1. A. The South Carolina Conservation Bank (Bank) may only authorize grants to Qualified Entities to purchase interests in land for conservation at or below fair market value, as determined by a qualified appraisal. In no case may grant funds be used to acquire interests in lands at a price that exceeds its appraised fair market value. In order to establish the fair market value of the real estate interests, the Bank’s Board shall require a qualified appraisal as a condition of any grant agreement.
2. B. The Bank may only accept appraisals from qualified appraisers who demonstrate experience in evaluating land for conservation purposes, who have attended the Bank’s Conservation Transactions seminar, and verified their current SCLLR license (Approved Appraisers). The Bank shall maintain the Approved Appraisers list on its website for public viewing.
3. C. The Bank shall establish reasonable procedures to ensure the confidentiality of appraisals on pending applications up until any public hearings on the matter. The qualified entity and the landowner shall acknowledge and agree in the application that the Bank may discuss the appraisal at the public hearing in which the grant funding request is under review.
4. D. The Bank may rely upon an appraisal commissioned by the Qualified Entity, provided that the report names the Bank as an intended user. The Bank may choose to accept the submitted appraisal or, in the event the Bank Board or Bank staff has questions or concerns about its content or conclusions, request an independent review of the appraisal to verify that it meets industry standards and maintains an acceptable level of quality and reliability. The findings of the independent review shall be reported back to the Board to take into consideration when reviewing the submitted application for funding. In the event that the independent review determines that the applicant’s submitted appraisal does not meet industry standards, the Bank may hire an Approved Appraiser to conduct a second independent appraisal of the property. If the Bank’s appraisal has a discrepancy greater than 10% from the original appraisal, the Bank or the Qualified Entity may choose to hire a third-party appraiser from the Approved Appraiser list to mediate the matter and find an acceptable valuation to all parties. Under no circumstances shall the Bank accept an appraisal that does not meet its internal or industry standards or be compelled to authorize funds to a project in which it does not have confidence in the valuation.

HISTORY: Added by SCSR 49-5 Doc. No. 5271, eff May 23, 2025.