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CITY OF SHOREWOOD
BOARD OF REVIEW MEETING
WEDNESDAY, APRIL 5, 1995
COUNCIL CHAMBERS
5755 COUNTRY CLUB ROAD
7:00 P.M.
MINUTES
1. CONVENE BOARD OF REVIEW MEETING
Mayor Bean convened the Board of Review meeting at 7:08 p.m.
A.
ROLL CALL
Present:
Mayor Bean, Councilmembers Benson, Malam, McCarty, and Stover; City
Assessors Rolf Erickson and Lisa Mott, and Deputy City Clerk Teri Naab.
2. BOARD OF REVIEW
Mayor Bean stated the purpose of the meeting is to take public testimony relative to the assessed
value of homes in Shorewood. He outlined the parameters of the testimony and stated that no
action will be taken at this meeting. The Board of Review will reconvene at 7:00 p.m., April 24,
1995, at City Hall, to consider and take action on the Assessor's valuation recommendations with
respect to the individual appeals.
City Assessor Erickson referred the audience to informational material available: "Board of Review
Information-Definitions and Explanations, Most Asked Questions." He explained the valuation
method, the appeal process, and the role of the Board of Review, and requested each resident
appealing the valuation to make an appointment for an assessor to view the home.
Mayor Bean opened the meeting for public testimony.
John Moore, 23340 Bracketts Road, PID#35-117-23-32-0037, requested that the $11,000 increase
in valuation of his property be rolled back because adjacent property sold in January for $15,000
less than its sale price when new 5 years ago. He believed the 1994 valuation of his property to be
accurate.
Amy White, 22355 Bracketts Road, PID#35-117-23-33-0033, reiterated comments made by Mr.
Moore, and requested the $10,000 increase in valuation of her home be reduced to its 1994
valuation.
John Bridge, 25810 Birch Bluff Road, PID#29-117-23-44-0007, stated that over the past 15
years, increases in the assessed value of his home built in 1950 reflected the rate of inflation.
However, he stated it now increased 17% or $40,000, and that while the assessor re-affirmed the
valuation, it is difficult to understand the substantial increase in valuation.
L.A. Kramer, 4475 Enchanted Lane, PID#30-117-23-33-0002, stated he owns a 50' lake access
empty lot of which he has sold 2 10' easements, leaving him with 30'. He expected his tax to be
lowered based on the sales, however, it has not been reduced. Kramer requested investigation of
this.
David Schaus, 6020 Whitney Circle, PID#36-117-23-41-0055, stated the value of his home in the
Near Mountain area has increased $45,000 over the past 2 years to $260,000. No home in his
subdivision has sold for more than $210,000 during that time, thus he believes his home is being
BOARD OF REVIEW
April 5, 1995 - PAGE 2
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compared with those in the Sweetwater-Waterford district. Based on his calculations, his home
should be valued in the $200,000 range and requested a review.
Elden Beckman, 6125 Apple Road, PID#35-117-23-34-0019, objected to the $5,000 increase in
valuation to $94,000 of his property in 1 year because his home is 80-90 years old and no great
improvements have been made. .
Dave Littlefield, 24775 Glen Road, PID#33-117-23-12-0023, stated the value of his home
increased 18% to $235,000 which is $43,000 more than others on his street. He reviewed the
valuations of 2 homes comparable to his which are valued 15%-20% below his home. He
enumerated aged components of his home and noted that while the assessor stood by the valuation,
a review is justified.
Irene Chanin, 5310 Shady Hills Circle, PID#25-227-23-44-0034, stated the valuation of her home
has increased $9,000/year for the past 4 years. The house is on the market and the asking price is
less than the assessed value by several tnousand dollars. She requested a review of the assessor's
valuation.
Doug Anderson, 6125 McKinley Circle, PID#36-117 - 23-44-0071, stated that without any capital
improvements, valuation of his home increased $31,000 over the past 2 years. A comparable
home in the area with more square footage is valued $16,000 less than his home.
Jim Wilson, 24140 Yellowstone Trail, PID#33-117-23-41-0024, described a failed sales
transaction of a vacant lot which has been deemed a wetland. Because the lot is not buildable or
saleable, he requested a reduction in its valuation.
