Chapter 3.12
PROPERTY TAXES
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Sections:
3.12.010 Property subject to taxation generally.
3.12.022 Taxation of real property.
3.12.030 Property exempt from taxation.
3.12.033 Structures containing fire protection systems partial exemption from taxation.
3.12.040 Additional exemptions.
3.12.050 Community purpose property exemption.
3.12.060 Determination of annual levy, due dates, etc.—Limitation on amount of levy.
3.12.070 Assessment procedure generally—Preparation of assessment roll.
3.12.072 Violations—Penalties.
3.12.080 Reevaluation.
3.12.090 Contents of assessment roll.
3.12.100 Notices of assessment—Corrections in assessment roll by assessor.
3.12.110 Appeals to board of equalization.
3.12.120 Board of equalization—Composition and procedure.
3.12.125 Board of equalization procedure for complex appeals.
3.12.126 Record—Discovery—Motions—Written presentation—On complex appeals.
3.12.130 Completion of assessment roll—Records of board of equalization—Certification of assessment roll.
3.12.140 Appeals to superior court.
3.12.150 Supplementary assessment rolls.
3.12.160 Delivery of assessment roll to city council; validity of assessment rolls.
3.12.170 Determination of tax rate and delinquent date—Tax statements—Penalties for delinquent payment.
3.12.180 Deadlines for rate of levy determinations and tax statement mailing.
3.12.190 Delinquent tax roll—Foreclosure lists—Payment of taxes prior to sale—Giving of notices.
3.12.200 Enforcement of tax liens.
3.12.210 Foreclosure on personal property.
3.12.010 Property subject to taxation generally.
All property not expressly exempt by the city, or exempted from taxation by the city under federal or state constitutional provisions, shall be subject to annual taxation at its full and true value based upon the actual value of the property assessed. (Prior code § 25-1)
3.12.022 Taxation of real property.
A. Property Subject to Taxation. For the purposes of this chapter, real property subject to taxation includes, among other things, trailers and mobile homes, and lean-to and similar structures attached or contiguous thereto. The property taxes levied against mobile homes and trailers classified as real property may be collected in accordance with the procedures established for collection of personal property taxes within the city.
B. Trailers and Mobile Homes. The words “trailers and mobile homes” include all forms of housing adaptable to being moved by a power connected thereto, and which are or can be used for residential, business, commercial or office purpose; provided, however, that those trailers which are:
1. Used for camping or recreational purposes only; or
2. Not affixed to the site and not connected with utilities, shall be considered to be personal property and exempt from taxation.
C. Conclusive Presumption. A trailer or mobile home is conclusively presumed to be affixed to the land and real property for the purposes of taxation when it has remained at a fixed site for more than ninety days.
D. Ownership. When the ownership of a trailer or mobile home and attachments and appurtenances is different from the land upon which it rests, the city may, in its discretion assess and tax the ownership separately. (Ord. 08-07 § 1; Ord. 99-17 § 2)
3.12.030 Property exempt from taxation.
A. The following property is exempt from general taxation:
1. Property exempted by state or federal law including all properties listed in AS 29.45.030;
2. All other personal property not subject to taxation under Section 3.12.020(A)(1);
3. The real property owned and occupied as the primary residence and permanent place of abode by a: (i) resident sixty-five years of age or older; (ii) disabled veteran; or (iii) resident at least sixty years old who is the widow or widower of a person who qualified for an exemption under subsection (A)(3)(i) or (ii) of this section, is exempt from taxation on the first one hundred fifty thousand dollars of the assessed value of the real property. The city may, in the case of hardship, provide for exemption beyond the first one hundred fifty thousand dollars of assessed value in accordance with 3 AAC 135.040(c), as hereafter amended. Only one exemption may be granted for the same property and, if two or more persons are eligible for an exemption for the same property, the parties shall decide between or among themselves who is to receive the benefit of the exemption. Real property may not be exempted under this subsection if the assessor determines, after notice and hearing to the parties, that the property was conveyed to the applicant primarily for the purpose of obtaining the exemption. The determination of the assessor may be appealed as set forth in Section 3.12.110 of this code.
a. An exemption may not be granted under subsection (A)(3) of this section except upon written application for the exemption on a form approved by the State Assessor for use by local assessors. The claimant must file a separate application for each assessment year in which the exemption is sought. The claimant must file the application no later than January 15th of the assessment year for which the exemption is sought. If an application is filed within the required time and is approved by the assessor, the assessor shall allow an exemption in accordance with the provisions of this section. The city council for good cause shown may waive during a year the claimant’s failure to make timely application for exemption for the current year and authorize the assessor to accept the application as if timely filed. If a failure to file by January 15th of the assessment year has been waived as provided in this subsection and the application for exemption is approved, the amount of tax that the claimant has already paid for the assessment year for the property exempted shall be refunded to the claimant. The assessor shall require proof in the form the assessor considers necessary of the right and amount of an exemption claimed under subsection (A)(3) of this section. The assessor may require proof under this section at any time. (Ord. 07-12 § 1 (part); Ord. 02-16 § 1; Ord. 99-17 § 3)
3.12.033 Structures containing fire protection systems partial exemption from taxation.
A. An amount equal to two percent of the assessed value of a structure is exempt from municipal property taxation if the structure contains a fire protection system approved under AS 18.70.081 that is in operating condition and is incorporated as a fixture of a structure.
1. The amount of the exemption shall be equal to two percent of the assessed value of the structure based on the assessment as of January 1st of the first year in which an application is submitted and approved pursuant to subsection B of this section.
2. An application for exemption will be denied if the fire protection system was not installed and operational prior to January 1st of the year for which the application is submitted.
