Oregon Administrative Rules
Chapter 150 - DEPARTMENT OF REVENUE
Division 308 - ASSESSMENT OF PROPERTY FOR TAXATION
Section 150-308-0380 - Appraisal of Real Property
Universal Citation: OR Admin Rules 150-308-0380
Current through Register Vol. 63, No. 9, September 1, 2024
The following constitutes standards for the valuation of real property except for property assessed under ORS 308.505 to 308.665 and ORS 308.805 to 308.820.
(1) Industrial property. In the case of industrial properties, appraisals must conform with the following conditions:
(a) Basic data and supplemental data for an
appraisal must be the same as required in ORS
308.290 and
308.411. Valid data in any
previous appraisal such as property descriptions, inventory listing, maps,
etc., may be used in the appraisal.
(b) An appraisal as provided by the
industrial property return process is not an appraisal contemplated under ORS
308.234.
(c) A valuation review as provided in OAR
150-308.205(2) is an appraisal as contemplated under ORS
308.234, if the valuation review
meets the requirements of 308.411.
(d) Nothing in this rule is intended to
invalidate any assessment that appears on the assessment roll.
(2) All other real property. Real property must be valued at its real market value (RMV) using methods approved by the department and the results must meet the performance standards required by this rule.
(a) The following definitions
apply for the purposes of this rule:
(A)
"Coefficient of dispersion" (COD) is the average absolute deviation of a group
of numbers from the median expressed as a percentage of the median. In ratio
studies, it refers to the average absolute deviation from the median ratio,
expressed as a percent of the median ratio.
(B) "Homogeneous" describes a market area
where the properties have a high degree of similarity in one or more of the
following: type, use, quality, or condition.
(C) "Market area" is defined as a group of
properties that share important characteristics affecting their value. It may
be defined along physical/geographical or abstract boundaries or, as in the
case of commercial property, according to use. Properties included in a market
area do not have to be contiguous.
(D) "Nonhomogeneous" means market areas that
do not meet the definition of "homogeneous."
(b) ORS
308.232 requires that all real
property be valued at 100 percent of its RMV. Achieving and maintaining RMV is
measured by the ratio study. Ratios must be computed for each market area,
where possible. In market areas where the amount of sales data is insufficient
for statistical analysis, one or more of the following actions should be taken
to provide adequate data:
(A) A two-year
sales sample may be used;
(B)
Comparable market areas may be combined; or
(C) Appraisal ratio data may be included.
(c) Criteria for
results-based valuation standards:
(A) RMV at
100 percent.
(B) COD standards for
measuring equity of RMV: [Formula not included. See ED. NOTE.]
(C) Exceptions to COD standards. When a
market area does not meet the standards because of a market anomaly, the
correction may be delayed until the following year, waived, or have alternate
standards applied, as approved by the Department of Revenue.
(d) The department will determine
compliance with standards of this rule by annual reviews of the results
determined by the county.
(A) If compliance
deficiencies are found, the department must make written notification to the
assessor of the deficiencies and identify appropriate corrective action. Within
30 days of notification of the deficiencies, the assessor must respond in
writing to the department as to the action to be taken to correct the
identified deficiencies.
(B) In
the event an assessor's program has been found to be deficient and the assessor
does not take action to correct the deficiencies as outlined in the
department's written notification, the department will take action as required
by ORS 308.062.
Formulas referenced are available from the agency. #REV 7-2016, f. 8-10-16, cert. ef. #.
Stat. Auth.: ORS 305.100
Stats. Implemented: ORS 321.234
Disclaimer: These regulations may not be the most recent version. Oregon may have more current or accurate information. We make no warranties or guarantees about the accuracy, completeness, or adequacy of the information contained on this site or the information linked to on the state site. Please check official sources.
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