CHC 1979-04-03 - Laserfiche WebLink

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MR. SCHUTTE : Well , I believe that you are going to find inequities in every phase of government. It ' s just a matter of looking and you ' ll find something. What I 'm trying to say is you mention the situation of an individual that has a residential lot and he is right smack in the middle of hotel development and tourist development and he is assessed the higher and best use which would be a hotel or whatever and on that basis he would have to pay it. The tax office does not base a specific sale or change ;a value of land on any specific items . ' It ' s a bench mark that is set up and it is set up over a period of time ori different comparables. But because, say, for instance, your piece of property is sitting in a hotel development zone it won ' t necessarily boost your property to that extreme at that particular time. But, if the trend is in that direction over a period of two years , etc. , then this will , your property will show. , this value on this initial value. But it won 't be done overnight because the tax office looks at it as not being a true value. . . MS. ISBELL: That's not'-exactly the case that has happened of several people I know of. It does happen rather quickly and depends on when that assessment is going around. The people who live in those areas are constantly in fear of the fact that their taxes are going up because they know the development around them and that is what it is based on. The sale of development around them. Now, when that happens, and I can even stipulate that there are--the Kanuha residents , for instance, right in the middle of the village--they simply couldn ' t pay those taxes anymore. It became a resort development and so they just sat there and once they left it the shack finally fell down. But it was just too much for them. There are many other people who are going to be in the same situation. I 'm talking about the future knowing that what happened in the past is what we base our future on. And that' s why I suggest that 1% of the assessed value not be exceeded per year. I really think that we should use the 100% instead of the 60% so people can understand it. MR. SCHUTTE : Well , would you agree that this inequity in tax assessment has a lot to do with people that can financially afford to buy these parcels are picking them up and sitting on them until such a time that they can have the zoning changed or :that they_ could actually develop it for speculation. Don ' t you agree that this does contribute considerably to the property tax? MS. ISBELL: Well , of course it does. Anytime anyone buys anything at a high price. .as it is now. .and sits on it they know it is going to evaluate. . . MR. SCHUTE: Don ' t you think that this parti- cular suggestion that you are making will also enhance that the speculator would be able to purchase property and have the benefit of being taxed not 'more than 1% of its value. . . - 9 -