Agenda Packets - 1999/09/20 - Laserfiche WebLink

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I The Minnesota Department of Revenue conducts sales ratio studies in each municipality in Ramsey County every year. The most recent study, for 1998, compared sale prices which occurred between October 1, 1997 and September 30, 1998, with the 1998 estimated market values of those properties that sold. If a municipality ends up with a median ratio of less than 90 percent or more than 105 percent, the State Board of Equalization will step in and order adjustments, in increments of 5 percent, sufficient to adjust that municipality's ratio so as to fall within the 90 percent to 105 percent range. For the 1998 assessment, no such adjustment was necessary as all municipalities had ratios which fell within the State's guidelines. Another measure of the quality of an assessment is the coefficient of dispersion (C.O.D.). The C.O.D. measures the amount of spread on either side of the median ratio. For example, in comparing the quality of assessment of two municipalities, each having a median ratio of 95 percent, but one having a range of individual sales ratios from 50 percent to 150 percent, and the other having a range of ratios from 75 percent to 125 percent, it is obvious that the second municipality has the higher quality assessment. The C.O.D. can be described as the average percentage deviation from the median ratio, and the lower the C.O.D. the higher the quality of the assessment. Minimum standards, as established by the Minnesota Department of Revenue, are enforced by the State Board of Equalization. Ramsey County, however, has met those standards and, therefore, has had no State ordered changes in values as a result of the 1998 sales ratio study. 1 I I I I I i valsumlmktvals 12