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SCCAI STAFF Linda Zimmer, Executive Director executivedirector@sccai.org Zouka Rosen, Education Adm education@sccai.org Aloma B. Law, Member Service Coor. memberservices@sccai.org

AI Region VII Spring Meetings

1

2006 Officers - Article: Marketwatch-May 2006

2

New Membership - Important Links

3

ASA-LA Chapter & The SCCAI Joint Din-ner

4

Dedication—In Mem-ory of Nancy Michener 23rd Pan Pacific Con-gress

5

Unplugged… Article

6-7

Branch Chapter Events - Workshop Announce-ments - OLRS

8

Schedule of Events 9

12th Annual Confer-ence & Trade Show

13

Qualifying Criteria 10

Legislative Updates Government Relations Reports— Business Card CD

11

AI Reports—About the New Forms

12

INSIDE THIS ISSUE

The Trends V OLUME 4 I S SUE 6

JULY 2006

Held June 2nd & 3rd, 2006 in Indian Wells, CA Region VII Spring Committee meetings were recently held June 2-3, 2006 at the beautiful Hyatt Grand Champions Resort & Spa in Indian Wells, California. The Southern California Chap-ter of the Appraisal Institute is one of seven chap-ters in Region VII, which also include the San Diego, Central California, Hawaii, Southern Ari-zona, Phoenix and Las Vegas Chapters. Region VII Education Liaison, James Henderson, SRA (Central California) and Chapter Leadership Services Representative Vickie Gill, SRA (Southern California) chaired the Education and Chapter Leadership meetings on Friday, June 2nd. All chapters were represented in both sessions. Presentations included the 2008 AQB criteria changes as well as the Online Reserva-tion System (OLRS) were given attendees to guide both groups on how to better prepare their chapters in the coming 6-18 months.

The Region VII Committee Meeting was held on Saturday, June 3rd with all chap-ters in attendance. There were 11 representa-tives from the Southern California Chapter (not including the representatives on national com-mittees from the Southern California chapter). The committee meeting was chaired by South-ern California chapter member, Mr. David Riach, MAI. Mr. Riach and Misa Zane, MAI (Hawaii) are our region's representatives on the Board of Directors. Appraisal Institute Presi-dent, Richard D. Powers, MAI, SRA met with the committee during the weekend and was a guest at all the meetings. Rob Caringella, MAI (San Diego) was elected Director and Vice Chair of Region VII for 2007 - while Southern California representative Vickie Gill, SRA was elected as the Region VII 3rd Director.

Stuart DeVall, MAI, Richard Powers, MAI, SRA and Orell Anderson, MAI

Rob Caringelia, MAI, Misa Zane, MAI, Richard Pow-ers, MAI, SRA and David Riach, MAI.

Orell Anderson, MAI, 2006 SCCAI Secretary and Karen Davidson, MAI, 2006 SCCAI President

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2006 Officers, Directors and Branch Chapter Chairs

