Homeowner Appeals Of Tax Valuations Soar

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LIFE & ARTS B1

SPORTS C1

M O N D AY, D E C E M B E R 8 , 2 0 0 8

Homeowner appeals of tax valuations soar Assessments are up in a down real estate market

BY AUBREY COHEN P-I reporter

Dalene McIntire never saw her Renton home’s tax valuation rise more than $31,000 in any one year. Until now. “They came in this year at

$99,000” higher, she said at a hearing Tuesday morning. Paying off the mortgage took hard work, McIntire said. “Now my tax payments are higher than my house payments ever thought about being.” McIntire and other homeowners have appealed tax valua-

tions on more than 12,000 King County properties this year, up from 3,800 last year and the highest total since the county replaced its two-year cycle with annual revaluations in 1996, according to Dave Goff, manager/ SEE TAXES, A13

PAUL JOSEPH BROWN / P-I

Stephen Wehner with the King County Board of Equalization listens to Laura Chiusano appeal for a reduced property assessment.

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WESTLAKE TREE SHEDS CHARLIE BROWN IMAGE

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State’s congressional leaders outline legislative goals Democrats cite issues they plan to push in new year

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DICKS: environmental initiatives

BUSINESS

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Under the 2008 holiday tree at Westlake Center on Thursday, Diamonte, of Seattle, dances to the Andean folk music of Quichua Mashis. Last year’s tree was so pathetic, expert Gene Rosso, of Julius Rosso Nursery & Garden, was called in to glue branches onto its bald spots. This year, no one took any chances: The tree came from Rosso. Story on A13; related story on C12.

INSLEE: renewable energy

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Rep. Jim McDermott thinks the time is ripe to finally provide affordable health care coverage for all Americans. Sen. Patty Murray is looking to win her long fight to expand access to Veterans Affairs pro-

grams. And Rep. Jay Inslee senses an opportunity to boost renewable energy initiatives and cut the nation’s reliance on imported oil. With the Democrats soon to take over the presidency and expand their majorities in the Senate and House, McDermott, Murray, Inslee and other Democratic members of the state congressional delegation are hoping they’ll succeed with favored legislative proposals that have been stalled by Republican opposition. The GOP, under President George W. Bush, has held the White House

since 2001 and, for most of the time from 1995 to 2007, Republicans controlled both houses of Congress. But the Democrats may have to temper their optimism in light of the ongoing financial crisis. Pretty much everything they want to do costs money, and the federal government may not have that much to spread around, no matter how sympathetic President-elect Barack Obama is to their proposals. One measure with greatly SEE DELEGATION, A13

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Holiday shopping a fuller experience

This year’s Westlake Center tree offers cheer amid gloom BY KERY MURAKAMI P-I reporter

Outside Westlake Center last week, D.J. Baker and Scott Vails tried to get in the Christmas spirit despite the economy’s Grinchlike hold on the holidays. As is their tradition, they went downtown to window shop. “Usually I’m looking around to get an idea of what to get people for Christmas,” Baker said. But, like a lot of people planning to scale back on gift giving, he said, “This year, we’re just

looking.” Amid the shoppers shopping less, however, there was a bright side – a 50-foot one with glittering ornaments, full branches and majestic in appearance – especially compared with last year’s. “That one was so scrawny,” Baker observed. “It was so thin,” Vails agreed. “Scraggly,” Linda Rabenstein remembered, as she admired this year’s version. “It was a giant Charlie Brown tree.” It even got national attention. On the syndicated American Public Media Radio Show,

ABOUT YOUR PROPERTY TAXES

Your property tax bill is a combination of taxes from publicly funded entities such as county and city government, your school district and your local port. To determine its tax rate, each entity decides how much money it will need in the coming year, and the assessor divides that dollar figure by the total value of the property in its tax area. The resulting figure is the tax rate that will generate the total dollars needed. FOR EXAMPLE Seattle 2008 budget from property taxes