3. The amount of the exemption shall be fixed for all subsequent years for which the system qualifies for the exemption at the amount initially established in the first year an application is submitted and approved.
B. An exemption may not be granted under this section except upon written application on a form provided by the city of Valdez. The application must be filed no later than January 15th of the year for which the exemption is sought.
C. Failure to comply with the conditions in subsections A and B of this section will result in the exemption being deemed invalid for the subject property. In order to verify that the property is in compliance with subsection A of this section, the city shall require verification annually by the property owner no later than January 15th of the assessment year. (Ord. 07-12 § 1 (part); Ord. 03-07 §§ 1, 2; Ord. 02-27 § 1)
3.12.040 Additional exemptions.
Thirty percent of the assessed value, up to a maximum of twenty thousand dollars, of a principal residence owned and occupied by the taxpayer is exempt from taxation. Property tax exemptions shall be governed by AS 29.45.050, as of January 1, 2007, or as may be hereafter amended. (Ord. 07-01 § 1: prior code § 25-2.2)
3.12.050 Community purpose property exemption.
The property of an organization not organized for business or profit-making purposes and used exclusively for community purposes may be exempt from taxation under this chapter. That portion of the property regularly used for commercial purposes other than the organization’s exempt purpose shall be subject to taxation by the city. In order to qualify for this exemption, the applicant must file a written application for the exemption no later than January 15th of each assessment year for which the exemption is sought. The application shall be on a form prescribed by the city and shall include all information determined necessary by the city to determine the character of the organization and the nature of the uses made of the property. An exemption granted under this section shall be only for the assessment year for which the exemption is sought. (Ord. 07-12 § 1 (part); Ord. 96-12 § 1: prior code § 25-2.3)
3.12.060 Determination of annual levy, due dates, etc.—Limitation on amount of levy.
The rate of levy of tax, the date of equalization of the tax and the date when taxes shall become delinquent shall be fixed by resolution of the city council, and the levy for school and municipal purposes shall be separately made and fixed, but the aggregate thereof shall not exceed two percent of the assessed value of the property assessed. This limitation does not apply to taxes required to fund the cost of judgments entered against the city or pledged to pay or secure the payment of the principal and interest on bonds. Taxes to pay or secure the payment of principal and interest on bonds may be levied without limitation as to rate or amount regardless of whether the bonds were in default or in danger of default. (Prior code § 25-3)
3.12.070 Assessment procedure generally—Preparation of assessment roll.
A. All taxable property shall be assessed at its true and full value, and all assessments shall be uniform and equal and based upon the actual value of the property assessed. The “full and true value” is the estimated price which the property would bring in an open market and under the then prevailing market conditions in a sale between a willing seller and a willing buyer both conversant with the property and with prevailing general price levels.
B. The city assessor shall annually assess and list on a tax roll all real property in the name of the person by whom it is owned on the first day of January. If no owner or claimant to the property can be discovered, the property shall be assessed to the unknown owner.
C. The assessor shall complete the listings for the annual assessment roll of all real property within the city before March 1st, or other such date as may be established by the city council each year. The listing of all taxable property may be made upon permanent separate ledger cards which will be the combined assessment roll and tax ledger. Real property shall be assessed to the owner of record as shown in the records of the recorder of the district; provided, that any other person having an interest in the property may be listed on the assessment records with the owner. The person in whose name any property is listed as owner thereof shall be conclusively presumed to be the legal owner of record. If the owner of land is unknown, such land may be assessed to an “Unknown Owner” or “Unknown Owners.” No assessment shall be invalidated by a mistake, omission or error in the name of the owner of the real property assessed, if the property is correctly described.
D. The assessor may list real property located in any subdivision by lot and block or tract description, and unsubdivided property according to the land office section and township survey description, or by giving the boundaries thereof, or by reference to the book and page of the records of the recorder where the description may be found or by designation of tax lot number, referring to a public record kept by the assessor of descriptions of real property, or in such other manner as to cause the description to be capable of being made certain. Initial letters, abbreviations, fractions and exponents to designate the township, range, section or part of a section, or the number of any lot or block or part thereof, or any distance, course, bearing or direction, may be employed in any such description of real property.
E. The assessor may require each person having ownership or control of or an interest in property to submit a return in the form prescribed by the assessor, based on property values existing on January 1st, except as otherwise provided in this chapter. By written notice, the assessor may require a person to provide additional information within thirty days.
F. The assessor is not bound to accept a return as correct. The assessor may make an independent investigation of property returns or of taxable property on which no return has been filed. In either case, the assessor may make the assessor’s own valuation of the taxable property and this valuation is prima facie evidence of the value of the property.
1. For investigation, the assessor or the assessor’s agent may enter a premises during reasonable hours and may examine property on the premises. The assessor or the assessor’s agent may examine all property records involved. A person shall, on request, furnish to the assessor or the assessor’s agent every facility and assistance for the investigation. The assessor may seek a court order to compel entry and production of records needed for assessment purposes.
