Arkansas Administrative Code
Agency 177 - Assessment Coordination Department
Rule 177.00.12-001 - Amendments to Rules: 1.03 - Description of Organization; 1.06 - Best Practices Advisory Groups; 3.12 - Appraisal Manager To Be Named In Reappraisal Plan; 3.15.3 - Review Reappraisal Program Using Single Appraisers; 3.15.4 - Review Reappraisal Program Using Data Gatherers and Review Appraisers; 3.20 - Progress Reports From Appraisal Manager to ACD; 3.22 - Direct Deposits; 3.30 - Minimum Acceptable Standards For Performance Audits; 3.36 - Required Reports; 3.38 - Bid Specs For Contracted Reappraisals; 3.39 - Bids Required for Contracted Reappraisals; 3.42 - Reappraisal budgets Required; 4.08.2 - Definitions Relating to Amendment 79; and Rule 4.29 - Change In Market Value Between Reappraisals
Current through Register Vol. 49, No. 9, September, 2024
CHAPTER ONE GENERAL PROVISIONS
Act 436 of 1997 created the ASSESSMENT COORDINATION DEPARTMENT and pursuant to Arkansas Code Annotated 25-2-102 (Type 2 transfers) transferred the Assessment Coordination Division from the Public Service Commission to the Assessment Coordination Department.
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 25-28-103, 26-24-102, and 26-24-107.
The ASSESSMENT COORDINATION DEPARTMENT has the full power and authority in the administration of the property tax laws of this state to exercise general and complete supervision and control over:
Adopted 10/01/99
The Assessment Coordination Department welcomes inquiries from the public. Areas of responsibility are assigned to Divisions within the Department.
The Assessment Coordination Department is composed of an Administrative body consisting of its Director, Deputy Director, Legal Counsel, Division Administrators, and support staff.
Adopted 10/01/99
All orders, decisions, opinions, rules and other written statements of policy or interpretations formulated, adopted or used by the ASSESSMENT COORDINATION DEPARTMENT in the discharge of its functions are available for copying and public inspection at its offices at 1614 West Third Street, Little Rock, Arkansas during the regular business hours of the custodian of the records which is generally between the hours of 8:00 a.m., and 4:30 p.m., Monday through Friday of each week, with the exception of state holidays.
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 25-19-101 et. seq.
The Assessment Coordination Department shall fully comply with The Arkansas Freedom of Information Act of 1967, as amended. Photocopies of documents shall be $.50 each.
Adopted 10/01/99
There are hereby created the Assessment Coordination Department (ACD) Best Practices Advisory Groups. The Groups shall advise and assist the ACD Director in the development of standards for Best Practices in all areas of property assessment in Arkansas, including but not limited to the discovery, listing and valuation of property and ACD auditing procedures. Their role will be advisory only and not binding upon the Director.
Membership
The Director shall appoint members from a list of volunteers. All people employed in the assessment profession or interested in the assessment profession, including those from Arkansas and those from other states will be eligible for appointment. Members shall serve for a term of one year and may be reappointed by the director. The Director may remove any member absent from three meetings during a calendar year.
The nine standing Groups are:
Each Group will consist of seven members. From that group, the Director will choose one member to serve as Chairperson. From time to time the Director at his or her discretion may form ad hoc Advisory Group Committees to address issues not within the purview of a standing Group.
Meetings
Each Best Practices Advisory Group must hold its initial meeting every year in January. The Chairperson shall be responsible for coordinating meetings, drawing up documents, outlining recommended best practices, appointing a secretary for the Group and reporting the Group findings to the Director. The minutes from each Group meeting shall be submitted to ACD within ten (10) working days from the date the meeting is adjourned. The Director may remove any member absent from the January meeting or if the member is absent from three meetings during a calendar year.
Notice
Immediately upon adoption of this rule, the director shall mail an announcement to each county assessor, each appraisal contractor in Arkansas and each ACD employee an announcement of the formation of the nine Advisory Groups. Each county assessor and contractor shall place the announcement in a conspicuous place for all employees to see. Accompanying the announcement will be a volunteer sign up sheet, which any eligible individual may return to the Director to be considered for inclusion in a Best Practices Advisory Group.
Adopted 07/05/04
Amended 12/07/12
CHAPTER TWO GENERAL RULES OF PRACTICE AND PROCEDURE
STATUTORY AUTHORITY: A.C.A. 25-15-206
Pursuant to Acts 1967, No. 434, Petitions for declaratory orders as to the applicability of any rule, statute, or order enforced by The Assessment Coordination Department shall be in writing and signed by the petitioner. Petitions shall be filed in duplicate with the Director of the Department, who shall have the date of receipt stamped thereon and return one copy to the Petitioner. All petitions for declaratory orders shall be titled as such.
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 25-15-204
Any person has the right to petition for the issuance, amendment, or repeal of any rule. Within thirty (30) days after submission of a petition, the Assessment Coordination Department shall either deny the petition, stating in writing its reasons for the denial, or shall initiate rule-making proceedings.
Adopted 10/01/99
* Four Appraisal Managers. One representing each congressional district;
* One member representing public education;
* One at-large member that is a property owner and a resident of the state of Arkansas representing taxpayers;
* One Assessor who has an ACD Level 4 Designation.
Adopted 12/20/06
STATUTORY AUTHORITY ACA: 25-15-208.
The provisions of the Arkansas Administrative Procedures Act, as amended, are applicable to all final orders and decisions of the Assessment Coordination Department (ACD). This Rule applies to, but is not limited to, all requests for administrative adjudications concerning such decisions and orders resulting from ACD: out of compliance findings and directives for corrective action; termination of reappraisal contracts and plans; removal of appraisal companies from the list of registered contractors; decisions suspending or revoking professional designations of appraisers and appraisal managers; and any impositions of civil penalties. The provisions of the Administrative Procedures Act addressing "licensing" is applicable in situations where ACD rules refer to "professional designations".
The Chairman of the Administrative Hearing Advisory Board (Hearing Board) shall request the Attorney General to provide a presiding officer to preside at the hearing. If the Attorney General does not provide a hearing officer the chairman may preside or designate other members of the Board to preside.
If there are separate matters that involve similar issues of law or fact, or identical parties, the matters may be consolidated if it appears that consolidation would promote the just, speedy, and inexpensive resolution of the proceedings, and would not unduly prejudice the rights of a party.
If it appears that the determination of the rights of parties in a proceeding will necessarily involve a determination of the substantial interests of persons who are not parties, the presiding officer may enter an order requiring that an absent person be notified of the proceeding and be given an opportunity to be joined as a party of record.
Unless the presiding officer otherwise orders, every pleading and every other paper filed for the proceeding, except applications for witness subpoenas and the subpoenas, shall be served on each party or the party's representative at the last address of record.
All requests for relief will be by motion. Motions must be in writing or made on the record during a hearing. A motion must fully state the action requested and the grounds relied upon. The original written motion will be filed with the agency. When time allows, the other parties may, within seven (7) days of the service of the written motion, file a response in opposition. The presiding officer may conduct such proceedings and enter such orders as are deemed necessary to address issues raised by the motion. However, a presiding officer will not enter a dispositive order or decision unless expressly authorized in writing to do so, otherwise the motion must be heard and ruled on by a majority of the members of the Hearing Board that are present.
The party filing the request for a hearing shall be called the respondent. A respondent may, but is not required to, file an answer or objection to the action of the department that brought about the request for an adjudicative hearing.
The presiding officer will conduct the hearing in the following manner:
If a party fails to appear or participate in an administrative adjudication after proper service of notice, the agency may proceed with the hearing and the Hearing Board may render a decision in the absence of the party.
The responsibility to record the testimony heard at a hearing is borne by the agency. Upon the filing of a petition for judicial review, the agency will provide a verbatim transcript of testimony taken at the hearing.
The Hearing Board, in its decision, may recommend that the action of the ACD be sustained or overruled. The Hearing Board may recommend sanctions in addition to or different from those imposed initially by the ACD. The Director may impose sanctions in addition to or different from those recommended by the Hearing Board. The ACD, the Hearing Board, and the Director may take into consideration all substantial evidence of record, including but not limited to the following:
The Hearing Board will submit its recommendations to the Director in writing along with its proposed findings of fact and conclusions of law. The Director will make the final order or decision in writing and serve a copy on the respondent. The order or decision will include a recitation of facts found based on testimony and other evidence presented and reasonable inferences derived from the evidence pertinent to the issues of the case. It will also state conclusions of law and directives or other disposition entered against or in favor of the respondent.
The order will be served personally or by certified mail on the respondent. If counsel represents respondent, service of the order on respondent's counsel shall be deemed service on the respondent.
Adopted 12/20/06
Purpose: To provide a common set of reasonable and prudent standards for acquisition and operation of County based computerized information systems; to increase awareness of data security procedures; to support accurate and reliable computerized record keeping; and to insure preservation and effective restoration of computerized records and system operation in the event of a significant disaster.