Newsletter of the Southern California Chapter of the Appraisal Institute

PRESIDENT Karen G. Davidson,

MAI VICE PRESIDENT Carol Lynn Chirpich,

SRA TREASURER

Stuart D. DuVall, MAI SECRETARY

Orell C. Anderson, MAI

DIRECTORS

CENTRAL COAST

CHAIR Jim Mackelburg, SRA

VICE CHAIR Joyce Riggs, MAI

ADVISOR Michael DaKroob

EASTERN BRANCH

CHAIR Don Mowery

VICE CHAIR Charles Armstrong

ADVISOR Paul Norlen, MAI

SOUTHERN BRANCH

CHAIR Scott Pettifer, MAI

VICE CHAIR Keith Belsby ADVISOR

Kent Serviss

WESTERN BRANCH CHAIR

Moses Jordan, SRPA VICE CHAIR Eric B. Garfield

ADVISOR TBD

IMMEDIATE

PAST PRESIDENT

David Gribin, MAI

EDUCATION COORDINATOR Steve Norris, MAI

ADMISSIONS

CHAIR-Residential Julia Rias

ASSOCIATE GUID-ANCE CHAIR-

General Tom Neeson

ASSOCIATE GUID-ANCE CHAIR—RESIDENTIAL Kerry Lieman

SCHOLARSHIPS

AVAILABLE

THROUGH THE

APPRAISAL

INSTITUTE

MARSHALL LOEB'S DAILY MONEY TIP; “Price your house right” By Marshall Loeb MarketWatch, May 18, 2006 With home sales slumping and inventories on the rise, experts say getting your home sold depends a lot on pricing it correctly. One tool sellers can fall back on when the market is shifting is a home appraisal. You can have an appraisal done before you contact a broker or if you're just curious what your home would be worth. They cost, on average, from $250 to $400 for a single-family home, slightly more for multiple-family dwellings. An appraiser will physically inspect your house for shoddy workmanship or needed repairs, measure its dimensions and takes notes on the floor plan, utilities and other factors that affect pricing. He or she should also look at three or four "comps" — comparable homes in your neighborhood that have sold within the past six months — and analyze how homes currently on the mar-ket are faring, says William J. Doka, owner and president of Erick-son Appraisal Company in Fair Lawn, NJ. That's a more comprehensive assessment of market conditions than the free comparative market analysis, or CMA, that a broker will give you, says Doka. He cautions that brokers want to earn your listing and can be tempted to paint an overly rosy picture of how your home will sell while appraisers, although sometimes subject to similar pressure from mortgage brokers, strive to be objective. The results of the appraisal will be presented to you in a report that can run from five pages, for a simple summary that suits most lenders and homeowners, to 50 pages or more for a "narrative" that banks might demand before financing the pur-chase of a multimillion-dollar home. Homes are typically listed for sale at a price several percent above the appraised value. Predictably, most of Doka's business comes from lend-ers, who typically require an outside appraisal before making a loan. But homeowners are also hiring him before contacting a broker. He charges from $350 to $400 to appraise a single-family home. Some things to remember when looking for an appraiser:

• Make sure the appraiser is licensed by your state.

• Ask how long the business has been around, what profes-sional education the appraiser has had and what organiza-tions — like the Appraisal Institute or the American Society of Appraisers

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JANUARY Adam M. Bogorad Shervin Bozorgnia Jeffrey Y. Carrillo Daniel S. Choi Jackie J. Flowers James J. Gerard Jeffrey J. Gway Yuri Gurevich Roger Henning Nicholas S. Ito Bonnie Joachim Steven J. Johnson Geoffrey W. Koopman Arian Leviste Frances M. Martel Eduardo Medina Gerald Morey Jim E. Moreno Manual Nevarez Stephen M. Parry David Romine Allen D. Smaldino Richard J. Van Wckle Heather N. Voeltner Brenda A. Wendt Cathy M. Williams Angel Zozikov

FEBRUARY James L. Andreas Ahansoliz Bahrami Jennifer L. Bosco Michael A. Chesney Michael G. Davidson Brian M. Delman Marcus Espiroza Ethan Fien Desarai L. Henry Jason H. Hinze Tirapol Krutrangsit Aarkis Mambreian Jeremy L. Martin Alan Douglas Myrick Liz Perez James J. Pipolo Kimberly R. Sanders

MARCH John B. Evans Donna Santo Lydia B. Satin Lilly Shamam Judith Valadez James D. Welsh Gloria A. Wilson Michael T. Wilson

APRIL Gail L. Brooks Vincent J. Cardenas, MAI Michael D. Cooper Molly Drexler Joyce H. Goralski Don T. Hirose, MAI Vicky L. Oates Kristen R. Patterson Bryan Roth K. Lee Steidel Russell B. Tiv Ramon Torres, Jr.

MAY Golden C. Arouza Eric S. Boucher Drusie T. Bushnell Cesar Chung Robert M. Contant, Jr. Jonathan K. Goldrich Geraldine E. Goralski Paul Hyman Wayne E. Johnston Yuhong R. Li Christie L. Markham Keith A. Miller Rory T. Nomoto Nicholas T. Quary Margaret Reilly John R. Sellers William V. Stolfi Vladimir Sturza Marvin L. Tobias Mike Young

Sydney Warburton, III Marcia S. Wertenberger

JUNE J. Curteis Calhoun Aaron V. Chaires Peter Charos Kory M. Felix Richard A. Gilbert John J. Gobbell, Jr. Stuart Hathaway Brian J. Pavlic Shujah Qadir Ronald K. Rossi Robert Stier Daniel Trimble Peggy A. Vickers Young Yoo

