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HomeMy WebLinkAbout04/05/1993 Council Minutes1 1 1 CITY COUNCIL BOARD OF REVIEW CITY OF LINO LAKES COUNCIL MINUTES APRIL 5, 1993 Staff members present: City Administrator, Randy Schumacher and Clerk -Treasurer Marilyn Anderson. Assessor Todd Smith was also present. The purpose of the meeting was to conduct the annual Board of Review. Mike Bali, 6291 Red Maple Lane explained that he has already met with Mr. Smith regarding the valuation placed on his property. He noted that his proposed valuation for payable 1994 is $113,000.00. He felt that was not fair when compared to his neighbors valuation. Mr. Ball noted that there are no trees on his property and he felt that this greatly affected the value. He also stated that he felt the new housing addition to the north of his property detracts from the value of his property. Mr. Ball explained that he wanted fairness in the valuation process. Mr. Smith explained that he has made arrangements to meet with Mr. Ball and completely review the value placed on his property. Mr. Smith noted that Colonial Woods is a unique area and it is difficult to determine valuations. He will take a "serious" look at the entire Colonial Woods area and will try to obtain more equalization in that system. If abatements are to be made, letters will be sent to affected property owners and copies sent to the City. Mr. Ball asked what is a special taxing district. Mr. Smith explained. Mr. Ball asked why the taxes for the special taxing district increased 58%. Mr. Smith and the City Council did not have an answer to this question. Glenn Bowen, 6873 Black Duck Drive explained that his concern was PAGE 1 101 1 0 CITY COUNCIL BOARD OF REVIEW APRIL 5, 1993 in regard to the valuation of Outlots A and B, Reshanau Park Estates. Mr. Bowen has already contacted Mr. Smith on this matter and Mr. Smith explained the current taxable status of the two (2) outlots. Mr. Smith gave a detailed outline of how the property value was divided when the property was platted in 1989 and again in 1991. Since Outlots A and B are "common element" lots, their original values were divided and spread among the 36 platted lots in Reshanau Park Estates. This left the "common element" outlots without any value and they will never be taxed separately. Their value is now included in each of the 36 lots and the taxes that would have been paid on these two (2) outlots are spread over the 36 lots. Council Member Bergeson asked if someone filed a complaint about the value of a particular home in Reshanau Park Estates, could the City Assessor determine the portion of value on this particular lot that came from the outlots. Mr. Smith said that he could. He explained that the buyers in Reshanau Park Estates are paying, on average, about $10,000.00 more per lot than any other lot around the lake. The reason they are paying more for their particular lot is because of the ownership they receive in the "common element" outlots. Mr. Smith also explained that the lots in Reshanau Park Estates are in a separate "zone" from other lots on the lake and different figures are used to determine their value. He noted that when determining the value of a particular lot, the value of the structure is determine. The only variable is the value of the land. Mr. Bowen asked how the "common element" lot on the west side of Reshanau Lake is valued. Mr. Smith explained that the lot is not a "common element" lot. The lot is actually owned by 17 different homeowners. Mayor Reinert asked who determined the original $30,000.00 value on the outlots before they became "common element" lots. Mr. Smith explained that the total value that was on the property at the time it was platted was divided by the number of platted lots and the two (2) outlots. (i.e. the total value was divided into 38 portions). This was done by the previous City Assessor and was done as outlined by state statute. After the values for all lots and the two (2) outlots were determined, then the value of the outlots were divided among the 36 platted lots. Mayor Reinert felt that based on this method the value from the outlots that were placed on non -lake lots would be paying less taxes. Mr. Smith felt that this may be true, however, all the lots have an increase in value of $10,000.00 or more because of the outlots and it would be difficult to determine if any taxes were lost. PAGE 2 1 1 CITY COUNCIL BOARD OF REVIEW APRIL 5, 1993 Mr. Bowen asked if the lot on the west side of the lake could be changed into a "common element" lot. Mr. Smith said no, that can only be done at the time of platting. Mr. Bowen asked why the City allowed the "common element" outlots to be created. Mr. Smith explained that the developer is the only person who can plat "common element" lots and the City Council may not have been aware of the ramifications of this action. Mr. Smith explained that he had called the assessors office in Washington County and asked if they had dealt with "common element" lots. They have such lots and have treated them exactly as Anoka County does. Council Member Bergeson noted that being a part of the Reshanau Park Estates Homeowners Association has a lot more value than being a part of the older homeowners association. Mr. Smith said yes this is true and the homeowners in Reshanau Park Estates are paying for this privilege through increased property taxes because their lot has an inflated value. Mr. Bowen said it would appear that the City should not allow "common element" lots to develop again. He noted that when these lots are improved, landscaped, structures added, these improvements are not taxed. Mr. Smith explained that it is an improvement and the increase in value is added to each of the 36 lots. All improvements to the outlots will be taxed on the 36 lots. Mr. Smith noted that the original intention of the developer was unique but good. He wanted a unique neighborhood and that was what was created. Darrell Phillips, 158 Nervy Street was present. He explained that he was interested in the process. He did not have a problem with the value on his property. There were no other residents present. Council Member Elliott moved to adjourn at 7:14 P.M. Council Member Kuether seconded the motion. Motion carried unanimously. These minutes were considered, corrected and approved at the regular City Council meeting on April 26, 1993. r� ) Marilyn Anderson, Clerk -Treasurer PAGE 3 Vernon F. Reinert, Mayor 103