Property tax system 'antiquate'

I believe that outside money, speculation, lucrative financing, over building and greed are the major factors that resulted in the real-estate bubble throughout the United States.

Homeowners, especially those living on lake front property in western Montana, were severely impacted by this as a result of an antiquated property tax system.

My property value according to the Montana Department of Revenue went from $650,000 in 2002 to 2.8 million in 2008. My taxes, increased approximately $3,000. ($6500 for tax year 2008/2009 and $9200 for tax year 2009/2010) If everything stays the same, my taxes will increase approximately $3000 per year and be approximately $18,000 in 2014.

The next scheduled reappraisal is in 2014. Many taxpayers along the lakes have lived in their homes for many years and are on a fixed income. They will be severely impacted, and if something is not done to correct the financial tax burden placed on these homeowners, it will be necessary for them to sell.

This will result in an additional inventory of property on the market most likely causing values to further diminish. Very few Flathead Valley lakefront properties sold in 2009 and I understand that a number are now selling at 50 percent of what the Department of revenue appraised the property in July 2008.

When I received my re-appraisal notice in September, my neighbor and I met with the assessor for the Department of Revenue that handled our area. When I provided him with my address and re-appraisal information, he indicated that there was an error as to the value for the (house) improvements on the property. The improvements were valued at 1.1 million on the re-appraisal notice and he indicated this should have been in the neighborhood of $500,000. I asked him to correct the error. He refused and indicated that I needed to file a AB-26 form. I told him that I intended to do so but in that the Department of Revenue erred as to the dollar value of the improvements, the correction should be made at this time.

Disputed items can be addressed after the AB-26 (Request for informal review) is filed. He would not make the correction. In November 2009, I received my tax notice and paid the over-inflated taxes due. His refusal to make the correction resulted in additional tax liability for me and Flathead County receiving incorrect property values so the mil rate could be established.

The Department of Revenue is taking a very hard line and is placing the burden on the tax payer to prove that an adjustment is in order.

In some instances, independent appraisals and surveys must be requested and paid for by the taxpayer and provided to the Department of Revenue to support their position.

I understand that prior tax adjustments on properties were not considered by the Department of Revenue during the 2008 re-appraisal process.

This has resulted in an additional burden to those property owners affected.

The property tax system in Montana is broken and corrections need to be taken in the near future by the legislature, courts or by way of a ballot measure.

A month or so ago, a number of legislators requested that the governor assemble the legislature to address the property tax issue. The request was denied. Hopefully, he will reconsider.

Buckley is a resident of Somers.