City Council Agendas

NORFOLK, VIRGINIA REAL ESTATE REASSESSMENT PUBLIC HEARING SLOVER LIBRARY TUESDAY, APRIL 30, 2024 – 5:00 P.M. Mayor Alexander called the Public Hearing to order at 5:00 p.m. with the following members present: Mr. Paige, Mrs. McClellan, Mr. Smigiel, Mrs. Doyle, Mr. Thomas, Mrs. Johnson, and Ms. Royster. Mayor Alexander reviewed why the public hearing is being held and the process of public input. Mayor Alexander introduced Mr. W. A. (Pete) Rodda, City Assessor. Mr. Rodda stated that state law requires that a public hearing be held so taxpayers know about the impact to the 2024 reassessment of real property within the budget process. The property tax bill is based on two components; the value of the property and the tax rate as adopted for budget purposes. Excluding the value of new construction, the total taxable value of real estate within the city increased by 5.94% this year. Last year’s tax rate was $1.25. However, the City Manager has recommended a budget that has a tax rate of $1.23 per $100 in value. There will still be a net increase in taxes of approximately 4.24%. Property tax assessment appeals are made to the Board of Review, a three-member board who are appointed by the Norfolk Circuit Court. Those appeals can be filed until May 31, 2024. The Board of Review application can be obtained from the website. If any further information is needed, citizens can email his office at real.estate@Norfolk.gov and/or call 757-823-1343. Councilwoman McClellan asked Mr. Rodda to review the formula for how assessments are determined. Mayor Alexander added the City Council does not direct the assessor on his methodology and assessments. Mr. Rodda stated that the assessor is one of the most independent of all department managers within city government. The assessor analyzes all the sales that occur in the previous year. Subsequently, the assessor determines the market behavior of the participants in the real estate market by looking at what properties are selling for within one neighborhood versus another neighborhood. They use the sales within each appraisal neighborhood to determine assessed value. Mayor Alexander called for the first speaker.  Mr. Andrew George, 5760 Azalea Garden Road, stated he is opposed to any increase in taxes. He stated that his tax payment will increase even if the rate is lowered because assessments are over-inflated on all properties. He added that there is wasteful spending in the city such as the new planters outside City Hall. He also asked to provide additional funding for public safety.  Ms. Lolita Albergottie, 6920 Adele Drive, expressed concern about the assessment increase resulting in higher taxes. She stated she has been a resident of Norfolk for 21 years, and has two children in college. She stated that she has been a Realtor for 18 years and that increased taxes will have an impact on first-time home buyers and affordability. She asked Council to consider keeping the tax rate low. She expressed concern about higher assessments when a property has had no real improvements made. Councilman Smigiel stated the tax rate is actually going down to $1.23 from $1.25. The assessments are going up which is based off of real estate sales. He noted that Norfolk and Portsmouth have higher real estate tax rates because we have more land that is not taxable compared to other localities. He stated that 38% of Norfolk’s property is not taxable and that is one of the reasons why the General Assembly gave both Norfolk and Portsmouth the opportunity to have a casino to bring in additional revenue so that we can address the gap in taxes.  Mr. Louis Mazurek, 637 Georgia Avenue, stated that a two-cent decrease in the tax rate is not very much. He lives in Colonial Place in a 1,799 square-foot home and his assessment increased $35,000 which is an 11.5% increase. He stated that a larger $600,000 home in Larchmont went up only $31,000. He added that assessments on homes in Riverview were even less than Larchmont. He stated that the formula of assessing by neighborhoods is unfair.  Ms. Lillie Mazurek, 637 Georgia Avenue, echoed Mr. Mazurek that the -2-  formula used for assessments is unfair. She stated that Colonial Place has a lot of older and retired citizens and it is difficult for them to pay the increased taxes. Mr. Rodda reiterated that assessments are done on a neighborhood basis and the sales in one neighborhood may indicate a different market behavior than another neighborhood. He added that if a citizen has questions about their assessment they can contact his office and file an appeal. The deadline for appeal is May 9th for an informal appeal and the deadline for a formal appeal is May 31st. However, he noted that any appeal received by the end of May will be treated as informal and they will give it the same attention that it would get otherwise. With no more speakers remaining, Mayor Alexander called for the meeting to adjourn. -3-