Property Tax Revolt

TAX REVOLT: Time for A Unified City Council to Advocate Forcefully For Milton’s Most Vulnerable Citizens . . . Five Recommendations

Unity

June 11, 2017

Following is a letter sent to Milton’s Mayor and City Council.  It is critical that Milton’s elected officials present a unified front and advocate forcefully for citizens.  Unfortunately, the pain being inflicted on some of our most vulnerable citizens is seen as an opportunity by some politicians to lift their sagging political fortunes.  Posturing by some in the political class is undermining the citizens’ position against the recent arbitrary and inflated property appraisals.  Town hall meetings provide an opportunity for citizens to be heard and to obtain useful information.  Politicians in the audience need to be in listening mode, not delivering pandering, self-serving speeches.

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Following is a link to the video of the raucous, overflowing town hall meeting held June 7th in Alpharetta.  Commissioner Ellis did an excellent job of presenting the facts and advocating for citizens.  And he listened.

June 7th Town Hall Meeting with Commissioner Ellis

Cue to 1:23:30 to view Milton Council Member Matt Kunz’s grandstanding speech . . . yes, that’s Matt Kunz . . . in case you did not catch his name the first time . . . or second time.  Milton deserves better than this.

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June 11, 2017

Dear Mr. Mayor and City Council:

As you know, Fulton County recently sent out 2017 property tax appraisals.  The median tax appraisal rose by 13%.  However, 20% of Fulton residents saw an increase of more than 50%.  Residents of the City of Milton were hit disproportionately hard by the tax increase.  A supporter of the Milton Coalition sent me an analysis of one area of North Fulton, where both the mean and median increase was 56%.  And raw land appraisals skyrocketed; the average increase for 4 undeveloped parcels was a whopping 178%.

Immediately, citizens began contacting the Milton Coalition, pleading with us to advocate on behalf of citizens.  And we took up the call, when many elected representatives were still clueless to the coming tsunami of public outrage.  We began posting to our social media sites on May 31st—a day after assessments came out.  We did our first blog post on June 2nd and posted the following seven-point plan:

  • An admission by Fulton County that there may be serious problems plaguing our tax assessment process.
  • A freeze on all assessments until a thorough investigation of the assessment process is completed. This means that 2016 assessments would remain in effect pending the outcome of an investigation.
  • A report showing average appraisal increases by area, down to the subdivision. This will substantiate our claims that certain areas have been unfairly targeted for tax increases.
  • Increased visibility into the algorithm used to assess property values. Citizens have a right to know “how the sausage gets made.”
  • A full investigation of the tax assessment process by an independent third party.
  • Calculation and dissemination of new assessments based on the recommendations from a third-party investigator.
  • Reforms to the assessment process to make it fair to citizens. For example, we believe that there should be a cap on the rate at which assessments can increase year over year (subject to certain conditions—e.g., no improvements to the home, adjustments in square footage).

It seems that most, if not all, of these actions have been taken or are now being advocated by Fulton County Commissioners.  We have published blog posts every day for the last 10 days.  Of course, myself and another citizen spoke at Council on June 5th.  I was disappointed that Council had so little to say about the tax increase at that meeting.

I also attended Commissioner Ellis’s town hall meeting on June 7th.  As you know, every seat was taken and citizens lined the back and sides of the room.  Citizens waited at the doorway to get in and a separate holding room was created for the huge overflow of citizens.  A few local politicians were in attendance to listen.  However, one Milton City Council member, Matt Kunz, decided to give a political speech.  I have 2 objections to this.

First, town hall meetings are for citizens.  Their role is to speak and the role of elected officials is to listen.  The other politicians in the audience at Commissioner Ellis’s town hall understood this; Milton City Council Member Kunz did not.  In other venues, such as City Council meetings, elected officials have almost unlimited opportunity to speak.  Town halls are for citizens!

Second, and more importantly, the comments by Council Member Kunz actually served to undermine citizens’ position on the unfair tax appraisals, which is to freeze appraisals at 2016 levels.  At the end of the day, the tax appraisal issue involves negotiation.  The first rule in Negotiations 101 is NEVER NEGOTIATE WITH YOURSELF.  Proposals to lower the millage rate in Milton only serve to take the heat off the Board of Assessors.  (I am attaching an article that I co-wrote several years ago on negotiation, which I sometimes teach my clients.)  Right now, we have the Board of Assessors on the ropes . . . it is no time to pull our punches.  The singular focus needs to be on rescission of the 2017 appraisals.  Focus on more tangential issues and longer-term solutions dilutes arguments for tax justice and fairness.

