What is USPAP and why is it important in fair market valuations
(USPAP) Uniform Standards of Professional Appraisal Practice are the generally accepted standards for professional appraisal practice in North America. It contains standards for all types of appraisal services which include real estate, personal property, business and mass appraisal.
The Financial Institutions Reform, Recovery and Enforcement Act of 1989 recognizes USPAP as the generally accepted standard for federally related transactions. State Appraiser Certification and Licensing Boards; federal, state and local agencies, appraisal services; and appraisal trade associations require compliance with USPAP.
Having uniform standards in place when appraising tangible assets for healthcare institutions ensures that the appraising firm is following guidelines that is accepted for appraising practice. USPAP acts as quality control when applying fair market valuation to assets.
When your organization is considering an appraising firm to assist with valuation needs be sure to ask if they are following USPAP when applying fair market values in reports/deliverables. Following are a few informational points about USPAP:
- USPAP was originally written in 1986-87
- At its organizational meeting held on January 30, 1989, the Appraisal Standard Board (ASB) unanimously approved and adopted the original USPAP as the initial appraisal standards
- USPAP guidelines are updated every two years
- The current version of USPAP is available at www.appraisalfoundation.org and has an effective date of January 1, 2014.
MRG wishes to thank all of our clients as we celebrated our 8 year anniversary this month. We understand that our clients are the ones who have made us successful over that past 8 years and we appreciate the opportunity to assist your equipment management needs.
2 Neurology/Surgical Practice I&A in OH, Family Pediatric Practice in KY, Diagnostic Practice in KY
MRG Appraisal of the Month:
Hologic Selenia Dimensions Digital Mammography System.
MRG Hospital Fun Facts:
Some hospitals keep a supply of beer for alcoholics in case they go through withdrawal (which can be fatal). Some hospitals even have beer cans with prescription labels.