BOR Minutes

Minutes of the Board of Review meeting held on Thursday, June 3rd, 2010 pursuant to notice duly given.

1. Linda Belongia Administrator at 10 a.m. asked for nominations for chairperson for the Board of Review.
Moved by John Honish to nominate Mike Loomis.

Loomis stated he has held this position for a number of years and feels the responsibility should
be rotated;

Belongia called three times for any other nominations from the floor;

Moved by John Honish seconded by Don Denor to close the nominations and cast a unanimous
ballot for Mike Loomis as Chairperson of the Board of Review.
Motion carried upon verbal vote. 5 ayes

2. Meeting called to order by Chairperson Loomis at 10:03 a.m.

3. Roll call: Mike Loomis, John Honish, Dick Pinkart, Don Denor and Jim Hornblad. Also present Ron Banach Assessor and Linda Belongia Administrator and as recording secretary.

4. Belongia stated that an objection was received on 6/2/2010 via facsimile from Roni DuChateau
Moved by Denor seconded by Hornblad to approve of the agenda as amended to include the DuChateau objection.
Motion carried upon verbal voice vote. 5 ayes

5. No correspondence or public input.

6. Loomis briefly explained the procedure; the BOR will hear from the objector, then the city assessor; after that the BOR will deliberate and make a determination.

7. Hearing of objections to values placed on the assessment roll:

10:06 a.m. Justin Ignalls represented by Atty. John Gower;
Belongia gave the Oath to Duane LeTourneau and Justin Ignalls and Ron Banach.
Loomis stated the job of the BOR is to accept the assessor’s opinion as correct unless we hear anything different from what is presented; Gower provided handout of time line that was prepared by Mr. Ignalls; Gower had Ignalls reference letter he sent to the BOR 4/9/2007 stating $5,000 was purchase price he paid for the lot he purchased from LeTourneau Plastics; as of 5/6/2008 the assessed value was $11,700 but was adjusted by the BOR last year to $7,500; property was available for purchase since 2003; LeTourneau stated he has been a resident of the city for 34 years; LeTourneau reviewed the handout that Ignalls provided, agreed with the documentation, also acknowledging the sale price was $5,000; property was never listed with a realtor only involvement from the Davis Agency was they handled the closing;
Gower stated this concludes the testimony, BOR needs to determine whether this is an arms length transaction; Banach stated the assessment was reduced from $11,700 to $7,500; Banach stated property values at that time had not gone done as much as they have now;
Discussion by the BOR; Honish asked for any comparables; Banach stated this is an odd shaped lot; Honish questioned if it is buildable? Banach stated yes, depending what size of building you put on it; Gower referenced depiction of lot size; Banach stated it meets the setbacks, zoned hwy commercial, could put a business there; Gower questioned Banach if he agrees with Markam vs. Cudahay that a recent arms length sale is controlling? Hornblad questioned measurements of the lot; Denor stated that is a latitude description; Ignalls referenced with the setbacks from this lot and the adjacent property, feels it’s too narrow for any type of bldg;

Loomis closed the testimony portion of this objection.

Discussion; Denor reviewed size of lot, can’t see this being much of a buildable lot; Hornblad agreed, can’t put much of a commercial bldg on it; plus with the by-pass traffic on this road has decreased; Honish agreed as well, can’t put much more on this lot;

Moved by Hornblad seconded by Honish to reduce the assessment on parcel # 265-30-180791504 to $5,000.
Motion carried upon verbal voice vote. 5 ayes

BOR recessed at 10:38 a.m.
BOR reconvened at 10:55 a.m.

Loomis stated for the record that we received the objection form filed by Roni DuChateau and the BOR will waive the requirement on the time for filing. Loomis explained the procedure for the BOR; Loomis stated the BOR assumes that the assessment is correct unless evidence given by the DuChateau’s shows otherwise;

Belongia gave the Oath to Craig and Roni DuChateau and Ron Banach.

Craig stated they put the apt bldg across from the old hospital up for sale; spoke with a commercial broker, Jeff Brown…price range $230,000 to $250,000; request is to reduce the apts they own at 122, 132 and 142 Bridge Street; can’t cash flow with tenants rent they receive, a lot of tenants are from NEWCAP; currently assed at $286,900 per bldg; apt complex by Park Avenue sold for $248,000; request is to reduce the Bridge St apts; each bldg is 48 x 80 with 8 units per bldg; $460 - $500 per month rent;

Hornblad questioned what is annual gross income?

Roni stated she doesn’t have that broken down by bldg, just the total;

Craig stated they will never have all units filled;

Roni stated based on 2009, income less expenses = $2,700 per bldg profit; stated 2009 rental income was approx $15,000 less than 2008; rent just isn’t there in Oconto;

Honish questioned the assessed value of the units;

Banach stated $860,700 for all apts on Bridge Street;

Craig stated NEWCAP bought the units they had in Oconto Falls under a distressed sale for little more than $200,000;

Roni stated under the revaluation in 2005 they assessment was set, nothing since then to justify that amt;

Banach stated he discussed with Mary at the Dept of Equalization and the sale they are referencing on the Park Avenue unit was in late April 2010, should be before 1/1 to use;

Denor questioned if there are other units in Oconto and if so are they fairly assessed?

Banach stated yes, citing other apts in the City of Oconto;

Loomis closed the testimony portion at 11:10 a.m.

Discussion amongst the BOR; Denor stated if assessed comparably to other apts in the city for now, will have to stay; Hornblad agreed with comparable, just can’t use it because the sale was after January; Pinkart agreed based on examples provided; Honish also agreed

Moved by Denor seconded by Hornblad to uphold the assessment of $286,900 for each apt bldg at 122, 132 and 142 Bridge Street.
Motion carried upon verbal voice vote. 5 ayes

Loomis stated if the DuChateau’s don’t get another sale this year, they can choose to come back before the BOR next year;

11:19 a.m. Steve Gering appeared before the BOR.

Loomis explained to Gering the burden is on him to prove to the BOR that the assessment is not fair…assumption is assessor is correct;

Belongia gave oath to Steve Gering and Ron Banach.

Gering stated the property at 908 Brazeau Avenue had an original assessed value of $149,500; he purchased the property through the Peshtigo National Bank for $65,000; no longer a commercial property, will be used for personal storage; past owner pretty much gutted the bldg out; Gering provided documentation to support his request and comparable storage bldgs owned by Ron Hayes, Russ Nelson and Travis Cain;

Banach stated Gering came in to see him and he agreed with the sale and reduced the assessment to $13,000 for the land and $65,000 for the bldg for a total of $78,000;

Gering stated he felt Banach’s offer was fair, but decided to appear before the BOR to see if they would grant a reduction to a total of $65,000; stated that the previous owner took a lot out of the bldg;

Banach stated personal property is taxed separately;

Gering stated he agreed with Banach, but referenced a number of commercial properties along Hwy 41 that are for sale;
Hornblad questioned Gering if he was happy with Banach’s adjustment?

Gering stated yes, but was hoping the BOR would reduce it further.

Honish stated he supports the $78,000; Denor stated with comparables such as Rocky’s;

Moved by Honish seconded by Pinkart to leave the assessment at $78,000.
Motion carried upon verbal voice vote. 5 ayes

8. Moved by Honish seconded by Pinkart to adjourn the 2010 Board of Review sine die.
Meeting adjourned at 12:03 p.m.


Minutes submitted by
Linda M. Belongia
Administrator