Cook County Board of Review
Commissioner Larry R. Rogers, Jr. Commissioner Dan Patlak Commissioner Michael M. Cabonargi
Annual Report
Assessment Year 2013 • Fiscal Year 2014 Table of Contents
Cook County Board of Review Employees and Appeals...... 5 Responsibilities...... 1 Operational Highlights...... 6 Letter from Commissioners Rogers, Patlak and Cabonargi...... 2 Appeals Resulting in Reductions (Assessment Years 2002 – 2013)...... 7 Major Accomplishments...... 3 PTAB Appeals...... 8 Timely Closing of the BOR...... 3 Exempt Properties and the BOR ...... 9 Professional Development...... 3 2013 Tax Year Outreach Efforts ...... 10 Budget Highlights...... 4 Did You Know?...... 10
Offices Cook County
Main Office County Building Board of Review 118 N. Clark St., Room 601 Chicago, IL 60602 Responsibilities Ph: 312/603-5542 The Cook County Board of Review (formerly the Board of Tax Appeals) was created by the 89th General Assembly under statutory changes that Satellite Offices established a three member Board of Commissioners elected from three Bridgeview electoral districts. 10200 S. 76th Ave. The Cook County Board of Review (hereinafter “BOR”) is vested with Room 237 quasi-judicial powers to adjudicate taxpayer complaints or recommend Bridgeview, IL 60455 exempt status of real property, which includes: residential, commercial, Ph: 708/974-6074 industrial, condominium property, and vacant land. Powers granted to the BOR include the following: Markham 16501 Kedzie Ave. 1. Correct factual mistakes; Room 237 2. Review certificates of error; Markham, IL 60426 Ph: 708/232-4258 3. Order the Assessor to revise and correct the assessed value of property; Maywood 4. Recommend property for tax exempt status; and 1500 S. Maybrook Dr. Room 082 5. Defend assessment decisions for properties appealed at Maywood, IL 60153 the Illinois Property Tax Appeal Board (PTAB). Ph: 708/865-5508 The BOR deals only with assessed valuations before equalization, not with the tax rate or the amount of the tax bill. Rolling Meadows 2121 Euclid Ave. Room 237 Why does it matter to Cook County Residents if the Rolling Meadows, IL 60098 tax bills go out on time? When the tax bills are delayed schools, Ph: 847/818-2067 libraries and other essential district services are forced into budget gaps. To fill those gaps, reserves may be tapped, which Skokie 5600 Old Orchard Rd. means that money is not earning interest, or, money is borrowed, Room 155 and loan costs and interest fees are incurred. The cost to local Skokie, IL 60076 government can be in the millions of dollars. Ph: 847/470-7522
1 Cook County Board of Review Letter from Commissioners Rogers, Patlak & Cabonargi
The mission of the Board is to impartially review Proposal process, a technology vendor was select- property assessment appeals to ensure property ed that will develop an interactive database system owners do not pay more than their fair share of taxes. to further streamline operations. As the Board con- Through determined leadership, we continually strive tinues its multi-phased digitalization effort, paper to elevate our level of service, improve our work costs will be reduced; file tracking will be easier; and product, and increase efficiency. productivity will stay on pace with increased appeals. These continued While reviewing assessed valuation technological improvements will allow appeals is the primary function of the the Board to adjudicate an even greater office, there are multiple secondary number of appeals, while continuing to functions at the Board of Review. Addi- complete reviews within the prescribed tional services we provide are: defend- deadline for the issuing of tax bills. ing the BOR’s assessment review at the Property Tax Appeals Board, reviewing Professional Development Certificates of Error, making property Larry R. Rogers, Jr. Education plays a significant role in Commissioner tax exemption recommendations to what we do. Not only educating the the Illinois Department of Revenue, and public about our services but contin- educating the public on their right to ued education of our employees as appeal property tax assessments. well. For the past three years, formal employee training designed to raise The 2013 Appeal Session marks another the level of professionalism and work milestone year at the Board, and we are product among our analysts has been pleased to share that a new trend has a priority. Analysts are encouraged to been set. The 2013 Assessment Session earn the Certified Illinois Assessing Of- Dan Patlak is the third consecutive year in which Commissioner ficer (CIAO) designation (Read more we accomplished the adjudication of all on page 3). Also, this year marks the appeals by April, with this session end- fourth consecutive Board of Review ing ahead of our projected closing date. Annual Report. This disclosure, trans- This makes it possible to once again parency and commitment to inform- have property tax bills