HomeMy WebLinkAbout05-09-2005 Board of Appeal and Equalization Reconvened MinutesCONTINUED ORONO BOARD 4
• Monday,
6:30 o'
ROLL
The Orono Board of Review met on the above date
Mayor Barbara Peterson, Council Members Jim
The following represented City Staff. Hennepin
Young.
Mayor Peterson reconvened the Board of Appeal
APPROVAL OF MINUTES
McMillan moved, White seconded, to approve
Equalization as submitted. VOTE: Ayes 4, N
COUNCIL ACTION ON ASSESSOR'S
OF THE
APPEAL AND EQUALIZATION
ty 9, 2005
ek p.m.
the following members present:
Lili McMillan, Bob Sansevere, and Jim Murphy.
✓ Appraiser William Davy, and Recorder Jackie
Equalization to order at 6:38 p.m.
minutes of the Orono Board of Appeal and
0, Sansevere Abstained
TION
Davy stated since the last Board of Appeal and Equalization thirteen properties have been reviewed by the
Tax Assessor's Office and the recommendations of 'the assessor for those properties are before the
• Council tonight. I1
Erickson stated his wife informed him that the Asse'ssor's Office called and that his valuation would not
be changed. Erickson indicated he did not receive a letter from the Assessor's Office.
Erickson inquired whether his valuation is based on!! the house that sold recently for $985,000. Erickson
noted that house was completely gutted and rebuilt three years ago. Erickson commented he is forced to
have 125 feet of lakeshore and is not able to sell off the adjoining lot because a previous council has
deemed it to be unbuildable. Erickson indicated if he is-to be taxed on that lot, he would come in before
the Council and request a building permit for that lot. Erickson indicated he understands the need to raise
taxes periodically but that the increase in his valuation is excessive.
Murphy inquired whether someone from the Assessor's Office visited the Erickson property.
Davy stated Tom Kunick from the Assessor's Office did visit the property. Davy stated based on
previous sales, the valuation of the homes in the Shadywood area have increased substantially.
McMillan noted the values for this property have increased from $730,000 to $875,000.
Erickson stated the City in the past has refused to grant a building permit for that additional 65 -foot lot
and that it has remained grassland. Erickson stated the reason the two lots are listed on one tax statement
is that his father, following World War II, asked to have both lots listed on the same tax statement to
reduce the amount of work that the city clerk at that time had to do. Erickson indicated at the time he
requested a building permit for the adjoining lot, h was denied because the two lots were listed on one
tax statement.
PAGE 1
MINUTES OF THE
CONTINUED ORONO BOARD OF APPEAL AND EQUALIZATION
Monday, May 9, 2005 •
6:30 o'clock p.m.
McMillan stated in her view the adjoining lot adds to the value of this property
Erickson pointed out that he was told by the City he needed 100 feet to obtain a building permit and that
the adjoining lot was considered unbuildable at that time. Erickson stated in the future it is possible that
someone might choose to purchase both lots, combine them, and construct a new residence, which would
increase the value of the lot.
Davy stated the land is valued as a single building site.
Murphy indicated the aerial photograph depicts that the house is straddling the adjoining lot.
Erickson stated the lot line is about six inches from the existing house and that the house and garage are
located on Lot 4 and the driveway is located on Lot 3.
McMillan noted this lot is much bigger than the other lots in the area and that the two lots are being
assessed as one lot.
Davy stated he would not argue that the majority of the house is located on Lot 4 and that the lot lines on
the aerial photographs could be slightly off.
White inquired whether the lot the house is located on is 65 feet wide.
Erickson stated the empty lot is 65 feet wide. •
Davy indicated their records show both lots as being 60.1 feet on the street side and 60 feet on the
lakeside.
Murphy inquired how Lot 3 could be the larger lot.
Erickson stated a long time ago in the early 1900s someone purchased five feet from Lot 2.
White inquired how many comparables there are for this property.
Davy stated there have been several sales in the Shadywood area, but noted those lots are smaller in size.
Sansevere inquired what the average sale price of those homes has been.
Davy indicated they have sold in the $900,000 range.
Sansevere inquired what the value of the empty lakeshore lot is.
Davy stated the first 50 feet is valued higher, with the next 50 to 100 feet valued between two to three
thousand less per foot.
White pointed out you cannot purchase 50 feet and construct a house on it.
PAGE 2
4
CONTINUED ORONO BOARD 4
Monday,
6:30 o'
Erickson reiterated the Council denied a building
commented at some point in the future the larger
at this point in time.
Peterson inquired whether that lot would be
OF THE
APPEAL AND EQUALIZATION
iy 9, 2005
ck p.m.
t a while ago for the adjoining lot. Erickson
.1 be worth more but that he has no intention to sell
substandard.
Moorse stated the property owner would not be able'to divide it into a lot that would be very substandard.
Moorse indicated years ago the Council determined that the property should not be divided into two
60 -foot lots.
Erickson stated both lots were listed on one tax
1940s.
Sansevere inquired whether the Assessor's Office
too much for a particular piece of property, which
for the convenience of the city back in the
into account the fact that sometimes people pay
i artificially raise the values in the area.
Davy stated the Assessor's Office on each sale reviews the CRV, the MLS information, and the length of
time that the particular property remains on the market. Davy indicated it is very rare where he feels that
someone has overpaid for a piece of property, and noted that there are three or four properties that have
sold in this area and have set the range for lakeshore lots in the neighborhood.
is Peterson stated the Council should consider
Murphy stated the bottom line is that this lot is
as a larger lot.
Erickson inquired what would happen if they were
Murphy noted that is not the situation in this
parcel.
Davy stated in his opinion the two lots, if taken
they were valued as one lot.
this matter forward to the county.
120 feet wide and that it has to be assessed
on separate tax statements.
case and that the City has to look at it as one
, would probably be valued higher than if
Peterson concurred that the Council must look at this property as consisting of 125 feet of lakeshore.
Murphy suggested that a detailed history concerning the two lots be compiled, noting that if they are
considered as two separate lots, the value may be increased.
Erickson stated if they are considered as two
the adjoining vacant lot.
Davy stated Erickson would need to contact
wishes to appeal the Council's decision.
to lots, he should be allowed to construct a house on
:pin County and request to be put on the agenda if he
PAGE 3
MINUTES OF THE
CONTINUED ORONO BOARD OF APPEAL AND EQUALIZATION
Monday, May 9, 2005
6:30 o'clock p.m.
Murphy moved, McMillan seconded, to accept the recommendations for Parcels 1 through 13 as
outlined in the May 2005 Hennepin County Assessor's Office memorandum. VOTE: Ayes 4,
Nays 0, Sansevere Abstained.
ADJOURNMENT
The Orono Board of Appeal and Equalization was concluded at 7:00 p.m.
ATTEST:
Lin Vee, Orono City Clerk
11
Barbara Peterson, Mayor
PAGE 4
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