HomeMy WebLinkAboutBOR April 8, 2008
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BOARD OF REVIEW
APRIL 8, 2008 - MINUTES
The Annual Board of Review was called to order by Mayor Mike Gamache at 7 :00 p.m.,
Wednesday, April 8, 2008 at the Andover City Hall, 1685 Crosstown Boulevard NW,
Andover, Minnesota.
Council Members Present: Don Jacobson, Mike Knight, Ken Ortte!, Julie Trude (arrived at
7:05 p.m.)
Council Members Absent: None
Also Present: Jason Dagastino, Anoka County Residential Assessor
John Leone, Anoka County Commercial Assessor
Sue Droubie, Anoka County Residential Appraiser
Mr. Dagastino noted that he received 168 calls this year. The majority of the questions were
about valuations. In 2006 there were 268 sales in the City with an average sale price of $268,000
and in 2007 the average sales price was $291,100. The assessed valuations were down 3.61 %.
0 The Assessor's Office is only allowed to use sales from October 1,2006 through September 30,
2007.
Mayor Gamache stated the purpose of the meeting is to make appeals of property values for the
year 2009.
Mr. Dagastino reviewed the process for appeals with the residents.
Councilmember Trude stated in a state of declining sales, a person can bring forward comparable
sales for discussion of values.
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16025 Eagle Street NW - (14-32-24-32-0063)
Mr. Richard Ness thought his home was over valued. He stated his biggest jump went from
2006 to 2007. He did not think at any time his house was valued at $294,000. He indicated
there were no special upgrades to the home. He stated the 2009 value was $285,300. Mr.
Dagastino explained the indicated value was $300,000 based upon similar sales.
Mr. Ness showed the Council a comparable for sales brochure for 15923 Crane Street. He stated
this is not a high end cul-de-sac.
Councilmember Trude discussed with the assessors the training she went through with the State
0 regarding recent home sales. Councilmember Orttel asked what happens when the true value of
homes has gone down. If it is recent, are they allowed to take that into account?
0 Mr. Ness stated the values have dropped since a May 2007 comparable sale. It appears he got hit
for the lower level of his home, both in 2006 and 2007.
Councilmember Orttel stated the assessor arrives at the sales price and then the price per square
foot. Mr. Dagastino stated he has pulled the most common comparables to Mr. Ness's home to
come up with the value.
Mr. Dagastino stated Mr. Ness purchased the property in 2004 for $250,000 and his value went
from $279,000 in 2004-2005 to $286,000 in 2005-2006 (when the basement was finished). It
then went to $294,000 in 2006-2007 (based on the market) and back down to $285,000 this year.
Councilmember Trude thought comparable #3 was the closest to this home. Mr. Dagastino
stated comparable #3 had the 3 season porc~ which is included in the GLA.
Mayor Gamache thought the main concern was when his value went up to $294,000.
Councilmember Trude stated in 2009 his value will be down.
Mr. Ness thought this year his value should be $277,000 and not $285,000. Mayor Gamache
thought ifhis property value did not go up to $294,000 this year, he would probably be at
$285,000 this year.
0 Mr. Ness wondered if there were any homes comparable to his in the neighborhood. Mr.
Dagastino explained that it is hard to find a one bedroom home comparable in any neighborhood.
Motion by Jacobson, Seconded by Orttel, to concur with the valuation of $285,300 based on the
assessment made by the Anoka County Assessor Office. Motion carried unanimously.
15035 Uplander Street NW - (22-32-24-33-0052)
Mr. Tom Rooney indicated he was at the meeting because he did not feel his home was valued
correctly. He stated he placed his home for sale at $489,000 and took it off the market a month
later. He reviewed some appraisals given to him by a realtor with the Council and stated they
have used the Department of Revenue methodology. The appraisal numbers have been between
October 1, 2006 and September 30, 2007 and the search criteria used was based on that criteria.
They used five different home values with adjustments, which averaged $374,900. He noted that
market comparables were active homes, which should not be considered in this analysis.
The Council discussed with Mr. Rooney and Mr. Dagastino the comparables that were used for
the appraisal for value.