mailed by July ing the public about its property tax 1st. We met that deadline while adju- system is an important part of our ser- dicating the largest number of parcels vices to the residents of Cook County. of property (402,897 Property Index Numbers–PINS) for a north suburban Michael M. Cabonargi As an independent, quasi-judicial, elective Commissioner triennial assessment year. office, serving as your Commissioners, we share one goal: to ensure the Cook Staying in Step with the 21st Century County property tax system works better for every Recent technological improvements implemented taxpayer through greater teamwork, cooperation and at the Board have been instrumental to completion collaboration. of reviews in a timely manner. Since we first accepted online appeals in 2011, paperless filing increased from Sincerely, 28% in the first year to 86% in 2013; more property owners now file online. Online filing was the first step Commissioner Larry R. Rogers, Jr. in an overall technological implementation strategy Commissioner Dan Patlak for the Board. In July, after an extensive Request for Commissioner Michael Cabonargi www.cookcountyboardofreview.com 2 Major Accomplishments
Online Filing This year, online filing continued to be a popular format in which to file an 1.8 M appeal with the BOR. Introduced in 2011, enhancements are routinely reviewed Parcels of and incorporated to improve the process. The ability to preregister online Property in prior to a township opening has proven successful. Next, we are working on Cook County providing the ability to submit evidence online. In the 2013 assessment year, 357,448 parcels appealed online. 5.2 M 2013 Assessments Residents in Regular Filings (Pins) Cook County 13.5%
402,897 Online Filings (PINs) Appeals Filed 86.5% regular filings (PINs) Online filings (PINS) 86.5% 2013 Northern Triennial Assessment Cycle: Barrington, Elk Grove, Evanston, Filed Online Hanover, Leyden, Maine, New Trier, Niles, Northfield, Norwood Park, Palatine, Schaumburg, Wheeling.
Transformative Re-Engineering Project In July, the BOR continued implementation of its long-term technology strategy by awarding a contract to Databank LLC, an imaging and information management solutions firm, to re-engineer and digitally automate the current paper-intensive appeal process. This comprehensive project will begin in August 2014; initial implementation of the re-engineered system is slated for the 2015 Assessment Appeal Session. This multi-year project will simplify the overall appeal process for taxpayers by allowing evidence to be filed online, reduce costs associated with paper printing and file storage, streamline operations by eliminating the need to physically circulate hundreds of thousands of paper files analysts review each year, and increase overall efficiency. Timely Closing of the BOR - Setting a New Trend On April 17, 2014, the Commissioners of the Cook County Board of Review completed and transmitted to the Cook County Assessor’s Office, the Board’s 2013 assessment year decisions, which included the reassessment of all real estate in the northern suburbs. The Cook County property tax system made the statutory deadline for second installment property tax bills for the third consecutive year and now third time in 37 years, due in part by the Board’s timely closing. Issuing tax bills on time can save residents of Cook County an estimated $3 million a month because late tax bills means a delay in receiving tax revenues, forcing schools, libraries and other local government offices to borrow money. Professional Development The Board of Review staff’s level of expertise is an integral part of its success. Formal employee training designed to raise the level of knowledge and professionalism among our analysts is a priority. This year the Board sponsored several property assessment classes conducted by the Illinois Department of Revenue and the Illinois Property Assessment Institute. Classes included Property Valuation, Mass Appraisal Techniques, and Commercial Assessment Practices. All classes meet qualifying requirements for our staff to earn the Certified Illinois Assessing Officer (CIAO) designation, which several of our analysts currently hold, and many more are close to achieving. In addition, the Board sponsors legal education for staff members who are attorneys to keep its staff current and knowledgeable in the legal arguments and aspects affecting assessment practices.
3 Cook County Board of Review Budget Highlights
BOR Actual Expenditure
9.0
8.0
7.0
6.0
5.0
4.0
3.0 AL EXPENDIT U RE (IN MILLIONS)
2.0
1.0 U BOR ACT 0.0
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
FISCAL YEAR ACTUAL EXPENDITURE ($ MILLION)
2003 8.6
2004 7.8
2005 7.6 The BOR is an essential part of the 2006 7.4 property tax system. Recognizing its importance within this cycle, the BOR 2007 6.8 continually looks for ways to streamline 2008 7.3 its processes and improve efficiency.
