Consent 2.
Regular Board of Supervisors Meeting
County Attorney
- Meeting Date:
- 10/23/2018
- Title:
- Approve the Proposed Settlement of the Tax Appeal in Karma Hotels, LLC v. Cochise County
- Submitted By:
- Susana Stark, County Attorney
- Department:
- County Attorney
Presentation:
No A/V Presentation
Recommendation:
Approve
Document Signatures:
BOS Signature Required
# of ORIGINALS
Submitted for Signature:
Submitted for Signature:
1
NAME
of PRESENTER:
of PRESENTER:
Christine J. Roberts
TITLE
of PRESENTER:
of PRESENTER:
Civil Deputy County Attorney
Docket Number (If applicable):
Mandated Function?:
Federal or State Mandate
Source of Mandate
or Basis for Support?:
or Basis for Support?:
Information
Agenda Item Text:
Approve the proposed settlement of the Tax Appeal in Karma Hotels, LLC v. Cochise County, TX2016-001306, now pending in Arizona Tax Court, a division of the Superior Court of and for Maricopa County.
Background:
Taxpayer filed a civil action in Arizona Tax Court, seeking a reduction in assessed value for parcel number 105-12-023 for tax years 2017 and 2018. After inspecting the property, reviewing the taxpayers’ documentation and other market factors/comparables, the Assessor agrees that the parcel’s full cash value and limited property value for tax years 2017 and 2018 should be lowered. The Assessor’s recommended settlement offer is as follows:
- For tax year 2017, a reduction in full cash value from $2,199,500 to $765,000.
- For tax year 2018, a reduction in full cash value from $2,199,500 to $765,000.
- The assessment ratio shall remain at 18%.
- The legal class shall remain at 1.12.
- These values and classification apply to the 2017, 2018 and 2019 assessment pursuant to A.R.S. 42-16002 (B)(1).
- Each party would bear their own attorneys’ fees and costs.
- The taxpayer has accepted the settlement offer.
Department's Next Steps (if approved):
Upon approval by the Board, Counsel for the County and Plaintiff’s Counsel will sign a stipulation for entry of Judgment and will submit a form of Judgment to the Arizona Tax Court disposing of this matter, pursuant to the settlement terms.
Impact of NOT Approving/Alternatives:
Additional litigation for the County with the risk that the Court may: (1) rule in the taxpayers’ favor; (2) order a larger reduction in the assessed value of the subject property; and (3) order the County to pay the Plaintiff’s fees and costs.
To BOS Staff: Document Disposition/Follow-Up:
Advise County Attorney's Office - Civil Division upon Board's approval.