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HomeMy WebLinkAbout11. 14-257 JUNE 10, 2014 14-257 RESOLUTION (CARRIED ___7-0___ LOST _______ LAID OVER _______ WITHDRAWN _______) PURPOSE: PARTIAL ALLOWANCE OF CLAIM / REFUND OF PROPERTY TAXES FOR 2013 / PARTIAL RESCISSION OF PROPERTY TAXES CITIZENSFIRST CREDIT UNION FOR PROPERTY LOCATED AT 2900 UNIVERSAL STREET INITIATED BY: CITY ADMINISTRATION WHEREAS, CitizensFirst Credit Union has filed a claim for recovery of excessive taxes for property it owns located at 2900 Universal Street in the City of Oshkosh for 2013; and WHEREAS, the valuation of this property has been reviewed by the Circuit Court for Winnebago County for 2012 and the Court established the assessed value at $5,031,400 for 2012; and WHEREAS, the valuation of this property has been reviewed by the City of Oshkosh Board of Review for 2014 and the Board of Review has established the assessed value at $5,031,400 for 2014; and WHEREAS, It is reasonable to establish the 2013 value at the same value established by the Circuit Court for 2012 and the Board of Review for 2014; and WHEREAS, the property owner has paid all taxes currently due on the property and otherwise has complied with all legal requirements pertaining to this claim. NOW, THEREFORE, BE IT RESOLVED by the Common Council of the City of Oshkosh that the following property taxes were excessively assessed, in part, per Wisconsin Statutes section 74.37, and a partial allowance of claim, refund and partial rescission of taxes due is appropriate: CitizensFirst Credit Union 2900 Universal Street Oshkosh, WI 54904 Property ID #1329400200 Partial Reduction: $ 1,439,000.00 New Assessment: $ 5,031,400.00 Rescission/Refund: $ 35,775.11 BE IT FURTHER RESOLVED that the proper City Officials are authorized and directed to seek compensation from the other taxing entities per Wisconsin State Statutes 74.41. Funds for this purpose are appropriated from: CITY HALL 215 Church Avenue P.O. Box 1130 Oshkosh54903 -1130 City of Oshkosh TO: Honorable Mayor and Members of the Common Council FROM: Lynn A. Lorenson, City Attorney DATE: June 5, 2014 RE: Partial Allowance of Excessive Assessment Claim for 2013 / Citizens First Credit Union / 2900 Universal Street BACKGROUND CitizensFirst Credit Union has contested the real estate tax assessment for its property located at 2900 Universal Street for 2012, 2013, and 2014. The building is made up of customer banking facilities and the credit union's corporate headquarters, including office space and supporting facilities. CitizensFirst Credit Union purchased the property in 1993 for $95,400.00 and made various improvements to the property including an approximately 37,600 square foot addition in 2009 and 2010 in the amount of $5,344,685. The Assessor reviewed the property and improvements and for the 2012 tax year established a value of $6,470,000. This value was carried forward for the 2013 tax year and for 2014, the City's contracted assessor independently reviewed the property and established an assessed value of $6,080,400. CitizensFirst filed a lawsuit alleging that it had paid excessive taxes for its property located at 2900 Universal Street for the 2012 tax year. The Circuit Court determined that the presumption of correctness afforded to the Assessor's valuation had been overcome and the Court made a determination of value between that of the Assessor and that requested by CitizensFirst in the amount of $5,031,400. The City has not appealed this determination. While the 2012 case was pending, CitizensFirst appeared before the City's Board of Review and filed a claim for excessive assessment for 2013. The claim was filed in January of this year and requested a value of $4,984,500. It is this claim for excessive assessment which is before the Council for action. On May 9, 2014 CitizensFirst filed an objection before the City's Board of Review objecting to the 2014 assessment. The Board of Review held a hearing and determined that the 2014 assessment should be lowered to $5,031,400. The Board considered the assessor's valuation for the current year and the information submitted by the objector and determined that the amount established by the Court represented a fair and equitable value for the property for 2014. ®N ®I YSIS Based upon the determination of the Circuit Court for 2012 and the determination of the Board of Review for the current year, city staff is recommending that the Council partially allow the claim for excessive assessment by CitizensFirst for their property located at 2900 Universal Street to establish an assessed value of $5,031,400 consistent with the Circuit Court and Board of Review determinations. This matter has been fully litigated in the circuit court and before the Board of Review and in both cases those bodies have determined that the current assessed value was more appropriately established at $5,031,400. The fiscal impact of the circuit court decision is that the City will have to refund $35,775.11 in taxes that had been paid. The City will chargeback to other taxing jurisdictions their share of the refunded amount as permitted by sec. 74.41 of the Wisconsin Statutes. It is recommended that the Council approve the proposed resolution providing for a partial allowance of CitizensFirst claim for excessive assessment for their property located at 2900 Universal Street. Approved: Mark A. Rohloff City Manager