HomeMy WebLinkAboutM081601
1820 Jefferson Street
P.O. Box 1220
Port Townsend, WA 98368
James A. DeLeo
William S. Marlow
Richard A. Broder.
MINUTES
AUGUST 16, 2001
Richard A. Broders
William S. Marlow
James A. DeLeo
Chairman
Vice-Chairman
Member
Chairman Richard A. Broders called the meeting to order at 9:30 a.m. in the presence of Vice-Chairman
William S. Marlow. Member James A. DeLeo arrived shortly after the meeting began.
HEARINGS
Carter Haven
5651 Bellevue Avenue
La Jolla, CA 92037
BOE: 01-21-R
PN: 936 902 405
Mr. Haven was not present. Appraiser Robert Shold represented the Assessor's office and was sworn in by
Chairman Broders. The property under appeal consists of a residence located at 720 - 53,d Street, Port
Townsend. The appellant stated on his petition that "House built in '94 & operated as a rental since that time.
Despite the fact that no maintenance has been done since that time, the Assessor has condition as "VGD". Not
true. The "effective age" is listed as 3 years. Not true. There is no garage, and no dedicated laundry room.
Since there is no effective noise ordinance in Port Townsend, the neighborhood continues to suffer from barking
dogs, dirt bikes ridden on adjacent property, and loud car stereos. My realtor continues to tell me that because
of its unusual design it is impossible to ask rental value similar to adjacent properties. I submit that this
property is overvalued at the current valuation." The current valuation is $122,785 ($33,000 for the land and
$89,785 for the improvements). The appellant's estimate of value is $111,415 ($33,000 for the land and
$78,415 for the improvements).
Mr. Shold stated that he is present on behalf of Peter Schuck who was the appraiser that conducted the most
recent revaluation of this property, and is unable to be here today. While Mr. Schuck prepared the information
previously submitted to the Board for this hearing, Mr. Shold stated that he will answer any questions the Board
may have.
Chairman Broders stated the Board will review all the information submitted by both parties and conduct a
physical inspection of the property. A determination will be made at a later date.
Hearing no further testimony, Chairman Broders closed the hearing.
Phone (360)385-9100 / 1-800-831-2678 Fax (360)385-9382 jeffbocC@Co.jefferson.wa.us
Board of Equalization Meeting. August 16, 200l
Page 2
Larry & Shirley Browning
1633 Water Street - Apt. #10
Port Townsend, W A 98368
BOE: 01-38-R
PN: 931 600 110
Mr. and Mrs. Browning were not present. Assessor Jack Westerman represented his office and was sworn in by
Chairman Broders. The property under appeal consists of a top floor unit (#10) in the Bay Vista II
Condominiums located on the waterfront at 1633 Water Street, Port Townsend. The appellants stated on their
petition that "In three years of being for sale I have only had one offer of $325,000 only if I would do $12,000
in changes. I have only a frontal view with a solid front railing that blocks view if not standing. It is a nice unit
that has great value, but, I think the valuation on my place is too high." The property is currently valued at
$376,760 ($137,500 for the land and $239,260 for the improvements). The appellant's estimate the total value
to be $340,000. A breakdown between land and improvements was not provided.
Mr. Westerman stated that there are eleven units in Bay Vista II waterfront condominiums. The appellant's unit
is the largest with approximately 1,800 square feet of living space and is one of three units located on the top
(3rd) floor. Since it is in the middle of the other two units, it has a view only from the front, while the other
two units have a front and side view. The unit to the right (unit #11) has 1,371 square feet of living space and
the unit to the left (unit #9) has 1,202 square feet of living space. The units on the 2nd floor and ground level are
smaller as there are four units on each floor. The building has an elevator creating easy access to the upper
floors and also has a parking garage with numerous parking spaces. The condominium was built in 1993 and
not many sales occurred at that time. Mr. Westerman presented the unit sales which occurred this year. Sales
usually indicate that the upper floor units are worth more than lower floor units. However, with Bay Vista II
condominiums, sales indicate that the units on the top floor and ground floor are more valuable than those
located on the second floor. That may be due to the fact that the top floor units are larger than the other units,
and individuals can drive right up to the ground floor units. The second floor units do not share those
characteristics and also have a unit above and below them. He noted that the appellant's property is currently
listed for sale at $389,000. The land for each top floor unit was given a base value of $125,000. Only the
appellant's property was given a 10% increase because it has extra front footage. He believes that the
appellant's extra front footage has more value than the two end units which have a front and side view. The two
end units not only have less front footage, but, the configuration of the windows do not maximize the side
views. It could be argued, however, that the view from the decks of the two end units is superior to the
appellants. If the Board determines that an adjustment is necessary, he suggests making an adjustment to the
land value to insure equity in the valuation method.
