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HomeMy WebLinkAboutM071990 JEFFERSON COUNTY BOARD OF EQUALIZATION A. C. DALGLEISH DAVID G. DOUGLAS ARCHIE BARBER, JR. JAMES A. DE LEO CHAIRMAN VICE-CHAIRMAN MEMBER ALTERNATE M IN UTE S J U L Y 1 9, 1 9 9 0 The Board of Equalization convened at 9:00 a.m. with Chairman A.C. Dalgleish, Vice-Chairman David G. Douglas, Member Archie Barber, Jr. and Clerk Dierdrei Keegan present. REPRESENTATIVES OF ASSESSOR'S OFFICE CERTIFICATION BRINNON AREA NOTIFICATION Jeff Chapman, Assessment operations Manager, presented the Board of Equalization regarding 1990 Appeals and a appraisers representing the Assessor's Office in 1990. certification numbers were included: a letter to list of The state Jack Westerman Jeff Chapman Bob Shold Robert KingSley state Certification # 0730 state certification # 1394 state certification # 1359 state Certification # 1426 Change of Value Notices for Brinnon will be sent out by August 1, 1990 and New Construction Notices will be out by september 1, 1990. certification of the Assessment Rolls will be in August with a supplemental certification in September to cover any changes in the Brinnon School District. Board of Equalization Minutes: July 19, 1990 Page: 2 H EAR IN G S JORDAN, Donley B. 41 Lucks Road Port Townsend, WA 98368 BOE: 90-004-R PN: 001 073 003 Jeff Chapman was present on behalf of the Assessor's Office. Chairman Dalgleish explained the hearing process to Mr. Jordan and swore him in. Leaal Description: Parcel 001 073 003; 57 T30 R1W; 1.04 acres; Government Lot 4 (West 1/2 Line Northerly of CO RD Less East of Hastings Ave. west); zoned residential with a single wide mobile home with two room additions. Assessed Valuation: Land Only: Improvements: Total Valuation: $ 7,100 6.930 14,030 Petitioner Request: Land Only: Improvements: Total Valuation: $ 7,000 2.000 9,000 Petitioner Testimony: Mr. Donley B. Jordan explained that he purchased both the land and the mobile home for $9,000 through a credit union in June 1987. He stated that there isn't water to the property and that the mobile home is abandoned. The water supplied to the person, who subsequently abandoned the property, was provided by a relative and was withdrawn. The site is not used for a residence as it is a work site for personal boat building. Mr. Jordan carries water in. He hopes that the city will provide water in the future as it is now 1/2 mile from the property. He stated that the mobile unit is in such poor shape that, when he is through using it for a shop, it should be bulldozed. Although he listed the property for $20,000 he considers this an "academic" listing and he feels that the price is too high and there will not be a buyer. He pointed out that an unimproved County road goes through the property splitting it into three pieces. No comparables were available. Assessor's Testimonv: Jeff Chapman reported that the mobile unit is 990 square feet including the additions. Water will be provided in the area but not to the property. He stated that during the time period the property was assessed, $1,000 was for full utilities as water was being delivered to the property. The rate used to value the property is $7 a square foot for improvements which is $6,930. This was a lowering of the prior assessment. Jeff Chapman agreed that the mobile unit is being used primarily for a shop and that it is not suitable for a residence, although he Board of Equalization Minutes: July 19, 1990 Page: 3 thinks that the right buyer might be willing to pay $7,000 for the improvements. He pointed out that this property was recently listed for sale at $20,000. A road dissects this 1.22 acre property into three pieces, the acreage does not include the County Road. The land is valued at $5,000 per acre. No comparables were available. Board Action: The Board took the petition under advisement. Mr. Jordan was advised of the process of on-site inspections as one will be scheduled. BRADY, Agnes FAITH FARM 15615 Highway 101 Quilcene, Washington 98365 BOE: PN: PN: PN: PN: 90-005-F (a-d) 802 253 006 (a) 802 362 006 (b) 802 253 009 (c) 802 253 013 (d) Deputy Assessor Robert Shold and Jeff Chapman were present on behalf of the Assessor's Office. Chairman Dalgleish explained the hearing process and swore in Diana and Sarah Frantz, who manage the Faith Farm and represent Agnes Brady. TOTAL ASSESSED VALUATION of 67.72 acres: Land only: Improvements: Total Valuation: $116,080 $2.000 $118,080 Leaal DescriDtion BOE 90-005-F (al: Parcel Number 802 253 006: S25 T28 R2W; 18.70 acres; 8W 1/4 of 8W 1/4 East of Creek & Railroad; Less Portion of Tax 11; no improvements: adjusted -40 percent; assessed valuation $28,050 Leaal DescriDtion BOE 90-005-F (bl: Parcel Number 802 362 006; 836 T28 R2W: 21.02 acres; Tracts 8, 9, 10, II: Less Tax 1 & Portions of Tracts 10 & 11 East of Highway: Less Right-of- way & Less 5 Acres Exempt; improvement consisting of a barn; assessed valuation of barn $2,000: assessed valuation of one improved acre $2,500: 20.02 acres (adjusted -40 percent for wet land) assessed at $30,030; total assessed valuation of parcel $34,530 Leaal DescriDtion BOE 90-005 F (cl: Parcel Number 802 253 009: S25 T28 R2W: 14.50 acres: SE 1/4 of 8W 1/4 (South 30 Acres): Less Tax 12 & Right-of-Way: no improvements; assessed valuation $21,750 (adjusted -40 percent for wet land) Legal Description BOE 90-005-F (dl: Parcel Number 802 253 013: 825 T28 R2W: 13.50 acres: Tax 12 Less Tax 13; no improvements: assessed valuation $33,750 (no adjustments) Board of Equalization Minutes: July 19, 1990 Page: 4 Petitioner Reauest on TOTAL 67.72 acres: Land only: Improvements: Total Valuation: $ 50,000 5.000 $55,000 Petitioner Testimonv: Diana Frantz explained that all the land is open pasture and should be taxed as such. Cattle graze on the land. The majority of this livestock is taken to auction and sold, with the remainder being consumed. No profits have been realized from the sale of the livestock due to the grain, hay, vet bills, and farm improvements. The plan is to have the profits support the Faith Farm in the future. Diana Frantz noted that the Faith Farm is a state of washington non-profit corporation which was started about 20 years ago. She thinks the 67.72 acres of land should be considered as open space and be valued at $50,000 as an adjacent piece of property sold for $2,000 for 2 1/2 acres. This sale was to a relative (the Board did not consider this an arms length transaction). She explained the reason for suggesting the value be raised (from $2,000 to $5,000) on the barn is that they put more money on this improvement than it is assessed at. Sarah Frantz stated that the main question is how the property is assessed when 1/4 of it is swamp which the Farm can't utilize. If you walk on this portion of the property, you sink, and cows must be pulled out of the swamp. She estimated the swamp area to be 10 acres, and figured that in the winter only 1/2 the land could be utilized for pasture. The main focus of the petition is to get the property out of parcels and into open land. She suggested two parcels be created, one on either side of the road which goes through the property as the Faith Farm wants to combine enough acreage from these parcels to claim open space. Sarah Frantz noted that 67 acres shouldn't be considered at the same value as a 5 acre parcel, as smaller parcels bring higher prices than large parcels. Assessor's Testimonv: Bob Shold explained that the maps of the area are unclear which makes it difficult to understand where each parcel is. Some sales in the area are comparable to a portion of the property, although one of the parcels is located on the East side of the highway. He provided a map showing the Faith Farm and comparables. comparable #1: A bare land 11.61 acre parcel sold 5/23/89 for $44,000 ($3,790 an acre). This property has two parcel numbers as it crosses section lines, these are PN 802 253 002 and PN 802 264 006. This comparable is considered superior to the Faith Farm as it is not swamp_ Board of Equalization Minutes: July 19, 1990 Page: 5 Comparable #2: A bare land 5 acre parcel sold 2/2/89 for $11,000 ($2,200 an acre). The parcel number is 802 253 012. This property is adjacent to the Faith Farm, on the West side of Highway 101, and is roughly comparable although it slopes up to Old Leland Road. Comparable #3: A bare land 4.54 acre parcel sold 6/11/90 for $9,500 ($2,093 an acre). The parcel number is 802 363 012. It is located about 1/2 a mile South along Highway 101. Bob Shold commented that a commercial farm may meet the criteria for open space designation, but that the petitioner would need to speak with the Assessor regarding a conversion. He stated that the nature of the appeal seems to be on the method used for valuation, n2t the assessed valuation placed on the property_ Jeff Chapman explained that if the property is consolidated it would only be saleable as one parcel and that if segregation were subsequently sought, this would have to be accomplished through the Subdivision Ordinance with the appropriate approvals and conditions. He also noted that fair market value still must be established as compensation tax would have to be paid based on the fair market value if the property were sold out of the open