A Discussion with County Assessor Kaegi and Chief Valuation Officer Meyer - Shared screen with speaker view
I would remind all that this is a public meeting
If you have any ideas or questions for the Assessor or his staff, please share them in this chat window. I will try and pull from some of your thoughts.
Mike, remind the viewing audience that this is a public meeting open to all.
If you have any ideas or questions for the Assessor or his staff, please share them in this chat window. I will try and pull from some of your thoughts towards the end of the program. Thank you!
Assessor Kaegi mentioned potential adjustments to parcels revalued in North Tri last year, are those values updated and reflected on the assessor website for the upcoming new 5/1 deadlines? To confirm, the deadline date is now 35 days after notice with no "re-review" period? How will the South reval parcels take into account the mandatory shut down? No business income for anyone right now. Thank you!
Shawn: Great question.
Questions* 1) What of Deadlines. 2) Impact of crisis on south tri
How will the Assesor be addressing vacancy? I'm asking both about traditional vacant units as well as occupied units where tenants pay no rent or reduced rent.
With regards to Oak Park Township, the online filing system reads that appeals are being accepted until 5/29/2020. AO website reads 5/1. Please confirm what date should we file Oak Park appeals by?
1) Economic Vacancy 2) Physical Vacancy 3) Physical due to rehab/reconstruction 4) physical due to shutdown. All four?
What YTD financial information and/ or affidavits does the Assessor feel would be most helpful in measuring the impact on property values under this current economic crisis?
Thank you Yesenia. We will discuss changed deadlines.
Bob: Good question. I suspect the Assessor's office will seek submission of financials to substantiate assessment relief due to the crisis.
Harry J. Fournier
Will those assessments be for one year for the south tri or all three years?
We will inquire.
@Yesenia The 5/29 deadline is an error in the system. It will be corrected today. The date of 5/1 on the website is correct.
I'm the Chief Communications Officer with the Assessor's Office. Updated deadlines and info will be posted here: https://www.cookcountyassessor.com/assessment-calendar-and-deadlines
So to clarify, if you already sent notice, the taxpayer is required to appeal to get any relief?
What is tri town ?
Recent news is that Assessor Kaegi was planning to reevaluate EVERY single property in the wake of the coronavirus pandemic.
@Tammy Wendt No, the adjustment to values will happen after appeals. It will be based on property type data and will be applied to all - not just those who appeal.
Sam: Yes any clarification on all 4 types of vacancy would be useful
Tri town = South Suburbs ; "tri town" is a shorthand for whatever townships we are reassessing that year.
@NathanBrown It's more accurate to say we are reassessing the South Suburbs and looking at values in North Suburbs and Chicago to see how they should be adjusted post-appeals with economic data.
thank you. that’s not what it sounded like, but good to know.
with the irs deadline being moved back what is the requirement for 2019 financial information to be submitted?
In connection with appeals?
@JO Supporting information would need to be included based on the appeal deadline.
The valuation date for appeals is 1/1/20 but the Covid 19 effect did not manifest itself until 3-4 months later. Will the Assessor accept appraisals that use a later lien date that is more reflective of real time value?
@Owner That's a good question for Don, our chief valuations officer, to answer though we are still working out a few details on specifics.
will the COVID 19 factor be applied and then appeal evidence be considered on top of that? Or will the COVID 19 factor be the "reduction" to include any potential appeal evidence being submitted. Will appeal evidence be properly reviewed?
2016-2019 Schedule and Income and Expense statements will not give real time helpful data to describe the current COVID 19 market. Will the Assessor view 2020 real estate tax appraisals as indicators of value and give them the weight that the Illinois Statue places on them as expert opinions of value.
@Shawn Lai We would process the appeals for that parcel which would ensure the value is uniform. Then we would apply the "Covid19 factor."
Great question. We will have to suss out what will be required for submission.
We are being asked to forgive on to 2 months rent, will county forgive one round of tax payments ?
One to 2 months *
@Dan Pikarski I think this is a question that Fritz/Don should handle in the room as they are best served to consider it.
@imadshehade The Assessor's Office does not control tax bills or payments. This kind of relief would have to be dealt with by either the State Legislature or the County Board.
Ha! Fresh! There have been so many assessments based on the business…
Will the assessor flex its considerable legislative muscle to lobby the county board and state legislature to move the 2019 2nd installment tax bills to be due Sept. 2020?
fantastic question @Tammy Wendt
Hi, some colleagues were unable to sign up due to too many participants. I see this webinar is recording. Wondering where it will be posted - thanks!
I was unaware we have considerable legislative muscle.
Harry J. Fournier
When will the office start again and update new deadlines?