After reviewing all the information submitted and hearing the testimony of the Assessor, Chairman Broders
closed the hearing. The Board will conduct a physical inspection of the property and make a determination at a
later date.
Jack & Carolyn GUIDer
536 - 50th Street
Port Townsend, W A 98368
BOE: 0l-22-LO
01-23-LO
PN: 936900901
936 901 901
Mr. Guiher was present. Appraiser Robert Shold represented the Assessor's office. After explaining the
hearing process Chairman Broders swore them in. The parcels under appeal consist of two blocks of eight lots
each located off of Kuhn Street, Port Townsend. His residence is located on one of the parcels, however, he is
only appealing the land value. Mr. Guiher stated that parcel #936 901 901 is located across the street from the
sewage treatment plant. Previously the property valuation was reduced due to the odor from the sewer tank.
Board of Equalization Meeting - August 16, 2001
Page 3
This continues to be a problem and he believes that the smell devalues his property and should be addressed by
the Assessor's office with a reduction in value. Currently the property is assessed at $50,600. Mr. Guiher
estimates the value to be $44,800.
Parcel #936 900 901 has a big gully running through the center of all eight lots. He presented photographs of
the gully and of standing water on his property caused by drainage. Because of the water drainage, City
officials changed the zoning of his property from RIA to Rl. This zoning change was done without any notice
to him. His house and garage is located on two of the lots. The value of the other six lots is questionable.
Currently the property is assessed at $133,015 ($48,400 for the land and $84,615 for the improvements). Mr.
Guiher did not provide an estimate of value for this parcel.
Mr. Shold stated that he is present on behalf of Peter Schuck who was the appraiser who conducted the most
recent revaluation of this property and prepared the information for this hearing. Mr. Shold reviewed the sales
of comparable property prepared by Mr. Schuck and offered to answer any questions.
Mr. Guiher noted that block 2 which the Assessor's office used as a comparable sale, is completely dry. He
discussed other comparable properties and concluded by stating that due to the water drainage on his property,
six of his lots are not buildable and do not reflect market value.
After reviewing all the information submitted and hearing the testimony of both parties, Chairman Broders
closed the hearing. The Board will conduct a physical inspection of the property and make a determination at a
later date.
Mary Beach McDowell, Trust
Mary McDowell, Trustee
1034 Franklin Street
Port Townsend, W A 98368
BOE: 01-33-R
PN: 989710603
Ms. McDowell was not present. Appraiser Robert Kingsley represented the Assessor's office. After explaining
the hearing process Chairman Broders swore them in. The property under appeal consists of a residence located
at 1034 Franklin Street, Port Townsend. The appellant stated on her petition that "The increase is more than
40%; I believe this to be unfair and unsupported by sales." Currently the property is assessed at $539,560
($160,600 for the land and $378, 960 for the improvements). The appellant's estimate of value is $400,000. A
break down between land and improvements was not provided.
Mr. Kingsley stated that he is present of behalf of Peter Schuck, the appraiser who conducted the most recent
revaluation of this parcel and is unable to be here today. He noted that the appellant did not provide any sales
evidence that would support her estimate of value. The information Mr. Schuck prepared for this hearing did
include sales of comparable property. Mr. Kingsley reviewed the sales information and explained how they
compare to the appellant's property. As shown by the sales, property values in Port Townsend are significantly
increasing. Appraisers are not simply increasing the values by an arbitrary percentage, the assessments are
market driven.
Member DeLeo noted that some of the comparable property sales presented are bed and breakfasts.
Board of Equalization Meeting. August 16, 2001
Page 4
Vice-Chairman Marlow asked how the Assessor's office compares property which is strictly a residence to
property used as a bed and breakfast?
Mr. Kingsley stated that no distinction between the two uses is made in the valuation process. He noted that
one of the comparable property sales that he presented was a bed and breakfast at the time of the sale, but is now
going to be strictly a private residence. It sold for $650,000. Previously it was assessed at $371,815 and
currently it is assessed at $637,665. Whether or not property is a private residence or a bed and breakfast
appears to be irrelevant based on sales.
After reviewing all the information submitted and hearing the testimony of the Assessor's representative,
Chairman Broders closed the hearing. The Board will conduct a physical inspection of the property and make a
determination at a later date.
Stephen Malachowski
P.O. Box 65162
Port Ludlow, W A 98365
BOE: 01-11-R
PN: 968700116
Mr. Malachowski was present. Assessor Jack Westerman represented his office. After explaining the hearing
process Chairman Broders swore them in. The property under appeal consists of a newly constructed residence
located at 477 Ludlow Bay Road, Port Ludlow. Mr. Malachowski stated that he questions the value of the
improvements placed on his property. The residence is under construction and currently is just a "shell". The
interior of the home is largely unfinished. The improvement value went from 0 to $50,000. He asked if that
value represents the structure as completed or uncompleted? When the property was assessed for new
construction last fall it was valued at $235,000 ($185,000 for the land and $50,000 for the improvements). The
appellant estimated the value to be $210,000 ($185,000 for the land and $25,000 for the improvements). Since
that time the property has been re-assessed as new construction and is currently valued at $518,555 ($191,000
for the land and $327,555 for the improvements).