Reasonable care must be taken to assure that County records are protected from accidental or mischievous modification or deletion. Security shall be provided in tiered layers to facilitate protection of the data without sacrificing efficiency in the regular operations of the office.
Validation should at minimum confirm file names, sizes and dates for all critical files.
Adopted 12/20/06
CHAPTER THREE IMPLEMENTATION OF ACT 1185 OF 1999
STATUTORY AUTHORITY: Act 1185 of 1999.
The ACD shall contract with a qualified individual with adequate training and experience necessary to formulate an appropriate examination designed to test one's ability to perform as an appraisal manager.
The examination shall emphasize theory and practice of mass appraisal as opposed to conventional single property appraisal, be designed in two sections and shall include, but not be limited to: the first section of the appraisal manager exam shall be a multiple choice exam designed to test the individual's knowledge of mass appraisal terminology and theory.
The second section of the exam shall be a case study or studies. The case study portion of the exam will provide the student with a sample county, and require the student to work out the appropriate number of personnel, and budgets necessary to perform a countywide reappraisal. The proficiency exam will contain subject matter of the IAAO Administration Course, and will cover the Arkansas property valuation system, sales editing, neighborhood delineation, use of location factors, and effective ages.
Adopted 10/01/99
Prerequisites for eligibility to take the exam shall include; Level 4 Appraiser as designated by the State of Arkansas Training and Designation Program, or IAAO educational equivalent, and a minimum of four years experience in the mass appraisal field.
Adopted 10/01/99
Adopted 10/01/99
Repealed 12/01/00
The author of the appraisal manager exam will be responsible for administering the first examination, and the ACD shall be responsible for administering later editions. No fee shall be charged for the first taking of the examination. A fee of $100 will be charged for each subsequent taking of the examination.
Adopted 10/01/99
Each county shall be required to submit a plan to the ACD detailing how a reappraisal, whether performed in-house or contracted, will be accomplished over a prescribed time period.
The purpose of the plan will be twofold - First, to be certain that all the needed tasks of a reappraisal are completed, and second, to insure that all reappraisal projects meet a statewide standard of quality and uniformity.
The plan will include the county or contractor's calendar of scheduled events in order for the appraiser to locate, identify, and appraise all taxable property in accordance with state laws and administrative procedures.
The plan will specify that the first phase of the plan will be to canvass all parcels, will include site inspection with improvements reviewed, and all pertinent quantitative and qualitative data gathered, and improvements will be measured when necessary.
Provision will be made in each year of the reappraisal plan for the discovery, listing, and valuation of newly discovered and newly constructed property. Additionally, the reappraisal plan will detail plans for revaluation notices and the appeals process for these types of properties.
The required reappraisal plan must include detailed information including parcel counts, existing resources, expected production levels, personnel needs, and budgets. The appraisal plan must also acknowledge pre-established requirements relating to minimum qualifications of various employees, minimum progress at various points in time, and minimum levels of quality in regard to property valuations before notices of revaluation are mailed.
Adopted 10/01/99
On or before August 10, 1999, the ACD will mail a certified letter to each county assessor stating the year the county will be required to reappraise under Act 1185, and a due date for the first required reappraisal plan.
Adopted 10/01/99
In the case of counties that fail an assessment ratio in 1999, the required reappraisal plan will describe a reappraisal that will be completed in 2001. For those plans, phase one (data collection) will cover the year 2000, and phase two (valuation) will cover the year 2001.
In the case of the first group of counties selected by the ACD to reappraise in 2002, the required reappraisal plan will describe a reappraisal which will be completed in 2002. For those plans, phase one (data collection) will cover the years 2000 and 2001, and phase two (valuation) will cover 2002.
In the case of the group of counties selected by the ACD to reappraise in 2003, the required reappraisal plan will describe a reappraisal which will be completed in 2003. For those plans, the first year, (2000) will cover the appraisal of new construction only, phase one (data collection) will cover the years 2001 and 2002, and phase two (valuation) will cover the year 2003.
In the case of the group of counties selected by the ACD to reappraise in 2004, the required reappraisal plan will describe a reappraisal which will be completed in 2004. For those plans, the first two years (2000 and 2001) will cover the appraisal of new construction only. Phase one (data collection) will cover the years 2002 and 2003, and phase two (valuation) will cover the year 2004.
Adopted 10/01/99
Exceptions to the requirements listed above would include those counties that have a reappraisal underway in 1999, whether a contracted reappraisal, or an In-house reappraisal, with an anticipated completion date of 2000 or 2001. Those reappraisals will be allowed to continue, and will be eligible for funding beginning in January, 2000. When those reappraisals are completed in 2000 or 2001, the county will be required to submit a new, 3 year reappraisal plan, with an appropriate completion date of 2003, or 2004.
A further exception to RULE 3.07 would be that if a county is selected by the ACD to reappraise in 2004, but already has a reappraisal underway that is due to complete in 2000 or 2001, the reappraisal plan will not be limited to appraising new construction only in the first two years.
Adopted 10/01/99
The ACD will provide a complete format for the reappraisal plan, and the plan will be required to be completed on this specific form. Any variation from these standardized plans must be pre-approved by the ACD.
Adopted 10/01/99
Reappraisal plans shall contain detailed parcel count information in two formats, using the forms described in the Appendix as A-13 "Parcel Count Form A" and A-14 "Parcel Count Form B".
Adopted 10/01/99
Amended 12/20/00
Reappraisal plans will specify exact order in which townships will be reviewed during phase one of the reappraisal. An alternative will allow the reappraisal plan to appraise all cities in a county first, and then appraise all non-city properties in township order. Regardless of which plan is utilized, appraisers will be required to meet or exceed the monthly production tables established in the reappraisal plan.
Reappraisal plans will specify expected progress by township or city, and number of parcels planned for each month during phase one of the reappraisal. A breakdown by city or township-range is not required for phase two of the planned progress report. However, a projected total per month is required. For these purposes, "month" is defined as the 20th of the preceding month through the 19th of the current month.
An approved planned progress report may require revision if it is discovered at any time before or during the reappraisal that the plan does not conform to requirements of the Assessment Coordination Department's Rules and Regulations.
Adopted 10/1/99
Amended 03/03/02
Amended 04/26/10
Each reappraisal plan will name a specific person as the Appraisal Manager, hereafter referred to as Manager. No reappraisal plan will be approved that designates the county assessor as the Manager. The Manager has overall responsibility for the reappraisal. He or she shall be knowledgeable of and responsible for all aspects of the Reappraisal Plan (Plan). He or she shall assure that all applicable state laws, rules and regulations concerning reappraisals are followed.
A Manager may not delegate his or her responsibilities as a Manager in a county. To this end, in instances where a Manager is responsible for more than one county, he or she shall be present in each county as needed. When ACD auditors are working in a county the Manager should be physically present or available to be called when auditors wish to make an inquiry about the reappraisal.
A Manager is responsible: for seeing that personnel working under his or her supervision have the training and experience necessary to properly do the work assigned; for supervising the work of personnel working under him or her; for reviewing the work product of personnel working under his or her supervision.
Any violation of law or ACD rules, as well as deviation from sound assessment practices by an employee, as specified in ACD Rule 3.30, shall be reported by the Manager to the county assessor and ACD Field Operations Manager within (60) days from the occurrence.
Violation of any provision of this rule shall cause the Manager to be subject to disciplinary actions, which may include revocation of the Managers designation by the Department.
Adopted 10/01/99
Amended 12/20/06
Amended 12/07/12
Reappraisal plans will list in reasonable detail the reappraisal resources already existing within a county. Those resources shall include but not be limited to: Computer hardware, mapping records, available office space, vehicles, existing personnel (listed by certification levels and current job duties).
In particular, the reappraisal plan will describe computer hardware and mapping records currently available, and will describe office space available for the purpose of real estate appraisal. The reappraisal plan will list in detail how much physical data has already been gathered by field appraisers and entered into the county's CAMA system. The reappraisal plan will also describe the level of data entry regarding real estate sales information.
Adopted 10/01/99
Each county that undertakes an in-house reappraisal must provide and attach a copy of a reappraisal budget to the reappraisal plan. The reappraisal budget will be on a prescribed form furnished by the ACD and will cover all costs associated with the reappraisal of real estate.
Adopted 10/1/99
Manpower needs necessary for any reappraisal are calculated based on known parcel numbers, working days available, and anticipated production levels per worker. Production levels shown in rules 3.15.1 through 3.15.4 are minimum production levels, per worker, per day, to be used for the preparation of appraisal budgets for those counties which choose to perform in-house reappraisals.