2009 7.5
2010 8.1
2011 7.9
2012 7.8 Note: The 2013 assessment year corresponds to the 2013 7.7 later part of the 2013 fiscal year and the beginning portion of the 2014 fiscal year. 2014 N/A The BOR fiscal year runs from Dec 01 thru Nov 30.
www.cookcountyboardofreview.com 4 Employees and Appeals
Employees Total PINS Filed
450
400
350
300
250
200
150
100
50
0
employees (in hundreds) / employees PIN s F iled (in thousands) 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
employees Assessment EMPLOYEES PINs APPEALED Year (IN THOUSANDS) total pins filed
2002 130 121
2003 130 220
2004 129 182 Process re-engineering efforts and 2005 130 130 technology have helped to keep headcount steady. In the 2013/2014 2006 122 247 budget year, the BOR successfully
2007 126 277 reviewed and adjudicated all 402,897 appeals for assessment year 2013. 2008 123 295
2009 122 439
2010 118 386
2011 119 342
2012 124 423
2013 125 403
5 Cook County Board of Review Operational Highlights
Total Pins Filed Assessment Years 2002–2013*
400
350
300
250
200
150
100 PINs FILED (IN THO U SANDS) verage
A 50
0
2002–2004 174.33 2005–2007 218.00 2008–2010
373.33 2011–2013 389.33 ASSESSMENT PINSFILED REASSESSMENT YEAR INTHOuSANDS TRIENNIAL 2002 121 South suburban 2003 220 CITY 2004 182 North suburban
2005 130 South suburban 2006 247 CITY The BOR adjudicated 402,897 2007 277 North suburban property appeals for tax year 2013.
2008 295 South suburban 2009 439 CITY 2010 386 North suburban *The Cook County Assessor’s Office cycles reassessments between the south 2011 342 South suburban suburbs, the City of Chicago, and the north suburbs. This bar chart reflects the 2012 423 CITY triennial cycle starting with year 2002 2013 403 North Suburban to better illustrate year-to-year trends.
www.cookcountyboardofreview.com 6 Appeals Resulting in a Reduction Assessment Years 2002–2013*
70.00%
60.00%
50.00%
40.00%
30.00%
20.0%
10.0%
0 IN A RED U CTION APPEALS (PIN s ) RES U LTING average 2002–2004 2005–2007 2008–2010 2011–2013 52.07% 61.43% 69.57% 62.63%
Assessment Appeals Resulting YEAR INAREDuction
2002 50.7%
2003 56.4% The Board reviews all assessment appeals 2004 49.1% presented by property owners. A variety of evidence is considered by the Board of Review 2005 50.6% when making its decisions, including evidence 2006 61.1% presented by the taxpayer. The number of reductions fluctuates year to year based on 2007 72.6% numerous factors. The responsibility of the Board is to ensure a fair assessment. 2008 65.8% 2009 75.6% 2010 67.3% *The Cook County Assessor’s Office cycles reassessments between the south 2011 61.7% suburbs, the City of Chicago, and the north suburbs. This bar chart reflects the 2012 64.4% triennial cycle starting with year 2002 2013 61.8% to better illustrate year-to-year trends.
7 Cook County Board of Review PTAB Appeals
The BOR and Illinois Property Tax Appeal Board (PTAB) share a symbiotic relationship. The mandate of each entity is to provide taxpayers with an unbiased forum for appealing assessments at no cost to the property owner. PTAB is a forum to appeal the Board of Review’s decision. Once an appeal is filed with PTAB, the BOR assumes the responsibility of defending its earlier decision. PTAB does not have a yearly session, so even when the BOR is closed for current tax year assessment appeals, regarding prior year decisions, it is still actively preparing evidence and appearing at requested hearings before PTAB. If neither party requests an oral hearing, then PTAB makes its decision based solely on the written evidence. The BOR and PTAB have been working diligently developing new efficiencies to reduce PTAB’s significant backlog of cases.
35000
30000
25000
20000
15000
10000 ptab PIN s APPEALED AT OTAL t
5000
0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
Assessment PTAB PINs Assessment PTAB PINs Year Appealed Year Appealed 2000 15,290 2007 19,807
2001 14,593 2008 20,870
2002 16,523 2009 30,887
2003 21,416 2010 25,332
2004 18,338 2011 27,382 Note: Data as of 5/2014. PTAB operates on a different 2005 17,390 2012 30,592 schedule than BOR. Majority of 2013 appeals filed have yet 2006 22,089 2013 N/A to be processed.
www.cookcountyboardofreview.com 8 Exempt Properties & the BOR
The BOR examines applications from governmental, charitable and religious organizations that believe that they meet the qualifications for property tax exempt status. The requirements for property tax exempt status can vary. The BOR examines each case to determine whether the property is specifically exempt by statute and whether the property owner has met the required burden of proof. The BOR may hold a hearing in cases involving a question of law or an incomplete file. In addition, the BOR may also elect to hold a hearing when a taxing body objects to an application. In either case, petitioners are notified by mail of their hearing date. Following the hearing, a recommendation on exempt status is sent to the Illinois Department of Revenue. While the BOR makes a recommendation, only the State of Illinois can remove property from the property tax roll. In assessment year 2013, the BOR processed 1,911 exempt parcels requesting exempt status.