Total value of property in Seattle

Tax rate per dollar of value for Seattle residents

$335.5 million / $121.6 billion = 0.0028 BREAKDOWN OF A TYPICAL 2008 SEATTLE RESIDENT TAX RATE Tax rates are in dollars per $1,000 of assessed value

City of Seattle King County/Port of Seattle Seattle Public Schools Emergency Medical Services Flood Washington State Ferries

2.77365 3.56362 1.89563 0.3 0.1 0.055

TOTAL TAX RATE: 8.6879

CHANGE IN PROPERTY VALUE VS. CHANGE IN A TAX BILL The value of this Seattle home has increased much faster than the tax bill in recent years. Percent change 2006 2007 2008 2009

Property value*

Tax rate

$256

x

9.6291

=

$2,465

$274

x

9.2796

=

$2,543

$308

x

8.6879

=

$2,676

7% 12.4% 9.7%

$338

TBD

Tax

TBD

Percent change 3.1% 5.2% TBD

* Value, in thousands, used in any year is value as of Jan. 1 of the previous year.

If property values decline next year, the tax rate will increase to make up the difference, just as rates went down during years when values increased faster than government budgets. Source: King County, P-I reporting

SEATTLE P-I

onlooker Jan McDonald called the Westlake Christmas tree an example of “a Charlie Browner.” “Like this one’s got space right here. Like the top and then there’s a big space with nothing there, and it’s got a long stem,” McDonald said on the show. The tree was so bad that Gene Rosso, owner of the Julius Rosso Nursery & Garden, had to be called to fix it. Some of the tree’s branches broke when it was cut down, leaving little bald spots until Rosso glued some new branches on. “That was a horrible tree,” said Rosso, who sold Westlake this year’s tree. It’s a Turkish fir, he said, bought from a tree farm in Lewis County and grown from seeds imported from Turkey. The spe-

OLYMPIA – State Republicans are used to shouting into the wind. Dwarfed by Democratic majorities in both the House and Senate, their various complaints about Democratic spending often go unheard. But this year, they may have to resist the urge to say “I told you so.” Washington faces the largest deficit in state history. And Democrats heading into the new legislative session in January will be forced to take a more conservative view on what to keep and what to cut. “I’m not one to do the ‘I told you so’ routine,” said Sen. Joe Zarelli, the Senate GOP’s budget chief. “But the history lesson is important. We need to under-

DELEGATION: Larsen upbeat on stimulus FROM A1 brightened prospects, several of the Democrats said, is the expansion of the State Children’s Health Insurance Program, or SCHIP, which funnels federal money to states to provide health insurance for children of families with incomes that are relatively modest, but too high to qualify for Medicaid. The highlighting of that issue seems obvious: In 2007, Congress – which that year came under Democratic control – twice passed bills expanding the program to cover a wider range of families, but Bush vetoed the measures. Obama almost certainly wouldn’t. Other health proposals also seem primed for success, delegation members said. A key part of Obama’s pitch to voters was his pledge to make affordable health insurance coverage available to everyone. McDermott, a physician who represents Seattle in the House, is a past sponsor of bills to create a single-payer health insurance system, like the one in Canada. That’s not Obama’s plan, but McDermott sees an opening for making progress on the overall issue. “Affordable health coverage of every American has always been one of my top priorities,

stand how we got here. “We can’t excuse our own actions by saying it’s the result of the national economy. That’s only partially correct.” Gov. Chris Gregoire has promised to balance the budget without raising taxes. Her proposal, due within the next two weeks, will be the first take on the state budget for the 2009-11 biennium. Gregoire has warned of dramatic cuts in spending to make up for an expected deficit of more than $5 billion, and has said she’s preparing the budget with the expectation that that number could be closer to $6 billion. Zarelli has called for the Legislature to pass a supplemental budget to close out the final six months of the current fiscal year