space classification within a certain number of years. Proof of agricultural use is also needed whether a corporation is non-profit or not. He noted that a letter from the Faith Farm requesting consolidation would begin the process. Board Comment: Member Archie Barber, Jr. explained that the parcel designations are administrative decisions of the Assessor's Office, and that the Board wouldn't be able to resolve that issue. He also noted that there is flexibility in having four parcels in terms of selling a portion of the property. Vice-Chairman Douglas noted that the Revised Code of Washington 84.34 defines procedures by which open space may be designated. He explained that application is made through the Assessor's Office in Jefferson County. He pointed out that an open space designation would place the Faith Farm on a different tax rate. Chairman Dalgleish stated that the only thing the Board could accomplish this year is to look at the property to determine its fair market value. Board Action: explained the Frantz as one The Board took the petition on-site inspection procedure will be scheduled. under advisement and to Diane and Sarah Board of Equalization Minutes: July 19, 1990 Page: 6 RAIGUEL, Edward H. 2260 Seaview Drive Port Townsend, Washington 98368 BOE: 90-006-R PN: 993 800 005 Jeff Chapman was present on behalf of the Assessor's Office. Chairman Dalgleish explained the hearing process to Mr. Raiguel and swore him in. Leaal DescriDtion: Lot 5, Division 1, of Seaview Estates consisting of 11,458 square feet; Neighborhood 6020, Land Use Code 9802 for site improvements at $1,000 and Land Use Code 1113 for High Bank Water Front at $45,000 a site. Improvements consist of a two bath, two story, 1,020 square foot, eight room house with a garden entry and a 1,020 square foot basement which is valued at 90 percent complete. The residence is in good condition situated for a good marine and territorial view. The topography is clear and level. Petitioner Request: Land Only: Improvements: Total Valuation: $ 46,000 60.915 106,915 $ 23,000 60.915 83,915 Assessed Valuation: Land Only: Improvements: Total Valuation: Petitioner Testimony: Mr. Edward Raiguel explained that there shouldn't have been building permits issued for this area in the beginning as the ground is not suitable for septicjdrainfields because it is hard clay. Everyone in Seaview Estates, with the exception of one person, has difficulty with their septic tanks, especially those on the North side of Seaview Drive (See BOE-89- 046-R & Minutes of July 19, 1989 and August 25, 1989). His argument is based on the fact that until such time as there are sewers, he doesn't think the land should be assessed at the full value. He noted that his property is assessed four times higher than that on the other side of the street based on the view, yet the two-story home opposite his residence has as good a view. He objects to being assessed for water front when he is 80 feet above the water and has to go a mile to obtain access. He was concerned that the Assessor is no longer forgiving 50% of the land value as was done previously (1981 and 1985) since the sewers are expected to be constructed. Mr. Raiguel explained that the sewers did not go in as anticipated and reminded the Board that they should reconsider the assessed valuation based on this criteria. He also stated that although there is a rumor that the contract was awarded to a Seattle construction company, there has been no sign of activity. Board of Equalization Minutes: July 19, 1990 Page: 7 Assessor's Testimonv: Jeff Chapman reported that water front properties are rapidly escalating in value and that property must be assessed at 100 percent of its fair market value by law. He explained that properties with septic denials are valued less than those septically approved and these were given 50 percent reductions in the past. He noted that there have been five sales of bare land lots around the subject property, between willing sellers and knowledgeable buyers. He believes that when the sewer is constructed the sales may be $90,000. The current valuation on the subject parcel was considered fair when assessed in 1989 and is now considered low as the current fair market value is considered $60,000. He listed four comparables and noted that those of the 1989 appeal (BOE-90-046-R) still hold true. Comparable #1: seaview Estates #1, Lot 13; T31j01WjS33 sold for $60,000 since 1989 appeal Comparable #2: Seaview Estates #1, Lot 07; T31j01WjS33 sold for $55,000 since 1989 appeal Comparable #3: Seaview Estates #1, Lot 03; T31j01WjS33 sold for $45,000 since 1989 appeal Comparable #4: Seaview Estates #1, Lot 13 (resold); T31j01WjS33 sold for $45,000 since 1989 appeal Jeff Chapman stated that he checked with the city about the sewer system and he was told that the contractor is starting the project now and that within two months a sewer will be in place in Seaview Estates. He commented that the change of use as a result of the sewer could push the lots value up to $90,000 in two months and he is obligated to support the full value placed on the property in 1989. He suggested that Mr. Raiguel apply for a senior citizen exemption if he qualifies. It was noted that if the basement has water damage or the septic system adversely affects the house, there may be some obsolescence to the improvement which could be considered. Board Action: After further discussion regarding escalating property values and septic problems the Board concurred that an on- site inspection may not be necessary. A determination will be made after a review. Board of Equalization Minutes: July 19, 1990 Page: 8 BERG, Thomas 281 Old Schoolhouse Sequim, Washington 98382 BOE: PH: 90-007-LO 902 042 025 Robert Kingsley was present on behalf of the Assessor's Office. Chairman Dalgleish explained the hearing process to Mr. Berg and swore him in. Leaal DescriDtion: This unimproved site is 84 T29 R2W, Tax 27, 1.36 acres, Neighborhood Code 5411, and Land Use Code 9100. Assessed Valuation: Land Only: Improvements: Total Valuation: $ 6,500 NONE 6,500 Petitioner Request: Land Only: Improvements: Total Valuation: $ 3,000 NONE 3,000 Petitioner Testimonv: Mr. Thomas Berg explained that he purchased a total of 4.86 acres of land in May 1989 for $20,000. He thinks that the acreage should be rated at $4,115.22 per acre if prorated correctly. The acreage in Jefferson County is 1.36 acres and is valued at $6,500 (which is $4,779.41 per acre). The acreage in Clallam county is 3.5 acres. He explained that (1) the Jefferson/Clallam County line runs through the property (2) a switchback portion of Chicken Coop Road runs through the acreage (3) the road nearly encloses the parcel (4) the area of the land includes to the center line of the road (5) that there is unusable property within the switchback of Chicken Coop Road which is on his acreage (6) that the property consists of scrub brush and trees (7) that Eagle Creek runs through the property and it is a narrow gully, and (8) that a disproportionate amount of the County road right-of-way is included in his valuation (he figures about 1/4 of his taxes go toward this). The following exhibits were provided: 1) Exhibit A: a hand drawn map of the property including the County line between Jefferson and Clallam counties 2) Exhibit B: a written explanation of why Mr. Berg considers the assessed value incorrect 3) Exhibit C: two photographs of the switchback on his property Mr. Berg thinks the road right-of-way is 24 feet and that he is paying taxes on 12 feet of it, which measured about .36 acres out of his 1.36 acre property. As everyone in the vicinity pays taxes on the property to the center of Chicken Coop Road, he wasn't as concerned about that aspect of valuation as the others. No one has lived on the land. Board of Equalization Minutes: July 19, 1990 Page: 9 Assessor's Testimony: Robert Kingsley presented a Residential Appraisal fieldsheet which lists the property as being sold in 1982 for $6,500. He also provided a legal description with the current valuation, a statutory Warranty Deed, and a Real Estate Excise Tax form which shows Mr. Berg's sales transaction, a description of the property, and an easement. The Real Estate Excise Tax form listed the sale price of the parcel as $6,500. Mr. Kingsley explained that there was confusion with Mr. Berg's petition when he stated the $20,000 for 4.86 acres and not the $6,500 for the 1.36 acres. He suggested that there may be a misunderstanding as a result of the way the petition was filled out. Petitioner Resnonse: Mr. Thomas Berg explained that he is contesting the valuation on the basis of paying $20,000 for an entire piece of land, not $6,500 for the 1.36 acre parcel separately. Board Comment: Chairman Dalgleish noted that the Assessor's Office could only go on recorded records, and suggested that Mr. Berg review the documents provided by Mr. Kingsley. Vice-Chairman Douglas reviewed the statutory Warranty Deed's legal description and requested that Mr. Berg see if he could locate a parallel document from Clallam county or a real estate salesperson. He noted that this could show the division of the money as applied to the property for the balance of the $20,000 selling price. Board Action: The Board concurred