2. An assessor may examine a person on oath. On request, the person shall submit to examination at a reasonable time and place selected by the assessor. (Ord. 99-17 §§ 4, 5; prior code § 25-4)
3.12.072 Violations—Penalties.
For knowingly failing to file a tax statement required by the assessor, or knowingly making a false statement required by this chapter relative to the amount, location, kind or value of property subject to taxation with intent to evade the taxation, a person having ownership or control of or an interest in the property subject to taxation shall be subject to a fine up to one thousand dollars or imprisonment for ninety days. (Ord. 99-17 § 6)
3.12.080 Reevaluation.
A systematic reevaluation of taxable real and personal property undertaken by the assessor, whether of specific areas in which real property is located or of specific classes of real or personal property to be assessed, shall be made only in accordance with a resolution or other act of the city council directing a systematic reevaluation of all taxable property within the city over the shortest period of time practicable, as determined by the city council and fixed in the resolution or other act of the council. (Prior code § 25-4.1)
3.12.090 Contents of assessment roll.
The assessor shall prepare an annual assessment roll, in duplicate, upon which he shall enter the following particulars:
A. The names of all persons with property liable to assessment and taxation;
B. A description of all taxable property;
C. The assessed value, quantity or amount of such property. (Ord. 96-02 § 1: prior code § 25-5)
3.12.100 Notices of assessment—Corrections in assessment roll by assessor.
A. The assessor shall give to every person named in the assessment roll a notice of assessment, showing the assessed value of his property, at least thirty days before the equalization hearings. On each assessment notice shall be printed the dates when the board will sit for equalization purposes and any other particulars specified by the city council. The assessment notice shall be directed to the person to whom it is to be given, and shall be sufficiently given if it is mailed by first class mail addressed to, or is delivered at, his address as last known to the assessor, or if the address is not known to the assessor, the notice may be addressed to the post office nearest to the place where the property is situated. The date on which the notice is mailed, or if delivered by a city official or employee then on the date of such delivery, shall be deemed to be the date on which the notice is given.
B. When valuation notices have been mailed, the assessor shall cause notice that the assessment rolls have been completed to be published in a newspaper of general circulation once each week for two successive weeks. In the event no newspaper of general circulation is published in the city, the assessor shall cause such notices to be posted at two public places for a period of two weeks. Such notice shall also state when and where the equalization hearings shall be held, and that an appeal may be taken to the board of equalization upon the filing of notice, in writing, with the board specifying the grounds for the appeal.
C. The assessor may correct any error or supply any omission made or arising in the preparation of the assessment roll at any time before the sitting of the board of equalization. It shall be the duty of every person receiving a notice of assessment to advise the assessor of any error or omission he may have observed in the assessment of his property, in order that the assessor may correct the same.
If errors found in the preparation of the assessment roll are adjusted, the assessor shall mail a corrected notice allowing thirty days for appeal to the board. (Ord. 96-02 § 2; prior code § 25-6)
3.12.110 Appeals to board of equalization.
A. A property owner or agent or assign of the property owner may appeal to the board of equalization for relief from an alleged error in valuation not adjusted by the assessor to the property owner’s satisfaction. Whenever it appears to the board that there are overcharge or errors or invalidities in the assessment roll, or in any of the proceedings leading up to or subsequent to the preparation of the roll, and there is no appeal before the board by which the same may be dealt with, or where the name of any person is ordered by the board to be entered on the assessment roll, by way of addition or substitution, for the purpose of assessment, the board shall cause notice of assessment to be mailed by the assessor to that person or his agent giving him at least thirty days from the date of such mailing within which to appeal to the board against the assessment.
B. A written appeal, specifying the grounds for the appeal, shall be filed with the board of equalization within thirty days after the date on which the assessor’s notice of assessment was given to the person appealing. The appeal must state the name of the owner and a legal description of the property. If the party making the request is an assign of the record owner, documentation of the assignment must bear a stamp reflecting the recording district and the book and page number or serial number of the recorded assignment. If the party making the request is an agent of the property owner, the property owner’s signature granting the authority must be notarized and attached to the request. For purposes of this section, the appeal is submitted on the date it is received in the office of the city clerk. Appeal forms shall be available from the city clerk’s office. Such notice shall contain a certification that a true copy thereof was mailed or delivered to the assessor. If notice of appeal is not given within that period, the right of appeal shall cease as to any matter within the jurisdiction of the board, unless it is shown to the satisfaction of the board that the taxpayer was unable to appeal within the time so limited. A copy of the notice of appeal shall be sent to the assessor as above indicated.
C. Taxpayer request for a finding that the taxpayer was unable to comply with the timely filing requirement of subsection B of this section.
1. A property owner or agent or assign of the property owner may request a finding that the taxpayer was unable to comply with the requirement to timely file an appeal as required in subsection B of this section by filing a written request with the city clerk within fourteen days after the inability to comply ceased or within fourteen days after the taxpayer should have become aware of the reason for filing the appeal, whichever is earlier.
2. The request for a finding of inability to comply must be based upon a serious condition or event beyond the taxpayer’s control that resulted in the inability to timely file the appeal. For purposes of this subsection, a serious condition or event may include a serious medical condition or other similar serious condition or event that prevented the taxpayer from timely filing the appeal. Absent extraordinary circumstances, a failure to pick up or read mail or to make arrangements for an appropriate and responsible person to pick up or read mail or a failure to timely provide a current address of the assessor will not be deemed to result in an inability to comply.
3. A request for a finding of inability to comply is limited to an appeal of the notice of assessment for the current assessment year.
4. The written request must be submitted on a request form supplied by the city clerk and must include the following:
a. Name of the property owner or agent or assign of the property owner;
b. The parcel number of the property;
c. If the party making the request is an assign of the record owner, documentation of the assignment must bear a stamp reflecting the recording district and the book and page number or serial number where the assignment is recorded;
d. If the party making the request is an agent of the property owner, the property owner’s signature granting the authority must be notarized and attached to the request;
e. A description of the justification for the request must be subscribed and sworn or affirmed before a notary public or other official with similar authority by the property owner or duly authorized agent or assign;
f. Information sufficient to determine whether the request has been submitted within the time stated in subsection (C)(1) of this section;
g. An attached and properly completed and executed appeal form alleging one or more of the grounds for appeal stated in subsection E of this section.
5. A request bearing insufficient justification or information for evaluation constitutes a basis for final denial of the request by the board of equalization.