Important LinksImportant Links OREA Information you need for licensing and upgrading

http://www.orea.ca.gov/html/tic_reqmts.shtml

AI Website information about courses for licensing and upgrading your license

http://www.apprisalinstitute.org

Appraisal Foundation covering all the changes that will take effect in 2008.

http://www.appraisalfoundation.org/s_appraisal/sec.asp?CID=98&DID=133

City of LA www.ladbs.org

This link takes you to an area of City of LA where detailed information regarding permits can be found. Click on Property activity report on the left side, put in the address, and it takes you to detailed list of permits, status and active links to each document. It’s a veritable gold mine of information.

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Joint Dinner Held Wednesday, May 10th at the Dream Palace Restaurant & Banquet Hall in Glendale

Barry Alperin, MAI, George Dell, MAI, SRA and Steve Smith, MSREA, MAI, SRA

Carol Chirpich, SRA, 2006 VP SCCAI

David Gribin, MAI, Don Mowery and friends

Joint Dinner and Seminar entitled: “Fixtures & Other Factors That Influence

Developers & Appraisers” This Seminar’s topics included: • Factors to consider in acquisition and develop-

ment • Entitlement process

• Case study from a developer’s perspective

• Valuation issues concerning historical buildings

• Affects on value of architectural styles

• Slides of Interior and exterior of both historical and imaginative reuse of existing buildings.

The speakers were: Victoria Deise, Senior Development Mgr. The Ratkovich Company Steve R. Smith, MSREA, MAI, SRA, Managing Partner—Smith Realty Advisors

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This Issue is Dedicated to the Memory of

Nancy Michener Nancy Michener, SRA recently died after a six-year battle with lung cancer. Nancy was mar-ried for over 25 years to Stuart, the man she relied on and who supported her 200% while she fought her disease. Nancy, Stuart and Alison Michener came to the LA area from Colorado, where Nancy had worked in an appraisal fee shop. She came to the Los Angeles Chapter meetings to begin networking and find new appraiser friends. She volunteered to serve on committees and became a board member of the Pacific Chapter. In addition she served on the SRA review committee. Appraising allowed Nancy to spend the time with her only child, Alison who recently died in a white water rafting trip in Peru on her Spring break. Although Nancy’s cancer curtailed her in-volvement in the local Chapter, her volunteerism did not stop with her cancer. She became an advocate and California co-chair of the Lung Cancer Alliance. Last year Nancy took a trip to France. Having been a cyclist prior to her cancer, Nancy said the highlight of this trip, was attending the Tour de France and seeing Lance Armstrong, her hero both for his cycling skills and for being a cancer survivor. Nancy came back, refreshed and ready to continue her battle with lung cancer. Lindsay McMenamin, the writer of this piece, is a former SRA, past President of the Los Angeles Chapter for two years, and currently a de-fense attorney at Gaglione & Dolan in Los Angeles. She strongly recommends continuing to support Nancy’s efforts by contributing to the Lung Cancer Alliance organization (lumngcanceralliance.org).

23rd Pan Pacific Congress

of Appraisers, Valuers and Counselors

“The Valuation Revolution: New Partners, Borderless Markets,

Innovative Technology”

T he 23rd Pan Pacific Congress of Appraisers, Valuers and Counselors is being held September 16-19, 2006, in San Francisco, Ca. Exemplifying the reality of today’s global economy, the theme chosen for this Congress is “The Valuation Revolution: New Partners Borderless Markets, Innovative Technology.” This will be the fourth time that the Pan Pacific Congress is held in the United States, and the Appraisal Institute is honored once again to host this event. In 1956 the late John Child, Jr., MAI, proposed the idea for a conference of allied professional real estate bodies surround-ing the Pacific Basin. This led to the first Pan Pacific Conference held in Sydney, Australia, in 1959.

Although the venues have varied over the years, the rationale for the Pan Pacific Congress remains the same: to broaden knowledge through an exchange of information and ideas and to foster a spirit of comradeship, sense of perspective and understanding among valuation and consulting professionals. Over the last 50 years, each Congress has resulted in a rich blend of technical, social and cultural activities. AI is very pleased to con-tinue this tradition in San Francisco, a city with a great cultural heritage that has long been the gateway between Asia and North America.

