04-08-2019 Board of AppealsMeeting of the Elk River Board of Appeal and Equalization
Held at Elk River City Hall
Monday, April 8, 2019
Members Present: Mayor Dietz, Councilmembers Christianson, Westgaard, and Wagner
Members Absent: Councilmember Ovall
Staff Present: Deputy Clerk Jessica Miller
Also Present: County Assessor Greg Olson, Residential Appraiser Krista Thoe,
Residential Appraiser Beth Boysen, Agricultural Specialist Kristi
Botzek, and Commercial/Industrial Appraiser William Riley
I . Call Meeting to Order
Pursuant to due call and notice thereof, the meeting of the Elk River Board of
Appeal and Equalization was called to order at 6:00 p.m. by Mayor Dietz.
2. Board of Appeal and Equalization
Greg Olson, Sherburne County Assessor, indicated the purpose of the Board of
Appeal and Equalization is to consider and review 2019 estimated market values and
property classifications for taxes payable in 2020.
Information was presented on the assessment procedures and statistics for the City
of Elk River 2019 assessments.
The Board of Appeal and Equalization heard appeals as outlined below:
1. Robert Dilley, Parcel Identification Number 75-458-0120
Mr. Dilley expressed concern over seniors on fixed income not being able to
afford tax increases. He suggested the Council implement a program for seniors
capping value increases at $5,000 a year. Mayor Dietz and Ms. Thoe explained to
Mr. Dilley neither the Council nor the county assessor have authority to do that.
They suggested Mr. Dilley speak to his legislative representative.
Mr. Olson indicated the legislature sets the class rates. He noted rising valuations
for senior citizens is a national problem and there are programs at the state
allowing seniors to obtain a reverse mortgage to help pay for taxes.
Mr. Dilley indicated his value increased approximately $50,000 in two years with
no improvements made to his house. He understands he lives on a lake and lake
properties are increasing but he doesn't see how it is his problem if people want
to pay a lot to live on a lake.
Board of Appeal and Equalization Minutes
April 8, 2019
Page 2
Ms. Thoe noted for the 2018 assessment (taxes payable in 2019) water properties
increased about 12% when other residential increased about 9% but she stated
county staff is following the Department of Revenue's requirement for value
increases.
Mr. Olson indicated Mr. Dilley met with him last fall and they did agree on a
decrease for 2019. The Council pointed out with the decrease for 2019, the net
increase over two years was $22,600.
Moved by Councilmember Christianson and seconded by Councilmember
Westgaard to make no change to parcel 75-458-0120. Motion carried 4-0.
2. Rich Shulz, Parcel Identification Number 75-454-0120
Mr. Shulz indicated he feels his property is overvalued. He indicated he believes
his property has been miscategorized 80% office space, 20% retail when it
should have been 80% retail & 20% office, for the last 10 years. He believes it
should be 15% office and 85% retail based on his current tenants.
Mr. Riley distributed handouts on what he feels are comparable properties. Mr.
Shulz stated his building is considered above average at almost $55 a square foot
and he feels he should be in the average category. He requested a $120,000
decrease in his value with his property coming in at around $45-$47 a square
foot.
Mr. Riley noted $120,000 decrease is huge and that he is working on a
compromise with Mr. Shulz. He noted he is recommending a decrease of $8,600
as outlined on the handout. He added he would like to work with Mr. Shulz
towards an income valuation if Mr. Shulz is willing to provide that information.
Councilmember Westgaard questioned if Mr. Riley and Mr. Shulz can continue
to work together and report back at a reconvene meeting.
Mr. Olson indicated he would consider reducing Mr. Shulz's valuation to $49 a
square foot based on averages from the handout.
Moved by Mayor Dietz and seconded by Councilmember Christianson to
adjust the value of parcel 75-454-0120 from a building value of $696,000 to
$621,900. Motion carried 4-0.
3. Richard and Michelle Nietfeld, Parcel Identification Number 75-571-0110
Ms. Thoe distributed a handout on the above parcel.
Moved by Councilmember Wagner and seconded by Councilmember
Westgaard to adjust parcel 75-571-0110 from $339,000 to $326,000 as
recommended by the county assessor. Motion carried 4-0.
P I M E A E I I Y
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Board of Appeal and Equalization Minutes Page 3
April 8, 2019
4. Ancc Erelkmn0l LLC, Parcel Identification Number 75-661-0105
Mr. Riley distributed a handout on the above parcel.
Moved by Councilmember Westgaard and seconded by Councilmernber
Christianson to make no change to parcel 75-661-0105 as recommended by
the county assessor. Motion carried 4-0.
3. Adjournment
There being no further business, Mayor Dietz adjourned the meeting of the Elk
River Board of Appeal and Equalization at 7:28 p.m.
Minutes prepared by Jessica Miller.
Die ., Mayor
Tina Allard, City Clerk
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