Three appraisers work together on an appraisal assignment. What would NOT be an appropriate work file arrangement under USPAP?

• A. The work file is posted on the Internet, so that anyone who wants to see it will be able to access it.
• B. The work file is accessible only by the appraisers involved with the assignment.
• C. The work file is maintained in a secure location with appropriate access.
• D. The work file is maintained as part of the assignment file for the client and is reasonably available to the client.

Answer: (A)

Protecting the work file and who can access it is the key idea here. Under USPAP, the work file is the appraiser’s documentation of the assignment and must be kept in a secure location with appropriate access so that only those with a legitimate need can review it. The client should have reasonable access to the assignment file and, typically, to the work file as part of the assignment file, so they can evaluate the appraisal process and conclusions.

Posting the work file on the Internet would make it publicly accessible. That defeats confidentiality, exposes sensitive data, and undermines the protective controls USPAP expects for documentation. The other arrangements describe secure storage and controlled access, with the client having access as appropriate, which align with USPAP requirements.