Assessed property values rise in Shawano

SHAWANO — Residential property values in the city are up an average of 13.5 percent this year over last year, according a recently completed citywide property revaluation.

Commercial property values are up by an average 3.8 percent.

The figures are still preliminary and pending the open book process, where property owners can question or contest the results, and a meeting of the Board of Review that will certify those numbers.

However, city officials don’t expect the total property values to change much.

City Administrator Eddie Sheppard presented the numbers at a joint meeting Tuesday of the finance committee and Shawano Common Council.

Individual property owners should have already received letters from the appraisal company informing them of their new property values.

Sheppard sought to allay possible concerns in the community that an increase in property value automatically means a higher tax bill.

“There’s no direct correlation between those two things,” he said.

An increase in the city’s total assessed property value means a larger tax base over which the tax burden would be spread, Sheppard said.

The total assessed value of the city’s residential properties rose from $283 million to $321 million. The value of commercial properties rose from $183 million to $190 million.

Manufacturing values are determined by the state and are not yet available, but the city is estimating those values will be about $35 million this year, an increase of 4.3 percent over last year’s $33.5 million.

The overall assessed value of the city is expected to increase from $511 million to $558 million.

Sheppard said the much larger tax base means most property owners would likely see their tax payment per $100,000 of assessed value go down.

That will depend, however, on the tax levy the city sets for next year.

“We won’t know that until we get through the budget process,” Sheppard said.

Some city officials said they have heard concerns from some property owners about significant increases in their property values far above the 13.5 percent average.

“We’ve heard nightmares out there of people saying it’s raised some crazy amount, 30 percent, 40 percent, whatever,” Alderwoman Rhonda Strebel said.

“Some people are freaking out a little bit because they see a 44 percent increase in their assessment,” Alderwoman Lisa Hoffman said.

Most of those concerns are apparently being posted on social media. The city itself is reporting few direct complaints so far.

Sheppard said those property owners should set up appointments with the appraiser during the open book process where they can either contest their new property assessments or get at least get an explanation of why their values went up so much.

“When you do a full on re-val like this, the idea is that the new assessed value sets the new market value,” Sheppard said. “Everyone is paying taxes on at least what they could sell their property for. If people don’t believe that’s the case, their recourse is to set up a meeting or call and contest that.”

Sheppard said there are going to be discrepancies in the new assessed values that could affect property owners’ tax bills.

“There are property owners whose value went up substantially that are going to end up paying more, and there are property owners whose value went up a little bit and they’re going to pay less,” he said.

Sheppard said waterfront property values seemed to have gone up quite a bit more than moderate income properties, which either stayed the same or increased moderately.

Sheppard said he was contacted by one waterfront property owner who was happy to see the value of his property go up by $40,000.

“He’s pretty pleased with that because he may be looking to turning it around and he’s getting his investment back,” Sheppard said.

Sheppard also said an increase in property values should be expected given that the city hasn’t had a reassessment since 2009.

“Ten years is a long time to not have a property adjustment,” he said.

Reassessments are required by the state whenever a municipality’s assessed value is either 10 percent below or 10 percent more than what the state considers what the municipality’s equalized value should be.

This years equalized value for Shawano from the state came in at $546 million compared to the new assessed value of $558 million, a difference of less than 2 percent.

The city last year hired Associated Appraisal Consultants, Inc. of Appleton to conduct the citywide revaluation at a cost of $154,900.

Property owners wishing to discuss their assessments can contact Associated Appraisal at 920-749-1995 to set up an appointment during next week’s open book hours at City Hall.