HomeMy WebLinkAbout1984 06-04 CCM Board of Equalization MINUTES OF THE PROCEEDINGS OF THE CITY COUNCIL
OF THE CITY OF BROOKLYN CENTER IN THE COUNTY
OF HENNEPIN AND THE STATE OF MINNESOTA
Board of Equalization
June 4, 1984
City Hall
CALL TO ORDER
The Brooklyn Center City Council met as the .Board of Equalization and
was called to order by Mayor Dean Nyquist at 7:04 p.m.
ROLL CALL
Mayor Dean Nyquist, Councilmembers Celia Scott, Rich Theis and Bill
Hawes. Mayor Nyquist noted that Councilmember Gene Lhotka was out
of town and unable to attend. Also present were City Manager Gerald
Splinter, City Assessor Peter Koole, Property Appraiser Joe DaBruzzi,
and Administrative Assistant Brad Hoffman.
PURPOSE OF THE BOARD OF EQUALIZATION
The City Manager reviewed the purpose of the Board of Equalization
meeting and pointed out that the City Council was serving as the Board
of Equalization to conduct a review of assessed valuation within the
City, and to allow time for public inquiry regarding local assessments
after the City Assessor makes his report. The City Manager introduced
Peter Koole, City Assessor, who pointed out that there are various
steps that individuals must take when seeking adjustments in their
evaluations and he explained that the meeting tonight is the first
step, after which the inquiry is passed onto the County and the County
then passes it on to the State for their review. He explained that
the values discussed this evening will serve as the basis for the 1985
taxes. He added that the Board of Equalization reviews the City Asses -
sor's work and he explained that the City Assessor's staff is fully
certified by the State of Minnesota. He explained that the Assessor's
responsibility is to treat the values of similar properties in similar
ways with regard to valuations. He also noted that the City Assessor's
office has asked that people call his office prior to the Board of
Equalization meeting to make an appointment with the staff to discuss
their particular request, and also, if necessary to register for an
appearance at the Board of Equalization. He explained that the people
who.are preregistered would be handled first at this evening's meeting.
He also reviewed new changes in the legislation affecting the valuation
of properties.
PROCEDURAL REVIEW OF PROPERTY TAXATION
The City Assessor explained the appeal process, stating the channel
of appeal begins with the local Board, then onto the County Board,
the State Board, and finally to the Tax Court if carried that far.
He also explained that individuals may appeal to the Tax Court directly
without oin to the Count Board or State Board. He added that an
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individual must go to the Local Board first before they can qualify
for the next step, which is the County Board, and that an individual
must also appeal to the County Board prior to appealing to the State
Board. The City Assessor then explained that the County Board of Equali-
zation is appointed by the County Commissioners and the Commissioner
of Revenue serves as the State Board of Equalization.
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The City Assessor stated that the duties and the procedures' to be
followed by the Local Board are set. in Minnesota Statute 274.01 to
"examine and see that all taxable property in the City has been properly
placed upon a tax list and duly valued by the Assessor ". Furthermore,
he stated, "on application of any person feeling aggrieved, the Board
shall review the assessment and correct it as shall appear just ". In
reviewing the duties of the City Assessor, he noted that the State
Statute reads "All real property subject to taxation shall be listed
and assessed every year with reference to its value on January 2,
preceding the assessment ". The Assessor stated this has been done
and the owners of the property in Brooklyn Center have been notified
of any value changes. He also pointed out that Minnesota Statute 273.11
states, "All property shall be valued at its market value ". The City
Assessor further explained the Statute states "In estimating and deter -
mining such value the Assessor shall not adopt a lower or different
standard of value because the same is to serve as a basis for taxation;
nor shall he adopt such criterion and a value the price for which such
property would sell at auction or at a forced sale, unless the Assessor
determines the auction - to be a market value sale, or an aggregate with
all the property in the town or district; but he shall value each article
or description of property by itself, and at such sum or price as he
believes the same to be fairly worth in money ". The City Assessor
explained that the Assessor's work is based on historical value and
that their data is based on actual sales and not projections.
THE CITY ASSESSOR'S REPORT
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The City Assessor next reviewed the sales ratio studies. He explained
that the sales ratio study was a substantive part of what is done by
the Assessing Department. He briefly reviewed the 1983 sales ratio
study. He stated that the average sale price of a home in Brooklyn
Center is approximately $70,000 and that the average market value is
approximately $64,000. He also explained that the Assessing Department j
analyzes the sales by style, location, price, age, and neighborhood.