AI members can receive up to 14.5 hours of continuing education credit for full Congress attendance. Check the PPC Web site for details at www.appraisalinstitute.org/ppc/

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By Sean T. Heath The Heath Group

Continued on next page

And while we’re at it, how would you like to do away with daylight savings time, time zones, am versus pm, and military time versus standard time? Instead, there would be just one “universal” time that would be the same for anyone, anywhere on the globe. Sound tempting? Then, just change your watch. The Swatch Group, maker of watches and timepieces, hopes their innovative way of telling time will catch on. Their “Internet clock” marks off days and months in “Swatch beats,” on a scale of 0 to 1000. For instance, I am writing this article at 9:30 in the morn-ing, but in Internet time, it is @771. If I were planning an online collaborative meeting, I could tell my co-workers to log on “@850” and everyone could use the same time reference, regardless of their physical loca-tion. Instead of Greenwich Mean Time, the new merid-ian for Internet Time would be Biel, Switzerland—Swatch’s headquarters. Therefore, midnight Biel Mean Time (BMT) would be “@000” and 12 noon BMT would be “@500.” “ Cyberspace has no seasons,” says N.G. Heyek, President and CEO of The Swatch Group, on his company’s newest innovation. “The virtual world is absent of night and day. Internet Time is not driven by the sun’s position, it is driven by yours—your location in space and time.” “Today’s lifestyle which demands simultane-ous communication with different parts of the world via phones, Internet, e-mail, video-conferencing, and a host of other tools required a truly revolutionary way of looking at and managing time. Hence, a completely new global concept of time that eliminates time zones and geographical differences was…needed. Introduc-ing ‘Internet Time’ an innovative, new unit of time, measured in ‘Swatch beats.’”

Although there is poetry in the symbolism of Internet Time, how would it translate into tradi-tional time-keeping? According to Swatch, each “Swatch beat” is equal to one minute, 26.4 seconds. (or 1.44 minutes). Therefore, we can determine the length of a Swatch “day” as follows. 1000 beats ÷ 1.44 minutes/beat = 694.44 minutes 694.44 min/day ÷ 60 min/hour = 11.57-hour day In Internet Time, a week would have to be shortened to six days, to avoid the awkwardness of measuring in fractions. Keeping our 48-hour week-ends intact, would leave a four-day work week. Cheers to Swatch. But then again, how did we end up with a seven-day week in the first place? That question is harder to answer, since no one knows for sure. The Bible mentions a seven-day week, and it was established by the Romans as part of their imperial calendar. The Christian church, fol-lowed by the British Empire, then furthered the use of a seven-day week. So, how did we come up with seven days? According to webexhibits.org, one explana-tion is that the number of days corresponded to the number of stellar bodies known at the time: Sun, Moon, Mars, Mercury, Jupiter, Venus and Saturn. “The number seven does not seem an obvious choice to match lunar or solar periods, however. A solar year could be more evenly divided into weeks of five days, and the moon phases five-day and six-day weeks make a better short-term fit (6 times 5 is 30) to the lunar month (of about 29.53 days) than

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Continued on next page

the current week (4 times 7 is 28). The seven-day week may have been chosen because its length approximates one moon phase (one quarter = 29.53/4 = 7.3825).” Another peculiarity about our system of naming weeks and months comes from the many cultural influ-ences that have had an impact on our current model of time. For example, the month of August comes from the Latin Augustus, who was a Roman emperor. Prior to that, August was referred to as Sextilis or (“sixth”) be-cause it was the sixth month in the Roman calendar. September is another example. It derives from the word “septem” which means “seventh.” This same is true for the months of October, November and December which derived from Latin terms for the eighth, ninth, and tenth months in the old Roman calendar. Friday is the sixth day of the week, but when translated into Russian, Friday means “fifth.” Long work weeks…names that are used differ-ently than their original meanings…maybe it is time for a change. One may wonder why the metric system seems to cover just about every area of measurement (mass, distance, volume, storage capacity, etc.) except time. Actually, a metric time system was developed by the French along with the rest of the metric system already in use. Like our conventional system of time, metric time is also based on a solar day (one revolution of the Earth, divided into ten equal segments). Under this system, there are 10 hours per day, 100 minutes per hour, 100 seconds per minute and ten days in a metric week. “Wrld” time was another attempt to create a universal time standard. Created by Jonathan Jay in 1998, it breaks up a solar day into 100 equal parts, with each part having 100 subparts. Using the International Date Line as its meridian, reading “Wrld” time is like reading the passing of a day in percentages. Therefore the Wrld time of 80.00 would mean that eighty percent of the day has passed. Translated into our 12-hour stan-dard time, this would be equivalent to 7:20 pm or 1920 in military time. Ten o’clock in the morning would be 25.00 in Wrld.time, meaning that the day was one-quarter over. Another enterprising individual came up with the concept of a 28-hour day, six-day week (www.dbeat.com/28). Under this system, one would have a four-day work week and a 58-hour weekend, instead of the normal 48. In this system everything is stretched out a little longer: work lasts two hours longer, and you would gain one hour of free time and one hour of sleep time compared to a 24-hour day.