and for the first time in 15 years, we have a real opportunity to meet the needs of the American people,” he said in a statement from his office. Murray, the state’s senior U.S. senator, expects Obama to approve one of her pet proposals: broadening access to Veterans Affairs health care for veterans whose ailments are not servicerelated and whose income exceeds eligibility guidelines. That access was cut off in 2003 in light of budget shortages and huge patient backlogs, and Murray – a member of the Senate Appropriations’ veterans affairs subcommittee – has fought to restore it. Obama has said one of his first acts as president will be to sign an executive order to expand the coverage. Inslee, whose congressional district straddles the King-Snohomish county line, serves on the House Select Committee on Energy Independence and Global Warming as well as on the standing committees on natural resources and on energy and commerce. With Bush leaving office, Inslee is “looking forward to the return of science-based policymaking in addressing climate change,” his office said. Specifically, Inslee hopes to win approval of federal support for domestic manufacturing of advanced car batteries for hybrid and plug-in vehicles, a cap-andtrade program to reduce greenhouse gas emissions and a measure setting a standard for generation of electricity from renewable energy sources. Rep. Norm Dicks, who repre-

lake – the man who provided the fir faced his own uncertainty. It’s been a tough year, Rosso said. He supplies many companies, downtown offices and hotels with their trees, and when the economy tanked, it hurt sales. Weyerhaeuser usually orders 12 trees for its offices, but cut back to just four. Hotels and companies canceled their Christmas tree orders entirely. Rosso didn’t hire the 10 or so part-time workers he usually does to help take trees and set them up in office-building lobbies. He said he has to lay off four people next week. The focus shifts in the next couple of weeks to selling Christmas trees to local groceries and at his nursery. “We’ll have a better idea of

what it’s like the next couple of weekends,” Rosso said, but added that grocery stores expecting the worst are ordering fewer trees to sell in their parking lots. But in Westlake, the Turkish fir did bring some cheer. “I like watching the traditions,” Rabenstein said, of the children twirling on the carousel and the implant-free tree. “I was going to spend yesterday putting up the lights,” Vails said. “I just couldn’t get motivated.” But as he surveyed the lights, the carousel and Rosso’s tree, he said he was beginning to feel the familiar stirrings of the holidays.

P-I reporter Kery Murakami can be reached at 206-448-8131 or [email protected].

TAXES: Values on Jan. 1 are used FROM A1

clerk of the Board of Appeals/ Equalization. “Four to five thousand (appeals) is pretty average.” County Assessor Scott Noble said this year’s total is lower than an estimated 20,000 a year when he took office in the early 1990s. The appeal deadline for the last property owners who received valuation notices was Tuesday. The board generally hears 24 appeals a day and is now booked through January. A major reason for the increase in appeals is that the typical county assessment is 9 percent higher than it was last year, despite this year’s falling prices. Declines in the median sales price of a King County house grew from 3.5 percent in April, when property owners started getting their valuation notices, to 11.7 percent in October, just after the last notices went out, according to the Northwest Multiple Listing Service. By law, the Department of Assessments bases valuations on values as of Jan. 1 – months before it mails notices. It also measures values using sales from the previous three years, which means values shift less dramatically, up or down, from one year to the next. None of this moved McIntire. “I don’t care what (the value) was in January. It’s going down now,” she said. “Do the property

Democrats will need conservative approach in state budget talks THE ASSOCIATED PRESS

cies is known for keeping its needles longer than other evergreens, he said. Across the street from the tree, there was one defender of last year’s Tannenbaum. “I didn’t think it was such a bad tree. When it was lit up, it looked nice,” said Eileen Tabler, an events coordinator for the Downtown Seattle Association who was helping run the carousel. She acknowledged, though, the Turkish fir looked better. “It’s got thicker branches,” she said. Tighter pockets, she said, meant more families riding the carousel and visiting the tree. “With the economy, I think people are looking at cheaper activities,” she said. At Rosso’s nursery – far from the economic doldrums at West-

in the Legislature’s first week, instead of waiting until the end of the 105-day session. The latest revenue forecast showed that in addition to the projected deficit for the 2009-2011 state budget, the current budget also had a shortfall. “If we make the supplemental budget adjustment of $500-$600 million in savings, that could translate into more than $2 billion of the $6 billion problem we’re facing now,” Zarelli said. Glenn Kuper, a spokesman for the Office of Financial Management, said Gregoire’s supplemental budget will be ready to go and she would like to see the Legislature take it up quickly. House Democratic caucus spokeswoman Melinda McCrady said it was being discussed.