Motion by Trude, Seconded by Orttel, to hold Mr. Rooney's parcel over until the reconvened
meeting on April 15, 2008. Motion carried unanimously.
0 Mayor Gamache left the meeting at 8:00 p.m.
th
0 1902135 Avenue NW - (34-32-24-43-0119)
Marlin & Patricia Schmidt, 1902 135th Avenue NW.
Mr. Dagastino stated they are going to look at the properties in that area because they have only
had one sale. The others were bank owned.
Motion by Jacobson, Seconded by Trude, to hold Mr. Schmidt's parcel over until the reconvened
meeting on April 15, 2008. Motion carried unanimously.
Holasek Properties - (R23-32-24-31-0025. 0026. 32-0006. 33-0002. 34-0052. 41-0001. 42-0002.
42-0003.43-0001.43-0002.44-0001.31-0001.32-0001.33-0001.34-0001.43-0001.12-0001.
13-0001. 21-0002. 24-0002)
Mr. Winslow Holasek read a letter to the Council indicating his concern over the values of his
properties.
Mr. Dagastino indicated they will review these parcels.
Motion by Jacobson, Seconded by Knight, to hold Mr. Holasek's parcel over to the reconvened
meeting on April 15, 2008. Motion carried unanimously.
0 Louise B. Annanson - (17-32-24-24-0004)
Mr. Jim Neilson stated this is an unbuildable vacant triangle parceL He has talked to Mr.
Dagastino and this parcel will be reviewed again.
Motion by Jacobson, Seconded by Knight, to hold this parcel over to the reconvened meeting on
April 15, 2008. Motion carried unanimously.
Mr. Neilson - (13-32-25-44-0028)
Mr. Neilson stated he is not asking for anything specific regarding the valuation from the City,
but to come to them with his thoughts on the process. He has been involved in litigation matters
on tax appeals and land values. It is his understanding that the law is the value of this property as
of January 2,2008 and anything up untill/2/2008 can be used for this value. He never heard of
the State telling anyone you cannot use anything after January 2,2008.
Mr. Neilson stated in 2001 this property's value went up $23,300, which was an increase of
6.1413%. The next year it went up $44,900, which was an increase of 11.15%. In 2003 the
value went down $5,200, which was a decrease of 1.11618%. In 2004 the value went up
$26,200 for an increase of 5.9223%. In 2005 it went up $29,200, which was an increase of
6.2314%, and in 2006 it went up $34,400, which was an increase of 6.91 04%. In 2007 it went
up only $1,400, which was a slight increase of 0.2631%. This year the value went down $4,300,
0 which is a decrease of 0.8059%. The problem is that when the property goes up in value, the
assessed values go up; however, when they come down the assessed value does not come down.
0 Councilmember Trude wondered if the reason was the lack of sales data. Mr. Neilson agreed
and indicated there were arguments that can be made.
Mr. Neilson stated the values decreased this year, but the local assessment was a lot less than it
probably should have been. He thought the Council should think: about what is happening in the
market even though they cannot do anything about it.
Motion by Jacobson, Seconded by Knight, that the classification for this particular parcel will
remain as proposed. Motion carried unanimously.
Motion by Jacobson, Seconded by Knight to schedule the reconvened meeting to April 15, 2008
at 6:45 p.m. with the Council meeting following thereafter. Motion carried unanimously.
The Council thanked Mr. Dagastino for doing a good job for the residents.
Mr. Holasek stated the County switched to a new computer program in 2004 and he wondered
why the County switched. Mr. John Leone stated the company that made the program was not
going to support the old system anymore so they had to switch. Mr. Holasek asked what other
Counties have done. Mr. Dagastino stated they may have different systems. Anoka County
upgraded their system because the program they had was old and no longer supported.
0 Motion by Jacobson, seconded by Knight to continue the Board of Review meeting to April 15,
2008. Motion ~arried unanimously.
The meeting adjourned at 8:40 p.m.
Respectfully submitted,
Susan Osbeck
TimeSaver Off Site Secretarial, Inc.
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