D. Determination by the chair whether a late file appeal meets the requirements for consideration by the board of equalization and procedure for board evaluation of the merits of the asserted justification and for scheduling a required hearing.
1. With the exception of determining the merits of the justification, the chair is delegated the authority to review the request for compliance with subsection (C)(4) of this section. If the chair determines that the request does not meet the requirements for consideration by the board, the chair will so indicate on the request, and that decision shall be final unless the chair refers the question to the full board. If referred to the full board, proper notice must be given. The decision by the chair or the full board shall be final. The taxpayer shall have the right to appeal a negative decision under the rules of appellate procedure governing appeals from administrative agency decisions.
2. If the chair or the full board finds that the request meets the requirements for consideration of the inability to comply question by the board of equalization, the chair will so indicate on the request. The city clerk shall notify the party making the request and shall schedule a time for the board of equalization to convene to consider merits of the request for a finding of inability to comply. The meeting shall be scheduled by the city clerk after consultation with the assessor and at the direction of the board of equalization chair. The property owner or agent or assign of the property owner and the assessor shall be permitted to present additional evidence or testimony. The board may require additional evidence or testimony. The proceeding shall be recorded and all evidence must be submitted under oath.
3. If the board of equalization determines that the taxpayer has not proven an inability to comply, an appeal of the assessment to the board of equalization will not be allowed, and that decision shall be the final decision of the board of equalization. The city clerk shall notify the parties in writing.
4. The taxpayer and city shall have the right to appeal a decision under subsections C and D of this section to court under the rules of appellate procedure governing appeals from administrative agency decisions.
5. If the board of equalization determines that the appellant was unable to comply, the city clerk shall schedule a hearing for the appeal and give the notices required by subsection F of this section. The matter shall proceed as provided in this chapter.
E. The grounds for appeal are: unequal, excessive, improper or under valuation of the property not adjusted by the assessor to the property owner’s satisfaction, or an error in ownership or classification of property. The potential validity or invalidity of asserted errors in assessment shall have no bearing on the determination of whether the taxpayer was unable to timely file an appeal.
F. After the time for filing valuation appeals has expired and after consultation with the assessor, and at the direction of the chair of the board of equalization, the city clerk shall schedule meetings of the board of equalization. The city clerk on behalf of the assessor shall notify each appellant by mail of the time and place of hearing and board of equalization procedures at least fifteen days before the evidence or documents required by Section 3.12.126(A) and (B) must be provided to the city clerk. A party can request a continuance of hearing only for good cause and the continuance must be requested no later than fifteen days prior to the hearing date unless the reason for the continuance is a serious condition or event that prevented a timely request or that arose after the deadline. For the purposes of this subsection, a serious condition or event may include a serious medical condition, a serious family emergency requiring the presence of the party, a death in the family, or other similar serious condition or event. Additionally, a continuance shall not be granted if it will cause substantial prejudice to the other party. The chair of the board of equalization is given the discretion to determine whether to grant a request for a continuance. A continuance, however, does not extend the deadline for any party to file any documents or evidence under Section 3.12.126(A) or (B), if the application was not filed with the city clerk before the original deadline for filing such documents or evidence. If the application for a continuance was filed before the original deadline for filing documents and the application is denied, the application for a continuance will not extend the original deadline for filing documents. A hearing shall be scheduled for all notices of appeal unless the notice is clearly not based on one or more of the grounds stated in subsection E of this section as determined by the board of equalization chair. When a hearing is not scheduled, the city clerk shall notify the person who submitted the notice that a hearing will not be scheduled.
G. Upon receipt of the notice of appeal, the assessor shall make a record of the same in such form as the city council may direct, which record shall contain all the information shown on the assessment roll in respect of the subject matter on the appeal, and the assessor shall place the same before the board of equalization from time to time as may be required by the board. The board shall cause a notice of the sitting at which the appeal is to be heard to be mailed by the assessor to the person by whom the notice of appeal was given, and to every other person in respect of whom the appeal is taken, to their respective addresses last known to the assessor.
H. The property owner may appear and participate in an appeal of an assessment by a city.
I. The city may appeal an assessment to the board of equalization in the same manner as a taxpayer. Within five days after receipt of the appeal, the assessor shall notify the person whose property assessment is being appealed by the city. (Ord. 08-07 § 2: prior code § 25-7)
3.12.120 Board of equalization—Composition and procedure.
A. The city council sits as the board of equalization for the purpose of hearing an appeal from a determination of the assessor, or it may delegate this authority to one or more boards appointed by it. An appointed board may be composed of not less than three persons, who shall be members of the city council, city residents, or a combination of city council members and residents. Qualifications for membership shall be established by ordinance.
B. The board may alter an assessment of a lot only pursuant to an appeal filed as to the particular lot.
C. Notwithstanding other provisions in this section, a determination of the assessor as to whether property is taxable under law may be appealed directly to the superior court.