sents Tacoma in the House and is chairman of the Appropriations Committee’s interior and environment subcommittee, also expects a significant change of direction under Obama in the government’s approach to global warming. Environmental initiatives in general should fare better under Obama, Dicks said, specifically mentioning spending for a Puget Sound cleanup and for national parks. Murray’s Senate colleague, Maria Cantwell, anticipates welcome changes in White House policies on health care and energy. Specific measures she’s optimistic about are legislation to curtail price manipulation in the oil market, and reform of programs helping workers adversely affected by foreign trade – issues she has addressed previously. Rep. Rick Larsen, whose House district runs from Monroe to the Canadian border, sees better times ahead for issues he’s worked on as a member of the House Transportation and Infrastructure Committee. “The Bush administration has opposed our efforts to pass a second economic stimulus package,” he said in a statement. “President Obama will lift that roadblock so Congress can pass major transportation investments to improve the safety of our roads and bridges, create good-paying jobs in Washington state and get our economy moving again.” P-I reporter Gregory Roberts can be reached at 206-448-8022 or [email protected].

values go down and we pay less taxes?” That question reflects the widespread belief that changes in values result directly in changes to tax bills. In fact, cities, counties, school districts, fire districts and voters asked to approve special levies decide independently how much to collect, and the assessor then sets whatever rate is needed to collect those amounts. The voter-approved, 1 percent annual cap on tax increases applies to the dollars collected, not the rate. During the recent real estate boom, home values generally rose faster than property tax totals, so the assessor lowered tax rates to compensate. Once valuations fell, the assessor raised rates, assuming taxing districts decided to collect at least the same amount of money. “Many residential property owners will see decreases next year (in valuations), but not necessarily a lower tax bill,” Noble said. One reason for confusion about Washington’s system is that many other parts of the country have property tax systems in which districts directly set the rate, make windfalls during booms and see their budgets squeezed when values fall. Property valuations this year affect homeowners’ taxes next year. Districts are just now setting their budgets, meaning nobody knows yet what 2009 tax bills

will be. McIntire noted that her neighbors’ valuations went up by a much smaller percentage than hers, but that angle doesn’t count for anything at appeal hearings. Appellants must use sales of comparable properties or facts about the property itself. People who appeal their valuations argue their cases to a member of the Board of Appeals/ Equalization, with an appraiser from the county Department of Assessments there to defend the original valuation. Later, the board member presents the case to a quorum of the board for a decision. At McIntire’s appeal hearing, Department of Assessments appraiser Joel Ledbetter noted that she provided no comparable sales to support a reduction. “I don’t care what other people sold their houses for,” McIntire responded. “I’m not selling my house.” The law assumes that the assessor’s value is correct, a fact that also miffed McIntire. “I’m guilty until proven innocent,” she said. Laura Chiusano went to her appeal hearing Tuesday armed with comparable sales and arguments why sales the assessor considered were flawed. She also provided details about her property, including its small yard and odd layout – one bedroom on each of three floors – and her failed efforts to sell it last year for