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Bob Rau, 23980 Yellowstone Trail, PID#34-117-23-32-0020, related his experience dealing with
the assessor's office and complained that increased valuations make it difficult to buy/sell/keep a
home in Shorewood. He stated all taxpayers are resisting higher taxation and alleged that
complaining taxpayers receive punitive treatment from the assessor.
Don Kronberg, 5760 Eureka Road, PID#33-117-23-23-0029, stated his home is 95 years old and
inquired how he can find out how his home was evaluated, particularly the 4-season porch.
Mary Platzer, 19765 Muirfield Circle, PID#36-117-23-12-0035, stated she is a licensed realtor and
knowledgeable about market values. She stated the valuation of her home is $85,000 more than
the purchase price. She claimed her situation is unique because homes in the area are purchased at
prices exceeding the asking price by transferred/re-Iocated individuals with below market financing
made available by corporations. Therefore, she concluded that comparisons are unrealistic and
unfair.
Marc Gordon, 19335 McKinley Court, PID#36-117-23-44-0062, questioned the $18,000 increase
in the valuation of his home, which has increased 26% over the past 3 years. This rate is double
the rate of inflation and is excessive.
Laura Berghoff, 26760 Edgewood Road, PID#29-117-23-34-0005, stated her home was built last
year. She protested the valuation of $560,000 which is $132,000 more than the purchase price of
the home and land.
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Dave Peterka, 5540 Covington Road, PID#36-117-23-21-0012, presented a document outlining
the reasons the assessed market value of his property is not equitable as compared to that of other
similar homes. He requested a review of the valuation.
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BOARD OF REVIEW
April 5, 1995 - PAGE 3
Darlene Dallmann, 4815 Ferncroft Drive, PID#26-117-23-14-0029, protested the $11,000 increase
in valuation of her home because it does not compare with other updated homes in the area which
is a neighborhood of mixed homes. Two homes in her area were sold to transferred employees.
Jo Cunningham, 28170 Woodside Road, PID#31-117-23-24-001O, protested her valuation
increase of $27,000. Other homes in the area have been updated/restored extensively, however her
home is in need of repairs. She expressed concern that should she make any repairs, the valuation
would further increase driving her out of her home because of the higher taxes.
Beverly Ginther, 5790 Brentridge Drive, PID#31-117-23-41-0023, described successive
valuations of her 2 year old home. Inquiries she made of the assessments of other homes in the
area support her claim that the valuation of her home is not fair and equitable, therefore she
requested a review and roll-back to the 1994 valuation.
Dick Logelin, 5735 Minnetonka Drive, PID#34-117-23-23-0012, stated his home was built in
1968 at a cost of $18,000 and is now valued at $115,000. He could not understand how an old
home with flooding in the front yard and the street can increase in value from year to year without
any improvements to it. He requested a review of the valuation.
Phobe Harrington, 23870 Elder Turn, PID#34-117-23-23-0038, reiterated Mr. Logelin's concerns
with respect to water problems. She described her personal status, the deteriorating nature of her
small home, and protested the $9,000 increase in its valuation.
Bingham Brokken, 23770 McLain Road, PID#34-117-23-23-0029, reiterated Mr. Logelin's
concerns with respect to water problems. He described successive annual valuation increases of
his home purchased in 1960. He protested his valuation on the basis that no improvements have
been made, sale prices of homes in the area are not comparable to his valuation, and other fmancial
activity in the economy does not justify an increase for 1996.
Jim Eddy, 5830 Minnetonka Drive, PID#34-117-23-32-oo14. Did not appear when name called.
Dave Grove, 5375 Howards Point Road, PID#30-117-23-44-0014, requested his neighbor to
speak before him. Jeff Fox asked the assessor to clarify the effect on valuation of homes
purchased under distress sales, golden parachutes, for re-Iocated/transferred employees, or by
corporations with unlimited funds. Assessor Erickson explained that the sales studies used do not
include sales of homes that are HUD related, relocation sales, sales of new homes, sales from
contractors, sales to or from a corporation, and sales between relatives. Dave Grove stated his
valuation increased by $20,000. He contacted the assessor before some improvements were made
to his 70-year old home, and understood that the valuation would not increase for 10 years due to
laws pertaining to older homes. He requested clarification of the "this old house" deferment. He
objected to the higher valuation because the higher taxes will drive him out of the home and
requested a review.
