Land Model 2010 Reassessment Reese Milligan Gloucester County Assessor

Land Model Valuation Considerations • Highest and best use of the property • Fair market value • Equitable application

Land Model Components • • • •

Residential non-waterfront Residential waterfront Commercial Special use properties

CAMRA Land Model Prior to developing the GIS-based model for the 2010 reassessment, the information in CAMRA was limited with no source data. It relied on manual data entry for all changes to all properties.

Land Model Development Goals • Automate the process which was a major goal necessitated by the short timeline. • Move from a subjective valuation process to a factual based process. • Leverage the power of Geographic Information Systems (GIS) to create a sustainable foundation for future reassessments.

Residential Land Model Waterfront or non waterfront? Under or over 20 acres ? Commercial or non commercial? Contiguous ownership?

Grouping of Data The model assigns each parcel to a subset of parcels based on: district, zoning, tax map, Subdivision, occupancy, and any special subset codes that apply.

Wetlands Once data is grouped, the model looks at whether or not tidal, non-tidal, or non-vegetated wetlands occur on the property. This area has a loss in utility and is valued as a separately.

Data source: National Wetlands Inventory.

Special Circumstances Any property characteristics that may influence value, either positive or negative, can be incorporated. Examples are: Access Utility Parcel layer error Topography Non-building sites

This tool allows appraisers to make judgments about properties that are captured by the model.

Special Circumstances This tool also allows appraisers to make individual subset groups based on like parameters which are valued similarly.

Valuation Process • The data is grouped. • Wetland area is isolated from the acreage for separate valuation. • Each group is cross-referenced with a lookup table that assigns a value code. • The value code that corresponds to the CAMRA value grid assigns value.

Grouping Waterfront 1 meter Depth contour

Once identified as a waterfront parcel, the parcels are grouped based on: •Body of water, •Distance from the shoreline to 1 meter water depth, •Waterfront ratio, •% of waterfront area in RPA, •% of area in flood zone VE and AE, •district, •zoning, •tax map, •subdivision, •occupancy, and •any special subset codes that apply.

Waterfront Zone The waterfront zone is the area 1,000 ft back from the shoreline. Waterfront ratio is the amount of shoreline compared to the area within the waterfront zone. This allows the model to incorporate amount of shoreline frontage which is a factor in the market.

Wetlands Tidal, non-tidal, and non-vegetated wetlands are identified and their area valued separately.

Special Areas Factors that may effect valuation that are included in the model are the: Resource Protection Area (RPA) Flood zones AE and VE (FEMA) We determined how much area of a parcel is affected by these factors.

Valuation Process • The data is grouped. • Wetland area is isolated from the acreage for separate valuation. • Each group is cross-referenced with a lookup table that assigns a value code. • The value code that corresponds to the CAMRA value grid assigns value.

Large Acreage Parcels • For parcels that are larger than 20 acres, the existing land breakdowns were used. • These breakdowns include wooded, open, cutover, common areas, right-of-way, scrub, etc. • The same valuation method was used except that value was assigned on a per acre basis to each breakdown.

Commercial Model

Grouping of Data Properties are grouped by geographic value neighborhoods. These neighborhoods were developed the commercial consultants.

Value Zones

Individual commercial properties were divided into value zones based on distance from the road.

The theory is that the property closest to the road has more value.

Special Circumstances As with the residential model, a tool allows the appraisers to reassign the: geographic neighborhood, corner influence, access, shape, utilities, and topography.

Commercial Valuation Process • The parcels are identified as commercial and grouped by geographic neighborhood. • Wetland area is isolated from the acreage for separate valuation. • The model computes a base rate based on the geographic neighborhood, size, and zoning. • Final value is assigned after special circumstances are applied.

Contiguous Ownership Parcels Parcels that are adjacent or adjoining that have the same owner are identified as contiguous. A determination is made on whether to value these parcels as individuals or as an economic unit

Considerations These two parcels are combined as one economic unit because the line runs through the house. The same data then is used to group these properties. The single unit is valued as shown earlier, and the value is prorated back to each parcel.

Future Goals • Some aspects of the model need to be refined. • The tools the Real Estate Assessment Department have developed can be used to further define properties which will lead to better grouping and application of value. • The data used by the model and the valuation results have to be field verified on a large scale.

IAAO Self-Evaluation Guide • The Real Estate Assessment Department has purchased the self-evaluation guide. • The Reassessment Team are in the process of reviewing the information and will develop a timeline for completion. • This will take some time to complete because it concerns not only the reassessment office and procedures but also other County departments and management.

Next Reassessment • If the County holds to the current 2-yr reassessment cycle, the time frame will once again be compressed with limited time for field verification and data correction. • If notices are mailed by November 1, 2011, that is a 17 month window to complete a new reassessment. • Concerns: hiring and training staff, self-evaluation guide completion, core data correction, field verification of parcel data.