significantly less than the $886,000 the assessor said it was worth. The property was on the market for $720,000 to $765,000 for most of the time from May through October 2007, Chiusano said. “I did not during any of that time receive one offer.” She wanted the value changed to $720,000. Typically, about one-quarter of appeals are worked out without a hearing. Half of those who appeal get reductions, which average 11 percent to 16 percent, Goff said. Chiusano and McIntire won’t know the outcome of their appeals for about a month, but Ledbetter did agree in both cases to send an appraiser to review the homes and properties. The first tax bills go out in February. If appeals are not resolved by the time those are due, owners must pay the higher amount and the next bill would adjust for any changes. Last month, the state certified that this year’s King County assessments were at about 90 percent of market value as of Jan. 1, Noble said. “When we do the next round of assessments next year, we’ll definitely take into account the current market conditions.” P-I reporter Aubrey Cohen can be reached at 206-448-8362 or [email protected]. Read his Real Estate News blog at blog.seattlepi.com/realestatenews.

FUNERALS, DEATHS AND IN MEMORIAM Paid Notices

Willis Albert ADKINS

September 4, 1917 ~ November 30, 2008

Alfred S. BLOUDOFF

Our beloved husband, father & grandfather peacefully passed away on Dec. 01, 2008. Survived by his wife Mary, his children Kevin, Karen and Stephen and their families. A celebration of his life will be held January 17, 2009 at 1:00PM at Wandering Creek Clubhouse. In lieu of flowers or memorial gifts, the family respectfully requests any donations be made to Evergreen Hospice Services located at 12822 124th Ln NE Kirkland, WA 98034 (1-800-442-4546). Al was a wonderful husband, father and grandfather and will be greatly missed by all.

Mabel “Mickey” FLOTLIN

Funeral Mass will be celebrated Thursday, December 11th, at 9 AM at St. Catherine Church, 814 NE 85th St., Seattle, 98115. Interment, Sunset Hills Cemetery. Please sign the online guestbook at www.legacy.com Hoffner Fisher & Harvey

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Donald Rae GALLOWAY

Don was unexpectedly taken from us on December 01, 2008 in Yuma, Arizona. He graduated from West Seattle High, class of 1954. He served in the United States Marine Corps stationed in Pickle Meadow, CA. After the Corps, he attended Washington State University. Before golf, Don was an avid skier and was a member of the ski patrol for 20 years. As soon as he discovered that he could have just as much fun without the cold and snow, up went the skis and out came the golf clubs, he never looked back! His home course was Mt. Si. Don was a member of Local 32 Plumbers & Pipefitters of Seattle, WA for 49 years and retired as their business agent. Don had many passions in his life: his work, his play and his family. He had a good life even though it ended much too soon. Don is survived by his loving wife Betty Lou, his son Cory and his wife Shirley, his daughter Jana, his stepchildren Dean and Jessica, 8 grandchildren and 7 great-grandchildren. A memorial service in the Seattle area will be held on a yet to be determined date. In lieu of flowers, please make a donation in Dons name to the Fred Hutchinson Cancer Research Center. A special tribute site has been set up for Don online at the Fred Hutchinson web site.

Stephanie Ann Mary (Macri) HEATH

Stephanie Ann Mary Macri Heath of Bothell, WA passed away in Bellevue, Washington, on November 27th, 2008 after a long illness. She was sixty-five. Her memorial service will be held at Evergreen-Washelli, also known as Bothell Funeral Home, at 18224 103rd Ave NE, Bothell,WA 98011 on December 18th, 2008 at 2:00 p.m. A reception will follow the service. Stephanie was born December 18th, 1942 to Stephen R. Macri and Phylliss M. Macri. She attended Roosevelt High School and the University of Washington. She was a long time employee of United States Customs and served in that role twenty-nine years. She was the wife of Michael E. Heath and they were married on May 13th, 1967. Their marriage was in its fortyfirst year. They have three daughters, Sarah E. Heath of Wenatchee, Ann M. Heath of Kirkland, and Amy L. Litterell of Wenatchee. She is survived by her mother, Phylliss M. Macri of Seattle, WA; two sisters, Marilyn Meyers of Napa, CA and Liz R. Scott of Lake Forest Park, WA; one brother, Stephen R. Macri Jr. of Arlington, WA; four grandchildren: Veronica A. Litterell, Michael T. Litterell, Caitlyn M. Litterell, and Collin D. Litterell, all of Wenatchee; a son-in-law, Kevin T. Litterell of Wenatchee, and a future son-in-law, Doug D. Grismore of Kirkland. She is further survived by two fraternal aunts, Dolores Brown of Edmonds, WA and Betty Snyder of Bothell, WA; a fraternal uncle, Sam Macri of Lacy, WA and numerous Macri family cousins, nephews and nieces. Stephanie was preceded in death by her father Stephen R. Macri, and her husband Michael's parents, Milton E. and Elizabeth C. Heath. Any remembrances should be made to Cancer or Diabetes Research.

