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Assessed value can be established without a certified appraisal for the relevant tax year.

In the absence of a certified appraisal for a particular tax year, a board of tax appeals could independently value property based on a certified appraisal for a subsequent year along with the appraiser's testimony that his valuation would be the same for the year at issue.

AP Hotels of Illinois, Inc. (AP) owns a 1.791-acre property in Franklin County improved with an Amerihost motel property. When the county auditor valued AP's property at $2,300,800 for the 2002 tax roll, AP petitioned the board of revision (BOR) for a reduction to $1.5 million. The BOR retained the auditor's value, and AP appealed to the board of tax appeals (BTA). At the BTA hearing, AP presented the testimony and appraisal report of an appraiser who used the cost, sales, and income methods to value the property. In the report, the appraiser certified that the property's 2003 value was $1.6 million, and he testified to the BTA that his valuation would be the same for the 2002 tax year. The BTA found the appraisal and testimony credible and adopted the reduced value for the property's 2002 assessment. The local school district appealed the BTA's decision.

On appeal, the school district argued that the BTA improperly relied on an appraisal that was not certified for 2002, the tax year at issue. The state supreme court acknowledged that the 2003 appraisal alone was insufficient to establish the 2002 assessment and that the appraiser's testimony was not equivalent to a certification. However, in the absence of an express certification of value, the BTA should independently value the property if presented with sufficient evidence to do so, according to the court. The court found that the extensive factual information in the certified report along with the appraiser's testimony provided the BTA with adequate information to assess the property's 2002 value. Thus, the court concluded that the BTA properly adopted the reduced valuation for the motel property. The board of tax appeals decision was affirmed.

AP Hotels of Illinois, Incorporated v. Franklin County Board of Revision

Supreme Court of Ohio

June 3, 2008

889 N.E.2d 115 (Ohio 2008)
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Title Annotation:Recent Court Decisions
Publication:Appraisal Journal
Geographic Code:1USA
Date:Jan 1, 2009
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