And does anyone really believe lowering Milton’s millage rate is going to keep seniors and others on limited incomes in their homes?  Millage rates apply across the board, so provide equal relief to those who were socked with high appraisals and those (and there were a few) who saw their appraisals reduced.  Playing politics with the finances of our most vulnerable citizens is frankly unconscionable.

And shouldn’t our City Council be speaking with one voice?  Is Council divided on this issue?  Council Member Kunz indicated the he and 2 other Council Members had met about lowering the millage rate.  Why are these Council Members meeting on Milton’s millage rates, which is relatively minor in the big scheme of things, instead of strategizing on the dominant issue of arbitrary and inflated appraisals?  The perception of a divided City Council undermines our negotiating position.

I recommend the following to Council.

  1. Dispense with the politics and pandering and focus on rolling back the 2017 appraisals.
  2. Call a special session of City Council to develop a unanimous position on the rescission of the appraisals (and perhaps longer-term solutions) to issues of tax equity.
  3. Enlist the support of your colleagues in other municipalities, at the state level, and within the County Commission. Our City Council members need to be working this issue 24X7.  Maximum pressure needs to be exerted.
  4. Attend Liz Hausmann’s town hall meeting on June 14th and be in listen mode.
  5. Address the Fulton County Board of Assessors on June 15th to press the case firmly for a rescission of 2017 appraisals. I recommend Council speak through 1 person—the mayor.

Council, this issue is too important to your constituents for you to hang back, or worse to use the situation for political gain.  Many of your most vulnerable constituents are feeling a lot of pain right now.  They passionately spoke in droves at Commissioner Ellis’s town hall.  Council needs to feel citizens’ pain and start advocating forcefully for them.

Thank you for considering my perspectives and recommendations.

Advocating For Citizens,

Tim Becker

The Milton Coalition:  Advocating for clean, competent, courageous, and citizen-centric government

Property Tax Revolt

Taxpayer Revolt: Citizen Action Guide

June 10, 2017

First, thanks to all of you who are coming to the Milton Coalition blog.  Yesterday was a banner day for the blog.  We set a daily record with 181 hits.  Since the relaunch of the blog a few weeks ago, we have received about 800 hits.  And 92 new people have signed the Milton Coalition Petition For Smart Land Use and Good Governance . . . with your help, we should soon pass 1900 signatures.  Please sign if you have not already done so.  Click on this link:  Smart Land Use and Good Governance Petition (Milton Voters Only).  Now on to today’s blog post . . .

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Please note that the venue for Commissioner Liz Hausman’s town hall meeting has changed.  It is now going to be held at John’s Creek High School’s auditorium (at 7pm Wednesday, June 14).  Originally, it was to be held in a smaller venue.  However, after the raucous, overflow crowd at Bob Ellis’s town hall, Fulton County officials are wising up (better late than never) to the fact that citizens are livid over the property tax increases.  We are mystified that Fulton officials, particularly elected representatives, were so disconnected from taxpayers that they assumed that a large chunk of citizens would accept 50+% increases in their appraisals.  That’s right!  According to figures cited at Commissioner Ellis’s town hall, 22% of Fulton property owners received 2017 appraisals that were at least 50% higher than their 2016 appraisals.  So yes . . . we’re going to need a bigger room.  And if Fulton (and state) officials don’t rescind the 2017 appraisals and begin to seriously reform our property tax system, they better start thinking about booking the Georgia Dome for future town hall meetings.

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In Milton, we see the same disconnectedness in some City Council members.  Some have been in office too long; they have become indifferent and arrogant.  Not even a year ago, an overflow crowd of Miltonites turned out to oppose a rezoning on Ebenezer Road.  Only overwhelming public opposition defeated the rezoning, which Matt Kunz and Bill Lusk voted for.  (Karen Thurman conveniently recused herself.)  Did Council learn its lesson?  No.  Not even a year later, Council approved a rezoning of 3 parcels on Hopewell Road, granting twice the density than would have been allowed under existing AG-1 zoning.  So yes, our Milton City Council may also “need a bigger room.”  And remember, it is an election year.  Council Members Karen Thurman and Bill Lusk are in deep trouble with voters and cynically seeking, along with Matt “he’s-running-for-something” Kunz, to exploit the current taxpayer anger over inflated tax appraisals.  Don’t be fooled.  When the appraisal issue was raised at the last Milton City Council, none of them said boo about it.  Now that they see the public anger and big crowds (to which they can pander), they are shocked . . . yes shocked by the appraisal increases.  Again, don’t be fooled . . . changing Milton’s millage rates isn’t the solution.  The solution is rescission of the 2017 appraisals and deep reform of our tax system.