He reviewed the valuations of several homes located in different parts
of the City, including homes located on a lake or river, in proximity
to a highway or freeway, commercial and multiple family units, and
j homes located near parklands.
The City Assessor reviewed inspections by the appraisers. He commented
that State law requires one - fourth of the properties in the City be
revalued and inspected each year. He showed the Council on a map of
the City which areas had been revalued and inspected in 1983 for the
1984 assessment. He noted, in addition to the regular inspections
made each year, the Assessing Department must also inspect the work
on each building permit.
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PUBLIC INQUIRY REGARDING LOCAL ASSESSMENTS
The City Manager explained that five individuals had pre - registered
for this evenings meeting, Mr. Burton Peterson, 1112 Woodbine Lane,
Paul Vick, 6423 Colfax Avenue North, Robert E. Luby (Joslyn), 4837
France Avenue North, Mr. Bill Dale, Vacant. Land and Mr. Paul Schwartz,
4006 65th Avenue North.
Mayor Nyquist. recognized Burton Peterson, 1112 Woodbine Lane. Mr.
Peterson was not present and Mayor Nyquist suggested they proceed and
return to this case later if Mr. Peterson arrives.
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Mayor Nyquist called upon Paul Vick, 6423 Colfax Avenue North. Mr. Vick
was not present. and Mayor Nyquist suggested they proceed and return`
to this case later if Mr. Vick arrives.
Mayor Nyquist recognized Robert E. Luby of Joslyn, 4837 France Avenue
North. Mr. Luby presented an appraisal from Mr. Robert Bobblet, Jr.
He then noted for the Council the pollution problem associated with
the Joslyn Pole Yard. He asked that the Council give consideration
for the cost of the remedial work. The City Manager Gerald Splinter
noted that the City is aware of the problem and it was not sure at
how to arrive at a cost for cleaning up the site. Mayor Nyquist inquired
as to the evaluation. The City Assessor Peter Koole indicated that
the property had been evaluated at $1.00 a foot. The City Manager
recommended that the matter be referred back to the Assessor to work
with the owner to see if they could arrive at an agreement. Councilmember
Theis inquired if an estimate had been made for the cleanup cost.
Mr. Luby indicated that the PCA had given a minimum cost estimate of
$800,000. The City Assessor Peter Koole indicated that he had received
a letter from Mr. Luby from the PCA which he would review. He indicated
that he would try to have an answer for Mr. Luby by Friday. He also
indicated that they would bring this matter back to the Council on
the 11th.
Mayor Nyquist then recognized Mr. Bill Dale from Dale Tile. Mr. Dale
indicated that he felt that the valuation on his 22 acre site which
had been increased by 48% was too high. He noted that in 1982 the
valuation was $72,000 and that in 1984 it had gone to $154,000. The
City Assessor Peter Koole indicated that the only accurate' approach
for valuation of this property would be a market appraisal. He noted
that he reviewed four comps. He indicated that he now feels that the
market valuation should be changed to reflect $185,000. He noted that
one -of the comps he submitted, reflected an almost identical situation.
The City Appraiser then reviewed all four comps. He indicated that this
is the first time that the City has been able to do actual market comps
on property similar to Mr. Dales. Mr. Dale didn't feel that the first
comp was an appropriate comp: to be used. Following a brief discussion
Mayor Nyquist inquired if there were any soil problems associated with
Mr. Dale's problem. Mr. Dale indicated that there might be a small
area in the front of the property. Councilmember Theis inquired how
our I2 zoning compared with that of Brooklyn Park's I zoning. The
City Assessor Peter Koole indicated that he was not sure but that the
type of buildings on the two zonings are comparable. Councilmember Scott
inquired if there were any pollution problems associated with the pro -
perty. Mr. Dale indicated that he was not sure but he noted that the
people on the site before had complained about the water. Following the
discussion it was agreed that the matter would be deferred to the
June 11, 1984 Council meeting for further information from the staff.
Mayor Nyquist then called upon Mr. Paul Schwartz, _4006 56th Avenue
North. The City Assessor Peter Koole indicated that he had discussed
the matter with Mr. Schwartz and that he had not problem with the market
appraisal. There was a request that the matter be Laid over to the
June 11, 1984 meeting. There was a' motion oby Councilmember Theis
and seconded by Councilmember Scott to affirm the recommendation to
hold the matter over until the June 11, 1984 meeting. Voting in favor:
Mayor Nyquist, Councilmembers Scott, Hawes, and Theis. Voting against:
none. The motion passed.
