Appraisal Institute CEO fired after ‘secret’ board meeting

Cindy Chance, the CEO of the Valuation Institutewas ended Thursday evening during what she described as a “secret board meeting” from which she was excluded.

The Appraisal Institute is now facing a backlash from members who support Kansan experienced nonprofit leader who joined about a year ago and pledged to implement governance reforms and support the work of appraisers on the ground.

The Appraisal Institute did not respond to HousingWire’s request for comment, but in a letter to members on Friday, the trade group said that Chance is “no longer in her role,” and a search for a new leader would begin soon. John Udelhofen will act as interim CEO.

“We are committed to finding a leader who will reflect the mission, vision and values ​​of the Appraisal Institute and help us continue the progress we have made toward the goals of our Strategic Plan,” board chair Sandy Adomatis wrote in a letter to the members.

“We want to reassure you that we take our mission as director of the Valuation Institute seriously. We are moving forward with our progress on the top goals in our Strategic Plan to modernize our educational offerings and development of new materials and to continue to modernize technology and deliver the programs we hear are most valuable to you are. As with our mandate, our efforts will continue to be focused on recruiting and retaining member professionals. We will continue our great work with PAREA and our diversity, equity and inclusion efforts, including further expanding relationships with colleges and universities.”

Chance told HousingWire on Friday that she received “no specific feedback” prior to the termination. She said she was fired for no reason.

“People have been saying since the third quarter board meeting that this would happen,” she said. “I heard that they were planning to fire me because of leaks and innuendo, not from the Council itself or from any of the officers. I take great pride in my work and my focus has always been the welfare of the members and the valuation profession.”

When asked why she was fired and if there were any disputes, Chance replied: “You would have to ask them.”

Chance said she “was known to recommend a board review, but I wouldn’t call that a dispute – that was a recommendation based on my fiduciary responsibility to the organization. I successfully executed and communicated transparently with the board and members about my progress toward our board-approved goals.”

Chance also said the board chair and other members “stepped in to make key decisions, including managing staff, firing key contractors and terminating partnerships” while she was CEO.

The trade association, the largest professional association of real estate appraisers, offers free training material to appraisers, distributes subsidies and publishes a quarterly publication called ‘Valuation’.

The Appraisal Institute has been criticized by the government for a lack of diversity in its ranks and has recognized the need for modernization. According to the group’s own statistics, 78% of U.S. appraisers say they are male, 1.3% identify as black and 4.3% as Hispanic. More than 70% of appraisers are over 50 years old and many are retired.

Another point of tension is the relationship between independent appraisers and appraisal management companies, intermediaries that often implement substantial reductions in appraisal fees, squeezing profits for appraisers and accelerating the shift to virtual appraisals.

Several independent appraisers took to social media on Friday to voice their complaints about Chance’s firing, and in some cases announced their resignations from the trade group.

“She was fired because her positive changes threatened the deeply held interests of the institute’s board members,” said Lori Noble, a West Virginia appraiser who has been openly critical of the organization’s board. “They have a lot to answer for at this point and it is up to the members to demand a full audit of the organization or some form of legal action to address the conduct and conduct of late, but also in recent years, to explain.”