Adopted 10/01/99
|
Entry of sales data |
100 |
|
Residential |
|
|
Physical data collection |
25 |
|
Physical data entry |
40 |
|
Data entry review |
250 |
|
Valuation |
150 |
|
Commercial |
|
|
Physical data collection |
10 |
|
Physical data entry |
20 |
|
Data entry review |
30 |
|
Valuation |
20 |
Adopted 10/01/99
|
Entry of sales data |
100 |
|
Residential |
|
|
Quantitative data collection |
25 |
|
Qualitative data collection |
50 |
|
Physical data entry |
40 |
|
Data entry review |
250 |
|
Valuation |
200 |
|
Commercial |
|
|
Physical data collection |
10 |
|
Physical data entry |
20 |
|
Data entry review |
30 |
|
Valuation |
20 |
|
Entry of sales data |
100 |
|
Residential |
|
|
Physical data collection |
40 |
|
Physical data entry |
100 |
|
Data entry review |
250 |
|
Valuation |
200 |
|
Commercial |
|
|
Physical data collection |
10 |
|
Physical data entry |
20 |
|
Data entry review |
30 |
|
Valuation |
20 |
Adopted 10/01/99 Amended 12/07/12
|
Entry of sales data |
100 |
|
Residential |
|
|
Quantitative data collection |
50 |
|
Qualitative data collection |
50 |
|
Physical data entry |
100 |
|
Data entry review |
250 |
|
Valuation |
200 |
|
Commercial |
|
|
Physical data collection |
10 |
|
Physical data entry |
20 |
|
Data entry review |
30 |
|
Valuation |
20 |
Adopted 10/01/99
Amended 12/07/12
All expenses associated with the cost of maintaining current real estate appraisals on county assessment records deemed appropriate, necessary, and reasonable by the ACD, shall be reimbursed to the county. Those expenses, in general, may be considered to include salaries, office expenses, computer purchase and support, vehicle mileage expenses, and public relations. No expense that is not shown in the original budget or original request for special needs funding will be considered for reimbursement.
Adopted 10/01/99
Funding for all reappraisals required under Act 1185 of 1999 will be in the form of a reimbursement for expenses first paid by counties, either to county assessor's budgets, or to reappraisal firms. Appraisal plan and/or appraisal contracts must be approved before reimbursement begins. The state may withhold the last four reimbursement payments until the reappraisal has been completed in accordance with the rules and regulations of the ACD, whereupon payments will be released less any costs or expenses for corrective action. Withholding will commence with the plans starting in 2003.
Adopted 10/1/99
Amended 3/03/02
In-house reappraisal plans must bear the notarized signatures of the county assessor, county judge, and the appraisal manager. The signature of the Appraisal Manager signifies only that he or she is familiar with the terms of the contract and intends to undertake, on this job, the responsibilities of an Appraisal Manager as elsewhere outlined in these rules.
The plan must be approved by a quorum court appropriation ordinance.
Adopted 10/01/99
Amended 12/20/00
Amended 12/20/06
Contracted reappraisal plans must bear the notarized signatures of the county assessor, county judge, and a principal of the reappraisal company performing the reappraisal, and the appraisal manager. The signature of the Appraisal Manager signifies only that he or she is familiar with the terms of the contract and intends to undertake, on this job, the responsibilities of an Appraisal Manager as elsewhere outlined in these rules.
The plan must be approved by a quorum court appropriation ordinance.
Adopted 10/01/99
Amended 12/20/00
Amended 12/20/06
The appraisal manager will send by electronic transmission to the ACD, by the twentieth (20th) day of each month, a progress report detailing reappraisal progress made from the twentieth (20th) of the preceding month through the nineteenth (19th) of the current month. The progress report will be on a specific form prescribed by the ACD. The reappraisal manager will provide a copy of the progress report to the county assessor and the county judge, and upon request to the board of equalization and quorum court each month.
Adopted 10/01/99
Amended 12/20/00
Amended 12/07/12
Reimbursement for reappraisal costs from the state to the county will be made in even payments, once each month, at a level to be determined by dividing the approved total cost of reappraisal (as indicated by the original appraisal plan) by the total number of months indicated in the reappraisal plan, unless a revenue shortfall should occur. In that instance, at least one payment will be less than normal.
Adopted 10/01/99
Reimbursements will be done in the form of a direct deposit. Each county/company must have an established account and submit necessary paperwork (voided check, signed permission form, etc.) before the reimbursement process begins.
Adopted 10/01/99
Amended 12/20/00
In the event the total monies budgeted for reappraisals statewide runs higher than the fiscal year appropriation to the ACD, the June payment for each county or contractor will be reduced on a pro-rata per parcel basis to prevent deficit spending.
Adopted 10/01/99
The ACD will periodically enter each county during both phase one and phase two of the county's reappraisal to conduct a performance audit (hereinafter designated as a PA). The purpose of these audits will be to ensure the reappraisal progresses as planned in a systematic and accurate fashion, and to determine if generally accepted methods and techniques are being uniformly employed.
The ACD will conduct Appraisal Manager Seminars. Appraisal managers must attend at least one such seminar a year to maintain Appraisal Manager Status.
Adopted 10/01/99
Amended 3/03/02
The PA will measure both the quantity and quality of the following: entry of general appraisal information, collection and entry of field data, and entry of sales information.
The PA will compare gross progress of physical data collection and CAMA entry to the required progress established by the county's reappraisal plan. Additionally, the PA will review quantitative and qualitative data from the property record cards of a random sample of improved properties.
All warranty deeds which contain sales information helpful in the appraisal process must be entered into the county's CAMA system. Deed entries must include sale date, book and page, revenue stamps or sale amount (if any), and grantor/grantee information.
The appraisal manager will assure that a reasonable attempt is made to obtain sales price and confirm validity of all warranty deeds.
Interior inspections of residences are not required and inaccuracies involving those items will not be regarded as errors for the purposes of the audit.
Adopted 10/01/99
Amended 12/20/00
The basic design of property record cards by each class must be approved by ACD. The following entries are required (where applicable):
City and Rurban Cards:
Type of Card
Parcel Number
Ownership Record and Description
(Include property address when available)
Sales History
Appraisal Summary
Assessment Summary
Land Record and Computation of Land Value
(Lot size is recommended but not required. However, a breakdown of value per lot should be included)
Review Record
Number of Cards and Card Number
Sketch
All Applicable Data Collection and Valuation Fields
Inspected Date, Inspected By
Entered Date, Entered By
Revisited Date, Revisited By
Rural Cards:
Type of Card
Parcel Number
Ownership Record and Description
(Include property address when available)
Sales History
Appraisal Summary
Assessment Summary
Review Record
Land Record and Computation of Land Value
(Lot size and production capability pricing is required) Review Record
Number of Cards and Card Number
Sketch
All Applicable Data Collection and Valuation Fields
Inspected Date, Inspected By
Entered Date, Entered By
Revisited Date, Revisited By
Commercial/Industrial Cards:
Parcel Number
Ownership Record and Description
(Include property address when available)
Sales History
Appraisal Summary
Assessment Summary
Land Record and Computation of Land Value
(Lot size and value per lot is required.) Review Record
Number of Cards and Card Number Sketch
Property Description Structural Elements
All Applicable Data Collection and Valuation Fields
Inspected Date, Inspected By
Entered Date, Entered By
Revisited Date, Revisited By
Inspected Date refers to the date of initial on-site verification of property characteristics as a part of reappraisal progress, except when a method of technology is allowed by the ACD Rules and Regulations and approved by the county and ACD as a substitute for any on-site inspection tasks. In those cases, procedures and inspection/revisited fields must be clearly defined in the original plan or contract or in an addendum to the original plan or contract. If the date of office analysis is allowed as the inspection date in conjunction with digital imagery, the imagery date must also be available. Any method used for inspection must satisfy qualified appraiser requirements and the ACD definition of thorough visual review. Inspection dates should not change as a result of revisits during the same reappraisal cycle, including return trips for further review or maintenance work. Those dates should be recorded as revisited dates.
Inspected By refers to the appraiser who did the initial on-site verification of property characteristics as a part of reappraisal progress, or the appraiser who did the inspection tasks using approved technology, and it is usually represented by initials or a code. When an appraiser in training or otherwise unqualified in some aspect of data collection is accompanied or followed-up by the qualified appraiser, the less qualified appraiser's initials will appear in the Inspected By field and the qualified appraiser's initials will appear in the Revisited By field.
Entered Date refers to the date of data entry resulting from data collection on the reappraisal inspection date.
Entered By refers to the initials or code of the person who did the data entry needed as a result of data collection on the reappraisal inspection date.
Entered Date/Entered By shall not change with subsequent data entry during the reappraisal.
Revisited Date refers to the date physical characteristics of a property were revisited on-site or by using approved technology.
Revisited By refers to the initials or code of an appraiser who revisited the physical characteristics of a property on-site or by using approved technology.
Additional fields may be used to suit the particular needs of a county, but they must not be used as substitutes for the above required fields.
In addition to the above entry requirements on the property record card, the changed date and changed by code or initials must be available on the computer for all changes made to existing property information.
The deadline for implementation of the above terms and definitions in each county is at the start of the first new reappraisal in that county beginning on January 1, 2009 or thereafter.
