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State Board of Equalization December 4,2020 the State Board of Equalization Met Via Microsoft TEAMS Friday, December 4, 2020 At

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State Board of Equalization December 4,2020 the State Board of Equalization Met Via Microsoft TEAMS Friday, December 4, 2020 At State Board of Equalization December 4, 2020 The State Board of Equalization met via Microsoft TEAMS Friday, December 4, 2020 at 9:00 a.m. The following members were present: Lieutenant Governor Brent Sanford, Chairperson Kelly Schmidt, State Treasurer Doug Goehring, State Agricultural Commissioner Josh Gallion, State Auditor Ryan Rauschenberger, State Tax Commissioner and Secretary of the State Board of Equalization Lieutenant Governor Sanford called the meeting to order at 9:04 a.m. It was moved by Commissioner Goehring and seconded by Auditor Gallion to approve the minutes of the September 23, 2020 meeting. Upon voice vote, all participating members voted “aye.” Motion carried. Establishing tolerance levels for property tax assessments for year 2021 was next on the agenda. Commissioner Rauschenberger moved that the Board continue the tolerance of 90 to 100 percent for agricultural, residential and commercial property assessments for taxable year 2021. Jurisdictions outside of tolerance would be increased to 93 percent of market value or be reduced to 100 percent. The motion would still allow the Board flexibility to deal with certain circumstances where counties might need a little more time to get within tolerance. The motion was seconded by Commissioner Goehring. Auditor Gallion opened conversation by stating he would like to see more consistency with levels increasing and decreasing from both ends of the spectrum. Treasurer Schmidt stated that the Board should stay the course and believes a change in the tolerance levels would not be beneficial. Schmidt also mentioned that state tax officials depend on consistency from the Board. Commissioner Rauschenberger agreed with Treasurer Schmidt and continued by explaining how the current process works and how the goal is to have everyone at one hundred percent or as close to it as possible. Rauschenberger stated how providing tighter tolerance levels on either end could have negative impacts for counties. Lieutenant Governor Sanford asked for clarification on how long the 90-100 percent policy has been in place. Daniel Rouse, Special Assistant Attorney General, provided insight on the history of how the 90-100 percent tolerance levels came into fruition. Rouse stated that tolerance levels were initiated and set when John Hoeven became Governor. Auditor Gallion questioned why the Board has not moved the tolerance level to 93- 100 percent since the goal and expectation is to bring everyone up to at least 93 percent. Lieutenant Governor Sanford agreed, stating that those who fall within the 90-92 percent seem to benefit from the current set tolerance levels. Treasurer Schmidt stated if changes are going to be made to adjust the tolerance levels, a proper plan and communication needs to happen in advance for jurisdictions to properly prepare. Commissioner Rauschenberger explained why the levels were originally set at 90-100 percent verses using a tighter range. Commissioner Goehring stated that tightening the tolerance level range would not necessarily be doing any favors to the counties. He continued by saying that the levels are set for accountability and structural purposes and the hope is for subdivisions to get closer to the 95-100 percent range on their own. After discussion concluded, the Board moves forward with the original motion made by Commissioner Rauschenberger. Upon voice vote, Commissioner Rauschenberger, Treasurer Schmidt, Governor Burgum -Aye, Auditor Gallion – Nay. Motion carried. Treasurer Schmidt asked if the training requirements are the same for outsourced assessors, as it is for the state assessors. Dee Wald, Special Assistant Attorney General, confirms that all assessors must be licensed in the state and must follow the same standards that are particular to North Dakota. Commissioner Rauschenberger added that all assessments must be signed off by a certified tax director. Lieutenant Governor Sanford and the State Board of Equalization members thanked Treasurer Schmidt for her years of service. They expressed their appreciation for the gratitude, kindness and recognition Treasurer Schmidt provided to the tax team and the team’s hard work over the years. The meeting was adjourned at 9:37 a.m. .
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