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Resolution Trust Corporation: Better Qualified Review Appraisers Needed

GGD-92-40BR Published: Apr 23, 1992. Publicly Released: Apr 23, 1992.
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Highlights

Pursuant to a congressional request, GAO reviewed the qualifications of the review appraisers that the Resolution Trust Corporation (RTC) hired between October 1989 and June 1991.

Recommendations

Recommendations for Executive Action

Agency Affected Recommendation Status
Resolution Trust Corporation To improve the appraisal program, RTC should hire a senior executive level chief appraiser to manage and assess the appraisal program's execution.
Closed – Implemented
Agency hired a chief appraiser.
Resolution Trust Corporation To improve the appraisal program, RTC should assess the appraisal skills and capabilities of the current review appraiser staff.
Closed – Implemented
Agency assessed the capabilities and skills of the assigned staff.
Resolution Trust Corporation To improve the appraisal program, RTC should upgrade the skills and capabilities of any underqualified review appraisers as rapidly as feasible.
Closed – Implemented
RTC evaluated the credentials, licensing status, and training needs of all its review appraisers. Those not meeting minimum requirements were counseled and instructed to complete appropriate training and obtain appraisal licensing. Each RTC field office now reports monthly to RTC headquarters the training completed and planned for their review appraisers.
Resolution Trust Corporation To improve the appraisal program, RTC should develop and implement detailed qualification standards and hiring criteria to ensure that qualified personnel are hired.
Closed – Implemented
A national RTC appraisal task force analyzed appraisal job descriptions and drafted revised, updated job descriptions/titles, and minimum qualifications and performance evaluation criteria. RTC has implemented revised review appraiser position descriptions.
Resolution Trust Corporation To improve the appraisal program, RTC should require more complete data from applicants to support their appraisal-related educational background and experience.
Closed – Implemented
Field office officials, who hire review appraisers, were provided the RTC National Task Force Report, which stressed the importance of obtaining more complete educational and experience information from applicants. This point was also stressed at the RTC National Appraisal Conference in 1992.

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Topics

Bank failuresFederal employeesHiring policiesEmployee trainingStaff utilizationPersonnel managementSavings and loan associationsPosition descriptionsFinancial institutionsEducational standards