Adopted 10/01/99 Amended 12/20/00 Amended 3/03/02 Amended 9/25/08
ACD auditors will review sales analysis and other procedures used in the development of overall values. This includes, but is not limited to, audits of neighborhood delineation, lot values, and location factors.
Valuation entry fields on parcel cards will be checked for accuracy.
Sales ratio studies will be utilized to audit final values.
Entries of sales information will be audited during both phase one and phase two.
Adopted 10/01/99
Amended 12/20/00
Residential neighborhood boundaries shall be displayed on city or county maps as appropriate.
A narrative description of each boundary line for each neighborhood shall be on file at the appraisal manager's office. In addition, a printout of the sales database used in determining the boundaries shall be kept in the same file.
Residential neighborhoods that may be defined due to physical, economic, governmental, or social factors without the benefit of property sales are allowed. However, the narrative description of each boundary line shall include a statement outlining the physical, economic, governmental or social factors that lead the appraiser to conclude boundary location.
Adopted 10/01/99
Commercial neighborhood boundaries shall be displayed on city or county maps as appropriate.
A narrative description of each boundary line for each neighborhood shall be on file at the appraisal manager's office. In addition, a printout of the sales database and rental database used in determining the boundaries shall be kept in the same file.
Commercial neighborhoods that may be defined due to physical, economic, governmental, or social factors without the benefit of property sales are allowed. Rental data should be collected unless all commercial properties in the neighborhood are owner occupied. If neither sales nor rental data are available the narrative description of each boundary line shall include a statement outlining the physical, economic, governmental or social factors that lead the appraiser to conclude the boundary location.
Adopted 10/01/99
Rural region boundaries shall be displayed on county maps.
A narrative description of each boundary line for each rural region shall be on file at the appraisal manager's office. In addition, a printout of the sales database used in determining the boundaries shall be kept in the same file.
Rural regions that may be defined due to physical, economic, governmental, or social factors without the benefit of property sales are allowed. Whether sales data are available or not the narrative description of each boundary line shall include a statement outlining the physical, economic, governmental or social factors that lead the appraiser to conclude the boundary location. In addition, the appraiser shall list the property specific characteristics, i.e. paved road, municipal water, school district boundaries, etc., that are used to adjust from the general value trends and dollar influences each of these characteristics has on the property.
Adopted 10/01/99
When using the cost manual, location factors shall be used to adjust costs to the proper level in each neighborhood. The overall location factor for a neighborhood shall be determined from analysis of individual sales using the basic formula: Location Factor = Improvement Value (Sale Price Less Lot Value)/RCNLD (Replacement Cost New Less Depreciation). Valid sales of properties from new to three years old should be used for the most accurate work. Sales should not have substantial improvements other than the house. Any item not being valued from the manual should be subtracted from the selling price. Accurate lot values are necessary. Statistical software can be utilized to provide additional analysis and accuracy. Comparative analysis can be used for neighborhoods where appropriate sales are insufficient.
Adopted 7/10/01
Reappraisal performance must conform to these Rules and Regulations, and the appraisal process must uniformly employ logical and generally accepted methods and techniques that are necessary to produce credible appraisals.
Phase 1 completed parcels are those which have had data collection/review and data entry. Phase 2 completed parcels are those for which valuation and corresponding entry into the CAMA system is complete. The cumulative number of parcels which are Phase 1 complete must be at least 90% of planned progress unless sufficient reason is provided on the monthly progress report and approved by ACD. For each property type, valuation must be complete for at least 50% of the parcels, subject to minor revisions, by April 19th of the valuation year.
For each performance audit, total errors and/or omissions must not exceed 5% for any general or specific element of the appraisal process.
Failure to list a dwelling or other major improvement or placement of that improvement on the wrong parcel may not occur on more than 2% of the parcels.
Individual perimeter measurements of one-story dwellings must be accurate within one foot. Estimated measurements will be allowed for additional levels and for items such as driveways or fences, but these estimates should be based on techniques resulting in reasonable accuracy. Property characteristics for which measurement is not a cost component in the applicable manual do not require dimensions (fireplace, for example).
All real estate improvements must be listed on each property record card. Those improvements that are deemed to have no contributory value by the appraiser must be listed with minimal description and coded uniformly by CAMA providers. Dimensional elements of NCV improvements are optional. Failure to list all such improvements will be counted on the PA as an error.
The ACD will periodically audit entry of sales information during both Phase 1 and Phase 2 of the reappraisal. All deeds which necessitate a change of name or legal description that are more than 30 days past their filing date must have been entered into the county's CAMA system. Errors and/or omissions shall not exceed 5% of the total entries.
Adopted 10/01/99
Amended 12/20/00
Amended 3/03/02
Amended 07/05/04
Corrected 9/25/08
Amended 12/07/12
The Director of the Department may, for cause, and after opportunity for a hearing, suspend or terminate the contract of any appraisal firm or county, suspend or terminate the appraisal manager status of an appraisal manager, or remove an appraisal firm from the list of eligible contractors.
Whenever an audit indicates standards established elsewhere in these rules have not been met, the responsible party will be given the opportunity to dispute the audit results. Upon a final determination that standards have not been met, the Director of the Department MAY declare the reappraisal to be out of compliance and/or require corrective action. Factors that can influence the Director's decision include, but are not limited to (1) the significance of the problem, (2) the cause of the problem, and (3) previous violations.
Value-related elements are considered significant for these purposes when they are estimated to affect market value by $2,000 or more. An insignificant problem can become significant when the county or appraisal firm fails to correct the problem.
When the reappraisal is determined to be out of compliance, that finding will be reported by certified mail to the county assessor and appraisal manager and reappraisal funding will be withheld or terminated. The aforementioned letter will be copied to the board of equalization, county judge, quorum court, and the contractor when applicable.
The aggrieved party shall have 30 days from the date of the certified letter to request a hearing. If a hearing is requested, funds will continue to be withheld pending results of the hearing.
Failure to pass the ratio study causes a county to be out of compliance and reappraisal funding will be withheld immediately when a county fails the study.
If funding has not been terminated and out of compliance is due to causes other than a failed ratio study, the responsible party may sign, date, and return the enclosed Compliance Verification Form (Form A-17) within 30 calendar days of the date of the certified letter and agree to complete corrective action as required in order to return to compliance without a hearing. Withheld funds will be released and payments will be resumed in accordance with the specifications of the Compliance Verification Form. Termination of funding may occur if the aggrieved party does not either request a hearing or return the signed and dated Compliance Verification Form within 30 days.
If funding has not been terminated and out of compliance is due to a failure to meet the level or uniformity standards for ratio studies, procedures shall apply as outlined in A.C.A. 26-26-304 (f) and (g). The reappraisal shall remain out of compliance and reappraisal funding shall continue to be withheld until completion of proper corrective action as required by a Compliance Verification Form.
For any out of compliance situation, termination of funding may result if the responsible party fails to complete required corrective action.
Adopted 10/01/99
Amended 4/2/01
Amended 3/3/02
Amended and implemented 4/9/04 by emergency procedure
Amended 07/05/04
Amended 12/20/06
Corrected 09/25/08
Funding already disbursed to the county as a result of misrepresentation will be required to be reimbursed to the state, unless the action is determined, by the ACD Director, to be unintentional.
Adopted 10/01/99
Amended 07/05/04
The foregoing provisions notwithstanding, the ACD may grant additional time in the event of delay caused by an act of God or force majeure.
Adopted 10/01/99
Each county must have a CAMA system before being eligible for funding.
Adopted 10/01/99
All data entered into a county's CAMA system immediately becomes the property of that county.
Adopted 10/01/99
All CAMA systems, whether located in the courthouse or a remote site (example: appraisal contractor's office) will be able to provide the following reports to the ACD by electronic transmission:
CAMA systems utilized by the county or appraisal contractor to perform a reappraisal must be able to tabulate a parcel count by the categories requested elsewhere in these rules.
Physical data must be entered in such a way that parcel counts required in these rules may be run in a single report.
If the contractor chooses to utilize GIS for performance of any portion of the reappraisal, the data and the layers must be deliverable to the county assessor and the ACD for audit purposes.
Adopted 10/01/99
Amended 3/03/02
Amended 12/07/12
If necessary, the CAMA system vendors will cooperate fully to convert data from their CAMA system to that of another vendor. This will occur when a county has acquired a different CAMA system due to its own actions or has allowed an appraisal contractor to do so. A contract will be negotiated between the county and the vendor of the CAMA system. The data to be converted will be defined in the contract, but will include at a minimum the property record card data. If a fee is charged for this service it shall be limited to a reasonable amount.
Adopted 10/01/99
All contracted reappraisals will utilize standardized bid specifications developed by the ACD. Any variations from these standardized bid specifications must be in the form of an addendum and must be approved by the ACD. All bid specifications must be submitted to the ACD in accordance with Arkansas Code Annotated 26-26-1905. Limiting conditions that unfairly restrict competition will not be allowed.