Robert Manders, 6105 Rampart Court, PID#33-117-23-44-0040, explained his home was
completed in November 1993, assessed at 98% of its value in Spring 1994, and this year the
assessed value increased $11,000 without any added improvements. He requested a review.
Mike Becker, 19260 McKinley Court, PID#36-117-23-44-0049, asked why his valuation has
increased 25% over the past 3 years-11.2% this year. Homes sold in his area have been
significantly improved, while he has made no improvement to his. In defense of the appeal
process, he noted that 6 years ago he went through the process and succeeded in a lowered
valuation.
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BOARD OF REVIEW
April 5, 1995 . PAGE 4
Bill Vogel, 21000 Ivy Lane, PID#26-117-23-14-0025, indicated his valuation has increased by
$12,000 over the past 2 years, doubted his home is actually worth $97,000, and expressed
concern about the ever-rising rate of increase.
Dave Froehling, 23665 Gillette Curve, PID#34-117 - 23- 23-0052, stated his property value has
increased 10% over the past 2 years, even after a reduction of 30' of the lot.
Betty Pflog, 4965 Suburban Drive, PID#25-117 -23-23-0014. Diana PaW, 4985 Suburban Drive,
PID#25-117-2323-0013. Did not respond when called.
Allan Vanderlinde, 5625 Star Lane, PID#33-117-23-24-0031, had an increase of $15,000 this
year. A physical review by the assessor resulted in a correction regarding completion of the
basement, however, not knowing what the change in valuation may be or if a change has been
made, he wishes to preserve his right to appeal to the County Board. Although an appointment for
the review was made, the assessor did not identify himself. It was suggested that assessors wear
an ID badge and/or present an identification card.
S.B. Sparber, 5840 Ridge Road, PID#36-117-23-31-0020, stated though he is not requesting a
reduction at this time, he expressed concern over increasing valuations on Ridge Road.
Carrie Tietz, 22680 Galpin Lane, PID#34-117-23-44-0003, stated she has lived in her 55 year old
home for 21 years. This is her first occasion to complain about valuation, An increase of $12,000
in 1994 and $33,000 in 1995, with minimal improvements. She requests a review noting that a
home sold in the neighborhood for $70,000 less than the current value of her home. She reiterated
the sentiment of previous speakers that values must become more sensible in order that residents
may continue to reside in their Shorewood homes.
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Robert Walz, 5125 Suburban Drive, PID#25-117-23-32-0048, reiterated the views of others
owning old homes with no improvements, yet values continue to increase for no apparent reason.
He lives on a fixed income, does not wish to sell his home, and any relief would be appreciated.
Mike McDonald, 4695 Lagoon, PID#30-117-23-31-0004. Did not respond when called.
Midge Lockovitch, 25620 Smithtown Road, PID#32-117-23-14-0032, explained her valuation
was lowered last year, however it is again increased this year by an unacceptable amount, therefore
a review is appropriate.
Steve Martin, 5750 Christmas Lake Road, PID#35-117-23-13-0019, inquired whether the
assessor is paid on a commission basis. (The work is on a contract basis.) He appealed to the
Board of Review to communicate to the State and County officials the constituents' distress, anger,
and frustration over higher valuations and resulting higher taxation.
Paul Kastor, 25535 Birch Bluff, PID#28-117-23-33-0024, explained the status of his small
house/cabin and has experienced successive increases exceeding the appraised mortgage value of
the home. He related the details of the assessor's visit that resulted in a $11,000 increase in
valuation, therefore, he declined to request another review.
Terrance McNally, 20390 Excelsior Blvd., PID#25-117-23-34-0020, reiterated concerns of
residents being taxed out of their homes. An appeal last year resulted in a roll-back, however, this
year the valuation of his home/summer cottage increased from $95,200 to $102,500. He described
the unimproved, rather poor condition of his home and driveway and requested a review of the
valuation.
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Francis X. Fallon, Jr., 1050 Holly Lane, PID#35-117 -23-44-0007. Did not respond when called.
