Assessor outlines citywide revaluation, officials urge taxpayers to review new valuations

The City Council heard a presentation on a citywide property revaluation intended to bring assessed values in line with current market conditions.

Avis Winchester Hurst, the city assessor, said the assessing office and consultant work since last fall aimed to close a gap between the town's assessed-to-market ratio (about 67% in the state valuation) and a 100% certified ratio the city seeks. "Just value is another way of saying market value," Winchester Hurst said, describing updates to land schedules and building cost tables to match recent sales and construction-cost changes.

Consultant Jim Murphy of Murphy Appraisal Services and others told councilors the revaluation is extensive and noted the city completed its last full revaluation in 2003. Murphy said the work included sales-ratio studies and recoding of waterfront parcels; he added the town had been undervalued in some waterfront categories and that new schedules reflect those market changes.

Officials said reaching a 100% certified ratio will maximize state reimbursement for exemptions and benefit taxpayers who qualify for them. Staff said the change affects 1,647 homestead exemptions, roughly 168 residential solar exemptions and 181 veterans exemptions, which the assessor estimated represented more than $44,000,000 in exemptions as of September 2023.

Taxpayers will receive mailed notices with their new land and building valuations and a real-estate verification form; staff asked residents to contact the assessing office by Aug. 22 to have information reviewed and corrected where appropriate. The assessor also said the letter and a frequently asked questions document were posted on the city's website to help residents understand the changes.

Councilors asked how the state's valuation timing affects the city's work; staff said state valuations typically lag 12–18 months (sometimes nearer two years), and the city updated its schedules to reflect more recent market activity. On escrow accounts, a councilor asked whether mortgage servicers will adjust payments; the assessor replied banks recalculate escrows annually and will change escrow amounts after the new tax notices reach them.

The council did not take a formal vote on the revaluation at the hearing. Staff emphasized that reassessments are subject to later appeals and encouraged residents to review the mailed materials and contact the assessing office with questions.

The city plans to reconvene Monday to finalize budget figures; the assessing department said it will continue outreach and make office staff available to meet with taxpayers who request a review.