05-12-21 Local Board of Appeal and EqualizationCITY OF OTSEGO
LOCAL BOARD OF APPEAL AND EQUALICATION
MONDAY, MAY 12, 2021
5:30 PM
OTSEGO PRAIRIE CENTER
Call to Order.
Mayor Jessica Stockamp called the Local Board of Appeal and Equalization reconvened from
April 26. 2021 to order at 5:36 PM.
Roll Call: Mayor Jessica Stockamp; Councilmembers: Brittany Moores, Jeff Dahl and Tina
Goede. City Staff: City Administrator/Finance Director Adam Flaherty; City Planner Daniel Licht;
and City Clerk Audra Etzel. Absent Councilmember Tom Darkenwald.
Also in attendance were Wright County Assessors: Lori Thingvold, Principal Appraiser; Jaimee
Jenson, Property Appraiser; Tamara Anderson, Senior Appraisal Manager; and Michael
Vanderlinden, Property Appraiser.
This meeting is preceding under MN State Statute 13D.021 allowing members to appear by
telephone or video conference due to the ongoing health pandemic and state of emergency.
Those indicated with a (*) attended via video conference.
1. Local Board of Appeal and Equalization (Reconvened from April 26, 2021).
Mayor Stockamp asked Mr. Vanderlinden if there were any new appeals. Mr. Vanderlinden said
he had no new calls. Mayor Stockamp asked if any of the audience had a new appeal. No one
from the public spoke.
Mayor Stockamp motioned to close all new appeals. Seconded by CM Goede. Roll
call: those for; Goede, Moores, Dahl, and Stockamp. Those opposed: None. Motion
carried 4-0.
Review Valuations of Property Owners.
Travis Wims, 118-339-001010, 8853 Kahl Way NE. Mr. Vanderlinden said they reviewed
the photos and appraisal received from Mr. Wims at the last meeting. After plugging numbers
into the sales grid, the value was reduced to $486,000 from $497,000. Mr. Wims was not
present but had verbally agreed to the $486,000 value.
Mayor Stockamp motioned to adjust the value of 118-339-001010 to $486,000.
Seconded by CM Goede. Roll Call: those for; Stockamp, Dahl, Goede, and Moores.
Those opposed: None. Motion carried 4-0.
Mr. Vanderlinden said the next case will be the three parcels next to Coborns:
Charles Kolles, 118-500-221201, 15509 90th Street NE
Katherine Coles, 118-500-221202, 15613 90th Street NE
Bob Albold, 118-500-221207, 15565 90th Street NE.
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Mr. Vanderlinden said the information is contained in the package distributed to the Council.
Wright County is recommending no change in value to the Kolles and Coles parcels. Mr.
Vanderlinden said they are proposing to reduce the Albold's parcel down to $436,200 based on
residential land value rather than commercial land values. Mayor Stockamp asked about the
correction to land codes and asked if the County had spoke to the land owner. Mr.
Vanderlinden said they had spoken with Mr. Albold regarding the value to the $436,200.
Mayor Stockamp said these transition pieces are tough. It is a struggle to change to
commercial value when no one is offering to buy. Entrances being right -in and right -out does
limit those properties. Mayor Stockamp does not support the values for these properties, this is
why they were reduced last year. Mr. Vanderlinden said they did base values solely on
residential sales. If these were sold as residential property today, they would still sell for the
values they have on them.
CM Moores agrees with Mayor Stockamp. The properties are zoned commercial and there is
still a house on the property, and has a hard time justifying the value. Mr. Vanderlinden noted
the lands are currently zoned AG, with a guided use of Commercial. The comp plan guides the
Coles and Kolles parcels as commercial, this is their highest and best use and what they most
likely sell for. The sales grids show the current values as residential are right on target. This is
why they are recommending no changes other than the Albold property.
Mayor Stockamp asked Mr. Vanderlinden if the county -wide residential increase in percentage
was 4.2%? Mr. Vanderlinden said that percentage was for all property types.
Mayor Stockamp doesn't agree with the proposed 2021 values given to these parcels as it is a
unique section of the City. CM Goede, also does not agree with the values and feels the Albold
property should also be lower. CM Moores feels these values are running residents out of their
homes due to the large increases.
Mr. Albold was asked what percentage he was comfortable with? Mr. Albold said a 4.2% would
be fair for residential off of last years value.
Ms. Coles said she would be more comfortable with 1.2%, since her husband is a disabled
veteran and that was his increase.
Mr. Kolles asked if the city has looked at how much commercial property is undeveloped?
Where he sits it's not the best place for commercial. Ms. Anderson put grids together with
residential comps that showed comparable to the value of Mr. Kolles property. Mr. Kolles said
his house is 50 years old. Ms. Jenson said they looked at houses on 5 acres in today's market.
He has no sewer and water. Taxes are proposed to go up. Mr. Kolles has lived here his whole
life, doesn't want to live next to Coborn's. Feels he is being taxed out.
Mayor Stockamp motioned to adjust the value of 118-500-221201 to $279,673.
Seconded by CM Goede. Roll Call: those for; Stockamp, Dahl, Goede, and Moores.
Those opposed: None. Motion carried 4-0.
Mayor Stockamp motioned to adjust the value of 118-500-221202 to $277,485,
seconded by CM Dahl. Roll Call: those for; Stockamp, Dahl, Goede, and Moores.
Those opposed: None. Motion carried 4-0.
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Ms. Anderson asked if this decrease was to the building or land values in the above two
motions? Can leave the building value on and adjust the land value down. Council agreed to
have the land value decreased, not the building value.