Adopted 10/01/99
Amended 12/20/00
Amended 3/03/02
Amended 12/07/12
Each county that contracts reappraisal services shall advertise for bids for the planned reappraisal by posting a notice of such reappraisal and invitation to bid in a conspicuous place in the county courthouse and by one insertion in a newspaper with a general circulation in the county. The county shall also mail, fax, or send by electronic transmission a copy of the notice/bid invitation to all companies listed on the ACD Annual Register of Appraisal Companies at the time of advertising. The notice/invitations to bid shall include the number of parcels, the time and date deadline for submitting bids - not less than ten (10) nor more than thirty (30) working days from the date of advertisement in the newspaper and the date the notice/invitations to bid are mailed out - and a statement that any bids submitted by a contractor that do not meet the ACD approved specifications shall be rejected by the county. The notice/invitation to bid shall also include a statement that the contractor may obtain a copy of the bid specifications by contacting the county assessor and requesting that the specifications be mailed, emailed, or faxed to him. Along with the notice/invitation the county shall include a contractor response form. The response form shall contain at least the following options for the contractor to check:
All contractors receiving the notice/invitation must complete and return the response form to the county. All bid documents, even if they are only the completed response form, must be mailed or hand delivered to the county in a sealed envelope or container clearly labeled "Bid Documents." This requirement shall be a prerequisite for a contractor to remain on the ACD list of registered contractors.
The deadline for submitting bids and forms shall be at least thirty (30) minutes before the scheduled time for opening. All such bids shall remain unopened and under lock, in a safe location, until the date and time for the bids be opened.
The county shall submit to the ACD a copy of all bids received. In the event the county chooses to employ an appraisal firm other than the firm that submits a low bid, the county assessor must submit a written narrative explaining the county's choice of firms. The narrative must be attached to the proposed appraisal contract, and explain in detail what criteria were utilized to make the decision to hire a firm other than the low bidder. Failure to comply with this rule will result in rejection of the proposed appraisal contract.
To assist counties in making judgments as to contractor's qualifications and past performance, the ACD shall provide the following information about each contractor to the assessor, county judge, equalization board, and school superintendents in each county requesting bid for reappraisal contracts:
Adopted 10/01/99
Amended 12/20/00
Amended 3/03/02
Amended 07/05/04
Amended 09/25/08
Amended 12/07/12
Repealed 09/25/08
Every county assessor must submit a reappraisal plan by a date specified by the ACD. The ACD will review the plan and approve the plan as written or require an amended plan. The ACD may require a letter of understanding in order to clarify areas of responsibility or other elements of the plan.
Adopted 10/01/99
Amended 3/03/02
Each county that undertakes an in-house reappraisal must submit a reappraisal budget attached to the reappraisal plan. The reappraisal budget shall be on a form designated by the ACD. The reappraisal budget shall include detailed projected expenses for personnel, office expenses and all other expenses associated with the reappraisal of real estate.
Adopted 10/01/99
Amended 12/07/12
Any county that is performing a contracted reappraisal must submit a signed reappraisal contract, detailing total expense for the reappraisal, with the required reappraisal plan.
Adopted 10/01/99
Should any part of a reappraisal plan fail to meet generally accepted standards, the ACD shall reject the plan.
Adopted 10/01/99
Those counties that are compelled to reappraise due to low assessment ratios are not relieved by Act 1185 of 1999 from the legal obligations previously established by Acts 440 and 836 of 1997. A county that fails an assessment ratio must complete a countywide reappraisal in compliance with Act 440 and/or 836 of 1997. Funding will be available for those counties, but may not exceed the cost to reappraise, or a maximum of seven dollars per taxable parcel, per year.
Adopted 10/01/99
Amended 12/20/00
Amended 3/03/02
Each county will be allowed to submit a request for "special needs" funding to pay for extraordinary mapping needs, computer updates, etc., along with the county's reappraisal plan. After funding for reappraisals has been allocated, these special needs requests will be considered by the ACD.
Adopted 10/01/99
For the tasks listed in this section, certain minimum qualifications are hereby established, which must be met in order for the work performed to be considered valid. Before an employee, either county employee or appraisal contractor employee, may perform the following tasks, they must first have completed the ACD classes listed, or have attained the Appraiser Designation Level shown by the particular task.
Adopted 10/01/99
Appraisal Manager - Level 4 Appraiser as certified by State of Arkansas Training and Designation Program, or IAAO educational equivalent, with a minimum of four years experience in the mass appraisal field, and successful completion of the reappraisal proficiency exam.
An appraisal manager may tentatively be responsible for a maximum of one hundred thousand parcels, with the exception of those reappraisal managers responsible for the reappraisal of individual counties with a parcel count exceeding one hundred thousand parcels. Exceptions to this rule may be granted by the ACD under certain conditions, dependent on distance and other factors.
Adopted 10/01/99
Collection of Quantitative Physical Data, Residential Property - Employer Training
Collection of Qualitative Physical Data, Residential Property - Level 2
Collection of Quantitative Physical Data, Commercial Property- Level 3
Collection of Qualitative Physical Data, Commercial Property - Level 3
Establishment of Neighborhood Delineation/ Location Factors - Level 4
Preliminary Valuation - Level 4
Informal Appeals, Residential Properties - Level 3
Informal Appeals, Commercial Properties - Level 4
Board of Equalization Appeals - Level 4
County Court Appeals - Level 4
Circuit Court Appeals - Reappraisal Manager
Adopted 10/01/99
Amended 12/01/00
Whether the reappraisal discussed in these rules is simply a review of existing data or a more extensive reappraisal where every improvement is measured, funding to any county will be for the actual appraisal cost, up to a maximum of seven dollars per parcel, per year.
Adopted 10/01/99
In those counties where only new construction will be appraised in 2000 or 2001, reasonable costs for that appraisal work, as determined by the ACD, whether conducted in-house or by an appraisal firm, will be eligible for reimbursement. Those appraisal expenses will be reviewed on a county-by-county basis.
Adopted 10/01/99
Certain duties of the assessor's office, including day to day maintenance of ownership records, property owners/taxpayers inquiries, and the assessment of personal property or mineral rights are not parts of the reappraisal process, and are not eligible for funding under Acts 1155 and 1185 of 1999.
Adopted 10/01/99
Agricultural lands - Lands used for the production of timber, agricultural crops, or pasture. Each parcel not exceeding five acres in size will be assessed based upon market value, excepting those parcels for which are observed or property owner provided evidence of a genuine agricultural, pasture or timber use. The words agricultural, pasture or timber use mean that the land is managed in a fashion that indicates it is being used in the production of crops, livestock or lumber with a view toward profit.
City lands - Lands within the limits of an incorporated city.
Contracted reappraisal - A reappraisal conducted by non-county employees, and overseen by an appraisal manager who is an employee or principal in a reappraisal contracting firm.
House lot - A parcel or a part of a parcel of real property that is utilized or developed for day to day living. It may contain, but is not limited to some combination of the following man-made improvements: a dwelling, well, sewage tank or connection, other utility connections, garage, driveway, patio, deck, outbuildings, a fence or other visible boundary, natural formations such as trees and shrubbery, and that part of the property that is mowed or otherwise maintained for everyday living.
In-house reappraisal - A reappraisal conducted by employees of the county, and overseen by an appraisal manager. The appraisal manager may be an employee of the county or a contract appraisal manager.
Neighborhood - A portion of a larger community, or an entire community, in which there is a homogeneous grouping of inhabitants, buildings, or business enterprises. It is that area within which any change has an immediate and direct influence on the value of the subject property.
Parcel - For the purpose of these rules a parcel of real estate is defined as:
When a portion of real estate meeting the above criteria is separately encumbered, meaning that it has a mortgage lien or other legal claim or right attached to the property,) the portion so encumbered may constitute a separate parcel. Documentation of the reason for not combining must be included in the record of each affected parcel.
For both (a) and (b) above, land separated by water or a public or private road, railroad, power line or other right of way remains contiguous.
Improvement only properties are considered separate parcels when ownership is different from the land on which the improvements are situated.
Ownership of a parcel by multiple persons or entities does not constitute multiple parcels.
Control cards, information cards, and mineral rights parcels are not to be counted as parcels when applying Act 1185 of 1999.
Reappraisal - The estimating of the value of all taxable real property within the county as of a given date within a given time frame.
Rurban lands - Lands in a recorded, platted subdivision which lie outside the limits of any incorporated city.
Sectionalized Aerial Photos - Aerial photography with labeled representations of Section, Township and Range lines.
Adopted 10/01/99
Amended 03/03/02
Amended 07/05/04
Amended 12/20/06
Amended 04/26/10
In order to effect the successful implementation of Act 1185 of 1999, contingent upon prior review of the Legislative Council of the General Assembly of the State of Arkansas, and upon good cause being shown, the Director of the Department may waive or suspend any provision of the rules.