Mr. Westerman stated that the improvements were valued at $50,000 last year. That value represented the
value as a "shell" or uncompleted structure. A change of value notice was sent to Mr. Malachowski last year
for the $50,000 new construction value, however, he missed the appeal deadline for the 2000 Board of
Equalization session. The Clerk of the Board sent him a letter stating he could file an appeal for the 2001
session. Mr. Malachowski had not yet received his change of value notice for 2001, so he filed his appeal
assuming he was appealing the 2000 new construction value of $50,000. Rather than cancel the hearing and
force Mr. Malachowski to file a new petition with the new value, he was contacted about continuing his appeal
for the 2001 new construction value and he agreed. Therefore, this hearing is actually for the 2001 new
construction value of $327,555. Mr. Westerman reviewed the information he submitted in support of his
assessment. The new assessment represents the value of the structure at 75% complete. From the outside it
appears to be finished, but the interior is only sheet rocked and painted. There are no toilets, lavatory sinks,
cabinetry, trim, or interior doors. He noted that this property in its unfinished condition has been listed for sale
by Mr. Malachowski with Coldwell Banker for $875,000. Mr. Westerman believes the current assessment is
closer to the actual fair market value of the property, but if Mr. Malachowski can sell it for the asking price,
more power to him.
Mr. Malachowski added that all of his questions have been answered at this time.
Board of Equalization Meeting - August 16, 2001
Page 5
After reviewing all the information submitted and hearing the testimony of both parties, Chairman Broders
closed the hearing. The Board will conduct a physical inspection of the property and make a determination at a
later date.
Loran Joe Schreiner
63 Blueberry Hill Road
Port Ludlow, W A 98365
BOE: 01-18-R
PN: 821334041
Mr. Schreiner was present. Appraiser Dennis Pownall represented the Assessor's office. After explaining the
hearing process Chairman Broders swore them in. The property under appeal consists of a residence located at
63 Blueberry Hill Road, near Teal Lake in Port Ludlow. Mr. Schreiner stated that he believes the land is not
worth the amount for which he is currently being tax. His home has been for sale for 6 '/2 years and there has
not even been an offer for the current assessed amount. The downstairs area of his home consists of
approximately 890 square feet of living area and he believes he is being assessed for 1,100 square feet. Mr.
Schreiner presented photographs for the Board to review in support of his appeal. There are circumstances
beyond his control that exist on neighboring lots which devalue his property. A single wide mobile home is
located on an adjacent parcel which blights the property entrance. There is noise from a nearby shooting range
off of Andy Cooper Road. A private road easement runs through his property and is used for parking by the
neighbors. People drive too fast on the road and he is concerned about someone getting hurt on his property.
Regardless of the easement, he would still be liable. His property is encumbered and thereby, devalued. The
current assessment is $186,225 ($24,000 for the land and $162,225 for the improvements). The appellant
estimates the value to be $158,935 ($15,000 for the land and $143,935 for the improvements).
Mr. Pownall stated that he is present on behalf of Peter Schuck who conducted the most recent assessment of
this property. He stated that the house is definitely one of the best in that entire plat. The degree to which
neighboring circumstances negatively impact the market value of the property is difficult to determine. He ran
a query of sales in the immediate area and presented sales of comparable property which Mr. Schuck had
submitted in preparation for this hearing. Mr. Pownall asked Mr. Schreiner how much the property listed for?
Mr. Schreiner stated that the property was listed for sale at $209,000, but currently he is asking $239,000.
Mr. Pownall explained that Mr. Schreiner is enrolled in the Senior Citizen and Disabled Person Exemption
Program. As a result, his property value has been frozen at $164,935 ($21,000 for the land and $143,935 for
the improvements), which was the value of the property in the year he qualified. This is the amount on which
his property taxes are based. Even though the property valuation continues to be assessed based on market
sales and is currently valued at $186,225, Mr. Schreiner will only pay taxes on the frozen value of $164,935.
Mr. Pownall stated that the taxes would not be reduced unless the Board reduced the property value to an
amount below the frozen value. He explained that the taxes may vary by a small amount each year depending
on levies, however, the taxes will always be based on the frozen amount unless Mr. Schreiner's exemption
status changes.
Mr. Schreiner added that at one time someone broke into his home in the middle of the night and held a gun to
his head. He doesn't want to live their anymore, but, he is unable to sell it.
