COCHRANE— An update provided to Town Council on local property assessments indicated while residential property and commercial assessments have decreased, industrial assessments remain stable.
In a presentation to Cochrane Council on Monday (Jan. 11), Manager of Assessment and Taxation Gail Butz said in Cochrane, the average single-family home in the community was assessed at $455,900, a decrease of 3.02 per cent in comparison to 2020. Duplexes and townhomes saw a decrease of 0.06 per cent and condominiums saw a decrease of 2.55 per cent.
Building changes are monitored by the Town using a variety of indicators, Butz said, including building permits, sales verification forms and other tools.
"We have quite a few ways of monitoring assessment changes," Butz said.
Distribution of property in Cochrane has remained stable with 88.5 per cent of properties designated residential for a total taxable amount of $5 million and 11.5 per cent non-residential for a total taxable amount of $600,000.
She added in 2021 market and overall assessment saw a decrease from $5.8 million to $5.6 million, a decrease equivalent to 2.77 per cent.
The 2021 assessment split, including the Community Revitalization Levy, is residential at 86.56 per cent and 13.44 per cent for non-residential, compared to residential at 86.83 per cent and 13.62 non-residential the prior year. The Community Revitalization Levy is a separate component to the assessment and is used to fund distinct areas to help accelerate the redevelopment of specific areas.
Money raised from the levy does not go into general revenues for the Town.
Property assessments are based on the local economic conditions in town as of July 1, 2020, and the physical condition of a property on Dec. 31, 2020. The data is prepared using a mass appraisal technique which determines values by grouping similar properties at a specific time.
"People can expect that if they've made changes throughout the year, like if you finished your basement and it's completed by that Dec. 31 date ... It will be added in the assessment for 2021," Butz said. "The other key component to keep in mind is that when we're doing these assessments the evaluation date is July 1 ... Sometimes when you're getting that notice and you have a look at it market conditions have changed in those six months."
The assessments are designed to reflect the typical market value on the same date each year.
Assessments for Cochranites will be mailed out on Jan. 21 and appear separate from tax bills. If property owners have concerns they can review the calculation included with the notice and request more information or file a complaint by March 30.
Tax bills, which include the property tax and the education tax, will be mailed in May after Town Council sets the tax rate.
During the meeting Councillor Marni Fedeyko questioned if other municipalities are using alternative ways to disseminate information about assessments that could be used by the Town of Cochrane.
She added the education portion of the tax rate is set by the province and this may not be understood by some residents.
In the past years, Butz said, the Town has been working to provide increased information with bills and on its website to better communicate with the public.
"It always seems to be this big confusion out there and I'm just wondering if there is anything new, something interesting ... So that people understand the assessments are one tool," Fedeyko said. "It doesn't necessarily mean that if your assessment goes down you're going to have a decrease on your tax bill."