In the event of the granting of a waiver or suspension of any one or more of these Rules, each County Assessor and Contractor will be notified.
Adopted 10/01/99
Amended 3/03/02
CHAPTER FOUR IMPLEMENTATION OF SPECIFIC STATUTES
STATUTORY AUTHORITY: A.C.A. 14-14-904 (Acts. 1997, No. 1300 Section 24)
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 25-15-203, 26-24-107, 26-26-308 and 26-26-409
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 26-24-108 ( Acts 1927, No. 129 Section 12; Pope's Dig., Section 2038)
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 26-26-304 ( Acts 1955, No. 153 Sections 9,12; Acts 1957, No. 304 Section 1; Acts 1959, No. 31 Section 1; Acts 1959, No. 244 Section 1; Acts 1969, No. 60 Section 1; Acts 1987, No. 838, Section 1; Acts 1997, No. 440 Section 2(g).
Adopted 10/01/99
References to "counties" in these rules include contractors or vendors who work for or assist counties in the revaluation and assessment process.
* Parcel number
* Section, township, and range or subdivision
* The existing land, building, and total value of the property before consideration of value caps, partial exemptions, etc.
* The primary use code of the property
* Market area
* Neighborhood-actual neighborhood used in location analysis
* School district
* The land size and unit of measurement (acres, square feet, etc.)
* The living area, construction grade, grade adjustment factor, year built if available, and effective age or remaining economic life percentage of the primary building in the case of residential properties
* The Marshall & Swift building class code (A, B, C, D, or S), occupancy type code, gross building area, year built, effective age, and remaining economic life in the case of commercial and industrial properties
* The sale date, deed book and page, deed type, grantor, grantee, and sale validation code for the most recent warranty or special warranty deed sale of the property
* The sale price and any adjustments to the price for personal property, etc.
* Sales/Ratio related comments
* Location Factor
The file shall contain one row per property and must be in ASCII fixed field, ASCII comma separated value (CSV), Excel, or Quattro Pro format, or in a format that is directly compatible with Excel.
* Parcel number
* Section, township, and range or subdivision
* The new land, building, and total value of the property before consideration of value caps, partial exemptions, etc.
* The prior land, building, and total value before consideration of value caps, partial exemptions, etc.
* The primary use code of the property
* Market area
Neighborhood-actual neighborhood used in location factor analysis
* School district
* The land size and corresponding unit of measurement
* The living area, construction grade, grade adjustment factor, year built if available, and effective age or remaining economic life percentage of the primary building in the case of residential properties
* The Marshall & Swift building class code (A, B, C, D, or S), occupancy type code, gross building area, year built, effective age, and remaining economic life in the case of commercial and industrial properties
* The sale date, deed book and page, deed type, grantor, grantee, and sale validation code for the most recent warranty or special warranty deed sale of the property
* The sale price and any adjustments to the price for personal property, etc.
* Sales/Ratio related comments
* Location Factor
The file shall contain one row per property and must be in ASCII fixed field, ASCII comma separated value (CSV), Excel, or Quattro Pro format, or in a format that is directly compatible with Excel.
|
00 |
UV |
Un-validated sale |
|
01 |
VS |
Valid sale |
|
02 |
GO |
Sale to or from a government agency |
|
03 |
CH |
Sale to or from a charitable, religious, or educational institution |
|
04 |
FI |
Sale in which a financial institution is the buyer in lieu of foreclosure, or in which a financial institution is the seller and the property is not exposed to the open market |
|
05 |
RL |
Sale between related parties (Ex. Family transaction, employer/employee transaction, inter-company transaction) |
|
06 |
CV |
Sale of convenience, e.g., to correct a title defect or create a joint tenancy |
|
07 |
ES |
Sale settling an estate |
|
08 |
FS |
Forced sale - seller is sheriff, receiver, or court officer |
|
09 |
DT |
Sale of doubtful title |
|
10 |
TR |
Sale involving a trade |
|
11 |
PI |
Sale of a partial interest in the property |
|
12 |
CT |
Sale involving a land contract (including payoff of the contract) |
|
13 |
CS |
Significant improvement (e.g., room addition or renovation) to a property between sale date and assessment date |
|
14 |
AS |
Assemblage sale - purchase of an adjoining property at a premium price |
|
15 |
MU |
Sales that fail to constitute an economic unit of multiple properties (includes bulk sales of properties to a developer or builder) |
|
16 |
PP |
Sale involving personal property of significant but undeterminable value (see discussion in 4.04.1d.3) |
|
17 |
OF |
Sale involving non-market financing or other non-real estate considerations of significant but undeterminable value (see discussion in 4.04.1d.4) |
|
18 |
FD |
Future Development/Sale includes new dwelling to be assessed |
|
19 |
MH |
Sale includes mobile home |
|
20 |
AL |
Land priced as AG, not priced at market value |
|
25 |
VA |
Primary parcel of a group of parcels that have sold |
|
26 |
AP |
Additional parcels that are linked to the primary parcel |
Adopted as corrected 10/14/2008
Amended by emergency procedure 06/12/09
Amended by permanent procedure 04/26/10
No county will be bound by this rule, for the market area provision only, on its first ratio study after passage of this rule.
No county will be bound by this rule on its first ratio study after passage of this rule.
* Residential property: The COD must be 15.0 or less in market areas with a median year built of 1960 or greater and a median sale price of $60,000 or more. Other residential CODs must be 20.0 or less.
* Vacant land: CODs must be 25.0 or less in each market area.
* Commercial property: The COD must be 20.0 or less in counties with 50,000 or more parcels and 25.0 or less in smaller counties.
As experience is gained, the ACD may tighten these standards so that they are closer to or equivalent with IAAO standards for the COD.
No county will be bound by this rule, for the market area provision only, on its first ratio study after passage of this rule.
RULE 4.04.1g
OTHER COMPONENTS OF RATIO STUDY
1.METHOD OF CONDUCTING AGRICULTURAL LAND CLASSIFICATION
In conducting this component of the ratio study, the Arkansas Assessment Coordination Department shall use generally accepted valuation procedures, statistical compilation, and analysis techniques found in the International Association of Assessing Officers standards on ratio studies. (See Standard on Ratio Studies,approved July 1990, International Association of Assessing Officers or the current edition of same, hereafter referred to as 'SORS", which incorporates selected chapters and appendices of the Property Appraisal and Assessment Administration, published by the International Association of Assessing Officers, 1990 edition or current edition, hereafter referred to as "PAAA").
The Field Auditor will select 100 random samples. Sales are not used. The appropriate number of random samples shall be divided in accordance with the proportion of agricultural parcels per school district. Any prospective sample to be excluded shall be recorded and validity of the exclusion must be documented.
Agricultural samples will normally be worked between January 1st and April 19th of the valuation year, but they may be worked earlier or later depending on when the county or contractor has completed soil coding. By rule 50% of soil coding must be complete by April 19th of the valuation year. Selected samples are used for both the ratio study and for a performance audit. The Field Auditor will determine during the valuation audit if the proper schedule of agricultural values established by the ACD has been adopted.
In July of each year the ACD will perform a ratio study to determine whether the county has followed guidelines for the valuation of agricultural land in compliance with Arkansas code 26-26-407. The following is the procedure used by ACD it determining each county's Agricultural Land ratio:
This component of the ratio study shall be based on a physical examination of the current year's records of each assessor's office to determine the degree of compliance with the criteria established in the Commercial Personal Property Appraisal Manual published by the Arkansas Assessment Coordination Department.
When the fieldwork commences for the current year, instructions as to the number of business personal commercial samples shall be provided.
The minimum sample size for each county shall be determined by the population of the county as reflected in the latest final census figures and the number of businesses therein. Those counties with populations: of 29,999 and below shall have 20 samples; of 30,000 through 69,999 shall have 40 samples; of 70,000 through 199,999 shall have 50 samples and of 200,000 and above shall have 90 samples.
After determining the total business personal parcels in the county, the number of samples needed shall be divided into that figure to set the selection interval; however, if a business tentatively selected by this method results in a sample that does not fit into a category recognized in the square foot section of Commercial Personal Property Appraisal Manual, then the next business shall be selected.
This component of the ratio study shall be based on a physical examination of the current year's records of each assessor's office to determine the degree of compliance with the criteria established in the current year edition of the Personal Property Assessment Manual published by the Arkansas Assessment Coordination Department.
The minimum sample size for each county size shall be determined by the population of the county as reflected in the latest final census figures and the number of businesses therein. Those counties with populations: of 29,999 and below shall have 40 samples; of 30,000 to 69,999 shall have 70 samples; 70,000 to 199,999 shall have 100 samples and of 200,000 and above shall have 180 samples.
The Field Auditor shall be instructed to get samples of automobiles from the current year through the last fifteen years and of trucks from the current year through the last fourteen years. Only one vehicle shall be taken from each assessment.