Maxine B. PETERSON

Maxine Barbara (Nitz) Peterson died November 15, 2008 in West Seattle, WA at the age of 89. She was born on August 31, 1919 in Lake Park, MN to Winnie Bell (Darrow) Nitz and Alexander Nitz. She is survived by her brother Jack Nitz, Tulsa OK; son Bruce Peterson, West Seattle, WA; and daughter Diane (Peterson) Ray, Liberty Lake, WA; six grandchildren; eleven greatgrandchildren; and four great-greatgrandchildren. Maxine married Oren Lloyd Peterson December 24, 1938 in Moorhead, MN, and they moved to Seattle, WA in 1941 where they raised their two children. Maxine spent most of her time as a homemaker. After 35 years with Boeing, Oren retired in 1976, and they moved to Lake Limerick, WA. Maxine remained at Lake Limerick after Oren's death (August 12, 1993) until 2000 when she moved back West Seattle. Her final six years were spent at Park West Care Center. Maxine loved children. She volunteered for Ryther, an organization that supported the Ryther Children's Center in Seattle. Her hobbies were dancing with Oren, camping with her family, entertaining family and friends, bowling, bridge, golf, and bingo. Maxine was preceded in death by her parents, Winnie Bell (Darrow) Nitz and Alexander Nitz; sisters, Leora (Nitz) Vaag, Irene (Nitz) Jackson, Millie (Nitz) Beug; and a brother Alexander Nitz Jr. Memorial service will be held in May of 2009 at the Forest Lawn Funeral Home

Stephen F. SCHNEIDER

September 27, 1947 ~ December 5, 2008 Steve was born to Leo Schneider and Dona Moberg and raised in Yakima. He graduated from Western Washington University, University of Puget Sound School of Law, and earned his doctorate in tax law from New York University School of Law. Steve married his college sweetheart, Sheryl Lawrence. Steve had a private law practice in Bellevue. He was devoted to Rotary International, serving as president, and working with Rotary's Youth Exchange program and Rotary First Harvest. Steve loved white water rafting and cross country skiing. He introduced many friends to these activities. They joined him, kicking and screaming along the way, but always laughed with delight on the return trip. He is survived by his wife, Sheryl; his mother, Dona; 3 brothers, Mike, David (Deb), and Dan (Suzan); and his sister Terry Jamison, as well as multiple nieces and nephews and a host of dear friends, especially life-long friend Flynn Adams. A memorial service will be held Wednesday 12/10/08 at Northlake Unitarian Church, 308 4th Ave. S., Kirkland at 2:00 p.m. In lieu of flowers, the family suggests donations to Rotary First Harvest or Sound Mental Health.

Eileen P. VERHAGEN

Recitation of the Rosary will be Wednesday, December 10th, at 10:30 AM, followed by the Funeral Mass at 11:00 AM, BOTH at St. Elizabeth Ann Seton Church, 12316 180th St. S.E., Mill Creek, WA. Interment, Holyrood Cemetery. Please sign the online guestbook at www.legacy.com Hoffner Fisher & Harvey

Share a legacy. Sign a guest book, share memories and send flowers, gifts and charitable contributions online. For more information, please visit www.legacy.com/seattletimes.

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