I have always recognized and promoted  Niles Township businesses. They are, of course, a vital component of the Township. In terms of property tax, the businesses pay a much higher percentage, on an individual basis, than do residential parcels. I have jurisdiction to assist the commercial, industrial, and retail property tax payers. And the resources of my office have always been available to assist business.

     On Friday, August 13, 2010, at 10:00 am I will work with Cook County Commissioner Larry Suffredin to offer reassessment explanation and assistance to Niles Township businesses. We will meet at the Morton Grove Village Hall,  6101 W. Capulina.

     On August 9, 2010, at 7:00 pm I will sponsor, along with Cook County Commissioner Larry Suffredin, a reassessment appeal seminar. It's not so much whether Cook County raised or lowered an assessment by a particular factor, it's whether the resulting value is correct. I especially encourage condominium board members to attend. We will hold this seminar at the Skokie Public Library, 5215 W. Oakton.

Niles Township

Reassessment Notices

    The Cook County Assessor reassesses Niles Township properties every three years. 2010 is our year. For the most part* the Cook County Assessor has lowered the assessed values.

    So I tell my good friend Rodney that the assessed values will be reduced by as much as 23% in some cases.
     Rodney says “well, assume that I am reduced like 15%, plus that 12% assessed value reduction last year . . . I’ll see you later.”
    “Where are you going?”    
    “Best Buy. I am going to get me a big screen with the money I am going to save.”
    “Hold on there Rodney. We need to have a talk.”

    I explain to Rodney that the Cook County Assessor has been working to bring the Cook County Assessor stated market values closer to true market values. This is probably the closest it has ever been. But, even with a 15% assessed value reduction, on top of last year’s 12% reduction, Rodney probably will not see a tax bill decrease. He might even see a tax bill increase.
   
    “A 23% assessed value reduction but no tax bill reduction, and, a tax bill increase? You might be a lawyer and a real estate broker and a Certified Illinois Assessing Officer but you better check your calculator batteries because I don’t think that you have a clue” responds Rodney.

    I offer an explanation. Assume that Pretendtown, USA has a total levy ( the combined amount of money requested by the schools, police departments, fire departments, park districts etc. etc.) of $100,000. The town has 50 houses, each of which has a market value of 250,000. Each house has a tax bill of $2,000. Now reduce the market value of each house by 25%, to $187,500.
       
    “Yeah,” says Rodney, “And now each house has a $1,500 tax bill, because of the 25% market value reduction.”

    Not so. Because 50 houses X $1,500 tax bill = $75,000 and the town needs $100,000. So in this simplified explanation a 25% value reduction does not result in any tax bill reduction because each house will still pay $2,000. The tax bill is a function of the relationship of a particular property’s value to the combined value of all of the properties within a taxing district.

    “Yeah, well, whatever, at least I still have my long time occupant exemption and that’s worth a $2,500 reduction on my tax bill.”

    More bad news for Rodney. Exemptions such as the long time occupant and the senior freeze are triggered by value increases over and above a base year. The greater the increase in value, the greater is the benefit of such an exemption. Rodney has a long time occupant exemption. But the 2010 reassessment value is even less than the base year value of Rodney’s exemption. Therefore, Rodney’s long time occupant exemption will not provide a tax bill reduction like Rodney previously received.

    Suzie has been listening and chimes in “I do not qualify for a base year predicated exemption, and if the dollar value of those exemptions is reduced in Niles Township, then that portion of my tax bill that made up for those exemptions granted to others will be reduced. Right”?

    “That’s correct Suzie.”

    " Maybe I should go get a big screen."

    " Not just yet."

    Here's why. No one will know the dollar impact of the 2010 reassessment until the fall of 2011 when the 2nd installment 2010 tax bills are mailed. Some folks will see an unanticipated increase in their tax bills. So it may be a good idea to start budgeting for an increase now. And remember, we do not appeal tax bills, we appeal assessed value. Even with a 2010 reassessment decrease homeowners should check the reassessment market value for accuracy and also compare their market value to similar properties within the same area. If a discrepancy exists, then file an appeal now. The appeal window will remain open through August 27, 2010.

    As always, my office will assist you. 5255 W. Main St. Skokie, 8:00 - 4:30, NilesTownshipAssessor.com.   Add your name to my e-mail notification list to receive relevant e-mails.  
                       

*The condominium at 9655 Wood Drive, Skokie seems to have a 13% value increase, so if you are out there you may wish to contact my office.