File photo - Kimball Mayor David Jackson, right, and city attorney Billy Gouger attend a meeting in 2014.JASPER, Tenn. - Marion County's six-year property reappraisal cycle just ended, and county leaders have opted to switch to a five-year cycle instead.
Steve Lamb, the county's assessor of property, asked for the change at the Marion County Commission's January meeting.
"The main reason is that on a six-year cycle [the state has] what they call a current value update," Lamb said. "In three years, halfway through your cycle, if your sales ratio is below 0.9, it will trigger a reappraisal."
The county's property sales ratio is a comparison of the pricing of property to the actual sale price. Falling to the 0.9 mark means property is selling for more than it was originally appraised.
"So, you could have two reappraisals in the next six years," Lamb said.
He said between 2010 and 2016, Marion was in "a declining economy" and potential current value updates weren't "a concern."
In 2004, the county's sales ratio was 1.04, but Lamb said it's been "slowly falling," because in 2016 it was almost at 1.00.
Less than one month into 2017, the county's ratio is at 0.99.
The board voted unanimously to move to a five-year reappraisal cycle, which will avoid the potential of having a current value update.
Lamb said he can't guarantee a midpoint reappraisal would happen if Marion stays on the six-year cycle, but the county is "more susceptible" to one now due to a growing economy.
"Most of the counties in the state have moved away from the six-year cycle," he said.
Commissioner David Abbott asked whether Marion could go back to a six-year appraisal cycle if county leaders decide later that is a better option.
The county only has the option to switch to a four-, five- or six-year cycle when the current cycle is finished, Lamb said.
The next cycle won't end until 2021.
Lamb said moving to the five-year cycle does have a downside.
The Marion assessor's office now spends five years monitoring properties and updating tax records before the reappraisal in the sixth year.
"If we change to a five-year appraisal cycle, we'd have to do in four years what we're currently doing in five years," Lamb said. "For my office, it would be more work. I feel confident we can do it without any increase in budget."
Moreover, there would be one additional reappraisal per 30-year period by moving to the five-year cycle.
Mayor David Jackson said every reappraisal costs the county money. The typical cost of a reappraisal wasn't readily available, but Lamb said it's "expensive."
"As far as the overall expense of the reappraisals, it would be spread out over a long time," Lamb said. "Every time you have a reappraisal, you're going to have expenses."
Commissioner Louin Campbell, who made the motion to move to a five-year cycle, said changing wouldn't cost the county any more money, except for that extra reappraisal every 30 years.
Once a plan is in place, officials said it would have to be approved by the state.
Ryan Lewis is based in Marion County. Contact him at ryanlewis34@gmail.com.