that Mr. Berg should research the situation as it stands in Clallam County and the hearing would be continued at that time. He was advised to contact the Clerk of the Board when he was ready to continue, or if he wanted to withdraw his petition. MARR, John E. 230 pioneer Drive Port Ludlow, WA 98365 BOE: 90-010-LO PH: 990 603 122 Robert Shold was present on behalf of the Assessor's Office. Mr. Marr did not appear, his petition was read into the Minutes of the hearing in his absence. Leaal DescriDtion: is approximately 80 Port Ludlow. It is Port Ludlow Division #2; Area 3; Lot 122 which x 150 feet and is north of 230 pioneer Drive in bare land which is zoned R-1. Board of Equalization Minutes: July 19, 1990 Page: 10 Assessed Valuation: Land Only: Improvements: Total Valuation: $ 17,500 NONE 17,500 Petitioner Reauest: Land Only: Improvements: Total Valuation: $ 15,000 NONE 15,000 Petition Read: Mr. Marr stated in his petition that the assessed valuation of $17,500 is too high based on his purchase price of $15,000 on December 6, 1990. Assessor's Testimony: Bob Shold stated recent purchase the Assessor recommends valuation of this bare lot to $15,000. will be revalued in 1991. that in light of Mr. Marr's the Board reduce the He noted that the property Board Comment: The Board agreed to hear the other two petitions submitted by Mr. Marr before making any decisions. The other two appeals follow. MAHR, John E. 230 pioneer Drive Port Ludlow, WA 98365 BOE: 90-011-R PH: 990 603 121 Leaal DescriDtion: Port Ludlow Division #2; Area 3; Lot 121 of 230 pioneer Drive, Port Ludlow; approximate lot size is 80 x 150 feet and it is zoned R-1. There is a 3 bedroom residence on this lot. Assessed Valuation: Land Only: Improvements: Total Valuation: $ 18,500 83.375 101,875 Petitioner Reauest: Land Only: Improvements: Total Valuation: $ 16,500 83.375 99,875 Petition Read: Mr. Marr requested in his petition that the land valuation be dropped to $16,500 as he purchased the lots to the north and south of this property for $15,000 each in November and December 1989. This lot was purchased in 1982. The improvement valuation was not appealed. Assessor's Testimonv: Bob Shold recommended that this lot be consistent with the lot in the previous Marr appeal. He stated that the recommendation is $15,000 for the lot and $1,000 for the land improvements for a total land valuation of $16,000 ($500 less than the requested reduction), with the residence to remain at the current assessed valuation of $83,375. Board of Equalization Minutes: July 19, 1990 Page: 11 MARR, John E. 230 pioneer Drive Port Ludlow, WA 98365 BOE: 90-012-LO PN: 990-603-120 Leqal DescriDtion: Port Ludlow Division #2; Area 3; Lot 120 south of 230 pioneer Drive, Port Ludlow; lot size approximately 80 x 150 feet and zoned R-1. Assessed Valuation: Land Only: Improvements: Total Valuation: $ 17,500 NONE 17,500 Petitioner Reauest: Land Only: Improvements: Total Valuation: $ 15,000 NONE 15,000 Petition Read: Mr. Marr stated in his petition that he thought the assessed valuation too high based on his purchasing the property on November 17, 1989 for $15,000. Assessor's Testimonv: Bob Sho1d explained that the Assessor recommends the valuation be reduced to $15,000 to be consistent with the valuations on the adjacent lots. He reported that the variation on Port Ludlow lots is extreme and that the market is active now. He noted that the lot prices recommended on the Marr property is not necessarily indicative of the overall lot values. The view lots are escalating while other lots are low in value. Since the next revaluation of the area is in 1991, he doesn't think these lot values will throw the market out of balance. MOTION OF THE BOARD: Vice-Chairman Douglas moved to waive the on site inspection on appeals BOE 90-010-LO, BOE 90-011-R, and BOE 90- 012-LO and to accept the Assessor's recommendation to lower the land valuation on the three parcels. Member Archie Barber, Jr. seconded the motion which carried by a unanimous vote. The reductions in valuation follow: BOE: 90-010-LO PN: 990 603 122 Land only reduced from $17,500 to $15,000 Land reduced from $18,500 to $16,000; improvements remaining at $83,375 for a total valuation of $99,375. Land only reduced from $17,500 to $15,000 BOE: 90-011-R PN: 990 603 121 BOE: 90-012-LO PN: 990 603 120 Board of Equalization Minutes: July 19, 1990 Page: 12 * * * * * * * There being no further business before the Board, the Board adjourned until July 23, 1990 at 9:00 a.m. APPROVED BY: DATE APPROVED: sePT- ..z~/ 1f:J90 I}~ ~LJ A.C.DALGLE H, CHAIRMAN ATTESTED B&~~~ DIERDREI KE ~ iQJ--r0-'- ARCHIE L. BARBER, JR., MEMBER