Are assessed value reductions expected to more than offset the future tax rate increases in the wake of COVID-19, resulting in a net increase or decrease in property tax bills?
When do you expect to update calendar with dates?
@jack: Great question for the levying bodies, yes?
I'm not expecting taxes to go down.
(in the aggregate)
Dates will be updated at that link as soon as we know them.
Will the reassessments taking Covid-19 into account roll for the tri or be one year only?
Mary Kate: I will try to get to that if we have time. @scott: do you have insight?
appraisers are unable to complete inspections and property owners are unable provide needed data to their attorneys due to shelter in place. With 5/1/20 deadlines, it is difficult to obtain the necessary data. Please address this.
Great Point Abby.
I'll try and get that in under the wire, time permitting.
@Mary Kate I believe these values would stand until the regular reassessment for that area. So for the North Suburbs, they would stand until 2022. For Chicago, next year.
With uncertainty in the market, will the Assessor be adjusting his base capitalization rates?
Ditto Abby's question, the 5/1 submission date for Palos is extremely tight under these circumstances.
@Tom That's exactly what we are trying to do now: figure out the most applicable cap rates for commercial properties.
since this is a government mandated shutdown of numerous businesses, not voluntary, there is almost a month of no revenue with same expenses, most likely 2 months. can we submit YTD 2020 to show this financial impact to be considered?
From AbbyMarkowitz to Everyone: 04:19 PMappraisers are unable to complete inspections and property owners are unable provide needed data to their attorneys due to shelter in place. With 5/1/20 deadlines, it is difficult to obtain the necessary data. Please address this.
@Shawn Lai Our RPIE form is a great way for property owners to submit information like that to us: https://rpie.cookcountyassessor.com/
in 2019 the Assessor denied over 90% of apartment/commercial appeals. W
Will this continue in 2020? and how much time should be spent appealing with those odds?
We should not make our appraisers enter the buildings in COVID-19 appraisals that have been driveby even with 3 years of income have been rejected
when stating reliable data, you are stating that YTD P&L's are more valuable that an appraisal at this point in time?
Harry J. Fournier
But owner occupied commercial properties must use an appraisal? No income data available.
comment about interior inspection
In the appeal process, how could universal data be better than an appraisal with pin point accuracy to the subject property?
Hang on… you are using mass valuations to come up with your assessments. An appraisal allows to property owner to appeal correctly the mistakes that have been made by the assessors office.
Will the COVID adjustment mean assessments will not be finalized until all townships are completed?
@Nick McIntyre We will complete the COVID adjustments after appeals close in each township. So as usual, the final values will be available as each township closes.
so is it fair to assume the COVID adjustment could vary between townships?
is the assessor system ready to handle 9 township deadlines on 1 day? would it not be better to spread over a few days?
Correct. Just as cap rates and home sales do.
Are all taxpayers looking for relief based on circumstances due to COVID 19 expected to file appeals?
@Shawn Lai Yes. We've spent a lot of time figuring out how best to resolve these on time.
USPAP does not require an inspection. What USPAP requires that the subject’s property’s relevant characteristics – which may differ based on the assignment, intended use, and property type - are identified (along with their sources) in order to provide credible assignment results ((SR 1 (d) (v), comment.) The Comment goes on to say that an “appraiser may use any combination of a property inspection, documents, such as a legal description, address, map reference, copy of a survey or map, property sketch, photographs, or other information to identify the relevant characteristics of the subject property.”
Will the Assessor view 'economic vacancy" as a valid reason for a reduction in value. A scenario where a tenant could not be evicted from Nov-March, now due to COVID 19, they cant be evicted until June_July. Will the economic cost to the property ownere be considered?
@Chris Griffin All parcels will have consideration for COVID adjustments, not just those who file appeals.
STANDARD 2 - Reporting Requirements:• For Appraisal Reports, Standards Rule 2-2-(a)(iv) requires an Appraisal Report to contain information, documents, and/or exhibits sufficient to identify the real estate involved in the appraisal, including the physical, legal, and economic property characteristics relevant to the assignment. Market conditions (including changes related to catastrophic events) are economic property characteristics and, as such, should be identified in the development of an appraisal and disclosed in the appraiser report.
Are deadlines set for omitted assessments also extended to 5/1?
FYI applied for CARE package relief last Friday, its been 6 days, nothing yet. Not expecting much for businesses.
property owners are not in their offices and can not always provide data, photos, etc.
If you don't have a federally back loan, how do you get a modification?
some can't be modified.
my biggest lender, for example is TIAA which invests teachers' pension dollars.
should we not pay out on benefits?
How about my Life Insurance Company lenders. Should they not pay out to policyholders?
Thanks CC team.