Yet another attempt at a universal standard is “stime” created by an individual from Toronto (www.stime.com). In this system, each revolution of Earth is divided up into nine equal parts. Like Swatch’s Internet clock, this method would also do away with am versus pm, and would provide a single referent of time that could be used anywhere on the globe. In “stime,” 8:00 in the morning would be III, 4:00 in the afternoon would be VI and midnight would be VIIII.

One organization, calling itself the Long Now Foundation, has taken a different approach to time. According to Daniel Hillis, one of the Founda-tion’s co-founders, the acceleration of technology is causing society to have a very short attention span. What Long Now has proposed is a new type of clock that could run for 10,000 years.

“"When I was a child,” says Hillis on his web site (www.longnow.com), “people used to talk about what would happen by the year 2000. For the next thirty years they kept talking about what would happen by the year 2000, and now no one mentions a future date at all. The future has been shrinking by one year per year for my entire life. I think it is time for us to start a long-term project that gets people thinking past the mental barrier of an ever-shortening future. I would like to propose a large (think Stonehenge) mechanical clock, powered by seasonal temperature changes. It ticks once a year, bongs once a century, and the cuckoo comes out every millennium

The first prototype of this clock is currently on display in London’s Science Museum, and the second prototype is under construction. Hillis hopes that his clock would do for time what space photo-graphs of Earth have done for discussions on the environment—providing a new perspective to view the world we live in. We tend to be week-wise and century-foolish, and let the merely urgent displace what is crucial," says Stewart Brand, another co-founder. “In a world of sound and hurry, the Clock is a pa-tience machine."

Maybe all this talk of universal time is just gim-mickry, maybe it’s a sign of things to come. Per-sonally, I wish that time, however it is measured, came with a brake. That way, when I’m at home with my son in my lap, and he’s smiling at me with his wet baby fingers jammed into his mouth, I can slow down. And stop Time

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Thursday, July 20, 2006 11:30 am Check-In—12 to 3pm program The Old Spaghetti Factory 1431 Buena Vista, Duarte, CA $25 Includes lunch

Offering TWO EVENTS in July

“Maximizing you Appraisal Office OperationsMaximizing you Appraisal Office Operations With Online Tools”With Online Tools”

Friday, July 21, 2006 11:30 am Check-In—12 to 3pm program The Old Spaghetti Factory 3191 Mission Inn Ave., Riverside, CA $25 Includes lunch

Tuesday, July 25, 2006

Embassy Suites Hotel Arcadia Pasadena Area

211 East Huntington Drive

Arcadia, Ca 91006

Phone: 626: 445.8525

The Experience Training Seminar This is a FREE Training Session for Designated Members who want to be involved in Experience Review. By attending the seminar you will qualify for the Experience Review Panel and will re-ceive 3-hours of Appraisal Institute Continuing Education Credit. Existing Panel Members must receive credit for this class every two years. This training Seminar will prepare you to become an Appraisal Institute experience reviewer. It will take participants step-by-step through the Screening, Advisory Review, and Review Committee process. This training is re-quired for you to be on the Experience Review Panel from which Screeners and National Review Committee members are chosen The Southern California Chapter encourages DES-IGNATED MEMBERS TO BECOME INVOLVED. For more information regarding this seminar and to sign up, please contact AI Senior Coordinator, Marilyn Moore (312)335-4173 or email at mmoore@appraisalinstitute.org

