The authorities for appraisal and appraisal review standards and requirements are found in state and federal laws, the Code of Federal Regulations, TxDOT

Appraisal and Review Manual

, Uniform Appraisal Standards for Federal Land Acquisition (UASFLA) and Uniform Appraisal Standards for Professional Appraisal Practice (USPAP). With the exception of state and federal laws and differences between the above authorities, it is the intention of 49 CFR 24.103(a)(a) that the appraisal and appraisal review standards be consistent as much as possible with the requirements of USPAP.

However, 49 CFR 24.103 (a) requires that the federal requirements, which have the standing of standards, cannot be supplanted by USPAP. The relationship of federal standards and USPAP was addressed in OMB Bulletin 92-06 and is further explained in the 2005 changes to the Uniform Act:

“While these requirements (49 CFR 24.103(a)) are considered consistent with USPAP, neither can supplant the other, nor interchangeable. Appraisals performed for federal and federally-assisted real property acquisition must follow the requirements in this regulation

.”

Fortunately, USPAP has provisions to permit it to be flexible and interact with other appraisal standards. By the use of the Jurisdictional Exception Rule and the Scope of Work Rule in USPAP, appraisers should be able to perform appraisal and review services and comply with the various appraisal and review standards and requirements. In the situations where the appraiser and reviewer are required to follow standards other than USPAP and which are established by law or public policy and require a lesser standard, the appraiser or reviewer can comply by invoking the Jurisdictional Exception Rule. The appraiser or reviewer can also comply with appraisal standards which are authorized by law or public policy and exceed the requirements of USPAP by expanding the extent of research performed, or the assistance that was provided by an expert under the Scope of Work Rule.