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HomeMy WebLinkAboutJefferson BOE Equalization - Jefferson - Reconvene FINALProperty Tax Division P O Box 47471  Olympia, Washington 98504-7471  (360) 534-1400  Fax (360) 534-1380 STATE OF WASHINGTON DEPARTMENT OF REVENUE Request for Reconvening Decision February 4, 2025 Request The Jefferson County Board of Equalization (Board) requests the Department of Revenue (Department), reconvene the Board pursuant to WAC 458-14-127(4) for the 2024 assessment year to consider evidence concerning the market value of 17 parcels listed in Appendix A within the Bayview Village #2 neighborhood in Port Ludlow. Reasons for reconvening Board The Board specified the following reasons why the Department should reconvene the Board: •The parcels were outside the physical inspection area for 2024 and valued using market adjustments, with separate adjustments for the land and building. The improvements received a 15% (115%) adjustment, while the land received a 5% (105%) adjustment. •One sale that should have been included in the market adjustment analysis was Lot 3 (60 Mariner Place, 931-900-003), which sold for $580,000 on April 2, 2024, was valued at $614,897. Due to a clerical error this sale was mistakenly excluded, preventing it from being posted to the sales analysis program before the market analysis and adjustment were completed. •After reviewing all sales on Mariner Place, the Jefferson County Assessor (Assessor) recommends adjusting the 2024 values for all 17 parcels in Bayview Village #2 by equalizing the market adjustments for both land and improvements (see Assessor Recommendation for Adjustment Through Equalization spreadsheet). Decision What information was considered by the Department? The Department approves the request to reconvene the Board for the 2024 assessment year. Pursuant to RCW 84.08.060, the Board is directed to reconvene and review evidence related to the property values for the 17 parcels listed in Appendix A. Please note that parcel 931-900-006, an exempt parcel, is not included in this decision. The Board submitted its request to the Department on January 24, 2025. The request notes that six petitions were filed appealing the 2024 assessed values, all of which are still pending hearing. Following the filing of these appeals, the Assessor provided the Board with updated sales data for Lot 3, which had been excluded from the county’s sales analysis program due to a clerical error. As a result, the Assessor has requested the Board consider equalizing the values for all 17 parcels and intends to stipulate to reduced values for all appealed parcels if this request is denied and based his adjusted recommended values on the additional sales information. Jefferson County Board of Equalization February 4, 2025 Page 2 However, 11 parcels cannot be adjusted by either the Board or the Assessor because no appeals were filed prior to the discovery of the new evidence. The overall assessment reduction is approximately 10% for improvements and 5% for land. The Board believes the true and fair market value of the parcels should be reassessed based on the sales data that was initially excluded from the market adjustments. The Department concurs with the Board’s recommendation to apply the Assessor’s revised market adjustments and subsequent value changes to the parcels and approves the Board’s request. Who has the authority to reconvene boards of equalization? WAC 458-14-127 authorizes local boards of equalization to reconvene themselves when a taxpayer has met certain criteria and when he or she has made the request by April 30, of the tax year immediately following the board’s regular convened session. For example, if the request is for the 2018 assessment year, the taxpayer must file the request by April 30, 2019, for the Department to consider it a timely request. Statute limits the Department’s authority to reconvene boards of equalization to claims of 100% overvaluation or for an extension of the annual regularly convened session to enable the board to complete its annual equalization duties. Taxpayers must make claims within three years of the board’s adjournment of their regular session. For example, if the request is for the 2024 assessment year, the taxpayer must file the request by November 28, 2027, for the Department to consider it a timely request. What’s next? The Board is ordered to meet and review the information available regarding the Bayview Village #2 properties. The process for equalization is outlined in section seven of the County Board of Equalization Operating Manual. The Department encourages the Board to review this section, if not already done. Some key points to remember are: 1. The assessor’s value is presumed correct and may only be changed if there is clear, cogent, and convincing evidence that demonstrates the value is incorrect. 2. All properties must be assessed at 100% of market value. 3. The board is not required to hold a hearing in order to equalize assessments. However, affected property owners must be notified of the equalization process results via an order. Because equalization typically occurs without a hearing or participation by the property owners, it is very important that the Board’s order clearly explain the reasons for the change in value and the facts and evidence upon which the decision is based. Also, property owners as well as the Assessor have the right to appeal the Board’s equalized assessment decisions. Orders should explain that the property owners and Assessor may appeal the Board’s decision within 30 days to the Board Jefferson County Board of Equalization February 4, 2025 Page 3 or to the State Board of Tax Appeals (BTA). Any appeals made relative to equalized assessment decisions, should be handled in the same manner as appeals of the Assessor’s determination of value. Appeal rights The Taxpayers or Assessor have 30 days from the date of mailing of the Board’s decisions to appeal to the BTA. Appeal forms are available at the BTA’s website http://bta.state.wa.us/index.php/forms-publications/. Appeals can be submitted electronically or mailed to the following address: Washington State Board of Tax Appeals 1110 Capitol Way S Suite 307 P.O. Box 40915 Olympia, WA 98504 Who made this decision? This decision was made by, Rikki Bland Manager, County Performance and Administration Property Tax Division CERTIFICATE OF MAILING I, Tiffany LeMoine, certify that on, February 4, 2025, I personally forwarded, by email, a true and correct copy of the attached document to the following: THE HONORABLE JEFF CHAPMAN JEFFERSON COUNTY ASSESSOR PO BOX 1220 PORT TOWNSEND WA 98368 jchapman@co.jefferson.wa.us CAROLYN GALLAWAY JEFFERSON COUNTY BOARD OF EQUALIZATION CLERK 1820 JEFFERSON STREET PORT TOWNSEND WA 98368 carolyn@co.jefferson.wa.us STATE OF WASHINGTON DEPARTMENT OF REVENUE Jefferson County Equalization Appendix A Parcel Nos. 931 900 001 24-32-R 931 900 002 24-36-R 931 900 003 931 900 004 24-33-R 931 900 005 24-34-R 931 900 007 931 900 008 931 900 009 931 900 010 24-1-R 931 900 011 931 900 012 931 900 013 24-8-R 931 900 014 931 900 015 931 900 016 931 900 017 931 900 018