Quote:
Originally Posted by tis
I thought the state was now requiring 100%
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The Alton assessor makes adjustments every year based on sales for the prior 12 to 18 months. One objective is to keep the equalization ratio at or near 100%. That is always a moving target so as RE market values move up or down, the equalization ratio will always lag somewhat. The equalization ratio is computed by the state DRA based on sales over the past year.
The objective, however, is to have assessments at market value.
If
all assessments are the
same % above or below market value, the equalization value would move away from 100% but individual tax bills would be the same as if at 100%.
If individual classes of property are out of whack relative to each other, some too high and others too low, then the state computed Coefficient of Dispersion (COD) will be greater than zero. This COD factor is a measure of inequity and if too high can trigger a revaluation.
Towns that do annual adjustments like Alton usually manage to keep the equalization rate close to 100% and the COD low. Alton has a full time assessor and does not contract out the assessment work. Vision is used only for their data base software and web hosting. Towns that wait a full 5 years or so and then contract the work out can expect considerable chaos.