D. Hearing.
1. An appeal before the board of equalization shall be conducted in accordance with the procedures adopted by the board, in addition to the following rules:
a. Failure of Appellant to Appear. If an appellant fails to appear in person, the board of equalization may proceed with the hearing.
b. Oath to Be Administered. Anyone testifying before the board shall be administered an oath prior to giving testimony.
c. Record. The city clerk shall be ex officio clerk of the board and shall keep verbatim stenographic records or electronic recordings of the board’s proceedings, showing the vote of each member on every question and all of the evidence presented.
d. Counsel. All parties may be represented by counsel during hearings before the board. The city attorney may offer legal counsel to the board in the course of its proceedings.
e. Burden of Proof. The burden of proof rests with the appellant. The only grounds for adjustment of an assessment are unequal, excessive, improper or under valuation based on the facts that are stated in a valid written appeal or provided at the appeal hearing. If the valuation is found to be too low, the board of equalization may raise the assessment. The city shall make available to the appellant all reasonably pertinent documents requested for presentation of the appeal.
f. Rules of Evidence. The hearing of an ordinary routine appeal shall be conducted informally. The board shall not be restricted by the formal rules of evidence; however, the chair may exclude evidence irrelevant to the issues appealed. Hearsay evidence may be considered, provided there are adequate guarantees of its trustworthiness and that it is more probative on the point for which it is offered than any other evidence which the proponent can procure by reasonable efforts.
g. Ordinary Routine Appeal. In a hearing for an ordinary routine appeal, each side shall have a total of no more than thirty minutes to present their case. Each side shall be responsible for dividing their thirty minutes between oral presentation, argument, testimony (including witness testimony), and rebuttal. The board may expand or limit the length of the hearing depending on its complexity, or take other action to expedite the proceedings.
h. Complex Appeal. In the event of a complex appeal, the chair may elevate the appeal to include a more formal hearing. If an appeal is determined by the chair to be complex, then the appeal process will follow the procedures outlined in Sections 3.12.125 and 3.12.126.
i. Order of Presentation. The appellant shall present argument first. Following the appellant, the assessor shall present the city’s argument. The appellant may, at the discretion of the chair, make rebuttal presentations directed solely to the issues raised by the assessor. The members of the board may ask questions through the chair of either the appellant or the assessor at any time during the hearing.
j. Witnesses and Exhibits. The appellant and the assessor may offer oral testimony of witnesses and documentary evidence during the hearing. All testimony before the board shall be under oath.
k. Board to Issue Findings. Upon presentation of all testimony, the board may conclude the hearing and determine whether the assessment is proper. The board shall issue findings of fact and conclusions of law clearly stating the grounds upon which the board relied to reach its decision.
l. Certification. The board of equalization shall certify its actions to the assessor within seven days. Except as to supplementary assessments, the assessor shall enter the changes and certify the final assessment roll by June 1st.
m. Additional Rules and Procedures. Other procedures and rules of operation may be adopted by the board of equalization.
n. Appeal of Board Decision. The appellant or the assessor may appeal a decision of the board to the superior court within thirty calendar days in accordance with the Alaska Rules of Appellate Procedure. (Ord. 08-07 § 3: Ord. 98-08 § 1)
3.12.125 Board of equalization procedure for complex appeals.
A. All appeals must be heard and decided before June 1st, unless the board finds a hearing after this date will not prejudice the appellant and the delay is administratively justified or the appellant has requested a later hearing date. The board must also find that the proposed hearing date will enable the assessor to substantially comply with the requirements that the assessment roll be certified by June 1st. The meetings of the board may be scheduled either on weekends, during business hours, or during evening hours. In no event may an appeal hearing begin after midnight and the board shall adjourn no later than one a.m. In the event that an appeal hearing is continued, the chair shall schedule a date and time for continuance of the appeal hearing.
B. A quorum of the board must be present in order for the board of equalization to convene and take action. Actions of the board shall be by the majority of members present.
C. The chair shall preside over the board hearing. In the absence of the chair, the vice-chair shall preside. If both are absent, the members present shall select a person to preside. The city clerk shall attend the hearings to record the proceedings, record votes, administer the oaths to witnesses, and prepare the decision forms. The city attorney or designee shall attend the hearing to advise the board.
D. The chair shall open the board session by calling the board to order, reading a summary of procedures for the board, and by calling each appellant’s name and asking if the appellant or representative is present. The chair shall bring each appeal before the board in the order scheduled by the city clerk.
1. Agenda. Each appeal shall be conducted in the following order:
a. Summary of assessment data (read into the record by the clerk);
b. Appellant’s opening presentation;
c. Assessor’s opening presentation;
d. Rebuttal by the appellant;
e. Rebuttal and closing by the assessor;
f. Sur-rebuttal and closing by the appellant.
E. If the appellant or representative is not present when called, the board shall consider any written presentation, evidence, and documents presented to it pursuant to Section 3.12.120(D)(1)(a) and thereafter proceed according to the remaining applicable provisions of this chapter.
F. All persons presenting evidence shall do so under oath, administered by the clerk.
G. Hearing.
1. The hearing shall be conducted informally with respect to the introduction of evidence. Irrelevant evidence may be excluded by the presiding officer. Each side shall have a total of no more than sixty minutes to present their case. Each side shall be responsible for dividing their sixty minutes between oral presentation, argument, testimony (including witness testimony), and rebuttal. The board may expand or limit the length of the hearing depending on its complexity, or take other action to expedite the proceedings. Cross-examination will not be permitted during presentation of the case. If a witness testifies during presentation of either the appellant’s or the assessor’s case, unless excused by the board with the concurrence of the appellant and the assessor, the witness must remain available in the council room to be called to testify during rebuttal by the appellant and the assessor.
2. Exhibits. The only exhibits that shall be admitted into the record at the hearing are those exhibits provided to the city clerk in accordance with Section 3.12.126(B) through (D). However, at the hearing, parties may use demonstrative or illustrative exhibits; provided, that all such exhibits may only be duplicates of exhibits or information provided to the board in accordance with Section 3.12.126(B) through (D). Additionally, witnesses may write on a board while orally testifying to illustrate their testimony. The limitation on the use of exhibits in this section shall not preclude the parties from presenting oral testimony at the hearing.