Exempt PINs Filed*
3500
3000
2500
2000
1500 otal exempt PIN s FILED otal 1000
500 verage T verage
A 0 2002–2004 2005–2007 2008–2010 2011–2013 3067 2309 2040 1478
Total PINS Total PINS Appealed Appealed 2002 3,130 2008 2,807 2003 3,012 2009 1,946 2004 3,059 2010 1,367
2005 1,869 2011 1,276 2006 2,654 2012 1,246 2007 2,404 2013 1,911
*The Cook County Assessor’s Office cycles reassessments between the south suburbs, the City of Chicago, and the north suburbs. This bar chart reflects the triennial cycle starting with year 2002 to better illustrate year-to-year trends.
9 Cook County Board of Review 2013 Tax Year Outreach Efforts
Through the BOR’s community outreach programs, the BOR brings assessed valuation complaint services to the community. During the 2013 assessment year, our office conducted 164 outreach events and serviced thousands of taxpayers throughout Cook County. The BOR’s outreach programs’ main focuses are to educate and inform taxpayers of the BOR’s services and explain the assessed valuation appeal process. Our outreach programs have proven to be a viable and effective way to provide the community with important information and to provide access to this office. The BOR is fortunate to have the continued support for our respective outreach initiatives from elected officials and community organizations throughout Cook County. The BOR has partnered with several elected officials and community organizations whose support has played an integral role in making the BOR more accessible to taxpayers.
did you know? Board of Review
The BOR is administered by 2013 tax year marks the three Commissioners third time who are elected from individual districts. since tax year 1977 that the The chairmanship of the BOR rotates between second installment tax bills have been the three Commissioners every year. mailed out on time.
The BOR is especially well equipped to assist taxpayers because of the multilingual staff and documentation. We are currently able to assist taxpayers in Spanish, Polish, Greek, Italian, French, and German.
did you know? cook county
The nation’s The Cook County Forest Preserve first blood bank consists of a total was established in 1937 by Dr. Bernard Fantus at 68,000 acres Cook County Hospital. 11% of county is open land.
Thornton Quarry is the largest limestone quarry in America and the 2nd largest in the world.
www.cookcountyboardofreview.com 10 ccao tRIENNIAL assessment cYCLE CCAO Triennial Assessment Cycle
6 5 4 3 2 1 6 5 4 3 2 1 6 5 4 3 2 1 6 5 34 2 1 6 5 7 98 10 11 12 7 8 9 10 11 12 7 8 9 10 11 12 7 8 9 10 11 12 7 8 15 15 15 15 18 17 16 14 13 18 17 16 14 13 18 17 16 14 13 18 17 16 14 13 18 17 16 PALATINE WHEELING 01 23 02 03 04 22 20 19 20 21 22 24 19 20 21 23 24 19 20 21 23 24 19 20 21 23 24 19 22 22 21 BARRINGTON NORTHFIELD 22 05 28 30 29 28 27 26 25 30 29 28 27 26 25 30 29 28 27 26 25 30 29 28 27 26 25 30 29 27 NEW TRIER 26 31 32 33 34 35 36 31 32 33 34 35 36 31 32 33 34 35 36 31 32 33 34 35 36 31 32 33 0 3 2 1 6 5 4 6 5 4 321 6 5 4 9 10 11 12 7 8 9 10 EVANSTON 7 11 12 7 8 9 10 11 12 7 8 8 9 10 11 12 18 7 8 9 10 11 12 7 15 16 15 18 17 16 15 14 13 18 17 16 15 14 