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●
Establishes property owner the right to request binding
arbitration as an alternative to district court appeal of an ARB
determination, limited to real property appraised at $1
million or less.
● ARB
must notify a property owner of the right to binding arbitration
and provide a copy of the Request for Binding Arbitration form.
● A $500
deposit no later than 45 days following receipt of the ARB order
must be filed with the chief appraiser. The Chief Appraiser must
then, within 10 days, certify the request and forward the
request and deposit to the Comptroller in order for an
arbitrator to be appointed. The Comptroller "may" retain 10% of
the deposit for administrative costs.
● The
Comptroller must maintain a registry of arbitrators whose
qualifications include: 30 hours of ADR training, licensed real
estate broker, sales person or appraiser, and agree to serve for
a maximum of 90% of the deposit ($450).
● Upon receipt
of request and deposit, the Comptroller will send a list of
arbitrators to the owner and the appraisal district. You can
select an arbitrator even though they are not on the list with
the appraisal district's approval as long as they are on the
registry of arbitrators from the Comptroller. See
request
arbitration. Parties
have 10 days in which to agree to an arbitrator. Should an
agreement not be reached, the Comptroller reserves the right to
appoint an arbitrator.
● Upon
acceptance of appointment, the arbitrator sets the date, time
and place of hearing and will give notice to the parties.
● Parties may
represent themselves or be represented by an attorney or a real
estate professional.
● Within 20
days of the closing of the arbitration hearing, the arbitrator will issue an
award and deliver it to the owner, the appraisal district and
the Comptroller's office. Awards are final and binding.
● If it is
determined that the appraised value of the property is nearer to
the property owner's opinion of the appraised or market value as
stated in the request for arbitration than the value determined
by the ARB, the owner's deposit is refunded, less the
Comptroller's fee, and the appraisal district pays the
arbitrator.
● The owner
shall pay the arbitrator if it is determined that that the
appraised value of the property is nearer the property owner's
opinion as stated in the request for arbitration. The
legislation provides for the Comptroller to make rules that
govern the arbitration process.
● The
legislation is effective September 1, 2005. |
