Tree Value  Appraisal
 

The methods used to value urban and residential trees are published in  Guide for Plant Appraisals  authored by the Council of Tree and Landscape Appraisers (CLTA).  This guide is also endorsed by the American Association of Nurserymen, The American Society of Consulting Arborists, American Society of Landscape Architects, The Associated Landscape Contractors, Association of Consulting Foresters of America, International Society of Arboriculture, The Society of American Foresters and the National Arborists Association. 

Your tree appraisal report will  consist of a  summary, observations, analysis, discussion, conclusions, certification, recommendations, photos and supporting information.

My role as an appraiser can be of mediator, arbitrator, consulting expert or expert witness.   I do not  carry an Errors and Omissions or Professional Liability Insurance policy.

Methods used:

1) Replacement Cost - This method is used when the plants are of a size that can be replaced.  The value is based upon a) the cost of replacing the same species of the same size and quality, b) the cost of replacing one large plant with several smaller plants or c)  the cost of replacing a large plant with a smaller plant and a cash settlement. 

The Febuary 2012 index, as published by the Utah CCommunity Forest Council is $413.00 for a 2.5 inch caliper tree.

2) Trunk Formula - This method is used when the plant is too large to be replaced.  This value uses the cost of replacing the largest locally available plant and adjusting it for the size difference, the condition and location of the appraised tree.

3) Appraised Value = Basic Value x Condition x Location Basic Value = Replacement Cost + (Basic Price x [TA(A) - TA(R)] x Species)

Condition = A rating of the tree's structure and health and based on 100 percent.

Location = the average for the tree's Site, Contribution and Placement and based on 100 percent.Replacement Cost = the cost to purchase and install the largest locally available and transportable tree in the area. Basic Price = the cost per square inch of trunk area of a replacement tree measured at the height prescribed by the American Nursery Standards.TA(A) = Trunk Area at 4.5 feet above the ground of the appraised tree TA(R) = Trunk Area at 6 inches or 12 inches above the ground of the replacement tree Species = the rating for a particular species and based on 100 percent.

 The IRS does not accept the Trunk Formula Method or any formula method.
IRS Section 1.165-7(a)(2)(ii) states that  the cost of repairs is accepted as evidence of a loss.  A casualty is the damage, destruction or loss of property resulting from an identifiable event that is sudden, unexpected or unusual.  Civil and Criminal Damage Claims  are legal means by which a person can take action to recover losses resulting from negligence or intentional or unintentional acts.  Double or treble damages may be appropriate.