Section 5-6 - Appraisal Standards and Compliance (a) The following are the standards used by the Board to determine if a county is in compliance with the fair market value standard. If a county is in compliance with the fair market value standard, no equalization order will be considered. - (i) Level of Appraisal. The level of appraisal for residential and commercial, improved and vacant, shall be between .95 and 1.05. To determine compliance with this standard, a 95% confidence interval will be computed around the county's level of appraisal and the confidence interval must include one or more points in the range of .95 to 1.05.
- (ii) Appraisal Uniformity.
- (A) The coefficient of dispersion (COD) for improved residential properties shall be 15 or less;
- (B) The COD for improved commercial properties shall be 20 or less;
- (C) The COD for vacant residential land shall be 20 or less.
- (D) The COD for vacant commercial land shall be 20 or less.
- (E) The price-related differential (PRD) shall be between .98 and 1.03 for residential and commercial properties. After testing the PRD, if a county does not meet the PRD standard, the Board shall trim five percent (5%), two and one half percent (2.5%) from each end, to allow for outliers.
- (F) The aggregate change in market value of sold properties shall vary no more than 5% from the aggregate change in market value of unsold properties within a class.