3. Failure to Respond to Requests. Failure to timely provide information requested pursuant to these rules without good cause shown shall, upon notice from the requesting party to the city clerk and the other party, prevent the party failing to provide the information from including such information in the written evidence or using such evidence at the hearing. Before a ruling is issued on this matter, the party failing to provide the requested information shall be provided with a reasonable opportunity by the board chair to present its case as to why this sanction should not be imposed, and the opposing party shall have a reasonable opportunity to respond.
H. The chair shall first present a brief, factual summary of assessment data concerning the appealed property. This summary is not charged against the time allowed the assessor to present his or her case.
I. The appellant or representative then presents the appellant’s case when called by the chair. At this time the appellant may call the assessor or appropriate appraiser or any other witnesses the appellant intends to present as a witness at this time. The scope of direct questioning is limited to the issues in dispute. Should the appellant wish, and prior to beginning the presentation, a portion of the sixty minutes allowed may be reserved for rebuttal, sur-rebuttal, and closing arguments. At the conclusion of the appellant’s presentation, board members may question the appellant or their witnesses.
J. The assessor or designee then presents the city’s case when called by the chair. At this time the assessor may call the appellant or any other witnesses the assessor intends to present as a witness. The scope of direct questioning is limited to the issues in dispute. Should the assessor wish, and prior to beginning the presentation, a portion of the sixty minutes allowed may be reserved for rebuttal and/or closing argument. At the conclusion of the assessor’s presentation, board members may ask questions of the assessor or their witnesses.
K. The time required to answer questions from the board shall not be charged against either party.
L. If the appellant or the assessor has reserved a portion of their sixty minutes, each may then present rebuttal evidence, with the appellant proceeding first. The appellant and assessor may call and cross-examine each other’s witnesses during rebuttal. The scope of cross-examination is limited to the issues raised in direct questioning.
M. The assessor may recommend changes to the existing value during the hearing.
N. After the appellant and assessor have presented their cases, the hearing shall be closed by the chair, and no further evidence shall be offered or considered in deliberations unless a member of the board of equalization asks for additional information from either party. Both parties shall be given an equal opportunity to respond to any such requests for additional information.
O. The board may decide the appeal after the presentations, or it may defer a decision until no later than the last hearing date. Final board action shall be taken by motions that set out specific findings of fact, and shall not be reconsidered, amended or rescinded by the board. The motions available to the board are: motion to uphold the assessor’s valuation, motion to reduce the assessment, motion to increase the assessment, motion to dismiss the appeal, motion to defer the decision, or any other motion set out in Alaska statutes and regulations governing board of equalization appeals. Only one motion may be on the floor at a time, and the board shall vote on the motions until its findings are established. The vote must be taken and entered into the permanent record of the proceedings.
P. The burden of proof is on the appellant. The only grounds for the board to adjust the assessment are proof of unequal, excessive, improper, or under valuation, based on facts proven at the appeal hearing. The board may not alter the assessment of a property unless a timely written appeal has been filed concerning the property. If an appellant has refused or failed to provide the assessor or the assessor’s agent full access to property or records related to assessment of the property, upon notice from the assessor to the appellant and the city clerk, the appellant shall be precluded from offering evidence on the issue or issues affected by that lack of access. Before a ruling is issued on the admissibility of such evidence, the appellant shall be provided with a reasonable opportunity by the board chair to present its case as to why this sanction should not be imposed, and the assessor shall have a reasonable opportunity to respond.
Q. After the last scheduled appeal is heard, the chair shall adjourn the session.
R. The city clerk shall prepare and certify the decisions of the board, and shall keep the decisions on file as part of the public record. The city clerk shall promptly mail a copy of the board’s decision to each appellant, by certified mail, and deliver a copy to the assessor.
S. Either the appellant or the assessor may appeal the decision of the board to the superior court in the Valdez venue district, within thirty days of the date of mailing of the board’s decision, as provided by the rules of appellate procedure governing appeals from administrative agency decisions. The record on appeal is the record established at the board hearing.
T. All parties or their agents and witnesses must appear in person at the board of equalization hearing unless good cause is shown, such as a serious medical condition that prevents travel. (Ord. 08-07 § 4)
3.12.126 Record—Discovery—Motions—Written presentation—On complex appeals.
A. Discovery. No more than thirty days after a written appeal is filed, the assessor and the appellant may submit interrogatories and requests for production to the other party. All such interrogatories and requests must seek information relevant to the valuation of property. A party may not submit more than ten interrogatories and ten requests for production, including all discrete subparts of each interrogatory and request for production, to the opposing party. Responses shall be due no later than ten days after the request has been served by fax, in person, or mail upon the opposing party. For good cause shown, the board chair may grant additional time to respond and authorize additional interrogatories and requests for production. In determining good cause for this purpose, the chair shall consider the burden and expense on the party to timely produce the requested information, whether the party seeking the extension has exercised due diligence in attempting to respond timely, whether the party seeking additional information has exercised due diligence in attempting to gain the necessary information from other sources, the complexity of the case, prejudice to the other party for allowing additional time and/or requests for information, and other factors deemed relevant by the chair. Any request for an extension or for additional discovery that is granted to one party shall also be equally granted to the other party. In any event, all responses must be delivered to the requesting party no later than twenty days before the board hearing on the appealed assessment.
B. Upon receipt of a written appeal, the assessor shall provide documents or evidence relating to each assessment that is appealed, including a summary of assessment data, to the city clerk, for the board of equalization, no later than fifteen days before the board hearing on the appealed assessment. Pages shall be marked as assessor’s exhibits and numbered. The city clerk shall mail a copy of the documents or evidence to the appellant by first class mail within one business day of receipt.
C. The appellant shall provide a copy of any documents or evidence relating to the assessment being appealed to the city clerk, for the board of equalization, no later than fifteen days before the board hearing on the appealed assessment. Pages shall be marked as appellant’s exhibits and numbered. The city clerk shall provide a copy of the appellant’s documents to the assessor.
