2010-05-03 CC Minutes BOR A�
uwnjj�.ft aty Ut..
ALBERTVILLE CITY COUNCIL
May 3, 2010
BOARD OF REVIEW
MINUTES
ALBERTVILLE CITY HALL 5:30 PM
ROLL CALL
PRESENT: Board Chair Ron Klecker, Board members Larry Sorensen, Tom Fay, and Dan
Wagner
OTHERS PRESENT: City Administrator Larry Kruse, Wright County Assessor Wally
Peterson, Wright County Assessor Lori Thingvold, and City Clerk Bridget Miller
ABSENT: Board member John Vetsch
BOARD OF REVIEW
Presentation by the Wright County Assessor(s)
Wright County Assessor Thingvold began by explaining the purpose of having and holding a
Local Board of Review and Equalization meeting. As Thingvold continued, she reported that
property taxes are collected throughout the US. Minnesota taxes are split in many ways to
provide most of the funding for local government. A portion of the taxes that are collected are
distributed between the county, cities, townships, school districts and special districts. Each
property's share of taxes is determined according to its value, use, and the property tax levies.
Assessors are responsible for estimating property values and setting property classification for
tax purposes.
Thingvold noted that the Minnesota property tax law provides certain credits or forms of special
tax relief, one of the more common being the Homestead Credit. Applications for Homestead
Classification; Application for Tax Exemption; Application for Agricultural Tax and Special
Assessment Deferment; Applications for Special Disability Classification are among programs of
interest to property owners.
M:\Public Data \City Council \Council Minutes\2010 Minutes\M 05 -03 -10 Approved.doc
City of Albertville
Board of Review Minutes
May 3, 2010
Page 2 of 4
Thingvold reminded the Board of Review with the comment that the Board cannot adjust prior
year's market value. The market value is calculated from data collected from property sales that
took place from September 2008 to October 2009.
Wright County Assessor Peterson proceeded by bringing to the Council's attention the a Value
Notice is mailed each spring to every property owner in Wright County. The assessment on
January 2 forms the basis for the following year's real estate taxes. That is, the value and
classification set by the Assessor on January 2, 2009, is used to calculate the taxes payable in the
year 2010.
Peterson explained very briefly that the Minnesota Statute 272.03 defines "market value" as "the
usual selling price ... at the time of assessment ". It is "the price that could be obtained at a
private sale or an auction sale, if the assessor determines that the price from an auction sale
represents an arms- length transaction. The price obtained at a forced sale shall not be
considered ".
Peterson noted that the law specifically requires that assessors view each parcel of real estate to
appraise its market value. Property values change continuously with changing economic
conditions. In addition to market changes, numerous physical changes affect the value of land
and buildings. All factors that may influence value must be considered when estimating the value
of property. This task requires a physical inspection of all property subject to assessment.
Peterson brought up the simple fact that the assessor determines the classification or use of each
parcel. For instance, property may be residential Homestead (owner- occupied), relative
residential homestead (relative of owner is occupant), residential non - homestead, agricultural, or
commercial /industrial. Each classification is taxed and receives credits at a different percentage
of market value. These percentages are set by the State Legislature.
In conclusion, Peterson's last comment was that 2010 has been a rather quiet year for the County
in receiving questions from owners or other activity as it relates to the sale of property. The
other area that has been and may pose a problem is the new First Time Homebuyer Credit, which
will throw a curve ball in calculating next year's taxes.
CITIZENS OPEN FORUM
There were no property owners present to dispute the market value or amount of the Property
Tax being calculated for the 2011 Property Tax Collection.
Mayor Klecker asked Peterson if any residents contacted the County regarding their proposed
Property Taxes.