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These was a motion by Councilmember Scott and seconded by Counci l nr iiA)er
Theis to lay over appeals of Mr. Robert E. L'uby (Joslyn Pole Yard site)
and Mr. Bill Dale, Dale Tile until the June 11, 1984 meeting. Voting
in favor: Mayor Nyquist, Councilmembers Scott, Hawes, and Theis.
Voting against: none. The motion passed.
Mayor Nyquist then inquired of the audience if anyone else wished to
address the Board of Equalization. Mayor Nyquist then recognized
Mrs. Irma Gawboy, 5803 Shores Drive. She noted that her property was
assessed at $55,000. She felt. that the condition of the unit warranted
a $20,000 reduction in the value. She noted that there was faulty
plumbing and electrical and a leaking roof. She had a builder's estimate
of $15,000 to $20,000 to repair the unit. She also noted that there
was extensive deterioration of the unit. The City Assessor Peter Koole
indicated that the unit had been reinspected in May of 1984 as well
as in 1982. He noted that he doesn't dispute that there are problems
with the unit but there are questions of who is at fault and whose
responsibility it is to maintain the unit. He noted the basic structural
aspect of the unit was okay and - that the item really reflected mainte-
nance items. He indicated his concern that should the Board consider
such re- appraisal the implication would be to reassess the entire associ-
ation. He indicated that he would prefer that no adjustment be made
but that they would review the situation throughout the year and make a
recommendation next year. Councilmember Theis inquired if it had been a
single family home that had deteriorated would it affect the valuation.
The City Assessor Peter Koole indicated that it would not if they were
normal maintenance items. Following a brief discussion the Council
requested that the matter be referred to the City Attorney Dick Schieffer.
to determine whose responsibility it was to maintain the property.
There was a motion to defer the matter to the June 11, 1984 meeting
made by Councilmember Theis and seconded by Councilmember Scott. Voting
in favor: Mayor Nyquist, Councilmembers Scott, Hawes, and Theis.
Voting against: none. The motion passed.
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Mayor Nyquist then recognized Mr. John Kul.la of 5315 Logan Avenue North.
Mr. Kulla indicated that his valuation exceeded the actual value of
j his house. The City Assessor Peter Koole indicated that he had not
had an opportunity to review the valuation. There was a motion by
Councilmember Scott and seconded by Councilmember Theis to defer the
matter to the June 11, 1984 meeting. Voting in favor: Mayor Nyquist,
Councilmembers Scott, Hawes, and Theis. Voting against: none. The
motion passed.
Mayor Nyquist then recognized George B. Marrow, 7212 Willow Lane.
Mr. Marrow indicated that his valuation went from $88,000 in 1981 to
$102,000 in 1984. He indicated that the valuation keeps going up and
that he was unable to afford the continued .increases. The City Manager
indicated that if he would like to make an appointment with the Assessor
they could have someone come out and go over the specifics of the valu-
ation with him. There was a motion by Councilmember Scott and seconded j
l by Councilmember Hawes to defer the appeal to the June 11, 1984 meeting.
Voting in favor: Mayor Nyquist, Councilmembers Scott., Hawes, and Theis.
Voting against: none. The motion passed.
Mayor Nyquist. recognized Paul and Phyllis Linton of 6915 Indiana Avenue
North. They expressed their feelings that the valuation of their home
at $54,000 was far to high. Again the City Manager requested that
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an appointment be made with the City Assessor's office to review their
particular valuation. There was a motion by Councilmember Hawes and•
seconded by Councilmember Scott to defer the - appeal to the June 11,
1984 council meeting. Voting in favor: Mayor Nyquist, Councilmembers
Scott, Hawes, and Theis. Voting against: none. The motion passed.
Mayor Nyquist then recognized Mr. Roger L. Lundquist of 3510 69th Avenue
North. He indicated that he would have a statement to add to the meeting
next week. There was a motion by Councilmember Scott and seconded
by Councilmember Hawes to defer the appeal to the meeting of June 11,
1984. Voting in favor: Mayor Nyquist,- Councilmembers Scott, Hawes,
and Theis. Voting against: none. The motion passed.
MOTION FOR CONTINUATION OF BOARD OF EQUALIZATION MEETING
There was a motion by Councilmember Scott and seconded by Councilmember
Theis to continue the Board of Equalization meeting at the June 11,
1984 City Council meeting at 7:00 p.m. Voting in favor: Mayor Nyquist,
Councilmembers Scott, Hawes, and Theis. Voting against: none. The
motion passed. The Board of Equalization adjourned at 8:40 p.m.
Deputy ity Jerk Mayor
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