Posted by Dennis Herrick on August 26, 2008 at 08:42:23:
From the July 28th meeting of the Plaistow Board of Selectmen. Now that we're all at the same rate, 95% of assessed value, all we have to do is make sure the actual value set on different classes of property itself is equitable. You and I can't make a million dollars on our property in a residential zone, but the Walmarts or Home Depots of this world or the person that own the land that the Walmarts and the Home Depots are sitting on can. That make their property much more valuable.
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Wil Corcoran - Assessing Update
Wil Corcoran, Assessors Agent and Marybeth Walker, Assessors Agent introduces them.
W. Corcoran states a couple of months ago there was talk about the slow down of the market. States Foreclosures are up tremendously in the past year and properties are flooding the market. Most important there are forty-eight legitimate sales to determine valid sales this year. States that for every sale they consider arms length they have 2.5 that are not.
W. Corcoran states that properties that are taken by financial institution sell quickly and for short money. States when they represent the only sales out there, they will use it, but that is not happening right now. States that between 1989 -1993, condos were losing 40- 50 percent of value and family homes were losing 20 – 25 percent of value. States he believes it has gotten a little worse and it was more than he anticipated. States his recommendation is that you allow Corcoran Consulting to change residential values on average
J. Sherman states that if we did nothing the assessments would in general be 105 %.
W. Corcoran states there are still three months left. States the Town of Plaistow cannot wait that long because of the MS-1.
W. Corcoran states Single family homes are at 106%, Condos are at 105%, Commercials are at 95%, and Industrials are at 114% if we don’t adjust the assessments. States Corcoran Consulting is proposing to bring all properties to 95% of market value.
W. Corcoran states he will have list to the Board of Selectmen by weeks end. States he proposes to send out notices the following week and hearings the week following that, pending hearing from the Town Administrator. States the office can mail them during the week of August 4 -9, 2008. States each taxpayer’s assessment that would change would receive a letter
J. Sherman asks how many properties will be changed.
W. Corcoran states about 3,000. States this would not include commercial
J. Sherman states if we didn’t change the single family assessments, relativity speaking, the single family homes would be picking up the tax burden. States that by making this adjustment, some of the tax burden would shift to the commercial properties
W. Corcoran states yes that is correct.
J. Sherman states they produce an estimated COD right now, but the state will produce three more months of sales, and they could come up with a different number than what Wil has come up with.
J. Sherman states the State allows the assessments to be in the range of 90-110%.
W. Corcoran states that it is true and that the COD’s should not exceed 20.
J. Sherman states the COD is the accuracy of the assessment. States the lower the COD, the more accurate the assessment
J. Sherman asks W. Corcoran if this is done will there be office hours available to the taxpayers.
W. Corcoran states the Assessors will want to hold informal meetings. States he would also like to see taxpayers be able to get information from the Town Web Site. States he would also like to try to get spread sheets on the web site
J. Sherman states we would like to get as much information as possible to the public
L. Gil asks what the typical taxpayer is going to see in valuation change.
W. Corcoran states they will most likely see a 10-12 percent reduction in their value and their tax rate will increase. States the tax rate right now is $19.00 and it will probably increase, depending on the impact of the budget.
J. Sherman states that people should not assume that just because their assessment goes down their tax bill is going down.
R. Gray asks about the DRA report and if the Town drafted a separate contract with Corcoran Consulting for timelines and updates. Asks if they are also responsible for setting up a bond to do the work
W. Corcoran states that is not an order, it is a recommendation. States it is usually set up for those companies that are out of state. States they would consider it if need be, but they have been working with the Town of Plaistow for fifteen years and have done updates all along.
R. Gray asks if the current contract states that they do statistical updates.
W. Corcoran states yes it does and the Department of Revenue has a copy of it.
L. Gil asks when this will be ready.
W. Corcoran states it will be done by Friday if they agree to allow them to proceed. States the notices will be mailed next week.
Motion by R. Gray to direct the Town Assessor to proceed with the statistical update for 2008 as outlined and proposed; Second by D. Poliquin.
J. Sherman states one of the first concerns by taxpayers that came up was what would happen when the assessment go down. States that we should adjust the assessments accordingly to keep them fair and accurate whether they go up year to year or down year to year
Vote: 4-0-0 (Motion passes)