Transcript Zimmerman-ElecApprslPoolFund.pps

ELECTRONIC APPRAISAL
Status of Pooled Fund,
FHWA/Texas Project
John Zimmerman,
Director, Acquisition Section TxDOT
Right of Way Division
512-416-2928
[email protected]
AASHTO/FHWA AUSTIN 2005
Outline of Presentation
• →Status of Pooled Fund Project
• →Appraisal a Critical Element
• →Expediting Right of Way Acquisition and
can the appraisal process be streamlined?
• →Discuss and define Artificial Intelligence
and its application to appraisal review
• →Presentation by University of Texas
Researchers of current status of project
New Research Project May Help in
Appraisal Review Electronically
• Texas is now the lead State in an
AASHTO/FHWA Pooled Fund Research
Project:
– 1. To develop an electronic format for
transmittal of appraisals.
– 2. Once in an electronic format, to develop
artificial (electronic) intelligence programs for
assisting with appraisal reviews.
States With Committed Funds:
• Alaska, Florida, Idaho, Illinois, Louisiana,
Mississippi, Montana, New York, North Carolina,
Texas, Washington, and Wisconsin
• Benefits of participation are being able to provide
input to the researchers and participate in surveys
specific to a state’s appraisal process
IT IS NOT TOO LATE
• If additional states would like to participate
we can still accept more states willing to
contribute ($10,000), as this is a multi-year
research project.
• Please contact me or Hilda Correa (512)
416-2902 to make arrangements to
participate (John Zimmerman, TXDOT,
(512) 416-2928).
Appraisal of Right of Way is Very Critical
• Private property rights have always been
very important under the Uniform Act.
• Both the U.S. and state constitutions require
that adequate and just compensation be paid
when private property is acquired for a
public purpose.
• Land appraisal is a key up front element in
the right of way acquisition process.
Two Important Appraisal Purposes
• 1. To comply with constitutional
requirements to adequately compensate a
private property owner when such property
is being acquired by the “public”.
• 2. To also ensure that the governmental
agency that is paying for such property is
not paying an excessive amount.
This is sometimes a difficult balancing act!
Appraisal Review
• Under Federal and State procedures, land
appraisals (usually prepared by independent fee
appraisers) are reviewed by a state DOT staff
appraisal reviewer, or a ROW consultant’s
reviewer:
1. To be sure the appraisal has been prepared
properly and within the law.
2. To ensure both the landowner’s and the
public’s protection from unsupported values.
Traditional Manual Appraisal
Review
• Reviewer actually reads a paper appraisal
report page by page and makes notes and
manual calculations from figures in report.
• Average paper appraisal reports may consist
of 50 pages, some more, some less.
• Review process can result in a delay in the
acquisition process when there are many
ROW parcels being acquired on a project.
Streamlining the Appraisal Review
Process
• In today’s technology advanced environment,
there may be ways to use technology to assist in
appraisal reviews.
• Some refer to this as “artificial intelligence”
• The first step is to have the formal appraisal
reports and information entered into an electronic
format (document and text preparation on a
computer is part of this process (word processing)
Artificial (Electronic) Intelligence
• This is utilizing a computer program, to
search for certain key (defined) items,
words, amounts, dates, etc.
• This allows both reports and charts to be
prepared as a summary, as well as specific
pages or parts to be flagged so a reviewer
may not have to read every word or amount
in a 50 page report.
Examples of Artificial Intelligence
Already in Use
• The most simple form, which many of us
already use, is being able to use a computer
to find a specific word or group of words
(or numbers) within an existing document.
• A more complex program some have used,
is the electronic tax preparation software,
like “Turbo-Tax”. It checks for both math
and information errors and calculates taxes.
Ways Appraisal Review Can be
Improved with Artificial Intelligence
• 1. Speed up the process by flagging the key areas
that appear to need more intensive review by the
person doing the review.
• 2. Looking for specific inconsistencies so that the
quality of the review can also be improved.
• 3. Allowing comparison of other parcels in same
project so better uniformity among the appraisals
of multiple parcels, increasing possibility of
acquiring more parcels by negotiation.
Presentation by Researchers
• Dr. Zhanmin Zhang and Dr. Carlos Caldas
• University of Texas Center for
Transportation Research
Austin, Texas
CONTACT INFORMATION
John Zimmerman, Attorney at Law
512-416-2928
[email protected]