Progress on applications (CIREA) In 2009, members' interests on the above issue were gauged. The response was moderate with only 50 plus members indicated their intention. Another round of 'Expression of Interests' exercise was conducted in March 2010 and in order to facilitate participation, it was proposed that for applicants without the one-year aggregate mainland experience in the past three years, attendance of a special CPD would satisfy this requirement. Despite the 'relaxation', the result was appalling. Only eight wished to attend. The situation was discussed with the CIREA in April. It was nevertheless agreed to hold the event in the first quarter of 2011. In this connection, a Supplementary Agreement was signed by both institutes. It inter alia provides that each side will have about 50 participants. In any event, the number will not exceed 100. With the above understanding, invitations were sent to members asking for submission of applications by 20 November 2010. Surprisingly, 174 applications were received. A 'Vetting Panel' was formed and scrutinized these applications. Late applications and those who failed to meet the entry requirement were rejected. There are 136 eligible applicants. 63 of them would have to attend the special CPD to be held on 8 January 2011. As we have to adhere to restriction on the maximum number (100), the WG having duly noted the following: (i) Applicants with adequate experience and those who can fulfil the special CPD requirement will be treated on the same basis. (ii) There was no priority status set when applications were invited. It was decided to select the 100 candidates by way of an open ballot. On 16 December, a ballot was conducted in the HKIS Office. The President, Mr Wong Bay, and Senior Vice President, Ms Serena Lau, and some applicants turned up and witnessed the process. 100 successful candidates were selected. The remaining 36 applicants were placed in the reserve list. Special CPD for the CIREA training session and test The event will be organized as follows: Round Table discussions on International Valuation Standards In response to the draft International Valuation Standards (IVS) proposed by the International Valuation Standards Council (IVSC) of which the HKIS is a member, the GPD Council on 1 September 2010 submitted comments and recommendations for their consideration. Representatives from the HKIS and some valuation firms were also invited to attend a round table forum in Hong Kong on 12 November 2010. It is expected that the new edition of the IVS will be released in 2011. Working Group on Special Stamp Duty On 26 November, the GPD Council invited representatives of valuation firms contained in the HKIS company list to attend a discussion forum related to impact of levying Special Stamp Duty (SSD) to property valuation for lending purpose. 32 members attended. The participants opined that: a. A valuer should make a general assumption (not a special assumption) in the valuation report to let the end-user understand how he arrived at his opinion. A statement or a remark is not adequate. b. The valuer should seek agreement from the instructing party on who is going to pay. c. The valuer should use appropriate comparables to arrive at his opinion. Additional effort on analysing the comparables is required. Scenario study or a range of value is not preferred as the end-user normally expects a single concluded value. Transactions after 20 Nov 2010 are good comparables for they would have factored in effect of the SSD, but due care is required to study details of the Sales and Purchase Agreements. For details of the proposed bill and related Q&A, please visit the web link at http://www.legco.gov.hk/yr10-11/english/bills/brief/b17_brf.pdf and http://www.ird.gov.hk/eng/faq/ssd.htm, respectively. A working group led by Mr Joseph Ho will follow up the issue and recommend appropriate action to the GPD Council Accordingly. Property Valuations Consultation by the SFC and SEHK A joint consultation paper on property valuations proposed by the SFC and SEHK came to the attention of the GPD Council recently. Mr Joseph Ho is leading a working group which comprises representatives from some valuation firms. They will study the paper and recommend appropriate action to the GPD Council by February 2011.