The Associate Guidance Workshop will help guide associates through the designation process. It combines brief presentations from Appraisal Institute desig-nated members on each area of the designation process. Key topics answer questions on upper level course work and grad-ing procedures. This seminar welcomes all with questions or concerns about becoming designated. Whether an associate has only one requirement to go or has not even started the path to a designation, this seminar can build confidence and strengthen determination in any associate. Learn about the new courses that take the place of the Demo Report for Asso-ciates on the SRA path. Call the Chapter office to register at (818) 957-5111x21)

SCHEDULE:

Experience Training Seminar: Registration 8:00 am Seminar: 8:30 am to 11:30 am

Associate Guidance Workshop: Registration 1:30 pm Seminar: 2:00 pm to 5:00 pm

Online Registration System

T he new Appraisal Institute Online Registration System (OLRS) has been operational since July 2005. In addition to the national office, six chapters have been using the OLRS since November: The Maryland, North Caroline, Metro New Jersey, Philadelphia Metropolitan, Chicago, and Southern California chapters. New chapters are being trained at this writing. Through January 11th, 46 national, 62 chapters, and 5 online education offerings have been made available through OLRS, over 1,500 students have enrolled using it, and material is being shipped directly to the student if the chapter chooses to do so. Only minor system adjust-ments have been required to date. Full rollout of OLRS will occur this year.

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JULY 2006 DAYS · DATES LOCATION PROGRAM

Holiday 4th of July Chapter Office Closed

Scope of Work: Expanding Your Range of Services

Tues—July 11 Arcadia Education

Board of Directors Meeting Tues—July 11 Arcadia Meeting

General Membership Dinner Tues—July 11 Arcadia Dinner/Seminar “How You Count”

WBC-Westside Breakfast Thurs—July 20 Santa Monica Seminar

7 hr USPAP Update Wed.—July 26 Ontario Education

AUGUST 2006 DAYS · DATES LOCATION PROGRAM Alternative Uses and Cost Valuation of Small Mixed Use Properties

Tues & Wed—Aug 8 & 9 Anaheim Education

Sales Comparison Valuation of Small Mixed Use Properties

Thurs & Fri—Aug 10 & 11 Anaheim Education

SCCAI Conference and Trade Show

Fri & Sat—Aug 18 & 19 Irvine (More details coming soon)

Business Practices & Ethics Thurs.— Aug 24 Burbank Education

SEPTEMBER 2006 DAYS · DATES LOCATION PROGRAM

Labor Day Holiday Mon—Sept 4 Chapter Office Closed

AI Fall Committee Mtgs & Chapter Leadership Prgm

Fri& Sat—Sept 15 & 16 San Francisco, CA (The Palace Hotel)

Meetings

AI Pan Pacific Congress AI Summer Conference

Sat thru Tues—Sept 16 thru 19

San Francisco, CA (The Palace Hotel)

4-Day Conference

Highest & Best Use and Mar-ket Analysis

Mon thru Sat—Sept 18 thru 23 Arcadia Education

Basic Appraisal Principles Sept 9+++ Fullerton 4 Saturdays Education

Reviewing Residential Appraisal Reports

Tues—Sept 26 Anaheim Education

WBC-Westside Breakfast Thurs—Sept 21 Santa Monica Breakfast Seminar

AI Board of Directors Meeting Thurs & Fri—Sept 20 & 21 San Francisco, CA (The Palace Hotel)

Meetings

EBC-Lunch/Seminar Thurs-July 20 Duarte Seminar

EBC– Lunch/Seminar Fri—July 21 Riverside Seminar

CCB-Lunch/Seminar Thurs—Sept 14 Santa Barbara Seminar

Experience Training Tues—July 25 Arcadia Seminar

Associate Guidance Work-shop

Mon—July 24 Arcadia Seminar

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OREA License Levels

Basic Education Requirements

College Level Requirements

Experience

Residential (AL) 150 Hours N/A 2,000 Hours

(accumulated over at least a 12 month period)

Certified General (AG) 300 Hours Bachelors Degree** 3,000 Hours that include at least 1500 non-residential hours (accumulated over at least a 30 month period)

Certified Residential (AR)

200 Hours Associate Degree* 2,500 Hours

(accumulated over at least a 24 month period)

Trainee (AT) 150 Hours N/A None

AQB Minimum Real Property Appraiser Qualifying Criteria (Effective January 1, 2008)

The real property appraiser criteria effective January 1, 2008 are summarized in the following table.

