County's total assessed value up small fraction in 2010

SAN DIEGO - San Diego County Assessor Ernie Dronenburg announced June 29 that the assessed value of all taxable property in San Diego County has increased 0.51% (or $2 billion) over last year. This year’s total assessed roll value is $395.7 billion and based on a 1% rate it will produce approximately $3.9 billion in property taxes.

This is the first year over year positive roll growth since 2008. “We are cautiously optimistic that we are at or very close to the bottom of the residential market and believe that next year’s values should be up or at least flat,” Dronenburg stated. “Three elements each played a part in the increases in the roll growth; lower number of residential appeals, new assessments resulting from change in ownership and new construction activity and the positive indexing factor on Prop 13 values.”

This year’s California Consumer Price Index (CCPI) was also positive at 0.753%, though not reaching the full 2% limitation set by Proposition 13. Last year, the CCPI went negative (0.237%) for the first time since the passage of Proposition 13 in 1978. This year’s positive CCPI added over $2 billion in assessed value to the tax roll.

Less than 4,500 new requests to review assessments under the Proposition 8 reduction provision were submitted by property owners. (Under State law, a temporary reduction in assessed value can be made when the market value falls below the assessed value.) “In addition to the requests we received for Prop 8 reviews, we revalued and adjusted 39,887 properties for a total of $4.7 billion in lowered assessed value. Last year that review produced a reduction of $8 billion.” Also, the number of formal appeals filed on the 2010 tax roll of 15,488 is significantly below the 21,770 cases filled in the 2009. “We have seen a shift in the type of properties that are being appealed. While the appeals filed on residential property assessments have fallen, a small increase of filings have occurred on commercial property,” stated Dronenburg.

San Diego County has 978,873 taxable parcels. In 2010, 58,007 properties were given a new value due to changes of ownership, adding $3.9 billion in assessed value to the assessment roll; and, 8,347 properties with new construction, added $1.7 billion in assessed value. “This increase of value added for new construction activity is the lowest in over 10 years,” commented Dronenburg.

The Assessor’s Office also values business personal property, boats and aircraft which are included in the total roll figure. This year’s $17.7 billion in assessed value is attributable to the 60,931 businesses, along with 14,735 boats and 1,850 aircraft assessments.

Cities and school districts rely heavily on property tax revenue. Of the eighteen cities in this county, all but three experienced a positive roll growth. The cities of Del Mar and Solana Beach experienced the largest assessed value increases of 2.67% and 2.20% respectively, while Carlsbad, (-.41%), Chula Vista (-.11%) and Imperial Beach (-.02%) were the only cities whose assessed value decreased.

Dronenburg went on to say, “As this is my first year of producing a tax roll, I want to thank all the members of my staff for an excellent job in these difficult economic times. We have moved some important forms to our Web site allowing taxpayers to file appeals and business property statements online. That coupled with the increased use of computer mass appraisal techniques have enabled us to process appeals and appraisals faster and cheaper.”

“For the taxpayers who filed a request for a temporarily reduced assessment, and have not yet been informed, their notices of reductions will be mailed in mid-July,” Dronenburg stated. Those who disagree with their assessed values and can support a lower value may file an Assessment Appeal Application between July 2 and November 30, 2011. Application forms are available from the Clerk of the Assessment Appeals Board at (619) 531-5777 or from its website at www.sdcounty.ca.gov/cob.