Equalization director: no valuation-factor changes after slower market growth

Warren, the county equalization director, told the Berrien County Board that staff recommends a factor of 1.0 for all property classes after this year’s annual equalization review.

The presentation summarized why that recommendation matters: the equalization process tests whether local assessment rolls fall within the statutory range of true cash value and, if they do not, can prompt upward or downward adjustment factors for property classes. Warren said the county completed 77 appraisal studies, roughly 1,000 individual appraisals overall, 33 sales studies and 190 assessment-level reviews as part of this year’s work.

The nut of his report was that market appreciation has slowed. Warren said equalized values increased about 7.6% year over year, down from the prior cycle’s larger jumps; taxable value — the figure used to compute taxes — rose about 3.46% this year, down from last year’s 7.36% change. Because the assessed levels fell within the target range, Warren recommended a neutral factor (1.0) for all classes and said no upward or downward factors are being proposed. He said the full equalization report, supporting charts and the official paperwork will be provided to commissioners next week.

Warren highlighted a multi-decade comparison showing the divergence between equalized value and taxable value and noted the strong correlation in recent years between the inflation multiplier and taxable-value changes. He offered to answer follow-up questions and noted staff are prepared to deliver more detailed breakdowns for individual municipalities when the packet is released.

The presentation closed with recognition of appraisal staff who completed certifications and training this year.

A more detailed equalization report and the formal resolution will be distributed to commissioners next week.