D. Both the appellant and the assessor shall submit a witness list to the city clerk no later than fifteen days before the board hearing on the appealed assessment.
E. The appellant’s case may be made by written presentation. If the appellant so elects, the pages shall be marked as appellant’s brief and numbered. The written presentation, along with any documents and evidence referred to in subsection B of this section, must be provided to the city clerk, for the board of equalization, no later than fifteen days before the board hearing on the appealed assessment. The city clerk shall provide a copy of appellant’s filings to the assessor upon receipt.
F. Except as provided below, all motions submitted by either party to the board of equalization must be submitted to the city clerk in writing no later than seven days before the scheduled hearing. The opposing party shall have three business days to respond to any motion filed with the city clerk. Any motion or opposition thereto must be accompanied by a certificate of service certifying that a true and correct copy of the motion or opposition was served on the opposing party by fax, in person, or first class mail at the last known address or fax number. The chair of the board, or in his or her absence the vice-chair, is authorized to decide each submitted motion. The decision may be reviewed by the board at the discretion of the chair or vice-chair, as appropriate. For good cause shown, including without limitation the bad faith conduct of the other party or new evidence which could not reasonably be obtained before the seven-day deadline with the exercise of due diligence, a party may submit a motion to the board no less than two business days before the scheduled hearing. In this instance, the chair, or in the chair’s absence the vice-chair, shall provide the opposing party with a reasonable opportunity to oppose the motion prior to issuing a decision. (Ord. 08-07 § 5)
3.12.130 Completion of assessment roll—Records of board of equalization—Certification of assessment roll.
A. The assessor shall enter the changes, so certified upon his records, and no assessed valuations shall thereafter be changed. After the hearings held by the board of equalization are concluded, the assessor shall complete the annual assessment roll, at a time to be determined by the city council, which shall be based on values as of January 1st immediately preceding, and he shall certify the same. Such supplementary assessment rolls shall be prepared and certified as may be expedient or necessary.
B. All taxes to be levied or collected, except as otherwise provided, shall be calculated, levied and collected upon the assessed values entered in the assessment roll and certified by the assessor as correct, subject to the taxpayers right of appeal and to the corrections and amendments made in the rules pursuant to this chapter. (Ord. 98-08 § 2; prior code § 25-8)
3.12.140 Appeals to superior court.
An appellant or the assessor may appeal a determination of the board of equalization to the superior court as provided by rules of court applicable to appeals from the decisions of administrative agents. Appeals are heard on the record established at the hearing before the board of equalization. (Ord. 98-08 § 4)
3.12.150 Supplementary assessment rolls.
All the duties imposed upon the assessor and the city clerk with respect to the annual assessment roll and all the provisions of this chapter relating to assessment rolls shall, as far as applicable, apply to supplementary assessment rolls. The delinquent date when taxes shall become delinquent, as determined by the city council, shall also apply to property listed on the supplementary assessment rolls. (Prior code § 25-10)
3.12.160 Delivery of assessment roll to city council; validity of assessment rolls.
A. When the final assessment records have been completed by the assessor as provided in this chapter, the assessor shall deliver to the city council a statement of the total assessed valuation of all real property within the city.
B. Every assessment roll as completed and certified by the assessor, and as corrected and amended by him from time to time in conformity with this chapter and the decisions of the board of equalization, shall, except insofar as the same may be further amended as a result of an appeal to the court, as provided by this chapter, be valid and binding on all persons, notwithstanding any defect, error, omission or invalidity existing in the assessment roll or any part thereof, and notwithstanding any proceedings pertaining thereto. (Prior code § 25-11)
3.12.170 Determination of tax rate and delinquent date—Tax statements—Penalties for delinquent payment.
A. Tax Rate. The city council shall thereupon, by resolution, fix the rate of tax levy and designate the number of mills upon each dollar of assessed real and personal property that shall be levied, and shall levy such tax in accordance therewith and shall determine the date when taxes shall become delinquent. If the total tax assessed to any owner is ten dollars or less, then the administration may delete such tax obligation from the tax roll.
B. Tax Statements. The city shall then prepare and mail tax statements to the persons listed as the owners of record, lessees or persons controlling real property at least thirty days prior to the date taxes owed become due.
C. Installments. Any taxpayer may pay the property tax for the year in two installments of equal amounts except when the property tax for the year amounts to less than twenty dollars. Any installment shall become delinquent on the first business day following the tax installment due date.
D. Delinquency.
1. If an installment is not paid in full by the due date, the unpaid balance of that installment becomes delinquent and penalty, interest and costs accrue as follows:
a. Penalty. A penalty of eight percent on the unpaid balance of a tax installment which was due shall be added to the delinquent tax.
b. Accrual of Interest. In addition to the penalty set out in subsection (D)(1)(a) of this section, interest not to exceed the rate of fifteen percent per year shall be charged on the unpaid balance of delinquent taxes. No interest shall be applied until the first day of the month following the due date of the tax bill. When interest is to be applied, it shall be calculated on a monthly basis. All interest charged on tax payments shall be applied only on the principal, not on penalties or costs, and shall run from the date when the installment was due to the time it is paid.
c. Costs. In addition to the penalties and interest provided for this subsection, costs associated with collection of current or delinquent taxes, interest or penalties shall be charged.
