DEPARTMENT OF REGULATORY AGENCIES
DIVISION OF REAL ESTATE
BOARD OF REAL ESTATE APPRAISERS
4 CCR 725-2

EMERGENCY RULE

CHAPTER 11:	STANDARDS OF PROFESSIONAL APPRAISAL PRACTICE

Pursuant to and in compliance with Title 12, Article 61 and Title 24, Article 4, C.R.S. as amended, notice of emergency rulemaking is hereby given, including notice to the Attorney General of the State of Colorado and to all persons who have requested to be advised of the intention of the Colorado Board of Real Estate Appraisers (“Board”) to promulgate rules, or to amend, repeal or repeal and re-enact the present rules of the Board.

Section 1.	Statement of Basis and Authority
Section 2. 	Scope and Purpose
Section 3.	Applicability
Section 4. 	Chapter 11 - Standards of professional appraisal practice
Section 5. 	Effective Date

Section 1. 	Statement of Basis and Authority

The statutory basis for the rules titled Rules of the Board of Real Estate Appraisers is Part 7 of Title 12, Article 61, Colorado Revised Statutes, as amended.  

Section 2.	Scope and Purpose

The specific purpose of this rule is to amend the existing rule with respect to the generally accepted standards of professional appraisal practice. 

The Uniform Standards of Professional Appraisal Practice (“USPAP”) sets forth ethical and performance standards for the appraisal profession.  Compliance with USPAP is required for appraisals in connection with federally related real estate transactions.  12 U.S.C. § 3339(1).  USPAP is updated every two years and the current 2014-2015 edition is set to expire on December 31, 2015.  The Appraisal Standards Board of The Appraisal Foundation has adopted revisions to USPAP for the 2016-2017 edition.  The changes are effective January 1, 2016. 

The Board of Real Estate Appraisers finds that immediate adoption of this emergency rule is imperatively necessary to comply with state and federal law, and that compliance with the rulemaking requirements of § 24-4-103, C.R.S., applicable to non-emergency rules, would be contrary to the public interest.  The Board has the duty to promulgate rules as required to comply with the federal Financial Institutions Reform, Recovery, and Enforcement Act of 1989, as amended (“FIRREA”).  § 12-61-704(1)(a)(I), C.R.S.  Under FIRREA, states must recognize and enforce the most current version of USPAP.  12 U.S.C. §§ 3331 and 3347.

It is imperatively necessary that the Board adopts, and incorporates the revised version of USPAP; which includes the definitions, preamble, rules, and standards (including standards rules) on an emergency basis.

Section 3.	Applicability

The emergency rule governs real estate appraisers who are subject to the requirements of Part 7 of Title 12, Article 61 of the Colorado Revised Statutes.
Proposed New, Amended and Repealed Rules

[Deleted material shown struck through, new material shown ALL CAPS. Rules, or portions of rules, which are unaffected are reproduced.  Readers are advised to obtain a copy of the complete rules of the Board at www.dora.colorado.gov/dre.

CHAPTER 11:	STANDARDS OF PROFESSIONAL APPRAISAL PRACTICE

11.1 	Pursuant to Section 12-61-713(1)(g), C.R.S. (as amended), the Board adopts, and incorporates by reference in compliance with Section 24-4-103(12.5), C.R.S., as the generally accepted standards of professional appraisal practice the definitions, preamble, rules, standards, and standards rules of the Uniform Standards of Professional Appraisal Practice as promulgated by the Appraisal Standards Board of the Appraisal Foundation on January 30, 1989 and amended through February 6, 2015 and known as the 2016-2017 edition. Amendments to the Uniform Standards of Professional Appraisal Practice subsequent to February 6, 2015 are not included in this Rule. A certified copy of the Uniform Standards of Professional Appraisal Practice is on file and available for public inspection at the offices of the Board of Real Estate Appraisers at 1560 Broadway, Suite 925, Denver, Colorado. Copies of the Uniform Standards of Professional Appraisal Practice adopted under this rule may be examined at any state publications depository library. The 2016-2017 edition of the Uniform Standards of Professional Appraisal Practice may be examined at the Internet website of The Appraisal Foundation at www.appraisalfoundation.org, and copies may be ordered through that mechanism. The Appraisal Foundation may also be contacted at 1155 15th Street, NW, Suite 1111, Washington, DC 20005, or by telephone at (202) 347-7722 or by telefax at (202) 347-7727. The 2014-2015 edition of the Uniform Standards of Professional Appraisal Practice, incorporating the amendments made through February 1, 2013 shall remain in effect through January 6, 2016. Beginning January 7, 2016, the 2016-2017 edition of the Uniform Standards of Professional Appraisal Practice shall be in effect.

Section 5.	Effective Date
This emergency rule is effective January 7, 2016.