Subject to certain specified conditions, federal law and regulations authorize a state department of transportation to prepare a waiver valuation, rather than a formal appraisal, to value both real property that it seeks to acquire for a federal aid transportation project and real property that it owns and seeks to dispose of if the anticipated value of the real property is $25,000 or less. Accordingly, current state law allows the department of transportation (CDOT) to prepare a waiver valuation for real property with an anticipated value of $25,000 or less when valuing real property that it seeks to acquire. However, current state law is more restrictive than federal law and regulations with respect to property that CDOT owns and seeks to dispose of and allows CDOT to use waiver valuations to value such property only if the anticipated value of the real property is $5,000 or less.
In order to fully harmonize state law governing waiver valuations with federal law and regulations, the bill authorizes CDOT to use waiver valuations for the valuation of real property that CDOT owns and seeks to dispose of if the real property is anticipated to have a value of $25,000 or less. The bill also:
- Clarifies that a waiver valuation is not an appraisal; and
- Amends the definition of 'real estate appraiser' to clarify that an individual, including an individual who is a licensed or certified real estate appraiser, is not an appraiser for purposes of the state laws regulating appraisers when the individual performs a waiver valuation.
(Note: This summary applies to the reengrossed version of this bill as introduced in the second house.)