Reval Recap: Who Filed the Most Grievances and Where Do We Go From Here?

Scarsdale resident and statistician Michael Levine provided the Board of Trustees with some interesting data about the Scarsdale revaluation.  He analyzed the 950 grievances that were filed following the first village-wide reassessment in 49 years and showed the number and percentage of grievances by neighborhood. Not surprisingly the highest percentage of grievances were filed in the neighborhoods with the greatest changes in valuations between 2013 and 2014. So which neighborhoods have the highest percentage of unhappy homeowners ... it looks like Heathcote 1 and Quaker Ridge 1. The neighborhoods correspond to the map shown below.

Here are Mr. Levine's charts – see his notes below:

The "Grievances as % of Roll" column shows the "Grievance Count" as a percentage of the "Roll Count". This rate is 15.3% for Scarsdale overall, but it varies significantly by neighborhood.

The "Aggregate % Change in Roll" column is the change in total assessed values from 2013 FMV to 2014 Tentative. Not surprisingly (but without getting statistically technical), there is a degree of correlation in that the neighborhoods with the greater increases in valuations tend to also have the greater rates of grievance. This report does not opine on the question of whether the variances among neighborhoods, driven in part by the Tyler land valuation, are correct or justifiable.

In other news about the revaluation, the Finance Committee of the Scarsdale Village Board of Trustees met on October 14 to make plans for cyclical updates of the revaluation. John Wolham from the NYS Office of Real Property Tax Services was present along with John Ryan of J.F. Ryan Associates who was brought in to consult on the last revaluation conducted by Tyler Technologies.

The discussion was about how often to do updates and what methodology to use. In order to encourage municipalities to keep their assessments updated, the Office of Real Property Tax Services gives municipalities $5 per parcel for reappraisals done at least once every four years. In addition they require municipalities to do an inventory of all properties at least once every six years. The inventory is an evaluation of the property from the street and not an interior inspection. Though frequent reassessments are not legally mandated, they are considered best practice as valuations are maintained near market value.

Village Manager Al Gatta and Assessor Nanette Albanese proposed that the next reassessment be done for the 2016 assessment role which would be effective in 2017. In order to accomplish this, the Village would need to retain a firm to do the update and the work would need to begin in December 2014. This would not be a revaluation that included interior inspections of homes – except in cases of a sale or where a building permit was issued for the property. Rather the inspectors would evaluate condition and grade by observing homes from the street. The cost to keep the role updated on an annual basis was estimated to be $100,000. A firm would be retained to do the work – so no additional staff members would be added at Village Hall.

John Ryan suggested that the Village use a "direct market model approach" to determine valuations. This model would use the sale prices of all homes sold in the prior two-year period to develop an algorithm to price all properties. The model would be continually updated and provide a "solid database" of information to use when assessing properties.

Since only a few evaluators would be retained, Ryan believed the results would be more consistent than during the prior revaluation when Tyler had a very large staff doing inspections. Gatta indicated that the staff would like to retain Ryan's firm to do the next assessment.

At the conclusion of the meeting, Mayor Steves asked the Village staff to provide the trustees with a recommendation on these cyclical updates including the timing, scope and estimated cost. The trustees will evaluate the proposal and decide how to proceed.