Since there is no consistent method of filing assessments containing automobiles, i.e., some being filed alphabetically by school district, some alphabetically by county and in many instances, the computer is available for us; samples shall be selected randomly by the Field Auditor who notes the method chosen.
A comparison of the actual assessed value and the value computed utilizing the manual by the Field Auditor produces the ratio by county, by school districts and by cities in that County.
Appraisal and Assessment Administration, published by the International Association of Assessing Officers, 1990 edition or current edition)
July 1999, International Association of Assessing Officers or current edition)
Assessment Administration,published by the International Association of Assessing Officers, 1990 edition or current edition)
Terms used in connection with the ratio study on market value real property shall be as defined in Section 14, "SORS" and "PAAA".
Adopted 10/01/99
Amended 12/20/00
Amended 07/05/04
Amended 12/20/06
Amended 4/26/10
The ACD shall maintain an Annual Register of Appraisal Companies and shall not approve a contracted appraisal plan of an Appraisal firm which has not registered with the ACD by submitting the following information:
Adopted 10/01/99
Amended 07/05/04
The Director of the Assessment Coordination Department may, for cause, remove an appraisal company from the list of registered contractors doing mass appraisal work within the State of Arkansas.
Adopted 07/05/04
STATUTORY AUTHORITY: A.C.A. 26-26-306 (Acts 1997, No. 836 Section 2)
STATUTORY AUTHORITY: A.C.A. 26-26-308 (Acts 1997, No. 836 Section 4)
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 26-26-307 (Acts 1997, No. 836 Section 3)
STATUTORY AUTHORITY: A.C.A. 26-26-308 (Acts 1997, No. 836 Section 4)
In keeping with the intent of Act 836 of 1997, newly discovered and newly constructed property will be appraised and assessed at the value prevailing before the implementation of Act 758 of 1995.
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 26-26-402 ( Acts 1981, No. 848, Section 1; Acts 1997, No. 1300, Section 22)
STATUTORY AUTHORITY: A.C.A. 26-26-409 (Act 1981, No. 848 Section 9)
Adopted 10/01/99
Adopted 10/01/99
Amended 12/20/00
Amended 07/05/04
Amended 09/25/08
NOTE: "substantial improvements to real property" as used in Amendment 79, Sections 1(b)(2), 1(c)(2), and 1(d)(4) does not include normal maintenance on an improvement intended to only maintain its existing utility.
Adopted 10/01/99
Amended 12/20/00
Amended 07/05/04
Amended 09/25/08
Amended 4/26/10
Amended 12/07/12
STATUTORY AUTHORITY: A.C.A. 26-26-401 (Act 1981, No. 848 Section 8)
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 26-26-403 (Act 1981, No. 848, Sections Two and Nine.)
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 26-26-404 (Act 1981, No. 848 Section Three)
Form No. GB-1 entitled Base Year Millage Rollback Computation and Certificate Form is adopted to comply with this statute.
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 26-26-405 (Act 1981, No. 848 Section 4)
Form No. CC-2 entitled Personal Property Interim Millage Adjustment is adopted to comply with this Statute.
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 26-26-304 and 26-26-407
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 26-26-408 (Act 1981, No. 848, Section Seven)
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 26-26-503 (Acts 1980 (lst Ex. Sess.) No. 48, Sections One, Two; 1985, No. 392, Sections One, Two)
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 26-26-1113 (c) (1); (Act 1987, No. 1040, Sections One, Two)
The Assessment Coordination Department shall promulgate reasonable rules and regulations to effectuate the provisions of this chapter.
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 26-26-1114 (c); (Act 1989, No. 517, Section One; Act 1991, No. 291 Section One; Act 1993, No. 1261, Section One)
When assessing by telephone, record forms containing information taken by telephone shall be clearly identified as telephone assessments on the property owner signature line and shall bear the signature of the assessor or deputy assessor who conducted the telephone interview with the property owner.
Adopted 10/01/99
STATUTORY AUTHORITY: A.C.A. 26-26-1202; (Act 1883, No. 114, C. & M. Dig., No. 9919, Pope's Dig. No. 13653)
For the purpose of this Act, the following term(s) are defined:
Adopted 10/01/99
There is hereby established a Uniform Notice of Real Estate Value Change. The Notice shall be printed on paper no smaller than 8.5" wide by 11" long. All counties, contractors or others required to notify property owners of value changes shall employ the form displayed as item A-15 of the Appendix. No information set out in the form may be excluded but additional information may be displayed provided the Assessment Coordination Department gives prior consent. Counties employing Section 1 of Amendment 79 shall not be required to list assessments in subsequent years on the form. Sending notices not conforming to the above shall constitute a violation of this rule, and when discovered, the responsible party will be required to send new notices, which comply with this rule, to affected property owners.
Adopted 10/01/99
Amended 7/10/01
Amended 4/26/10
If the Assessor becomes aware of Newly Discovered or Newly Constructed property in a non-reappraisal year, and the resulting increase in market value of the parcel caused by the Newly Discovered or Newly Constructed property is $5000.00 or more, the parcel will be updated and a notice will be sent to the Taxpayer. Any Newly Discovered or Newly Constructed property, having a market value of less than $5000.00 when discovered, may be listed and updated during the year of discovery and will be listed and updated during the appraisal year.
Adopted 07/05/04
There is hereby established a Homestead Credit Application/Sales Verification form. The form is to be used by property owners to apply for benefits under the provisions of
Amendment 79 and to verify whether a property's purchase price reflects its market value at the time of sale. County assessors shall provide the purchaser of property with the form when a copy of a deed is transferred from the county recorder's office to the county assessor's office. As an alternative, the county assessor may provide the form to closing agents who may assist purchasers in completion of the form and who may return the form to the county recorder or assessor on behalf of the purchaser.
With prior approval by the ACD, the county may divide the form into separate parts, without changing the content, and distribute each part separately to property owners. Additional questions may be added to the form with prior approval by the ACD.
Adopted 3/03/02
STATUTORY AUTHORITY: ACT 1417 of 2005
By July 1, 2005 the Assessment Coordination Department shall adopt and implement by rules final specifications for computer assisted mass appraisal software.
The rules may provide a procedure by which the Assessment Coordination Department may directly compensate computer assisted mass appraisal software providers who are in compliance with requirements set forth in the final specifications for computer assisted mass appraisal software.
The Assessment Coordination Department shall require computer assisted mass appraisal software providers to comply with requirements set forth in the final specifications for computer assisted mass appraisal software.
Adopted and effective 07/01/05 by emergency procedure Adopted 11/13/05
The ACD will be responsible for providing uniform specifications (standards) for Computer Assisted Mass Appraisal (CAMA) software systems to be operated within the state of Arkansas. The ACD shall submit any proposed amendments to the CAMA Standards to all providers having certified CAMA systems operating within the state and allow a reasonable time for comment. The proposals shall then be considered by the CAMA Compliance and Certification Advisory Board. If the proposals are approved by the board and the ACD director they shall be incorporated into the standards. Every CAMA system must be tested annually to determine if the system is in compliance with the standards. Systems that are in compliance will be certified by the director of the ACD. Systems that are not certified will not be allowed to be used by any county or appraisal contractor within any county of the state for the purpose of property reappraisal. Use of a non-approved system will result in a finding by the ACD of noncompliance and reimbursement will cease.
Adopted and effective 07/01/05 by emergency procedure Adopted 11/13/05
There is hereby created The Arkansas CAMA Compliance and Certification Advisory Board whose purpose it shall be to advise and assist the director of the ACD in the testing, certification, and compliance of the various CAMA systems being used or proposed to be used in the state of Arkansas by Assessors and companies contracting with counties to assess the real property in those counties. The board may make recommendations to the director of any changes or additions to the Standards it deems appropriate.
Adopted and effective 07/01/05 by emergency procedure Adopted 11/13/05
The Arkansas CAMA Compliance and Certification Advisory Board shall be made up of persons known to have knowledge, experience, and expertise in the field of mass appraisal of real property in general and the operation and use of CAMA systems in particular.
The membership shall be comprised of the following:
One member of the staff of each CAMA software vendor, to be nominated by the vendor and submitted to the director of the ACD for approval, to serve a two year term from the date of appointment.
One member of the staff of each reappraisal contractor, to be nominated by the contractor and submitted to the director of the ACD for approval, to serve a two year term from the date of appointment.
Two in-house CAMA system users who shall be selected by the director of the ACD from a nominating pool for a one year term. Any County that performs its own reappraisal duties may nominate qualified individuals to the pool.
Two members of the ACD staff who shall be appointed by the director of the ACD and serve at the discretion of the director.
