffisfullyawarethatthereviewprocessmightuncoverissuesthatcannotbequicklyresolved.Iftheappraisalneedstobemodifiedtobeapproved,additionalreviewwillbenecessary.6.GOCOwillnotwiregrantfundsuntilithasreceivedasignedreportfromitsreviewerindicatingthattheappraisalcomplieswithallapplicablestandardsandisreliableforGOCO’sfundingpurposes.GOCO’sinterpretationofthereviewreport,aswellasitsownpoliciesandprocedures,isatGOCO’ssolediscretion.7.GOCOunderstandsthatmanytransactionsinvolveclosingdatesthatareextremelyimportantforavarietyoffundingorotherreasons.GOCOwillmakeeveryefforttomeetthesedeadlinesbutwillnevercompromisethequalityofanappraisalorareviewtomeetascheduledclosingoranyotherdeadline.Toensuretimeliness,GOCOencouragesgranteestocommunicatewiththecontractappraiseraboutimportantdeadlines.Granteesshouldalsobeawarethatanysignificantchangestothestructureofatransaction,property,orconservationeasementmayaffectthereviewappraiser’sabilitytomeetdeadlinesandclosingdates.Pleasesignbelowindicatingthatthegranteeandthecontractappraiserhavediscussedandunderstandtheseappraisalguidelines.ContractAppraiserGranteeUpdatedMarch2018DocuSign Envelope ID: 8CD14CF5-BF93-4180-A361-9BD6D0730714