E. Application of Payments. Any payment received shall be applied first to delinquent taxes in the order that the taxes became delinquent and in the following order for each delinquent tax:
1. Costs.
2. Penalty.
3. Interest.
4. Principal tax.
F. Property taxes, together with penalty and interest, are a lien upon the property assessed, and the lien is prior and paramount to all other liens or encumbrances against the property. (Ord. 07-14 § 1: Ord. 00-13 § 1; Ord. 98-08 §§ 5, 6; prior code § 25-12)
3.12.180 Deadlines for rate of levy determinations and tax statement mailing.
The city council shall annually determine the rate of levy before June 15th. By July 1st, the city shall mail tax statements setting out the levy, dates when taxes are payable and delinquent, and penalties and interest. (Prior code § 25-12.1)
3.12.190 Delinquent tax roll—Foreclosure lists—Payment of taxes prior to sale—Giving of notices.
A. The finance director shall, within such time as the city council may direct, after such taxes have become delinquent and due, make up a roll in duplicate of all real property then subject to foreclosure. Such roll shall show therein the names of the persons appearing in the latest tax roll as the respective owners of the tax delinquent properties, a description of each such property as it appears on the latest tax roll, the years for which taxes are delinquent, the amount of delinquent taxes for each year and penalty and interest thereon, and thereon shall be endorsed under the hand of the finance director and attested to by the city clerk and the corporate seal, a certificate to the effect that such roll is a true and correct roll of the delinquent taxes of the city for the years there shown. Such roll so made up shall be known as the foreclosure list of the city for the year in which the same is made up, the original of which shall be filed with the city clerk and remain open to inspection of the public. After the completion of the foreclosure list, the finance director shall cause to be published in a newspaper of general circulation in the city, to be designated by the city council, or posted, a notice under the hand of the finance director setting forth that the foreclosure list of real property for the year, naming it, has been completed and is open for public inspection at the office of the city clerk and that on a certain day not less than thirty days after publication or posting of such notice the foreclosure list will be presented to the superior court for judgment and order of sale.
B. On the day designated in the publication, a certified copy of the foreclosure list, together with a petition for judgment, shall be presented to the superior court. Notice of such foreclosure proceedings shall be given by four weekly publications of the foreclosure list in a newspaper of general circulation distributed in the city. Within ten days after the first publication, a notice shall be mailed to the last known owner of each property as the owner’s name and address appear on the list advising of the foreclosure proceedings in which a petition for judgment of foreclosure has been filed describing the property and the amount due as stated on the list. Completion of the requirements of this section constitutes and has the same force and effect as the filing of an individual and separate complaint and service of summons to foreclose a lien against each property described on the foreclosure list.
C. During the time of the publication or posting of the foreclosure list and up to the time of sale, any person may make payment on any piece or tract set forth therein, together with the penalty and interest, and proportionate share of the costs of publication and foreclosure; and the finance director shall make proper notation of such payment on both the original delinquent tax roll and foreclosure list. On receipt of the delinquent tax payments as to a particular property any time one week prior to the filing of the foreclosure list and petition, the finance director shall remove the property from both the list and the petition.
D. A mortgagee or other holder of a recorded lien on real property may file with the finance director a written request that notice of any foreclosure list including such real property be given to such mortgagee or other lien holder. The request shall contain the name and address of the person filing it, the description of the property and the name of the owner or reputed owner thereof, and the date of expiration of the mortgage or lien. Notice need not be given after the expiration of the mortgage or lien, unless a further request therefor is filed. If the mortgagee or lien holder furnishes a duplicate form of request for the notice, the finance director shall certify thereon to the filing and return the duplicate to the person making the request. Whenever any property described in the request for notice is included in a foreclosure list, the finance director shall send by registered mail, written notice thereof to the mortgagee or other lien holder. At the time of mailing the notice, the finance director shall note that fact in ink in the latest tax roll. The notation in the tax roll is prima facie evidence that the notice was mailed. Where the same mortgagee or lien holder has filed requests for notices on two or more properties included in a foreclosure list, one notice may be issued covering all such properties. (Ord. 08-07 § 6: Ord. 98-08 § 7; prior code § 25-13)
3.12.200 Enforcement of tax liens.
The provisions of AS 29.45.290 through AS 29.45.500 apply to the foreclosure and sale of real property for delinquent taxes, rights of redemption and all other matters affecting the city’s enforcement of its tax liens. (Ord. 98-08 § 8)
3.12.210 Foreclosure on personal property.
A. Owners of personal property assessed shall be personally liable for the amount of taxes assessed against their personal property and such tax, together with penalty and interest, may be collected after the same becomes due by a personal action brought in the name of the city against such owner in the courts of the state.
B. In addition to the remedy given by the preceding subsection, which shall not be construed as exclusive, the lien of personal property taxes may be enforced by distraint and sale of the personal property of the person assessed. The finance director shall first make demand of the person assessed for the amount of the tax, penalty and interest, and the sale shall be made at public auction after at least fifteen days’ notice given. The finance director shall issue a warrant directing the chief of police or any other officer of the city to forthwith seize, levy upon, distrain and sell such personal property of the person assessed as the tax may have been levied upon; and if the same is not sufficient to satisfy the tax, penalty and interest, and costs and expenses of such sale, such warrant may authorize the seizure, levy, distraint and sale of such other property of the person against whom the tax was assessed as may be sufficient to satisfy the tax, penalty, interest and cost of sale. The costs and expenses of such proceedings may be satisfied out of the proceeds of the property sold. The cost and expenses of such proceedings that may be satisfied from the proceeds of the property sold shall in no event exceed twenty percent of the proceeds received from such sale.
C. The lien of real property taxes on trailers and mobile homes which are about to be removed or have been removed from the city or which, subsequent to the accrual of the real property tax lien, become personal property within the meaning of this chapter may be foreclosed by distraint and sales as set forth in subsection B of this section. (Ord. 08-07 § 7: Ord. 98-08 § 9; prior code § 25-15)