Peterson confirmed there was one property owner, Oakland Construction Company of St. Louis
Park, MN with number of parcels within the Hunters Pass Estates that sent a letter to
M: \Public Data \City Council \Council Minutes\2010 Minutes\M 05 -03 -10 Approved.doc
City of Albertville
Board of Review Minutes
May 3, 2010
Page 3 of 4
acknowledge an appeal to the Albertville Local Board of Appeal and Equalization regarding the
value or classification of the parcels; Lots 1, 3, and 4 Block 1 Hunters Pass Estates, and Lots 1 -5
Block 2 Hunters Pass Estates from an estimated value of $50,000 to $40,000 for taxes payable in
2011; totally $80,000. Peterson continued with reducing the values on Lots 6 -8, and Lots 10 -19
Block of the Hunters Pass Estates from $70,000 to $60,000 for a total estimated value of
$130,000. Peterson recommended that the Council consider a motion to either approve reducing
the market value or leave the calculated market value as set.
BMs Fay /Sorensen motioned to reduce the fair market value as recommended by the Wright
County Assessor's Department as noted below:
PID Legal Description Proposed Market Reduced Market
Value Amount Value Amount
101 - 110 - 001010 Lot 1, Block 1 $50,000 $40,000
Hunters Pass Estates
101 - 110 - 001030 Lot 3, Block 1 Hunters Pass Estates $50,000 $40,000
101 - 110 - 001040 Lot 4, Block 1 $50,000 $40,000
Hunters Pass Estates
101- 110 - 002010 Lot 1, Block 2 $50,000 $40,000
Hunters Pass Estates
101 -110- 002020 Lot 2, Block 2 $50,000 $40,000
Hunters Pass Estates
101 -110- 002030 Lot 3, Block 2 $50,000 $40,000
Hunters Pass Estates
101 - 110 - 002040 Lot 4, Block 2 $50,000 $40,000
Hunters Pass Estates
101 -110- 002050 Lot 5, Block 2 $50,000 $40,000
Hunters Pass Estates
t
101 - 110 - 006060 Lo 6, Block 6 Hunters Pass Estates $70,000 $60,000
101 -110- 006070 Lot 7, Block 6 $70,000 $60,000
Hunters Pass Estates
101- 110 - 006080 Lot 8, Block 6 $70,000 $60,000
Hunters Pass Estates
101- 110 - 006100 Lot 10, Block 6 $70,000 $60,000
Hunters Pass Estates
101- 110 - 006110 Lot 11, Block 6 $70,000 $60,000
Hunters Pass Estates
101 - 110 - 006120 Lot 12, Block 6 $70,000 $60,000
Hunters Pass Estates
101 - 110 - 006130 Lot 13, Block 6 $70,000 $60,000
Hunters Pass Estates
MAPublic Data \City Council \Council Minutes\2010 Minutes \M 05 -03 -10 Approved.doc
City of Albertville
Board of Review Minutes
May 3, 2010
Page 4 of 4
PID Legal Description Proposed Market Reduced Market
Value Amount Value Amount
101- 110 - 006140 Lot 14, Block 6 $70,000 $60,000
Hunters Pass Estates
101 - 110 - 006150 Lot 15, Block 6 $70,000 $60,000
Hunters Pass Estates
101 - 110 - 006160 Lot 16, Block 6 $70,000 $60,000
Hunters Pass Estates
101- 110 - 006170 Lot 17, Block 6 $70,000 $60,000
Hunters Pass Estates
101- 110 - 006180 Lot 18, Block 6 $70,000 $60,000
Hunters Pass Estates
101- 110 - 006190 Lot 19, Block 6 $70,000 $60,000
Hunters Pass Estates
Motion carried unanimously.
ADJOURNMENT
BMs Sorensen/Fay motioned to adjourn the Monday, May 3, 2010 Board of Review meeting at
5:55 p.m. Motion carried unanimously.
Bridget Mill r, City Clerk (recording secretary)
WPublic Data \City Council \Council Minutes\2010 Minutes\M 05 -03 -10 Approved.doc
Albertville City Council
A,1bertvill£
Sme Tawn {NNq. !Ip <ItV YN.
May 3, 2010
Board of Review
Public Attendance Record
Page 1
Complete a "Request
to Speak" card if you
Address City want. to speak to the
PRINT Name council regarding an
item that is not on the
agenda
MAPublic Data \City Council \2010 Public Attendance.doc