PLEASANTVILLE — The Atlantic County Board of Taxation ordered city to undergo a revaluation.
Marge Schott, the county tax administrator, said Monday that were several reasons that the county is requiring the city to undergo a revaluation, including the fact that the last one was done in the municipality back in 2010.
The lack of uniformity among the city's assessments is another reason why the city will be undergoing a revaluation, Schott said.
The coefficient of deviation measures the uniformity among assessments, Schott said. Any coefficient of deviation greater than 15 indicates a lack of uniformity. The city's was 30.38 for last year, she said.
The housing market crash in 2007 impacted the city’s ratables, said Linda D. Peyton, the city administrator. In the last five years, there have been at least 500 tax appeals, Peyton said.
“It will decrease, we believe, the number of tax appeal issues, which would be positive for the city and its residents,” Peyton said.
The revaluation will try to equalize the values among the municipality’s 5,000 residences and 1,500 commercial properties.
When residents hear about a revaluation, they believe it will have a formidable impact on them, but Mayor Jesse J. Tweedle Sr. said this process will be more about equalization.
The net taxable value for the city for last year was $775,246,000, according to the Atlantic County Board of Taxation.
When county, school and municipal tax rates are combined in the city for last year, the total general tax rate was $4.673 per $100 of assessed value, the county Board of Taxation said.
During the revaluation process, an outside firm will look at all city properties, including apartments, condos, single-family homes and commercial.
They will place a value on a property based on a variety of factors, including its condition and size, said Barry Ludy, the city's chief financial officer.
“They will take pictures of it. They will measure it. They will do everything they can to determine a value of your property,” Ludy said. “If you have a three-bedroom, two-bathroom house, they will look at other three-bedroom, two-bathroom houses in the city and what they sold for, that determines the market value, that’s the assessed value.”
Peyton sees the process being finished before the end of the calendar year.
The city has put out specs and is seeking bids from qualified firms to do the revaluation and has set the date of March 27 as the deadline to submit a bid.
“There are six qualified firms in New Jersey, and we have sent out specifications to all six of them,” Ludy said.
An attorney, a consultant, and Ludy, who is a qualified purchasing agent, will look at all the bids to see that what was asked for is in the packages, he said.
City Council will vote on the recommended lowest qualified bidder at either its April 1 or April 15 meeting, Tweedle said.
After a firm is awarded a bid, it is expected that by May 1, the company will gather its people to do the revaluation and schedule where they have to go, Ludy said.
The community will be notified by door knockers or mailers when the actual on-the-ground work of the revaluation will start, Peyton said.
“I believe it (the revaluation) will help our finances because it will stabilize our tax base,” Ludy said