Individuals gaining experience at the AT level must be supervised by a certified licensed level appraiser under the new criteria. No supervisor can supervise more than three trainees. * In lieu of the Associate Degree, an applicant can complete 21 college semester credits in courses covering specific subject matters: English Composition; Principles of Economics (Micro or Macro); Finance, Algebra, Geometry or higher mathematics; Statistics, Introduction to Computers; and Business or Real Estate Law. ** In lieu of the Bachelors Degree, an applicant can complete 30 college semester credits in courses covering specific subject matters: English Composition; Micro Economics; Macro Eco-nomics; Finance, Algebra, Geometry or higher mathematics; Statistics, Introduction to Computers; and Business or Real Estate Law; and two elective courses in accounting, geography, as-economics, business management, or real estate.

SEND ALL ARTICLES, COMMENTS, PHOTOS

AND MEMBER NEWS TO MEMBERSERVICES@SCCAI.ORG

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There are several changes to California regulations and law that may interest you. In California, we (the appraisers) made a deal with licensed real estate brokers some years ago whereby we got something we wanted in exchange for them getting 1,000 hours of experience credit for the AL level only. The Appraisal qualifications Board (the AQB) has recently completed an audit of the California appraiser regu-lations and made the following change: • The 1,000 hours will continue to be allowed (because it

is still the law in California), but anyone using these hours for their AL will have a notation on their license showing that they received 1,000 hours of credit in this manner (the 1,000 hours is allowed only at the AL level).

• A licensee with this notation will not be able to perform federally related transactions because this notation will appear in the federal registry.

The OREA is keeping their website current with important announcements and documents, and it is a good source of information. The OREA has proposed amend-ments to the appraiser licensing regulations, and these changes may be viewed on their website: www.orea.ca.gov. A bill passed last year, SB 2, prohibits all but prop-erly trained insurance agents from doing insurable value esti-mates. Since we are regularly asked by our appraisal clients to provide insurable value estimates as part of our appraisal assignments, we asked that the measure be modified to in-clude appraisers. There is a bill currently making its way through the legislature that will modify SB 2 to allow apprais-ers as a professional class to provide insurable value esti-mates. We expect this measure to be approved shortly. AB 2416 (Torrico) is also a bill we’re watching. We believe that the intent of AB 2416 is to allow financial service lenders (like Household Finance) to use an AVM in lieu of an appraisal when appropriate. We are tracking this bill, and we understand its provisions to mean that an AVM is not used and a conventional appraisal is ordered, then the borrower may be charged for only the appraisal fee (and not both the AVM and the appraisal).

Finally, that the costs to make the loan (whether an AVM is used or a conventional appraisal) are separately listed in the statement of fees (so that there is no bundling of fees, which is adverse to the interests of the borrower). We are watching the eminent domain measures in the state senate, including SB 1210 (Torlakson) and SB 1650 (Kehoe). SB 1210 deals with recovery of litigation expenses in eminent domain proceedings to reasonable attorney’s fees and costs. SB 1650 has a number of provi-sions dealing with the taking, holding, and disposing of property taken by eminent domain. Our next Government Relations Committee meet-ing is June 17, in Sacramento. Should you have any questions about legislative matters, please contact me or one of the other legislative representatives for the chapter.

Carol Laval, SRA

A mini-CD that will set up a link to our national online Directory of Members is now available.

The business-card CD, which has been developed to tie in the Visibility Campaign promoting the ser-vices of Appraisal Institute members to key client groups. The CD does not contain directory listings itself, but a program that installs an AI icon on one’s computer, providing direct access to our Find an Appraiser Web page. The CD will be distributed nationally at the trade shows and conferences where the Appraisal Institute will have an exhibit this year. Please contact Aloma Law at 818-957-5111x20 or email, memberservices@sccai.org to receive the CD.

