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04-15-2024 Board of Appeal April 15, 2024 A special meeting of the Scandia City Council was held on the above date, in the Council Chambers of the Scandia Community Center. Mayor Christine Maefsky called the meeting to order at 5:07 p.m. The following were present: Council members Heather Benson, Steve Kronmiller, Michael Lubke and Mayor Christine Maefsky. Absent: Council member Jerry Cusick. Staff present: City Assessor Patrick Poshek, City Administrator Kyle Morell and City Clerk Brenda Eklund. The purpose of the meeting was to conduct the annual Board of Appeal and Equalization for 2024, for taxes payable in 2025. Poshek made opening comments about the assessment process. The sales that occurred between October 1, 2022 and September 30, 2023 are used to establish the January 2, 2024 assessed values. The Board has the power to make adjustments, as long as the changes are not more than 1% of the total value of the city. The Council heard information presented by the following property owner who appeared in person. • Rod Negus, owner of 23550 Melanie Trail N. (Parcel 05.032.20.14.0007). Mr. Negus stated that the value, which increased by 4.1%, was excessive in comparison to the neighboring property. Mr. Negus informed the Board that the immediate neighboring property owners have made substantial updates to their property which resulted in a lesser 2.3% valuation increase, whereas he has made no improvements and the condition of his property has been deteriorating. Mr. Negus said it is not fair to have increased his valuation without increasing the neighbors’ value to a larger extent. Mr. Negus said this is a discrepancy based on comparable properties. Assessor Poshek said there are many factors in determining a valuation increase, and that Mr. Negus’s property and home are larger in size. Poshek noted that he reduced the building valuation 20% a few years ago for condition issues. Poshek said that there are no building permits on record for the alleged improvements to the property next door, but the neighborhood is scheduled for re-evaluations this year for taxes payable in 2026, and the improvements will be factored into valuations at that time. Poshek said he could recommend an equitable percentage increase of 2.3% for Mr. Negus’s property, resulting in an adjusted valuation to $553,500, a decrease of $11,000 in valuation for 2025 property taxes. Motion by Kronmiller, second by Benson, to reduce the value by $11,000 for equity purposes, from $564,500 to $553,500. Motion carried 4-0. • Rod Negus, owner of 23120 Melanie Trail N. (Parcel 04.032.20.33.0010). Mr. Negus said he has the same appeal that the valuation went up 2.7% without any improvements to the property, whereas other properties in the neighborhood have had substantial improvements without equitable valuation increases. Assessor Poshek said if a similar 2.3% increase were applied to this property, the result would only be a reduction in valuation of $1,400; too negligible to recommend. Mr. Negus said he is asking for a larger reduction due to the property’s condition. Mayor Maefsky recommended Mr. Negus appeal to Washington County. Motion by Maefsky, second by Lubke, to make no change. Motion carried 4-0. No further appeals were heard. April 15, 2024 Scandia City Council Page 2 Poshek presented his list of Assessor Recommendations for changes as follows: • Jay C & Michelle A Engstrom TRS, 20340 Maxwill Ave. N. (Parcel 20.032.20.41.0001). Assessor Poshek said that upon inspection, the shoreland property was overvalued and he adjusted it accordingly. Lubke, seconded by Benson, moved to reduce the value from $964,600 to $827,000. Motion carried 4-0. • Zauner, Gregory A & Denise H, 15171 Pilar Road N. (Parcel 11.032.20.11.0007). Assessor Poshek said that upon inspection, he adjusted the property characteristics for the building. Benson, seconded by Lubke, moved to reduce the value from $452,400 to $440,500. Motion carried 4-0. • Winterlin, Robert J & Diane Y, 20760 Novak Avenue. N. (Parcel 22.032.20.22.0001). Assessor Poshek said he adjusted the land value for equalization. Lubke, seconded by Benson, moved to reduce the value from $802,800 to $787,800. Motion carried 4-0. • Grundtner, Dolores E, 19700 Maxwill Ave. N. (Parcel 29.032.20.14.0041). Assessor Poshek said he lowered the building valuation for a seasonal cabin and adjusted the land valuation. Lubke, seconded by Benson, moved to reduce the value from $719,200 to $598,600. Motion carried 4-0. • Grundtner, Dolores E, (Parcel 29.032.20.14.0040). Assessor Poshek said he adjusted the land value for this 0.5-acre of marshy land that is not buildable, adjacent to the cabin property. Lubke, seconded by Benson, moved to reduce the value from $67,100 to $60,400. Motion carried 4- 0. • Gordon, Lori A Powell, 19303 Parkview Ave. N (Parcel 25.032.20.42.0002). Assessor Poshek said he adjusted the building valuation after inspecting it. Lubke, seconded by Benson, moved to reduce the value from $498,100 to $482,000. Motion carried 4-0. • Gangl, James J & Beverly M, 18460 Norell Ave. N. (Parcel 34.032.20.31.0007). Assessor Poshek said he adjusted the building valuation for a seasonal cabin. Lubke, seconded by Benson, moved to reduce the value from $594,800 to $553,700. Motion carried 4-0. The Board determined that a continuation meeting would not be required. Lubke, seconded by Benson, moved to adjourn the meeting. Motion carried 4-0. The meeting adjourned at 6:20 p.m. Respectfully submitted, Brenda Eklund City Clerk