13 13 18 17 13 18 17 SCHAUMBURG 14 14 20 18 17 16 15 14 13 18 ELK GROVE 22 19 16 MAINE 23 24 19 21 23 24 20 22 20 21 22 23 24 19 21 NILES 21 23 24 19 20 09 22 10 HANOVER 06 23 24 19 20 07 08 11 19 20 21 22 25 30 29 28 27 26 25 29 30 29 28 27 26 30 26 25 30 29 28 27 26 25 0 0 30 29 28 27 0 032 30 29 28 27 26 25 0 33 ROGERS PARK 36 0 34 35 32 33 34 35 31 0 36 31 32 36 31 32 33 34 35 36 31 32 33 34 35 31 32 33 34 35 36 31 0 3 6 2 1 6 5 5 4 3 2 1 5 6 JEFFERSON 10 7 8 9 10 11 12 7 8 7 8 9 11 12 9 15 City Tri (2012, 2015, 2018) 0 NORWOOD PARK 16 14 13 18 17 16 16 70 Hyde Park 18 17 15 14 13 18 17 13 20 71 Jefferson 12 19 20 21 23 24 19 14 19 20 21 23 24 22 21 72 Lake 22 0 21 73 Lakeview 25 30 29 28 27 26 25 30 LAKE VIEW 30 29 LEYDEN 26 29 28 28 74 North Chicago 28 27 27 33 75 Rogers Park 34 35 36 31 32 33 33 34 35 36 31 32 33 34 76 South Chicago 31 32 2 NORTH 77 West Chicago 1 6 5 4 3 2 1 6 5 6 5 4 3 4 3 RIVER FOREST 8 11 12 10 North Tri (2013, 2016, 2019) 9 10 7 8 9 7 8 9 10 11 12 OAK PARK WEST 10 Barrington 7 15 17 16 16 Elk Grove 15 13 18 15 18 17 16 14 13 18 17 16 14 17 Evanston PROVISO 16 17 22 18 Hanover 15 20 21 23 24 19 20 21 23 24 19 20 21 20 Leyden 19 22 22 22 Maine CICERO 26 25 30 29 28 27 29 28 27 26 25 BERWYN 27 23 New Trier 30 29 28 SOUTH RIVERSIDE 30 24 Niles 33 34 35 36 31 32 33 34 35 33 34 31 32 25 Northfield 31 32 35 36 3 26 Norwood Park 4 3 2 1 6 5 4 2 4 3 2 1 6 5 29 Palatine 6 5 1 8 9 10 11 35 Schaumburg 7 8 9 10 11 12 7 12 7 8 9 10 11 12 38 Wheeling 16 15 13 15 14 15 17 16 14 13 18 17 13 17 16 14 13 18 South Tri (2014, 2017, 2020) 18 19 20 23 11 Berwyn LYONS 18 20 21 23 24 19 20 24 21 23 24 19 22 21 22 19 12 Bloom 19 20 22 29 26 25 30 13 Bremen 30 27 26 25 30 29 28 27 29 28 27 26 25 LAKE 14 Calumet 30 29 STICKNEY 28 34 35 36 21 32 15 Cicero 33 34 35 36 31 32 33 33 34 35 36 31 32 31 19 Lemont 31 32 4 3 2 1 6 21 Lyons 5 4 3 2 1 6 5 5 5 4 3 2 1 6 27 Oak Park 6 HYDE PARK 10 28 Orland 8 9 10 11 12 7 8 9 11 12 8 9 10 11 12 7 7 8 30 Palos 12 7 11 15 16 15 14 31 Proviso 15 17 16 14 13 18 17 17 16 14 13 18 13 18 32 Rich 14 13 18 17 15 WORTH 26 16 PALOS 24 20 21 25 33 River Forest 23 19 20 23 24 19 19 23 24 21 22 23 24 19 20 34 Riverside 19 20 21 22 23 24 20 21 22 22 25 30 29 28 36 Stickney 25 30 29 28 27 26 27 26 25 30 29 LEMONT 26 25 30 29 28 27 26 37 Thornton 29 30 28 22 27 CALUMET 39 Worth 31 32 33 34 35 36 31 32 33 34 35 36 31 32 33 34 35 36 31 32 31 32 33 34 35 36 6 6 5 4 3 2 1 6 5 4 3 2 1 5 4 3 2 1 6 5
7 8 9 10 11 12 City Tri (2012, 2015, 2018) 7 8 9 10 11 12 7 8 9 10 11 12 7 8 15 15 15 18 17 North Tri (2013, 2016, 2019) 18 17 16 14 13 18 17 16 14 13 18 17 16 14 13 ORLAND 27 BREMEN 28 THORNTON 29 30 19 20 21 23 24 19 20 21 23 24 19 20 21 23 24 South Tri (2014, 2017, 2020) 22 22 22 19 20 29 Area 30 29 28 27 26 25 30 28 27 26 25 30 29 28 27 26 25 30 29 32 Sections 31 32 33 34 35 36 31 32 33 34 35 36 31 32 33 34 35 36 31 Hydroline 6 5 4 3 2 1 6 5 4 3 2 1 6 5 Lake Michigan 7 8 9 10 11 12 7 8 9 10 11 12 7 8 18 17 15 16 15 Interstate Highway 18 17 16 14 13 18 17 14 13 5 RICH BLOOM 32 33 19 20 21 31 23 24 19 20 21 23 24 22 22 19 20
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