Adopted and effective 07/01/05 by emergency procedure
Adopted 11/13/05
Amended 09/25/08
The initial meeting of the board shall be held as soon as practicable following the appointment of its initial members. Thereafter, the board will meet annually on the second Tuesday in September at the offices of the ACD but may meet at any other time or place upon call of the director of the ACD. The director will designate a chairperson and a secretary and the ACD will provide administrative services for the use of the board. The chairperson and the secretary may be from outside of the appointed board and may be from ACD staff. If the chairperson and/or the secretary are not members of the appointed board they shall have no vote. The chairperson and the secretary shall make up the executive committee, which may make administrative decisions only and in the absence of the membership. Any such administrative decisions shall be subject to approval or rejection by the membership at its next meeting. If no action of the membership is taken at said next meeting the action shall not be later challenged.
Adopted and effective 07/01/05 by emergency procedure
Adopted 11/13/05
Beginning on or about the second Tuesday in September, in each year, at the offices of the ACD, the board will test all CAMA systems operating in the state and those proposed for operation within the state. The CAMA provider may request to be provided, in advance of the test, a list of issues to be tested. Upon good cause being shown, the board may request that a CAMA system be retested on a particular issue or issues. The board will vote on each exercise as to pass or fail and will advise the director of the decision and make recommendations as requested by the director. The test will be provided by the ACD. Each test will be conducted using actual data from a county or counties to be agreed upon in advance between the ACD and the CAMA provider. Prior to the administration of the test, the board will place each exercise into one of the following categories:
NOTE: When additional time is allowed, the compliance test will be conducted at a county location to be determined by the board at least a week in advance of the test.
Adopted and effective 07/01/05 by emergency procedure
Adopted 11/13/05
CAMA system users, who experience problems with their system which persist after notification to the provider for a reasonable time, may contact the ACD or the board in writing, providing an example of the problem. A record will be kept and the board may determine that the urgency of a problem is such that a change to the test regimen may need to be made immediately and all CAMA systems will be retested on those issues within a reasonable time after the CAMA provider is notified.
Adopted and effective 07/01/05 by emergency procedure
Adopted 11/13/05
In the event a CAMA system fails to achieve the score required on a particular exercise the Director will notify the system provider that the system will not be certified and cannot be used in the state by any county or contractor for reappraisal purposes until the system achieves the required score. In the case of an exercise classified as Level No.1, no additional time is allowed to comply and the notice will go out immediately. However, in the case of an exercise classified as Level No. 2 or Level No. 3, additional time may be allowed for compliance as provided in RULE 4.26. In such event, if the system fails to achieve the required score when retested, the notice as set out above, will then be given to the provider. In either case, the system may not be retested until the following year at the regular testing time.
Adopted and effective 07/01/05 by emergency procedure
Adopted 11/13/05
Adopted by emergency procedure 06/12/09
Adopted by permanent procedure 04/26/10
Amended 12/07/12
CHAPTER FIVE UNIFORM REPORTING
STATUTORY AUTHORITY ACA 26-28-108
STATUTORY AUTHORITY ACA 26-28-304
On or before March 15th of each year the Preparer of the Tax Books for each county shall provide a copy of the Abstract of Assessments to the Assessment Coordination Department. Said copy of Abstract of Assessments shall be the same as reported to the Arkansas Department of Education on or before March 15th of each year and shall include the total assessment by school district that was delivered to the County Tax Collector (Tax Books) for tax collection purposes.
Adopted and implemented 6/16/06 by emergency procedure
Amended 12/20/06
If not included in the above Abstract of Assessments as defined in rule 6.01, the following items relating to real property assessments shall be added:
Previous year delinquent real estate assessments
If included in the above Abstract of Assessments as defined in rule 6.0, the following items relating to real property assessments shall be deleted:
Delinquent assessment certified to the State of Arkansas Office of Commissioner of State Lands (two year delinquent).
Adopted and implemented 6/16/06 by emergency procedure
Amended 12/20/06
STATUTORY AUTHORITY ACA 26-26-2001
On or before February 15 the Preparer of the Tax Books shall provide to the Assessment Coordination Department:
Adopted and implemented 6/16/06 by emergency procedure Amended 12/20/06
The County Assessor, County Collector of Taxes, the County Clerk, the County Treasurer, and any other county official having possession of the information specified in Rules 5.01, 5.02, and 5.03 shall turn such information over to the Preparer of the Tax Book at least 14 days prior to the deadlines specified in Rules 6.01, 6.02, and 6.03. The county official providing the information shall be solely responsible for its accuracy. The Preparer of the Tax Book shall be responsible only for the accuracy of information generated solely by him or her and not that which was compiled from the information provided by others.
Adopted 12/20/06
APPENDIX
ASSESSMENT COORDINATION DEPARTMENT VALUATION GUIDES AND FORMS
VALUATION GUIDES
ARKANSAS ASSESSORS' REAL ESTATE COST MANUAL ACT 153 of 1955 as Amended
ARKANSAS COMMERCIAL PERSONAL PROPERTY MANUAL ACT 153 of 1955 as Amended
ARKANSAS PERSONAL PROPERTY MANUAL ACT 153 of 1955 as Amended
ARKANSAS AGRICULTURAL LAND, PASTURE LAND AND TIMBER LAND GUIDELINE PUBLICATION Act 153 of 1955 as Amended
Adopted 10/01/99
FORMS
FOR USE BY ASSESSORS OR REAPPRAISAL FIRMS:
|
A-1. |
COMMERCIAL/INDUSTRIAL REAL ESTATE RECORD CARD |
|
A-2. |
RESIDENTIAL REAL ESTATE RECORD CARD |
|
A-3. |
RURBAN REAL ESTATE RECORD CARD |
|
A-4. |
RURAL REAL ESTATE RECORD CARD |
|
A-5. |
MANUFACTURERS' INVENTORY REPORT |
|
A-6. |
COMMERCIAL PERSONAL PROPERTY ASSESSMENT FORM COMMERCIAL PERSONAL PROPERTY ASSESSMENT INFORMATION |
|
A-7. |
ASSESSOR'S ABSTRACT (A.C.A. 26-26-304) |
|
A-8. |
SUMMARY REPORT OF COUNTY ASSESSMENTS |
|
A-9a. |
IN-HOUSE COUNTYWIDE THREE YEAR REAPPRAISAL PLAN |
|
A-9b. |
IN-HOUSE COUNTYWIDE FIVE YEAR REAPPRAISAL PLAN |
|
A-10 |
a. CONTRACTED COUNTYWIDE THREE YEAR REAPPRAISAL PLAN |
|
A-10b |
.CONTRACTED COUNTYWIDE FIVE YEAR REAPPRAISAL PLAN |
|
A-11. |
PLANNED PROGRESS REPORT |
|
A-12. |
MONTHLY PROGRESS REPORT |
|
A-13. |
PARCEL COUNT FORM A |
|
A-14. |
PARCEL COUNT FORM B |
|
A-15. |
NOTICE OF REAL ESTATE VALUE CHANGE |
|
A-16. |
CERTIFICATION OF COUNTY AS TO COMPLETION OF COMPREHENSIVE COUNTYWIDE REAPPRAISAL |
|
A-17 |
COMPLIANCE VERIFICATION FORM |
|
A-18 |
HOMESTEAD CREDIT APPLICATION/SALES VERIFICATION |
FOR USE BY COUNTY CLERK:
|
CC-1. |
SUMMARY REPORT OF COUNTY ASSESSMENTS FOR THE YEAR |
|
CC-2. |
PERSONAL PROPERTY INTERIM MILLAGE ADJUSTMENT (A.C.A. 25-26-405) |
|
CC-3. |
FRINGE DISTRICT ROLLBACK |
|
CC-4. |
CERTIFICATION OF ASSESSED VALUE DATA (A.C.A. 26-26-403) |
|
CC-5. |
SCHOOL DISTRICT CALCULATION TO DETERMINE MINIMUM MILLAGE REQUIRED BY AMENDMENT 74 |
FOR USE BY GOVERNING BODIES OF TAXING UNITS:
|
GB-1. |
COMPUTATION AND CERTIFICATION FORM. BASE YEAR MILLAGE ROLLBACK COMPUTATION AND CERTIFICATION FORM (A.C.A. 26-26-404) |
FOR USE BY EQUALIZATION BOARD & COUNTY CLERK AS EX-OFFICIO SECRETARY OF THE COUNTY EQUALIZATION BOARD:
|
E-1. |
EQUALIZATION BOARD MEMBERS AND ADDRESSES |
|
E-2. |
EQUALIZATION BOARD ABSTRACT OF ADJUSTED ASSESSMENT (A.C.A. 26-26-304, 26-27-319) |
|
E-3. |
EQUALIZATION BOARD RESOLUTION |
MISCELLANEOUS:
|
M-1. |
APPLICATION FOR ADMISSION - ARKANSAS ASSESSMENT TRAINING PROGRAM |
|
M-2. |
TRAINING AND DESIGNATION PROGRAM |
FOR USE BY THE PREPARER OF THE TAX BOOK:
|
P-1 |
COUNTY TAX SETTLEMENT REPORT TEMPLATE |
Adopted 10/01/99
Amended 12/20/00
Amended 12/20/06