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BOARD OF REVIEW
April 5, 1995 - PAGE 5
Myrle Mackenzie, 5975 Glencoe Road, PID#34-117-23-31-0028, explained the market value of
h~r home has increased from $121,000 to $136,000 over 2 years. The area has little resale appeal,
wItness a home on the street unsold after 4 months on the market. She believes her home while
modest is among the highest valued on the street. She requested a review of the current valuation.
Don Bongaards, 25360 Birch Bluff, PID#28-117-23-33-0028, stated the valuation of his home
increased $10,000 last year and $24,000 this year. He requested special consideration because of
the location of his home near Crescent Beach where milfoil is disposed of which makes the home
unsalable and should be considered in its valuation.
Mark Kohls, 21035 Minnetonka Blvd., PID#26-117 - 23-11-0017. Did not respond when called.
Stephen Tierney, 26200 WildRose, PID#32-117-23-12-0033, inquired about the rates of increase
and how they are applied across the City. While his current increase of 6% is low compared to
others, he doubted his home would sell at that valuation, and suggested that proof of increased
value should be given.
Dean Uglem, 23875 Elder Turn, PID #34-117-23 32 0012; Patty Tauscher, 19360 McKinley
Court, PID#36-117-23-44-0054; Judy Sirota, 19675 Chartwell Hill, PID#36-117-23 13 0024;
Jerry Brokaw, 27320 Blue Ridge Lane, PID#31-117-2344-oo04 and Frank Fox, 27990
Smithtown Road, PID# 31-117-23 340006 all did not respond when called.
Tony Studer, 5685 Minnetonka Drive, explained he is an observer. He expressed concern about
the water problem at the Dick Logelin residence and suggested the City take some action to alleviate
the problem.
Bob Jochims, 4765 Bayswater Road, PID#25-117-23 22 0049, reiterated concerns expressed by
others about steadily increasing taxes that individuals cannot afford, particularly those on fixed
incomes.
Letters objecting to valuations were received from the following:
Richard W. Dyer II, 6070 Brand Circle, PID#35-117-23-43-oo07
Charles J. Fox, 5660 Vine Hill Road, PID#36-117-23-14-0059
James and Connie Volling, 6200 Sierra Circle, PID#36-117-23-43-OO29
Joanne and Russell Aldrich, 4770 Lakeway Terrace, PID# 26-117-23 11 0030
Stuart L. and Gail M. Finney, 19710 Chartwell Hill, PID#36-117 - 23-13-0026
Robert K. Nygaard, 4785 Lagoon Drive, PID# 30-117-23310002
Naomi R. Carlson, 5955 Cathcart Drive, PID#32-117-23-31-oo15
Mark McArthur, 6080 Whitney Circle, PID#36-117-23 410057
Ray Barton, 5915 Christmas Lake Road, PID#35-117-23 42 0020
Kenneth N. Stabeck, 20454 Knights Bridge Road, PID#25-117-23-32-0041
Peter A. Fisher, 6130 Sweetwater Court, PID#36-117-23-43-0040
Mangala Pai Panandiker, 19425 Vine Ridge Road, PID#36-117-23-14-oo22
M.M.E. Wadsworth, 5460 Howards Point Road, PID#31-117 - 23-11-0005
Dick Larson, 5610 Vine Hill Road, PID#36-117 - 23 14 0064
During the course of public testimony, Assessor Erickson referred to the Assessors' Code of
Ethics and to State and County rules prescribing valuation methods. He delineated the sections of
the City physically inspected for the January 2, 1995 assessment, noting that all properties are
recalculated each year.
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BOARD OF REVIEW
April 5, 1995 - PAGE 6
Mayor Bean closed the public testimony. He reported that of each tax dollar, 14% comes to
Shorewood, 26% goes to Hennepin County, 54% to school districts, and 6% to other taxing
districts.
2. ADJOURNMENT
Malam moved, Stover seconded to adjourn the Board of Review meeting at 10:00 p.m. Motion
passed 5/0.
RESPECTFULL Y SUBMITTED,
Arlene H. Bergfalk
Recording Secretary
TimeSaver Off Site Secretarial
ATTEST:
GJJ
TE~1t~~UTYCITYCLERK
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ROBERT B. BEAN, MAYOR