Mr. Pownall asked Mr. Schreiner if he would sell it for $185,000?
Board of Equalization Meeting - August 16, 2001 Page 6
Mr. Schreiner answered that he hasn't even had an offer, but, he would certainly entertain it. The feed back
from the Realtors is that potential buyers think it's a beautiful house, but, terrible area.
Mter reviewing all the information submitted and hearing the testimony of both parties, Chairman Broders
closed the hearing. The Board will conduct a physical inspection of the property and make a determination at a
later date.
Wilfred & Dolores Schmidt
62 Shine Road
Port Ludlow, W A 98365
BOE: 01-34-R
PN: 994400104
Mr. and Mrs. Schmidt were present. Appraiser Robert Kingsley represented the Assessor's office. After
explaining the hearing process Chairman Broders swore them in. The property under appeal consists of a
residence located at 62 Shine Road, Port Ludlow. Mrs. Schmidt stated that the house is not finished and in
many places it is improperly finished. The house was built in 1997. It was put on the market for $239,000 and
did not sell. The price was reduced to $219,000 and then to $209,000 and still it did not sell. The appellants
purchased the home for $192,000 knowing that it would take a considerable amount of time and money to
finish it properly. The listing agent estimated the finishing costs to be approximately $15,000 which does not
include a remodeled kitchen. The kitchen cabinets are very low grade and poor installation has caused gaps.
Flimsy screws were used on the cabinet doors and the backing is not very substantial. She is unable to store
heavy items and she refuses to store any good dishes in them. There is a gap where the corner cupboards meet
and contents can actually fall down onto the counter top. The counter tops are laid with h" thick granite tile
which were improperly laid and are completely uneven. The only way to repair it is to remove it all and do it
over again. Wood molding was used all around the stove which is not safe. The living room fire place is not
finished and the tile around it is not grouted. Even if the fireplace was finished it could not be used because no
junction box was installed to power the ignition and blower. There are wall switches for the fireplace, but,
there is no electrical connection. Basically, it's a decorative piece of junk. She noted that the Building
Department signed off on this work as finished, and it isn't finished. Other electrical work outside the house
was not completed. Very minimal landscaping was done. The dryer vent hose is 16' long to reach outside and
has five 90 degree turns resulting in efficiency loss. The water shut-off valve was not installed initially and
had to be done later as part of a correction notice. The valve should have been located in the garage, but,
instead it was put in the recreation room and it appears as though a hammer was used to put the hole in the
sheet rock. The valve protrudes from the hole in the wall, so, she keeps a plant in front of it. The sliding glass
door in the recreation room is cracked due to the lack of support underneath it. The deck is in need of
additional posts and beams for support. The master bath tub with jets has problems too. When the previous
owner had a plumbers report done it was discovered that there was no access to the pump. The tub had already
been installed and tile laid all around it. A huge hole was cut into the tiled wall of the tub so there would be
access to the pump. The feature tile could not be matched so the opening was covered with a large cabinet
door which was caulked on. There are many other problems such as, the soffits are unfinished, large propane
bottles were located outside just three feet from the recreation room door, decks and shakes are not sealed,
furnace cooling fan does not work, and the garage door gasket is tom. In addition, keys to the front door and
garage door, the garage door opener, the central vacuum hose and attachments, and the screens for three sliding
doors are all missing. Mrs. Schmidt provided photos as evidence of all of the above testimony. These are all
gross detractions from a quality finished house, which this was meant to be until the contractor-owner suffered
financial problems. She stated that this house is categorized as "excellent" in the Assessor's records. If that is
Board of Equalization Meeting - August 16, 2001
Page 7
the case, she will never live in a house that is categorized as "good" or "average". She discussed the value of
their property and how it compares to similar properties in the area. The current assessment is $220,315
($42,000 for the land and $178,315 for the improvements). The Schmidt's estimate of value is $185,000
($37,000 for the land and $148,000 for the improvements).
Mr. Kingsley stated that he is present on behalf of Peter Schuck who was the appraiser who conducted the most
recent assessment of this property. In reviewing the information that Mr. Schuck prepared for this hearing it
appears as though he offered to stipulate this appeal for a reduced amount of $191,225 which is less than the
appellant's purchase price of $192,000. Mr. Schuck most likely felt that based on the purchase price, he could
not offer to settle below that amount. He explained how the property was valued and stated that the land value
is accurate based on its sale.
After reviewing all the information submitted and hearing the testimony of both parties, Chairman Broders
closed the hearing. The Board will conduct a physical inspection of the property and make a determination at a
later date.
Meeting adjourned.
zst:.
(~fcUll vJ) . ('::!vt.nj 4/l.(A G
Mn K. Lundg!en, C(~JJ of the WOard
A.
William S. Marlow, Vice-Chairman
%~"'€o,~=~