Mayor Stockamp motioned to adjust the value of 118-500-221207 to $308,536,
seconded by CM Dahl. Roll Call: those for; Stockamp, Dahl, Goede, and Moores.
Those opposed: None. Motion carried 4-0.
Matthew Thell, 118-500-333205, 14186 62nd Street NE
Mr. Vanderlinden was not able to find any sales for this type of property, because it would
landlock the property. Did find other smaller properties. Recommending no change in the
$3,600 value.
Mayor Stockamp said the value was $100 and went to $3,600. Looking at the combined values
of both properties the total increase was just over 3.75%
Primary parcel with house is 5 acres PID 118500332209 $225,700 for 2021 / 221,100 for 2020
Secondary parcel with driveway is 1/2 acre PID 118500333205 $3,600 for 2021 / $100 for 2020
Mr. Thill said he owns two parcels of land. The additional parcel is one acre and it is mostly
swamp and he needs to add gravel to keep up with the sinkholes. Further, the driveway parcel
is not good buildable land. Understands the taxes on the five acres, and would be fine with a
4% increase to his driveway parcel. Only wants to discuss the driveway parcel, not the 5 acres.
Mayor Stockamp asked if this is the last $100 parcel within the City of Otsego. Mr.
Vanderlinden said Wright County is working to eliminate these $100 values, as the $100 is not
representative of the value. Rural waste is valued at $7,200 per acre, in the 6-10 acres tier.
Suggested administrative combination of the two parcels, value would be similar, still in the
same 6 -10 -acre tier.
Planner Licht said a surveyor would be needed to draft legal description to combine and the city
would review and file.
The City Council all agreed it would be easier to combine both parcels. Mr. Vanderlinden noted
this is a different methodology, treated as part of the main parcel. Mr. Thell will use the next
year to combine the two parcels.
CM Stockamp motioned to adjust the value of 118-500-333205 to $100, seconded
by CM Moores. Roll Call: those for; Goede, Stockamp, Moore, and Dahl. Those
opposed: None. Motion carried 4-0.
Girard Zachman, 118-500-333100, 6495 Odean Avenue NE,
Mr. Vanderlinden was not able to find similar sales. A copy of the utility easement was included
for review. Recommends no change to value of $3,700 from 2021, up $300 from $3,400.
Mayor Stockamp asked why the increase, classed as AG land, did rates go up? Mr.
Vanderlinden said this parcel is classed as AG and the rates for AG did go up; everyone was
treated the same.
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Planner Licht said he did review the easement agreement regarding the complaints. The street
is not to encroach onto his property and there is not a requirement for the City to construct a
turnaround at the end. Planner Licht noted he has reached out to the property owner at the
end of the roadway to discuss an acquiring an easement and a needed for a turnaround. Every
time it is graded, the gravel can migrate. Mayor Stockamp asked to make sure that city staff
are not going onto his property.
CM Stockamp motioned no change to the value of 118-500-333100, seconded by CM
Moores. Roll Call: those for; Goede, Stockamp, Moore, and Dahl. Those opposed:
None. Motion carried 4-0.
Clem Darkenwald 118-500-262100
Mr. Vanderlinden noted this parcel is 7 3/4 acres on the river with a building entitlement. They
did find some recent sales of residential building lots, none with riverfront. Adjustments made
were for size and available utilities. The value indicated by sales comparison was $206,000.
Recommending no change to $196,900.
Mayor Stockamp asked if a property owner is still not happy with the value, can they still
appeal? Mr. Vanderlinden said they could appeal at the Wright County meeting in June.
CM Dahl motioned no change to the value of 118-500-262100, seconded by CM
Goede. Roll Call: those for; Goede, Stockamp, Moore, and Dahl. Those opposed:
None. Motion carried 4-0.
Jeffrey & Colleen Nelson, 118-271-001120, 17052 58th Court NE
Mr. Vanderlinden had several comparable sales identified. After making adjustments, the
indicated value with a complete finished basement in comp grid was $411,930, Mr. Nelson
received a value notice of $412,000. Mr. Vanderlinden recommends $402,300 due to less of
the basement being completed.
Mr. Nelson wanted a value of $394,000, based on the value of what has been completed in the
basement. Last meeting looked at the other houses on his cud -du -sac. The other 15 homes
and the difference between 2020 and 2022 the average was ($13,500 less. Looking at same
numbers for his property, they are $32,000 more. Mr. Vanderlinden noted the $32,000 includes
$14,500 for partial value for basement finish, the reduced partial value. No sales have taken
place on his street since 10/1/2019. Mr. Nelson asked where does the other $18,000 comes
from. Mr. Vanderlinden noted the other changed the grade change quality indicator. 8.5 during
normal view, Mr. Nelson's was at an 8 grade. Mr. Nelson feels the increase is still too high.
Basement has two small finished rooms with 250 square feet finished. Mr. Vanderlinden noted
this is not considered a finished basement.
Council discussed and felt a 5% increase was fair with the added value.
Mayor Stockamp motioned adjust the value for 118-271-001120 to $398,160,
seconded by CM Moores. Roll Call: those for; Goede, Stockamp, Moore, and Dahl.
Those opposed: None. Motion carried 4-0.
The Mayor thanked the county and residents.
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2. Adjourn.
Mayor Stockamp motioned to adjourn the meeting at 6:56 PM, seconded by CM
Goede. Roll Call: In favor; Goede, Stockamp, Moores and Dahl. Against: none.
Motion carried 4-0.
ATTEST:
Audra Etzel, City Clerk
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Ma r Jessica Stockamp
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