Have your Checked the RESOURCE REGISTRY Login to the Members Only section at www.appraisalinstitute.org

Click on Leadership Resource Registry In the upper left-hand corner

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AI ReportsTM is a series of appraisal report forms being developed by the Appraisal Institute for use in a wide array of appraisal assignments, including insurance purposes, probate, litigation, and valuation for estate and financial plan-ning. The first of these forms, the AI ReportsTM Summary Ap-praisal Report—Residential, has been completed. The Ap-praisal Institute has arranged distribution of the form through a number of appraisal software companies including ACI, Ala Mode, Appraisal.com, Bradford, Software for Real Estate Pro-fessionals and United Systems, which has agreed to include the form in their product lines. AI ReportsTM Summary Appraisal Report—Residential is available to all appraisers. The form is designed around the assignment parameters and the scope of work, which better defines to the client and reader of the report what factors the appraiser considered during the valuation process. These in-clude: Clear identification of intended use and intended user(s) Prominent incorporation of hypothetical conditions and extraordinary assumptions (concepts often omitted or understated in many residential assignments) Stronger emphasis and clarity for scope of work Disclosure of persons inspecting Clear description of valution methodologies used.

Highlights of the new AI ReportsTM Summary Ap-praisal Report—Residential include: Letter-size format Professional vs. legal look Focus on segmenting report sections to be included as relevant to the assignment Sin-gle-page sales comparison analysis, cost analysis and in-come analysis Refined limiting conditions and certification allowing for additional input Clear identification of the ap-praisal company in addition to the specific appraiser(s) E-mail and Web addresses of the appraiser and appraisal company. The format allows the appraiser to tailor the report to fit the needs of the client. The core of the report is con-tained n the first and last two pages of the document. Pages 1 and 2 cover appraiser and property identification, recon-ciliation and conclusions, assignment parameters and scope of work. The last two pages cover the statement of assump-tions and limiting conditions, value definition, certifications and signatures. Each section of the AI ReportsTM Summary Ap-praisal Report—Residential includes an increased range of data elements collected and also provides ample space for the appraiser to add comments applicable to the assign-ment. For more information about AI ReportsTM visit Http://www.appraisalinstitute.org/resources/airports/default.asp

AI REPORTS TM: ABOUT THE NEW FORMS

AI REPORTS TM: ABOUT THE NEW FORMS

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SCCAI 12th Annual Conference & Trade Show

A 2-Day Event—August 18th & 19th, 2006— Irvine Marriott Hotel, Irvine California

Friday, August 18, 2006 Morning Residential Session 9am—12 Noon • “Changes in the Condo (1073) and 2-4 Unit (1025) Forms”: Guest Speaker: James Park, SRA, Aurora Loan Services, Denver CO

Morning Commercial Session 9am—12 Noon • Panel Discussion: “The Condo Hotel Phenomenon”

Luncheon Buffet 12:15 PM—1:15 PM SCCAI General Member Meeting & 2007 Elections

Afternoon Residential Session 1:30 PM— 4:30 PM • “Appraising in Today’s Society” Guest Speaker: Dr. Michael Carney

• “New Scope of Work and Hot It Affects You” Guest Speaker: Carol Chirpich, SRA

Afternoon Commercial Session 1:30PM—4:30 PM • “What’s Going on in The Commercial World” Irvine Co.—Real Estate Investors / Developers

• “Appraisal of Assets as Parts of a Going Concern” Guest Speaker: Claire H. Donias, FASA, PE

Saturday, August 19, 2006 Morning Seminar—8AM—12 Noon • “Loss Prevention”: Presented by Liability Insurance Administrators Robert Allen Wiley, Sr. Underwriter, Liability Insurance Administrators Claudia Gaglione, Attorney

Luncheon Buffet 12:00 PM—1:15 PM Keynote Speaker: Anthony Majewski, Director

California Office of Real Estate Appraisers (OREA)

Afternoon Residential Session 1:30 PM—4:30 PM • “Red Flags in Residential Reports” Guest Speakers: Greg Harding, Lead Investigator, OREA Vickie L. Gill, SRA—Appraisal Reviewer

Afternoon Commercial Session 1:30 PM—4:30 PM • Panel Discussion: “Detrimental Conditions in Commercial Properties” Host: Randy Bell, MAI