Daily Sitka Sentinel

City Property Taxes Go Up, Notices Show

By SHANNON HAUGLAND

Sentinel Staff Writer

Property tax assessment notices mailed out last week show an overall 8 percent increase since last year, City Assessing Director Wendy Lawrence says.

Property taxes are due Aug. 31. Property owners have until 4 p.m. April 14 to file an assessment appeal in writing. The Assembly acting as the Board of Equalization will adjudicate appeals on May 1.

The city’s general fund revenue will increase by approximately $125,000 with the higher real property values, even with the rising number of exemptions, officials said.

Administrator Mark Gorman said the city staff wants to make sure people know about the appeals process and the deadline for filing.

“We’re picking up on anxiety in social media – there’s a lot of chatter” about the higher assessments, Gorman said. “We’re trying to get information out  that if you don’t like what you see in your assessment this is your avenue to address it.”

March 14 through April 14 is the administrative adjustment period, during which residents can ask for a review by the assessing office before a formal appeal, Lawrence said.

Lawrence reported a $48,644,200 net increase in taxable real property value, including $14,700,000 in new construction. Assessments are reduced by $2,318,230 by exemptions for senior citizens and disabled veterans.

“In large measure the $48 million increase is embedded in the 8 percent increase,” Gorman said. Asked what the increase in property values says about Sitka, he said, “In part it says we’re playing catch-up.”

Gorman said at a recent Assembly meeting that this year’s increase in senior property tax exemptions will reduce local tax revenues by more than $100,000, which also says something about Sitka. 

“We have an increase in those taking the senior property exemption,” he said. It shows that Sitka is “trending in the direction we know: we’re going to a grayer community. That speaks to some additional challenges we’re going to see in the future: the need for health care. ... Our population is stable but we’re getting older.”

Lawrence said today that 19 percent of the estimated total households are seniors.

Lawrence said in a news release today that “staff has been working hard to bring all assessments up to date in a fair, uniform and equitable way.” 

“Most property owners will see an increase of approximately 8 percent on this year’s assessment,” she said in the statement.

State law requires property to be assessed at 100 percent of its true and fair market value in dollars, and based on its highest and best use, she said. The assessor uses comparable sales prices and relevant market data to determine value.

Gorman said some properties that haven’t been assessed in a decade may see more significant increases, since the law requires valuations based on the current true and fair market value. It’s helpful if those who file appeals can provide information about comparable properties, he said.

“If I were to sell my house, the question that needs to be asked is: is this assessment reflective of the market value for my house in Sitka?” Gorman said. “If they have data to present, that’s helpful.”

Lawrence said property owners may visit the assessing office to review assessments, discuss property details or learn more about the valuation methodology. 

“If you feel there is an error, have market data or an appraisal that supports a different value, please submit the information to the assessor for consideration during the review period of March 14 to April 14,” he said.

For more information call the assessing department at 747-1822 or assessing@cityofsitka.org