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It is important to once again pack the room at Ms. Hausmann’s meeting.  We need to keep up the pressure.  Some members of the Board of Assessors and the Chief Tax Appraiser should be there.  The Board of Assessors will meet the following day (June 15th) to decide whether to roll back the tax increases.  As they deliberate and vote, they need to have a fresh impression in their minds of discontented citizens.

Act Now - Red Button

Action Guide.  So citizens, here is the actions that we suggest that you take:

  1. Write and call your County Commissioners. Here are their e-mails that you can conveniently cut and paste into an e-mail. bob.ellis@fultoncountyga.gov, liz.hausmann@fultoncountyga.gov, john.eaves@fultoncountyga.gov, lee.morris@fultoncountyga.gov, marvin.arrington@fultoncountyga.gov, emma.darnell@fultoncountyga.gov
  2. You might want to hold off filing an appeal until after the Board of Assessors meets on June 15th. Should the Board decide against rescission of its appraisals, then file an appeal.  The deadline for written appeals is July 3, 2015.
  3. We would suggest that instead of an appeal that you file an Open Records Request seeking the analysis used to determine your home appraisal. This will not only help you in filing your appeal, but also give the Fulton County government a sense of the flood of appeals that will be filed and likely overwhelm their system.  You are supposed to get a response to an open records request within 3 days.  Here is the information you need to file an Open Records Request:

Contact Open Records Custodian, Constance Mackey at 404-612-6407 or email her @ BOA.openrecords@fultoncountyga.gov.  You may also mail open records requests to the following address:  Fulton County Board of Assessors 235 Peachtree Street, N.E., Suite 1400Atlanta, GA. 30303 Attention: Constance Mackey, Open Records Custodian

  1. Attend Commissioner Liz Hausmann’s town hall meeting on June 14th. Please consider stepping up and speaking.  The more people she hears from, the better.  Please be civil in your comments, but also direct.
  2. Tune out local city politicians, like Matt Kunz and Bill Lusk, who are just seeking to exploit the current anger over taxes for political gain and trying to divert attention from their poor voting records and unethical behavior.
  3. Sign the Milton Coalition’s Petition For Smart Development and Good Governance (Milton voters only) and leave a comment. We are Milton’s only citizen-run government watchdog organization.  Click on the following link:  Milton Coalition Petition For Smart Land Use and Good Governance
  4. Return to the blog daily for updates. You can actually subscribe to the blog so that posts get pushed to your e-mail box.  Simply go to the home page, enter your e-mail address, and click the follow button.

Thanks for your continuing trust, confidence, and support.  There is strength in numbers.

Advocating for Citizens,

The Milton Coalition . . . We are non-partisan group of concerned citizens advocating for clean, competent, courageous, and citizen-centric government.

Property Tax Revolt

Power to the People:  Citizens Pack Town Hall Meeting and Speak Passionately

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June 9, 2017

Author:  Tim Becker

Thank you to everyone that attended last night’s town hall meeting with Bob Ellis.  Citizens heeded the call to pack the room.  It was a full house.  Every seat was taken and citizens were standing at the back of the room and along the sides.  A separate room was created for the overflow.  Inside the room alone there were probably 500-600 people.  With the overflow, it is possible that nearly 1000 people were in attendance.  We saw several dozen Milton Coalition supporters at the Town Hall.

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Last night was a testament to the passion that Miltonites have for our community.  Citizens demonstrated that they, not government bureaucrats or politicians, ultimately have the final say . . . and they had a lot to say last night.  The town hall lasted over 3 hours.  Many dozens of speakers stepped up to the microphone.  Almost to a person, the speakers were angry.  And people have a right to be angry.  So far, the property tax fiasco has been an exercise in government incompetence and arrogance.  Following are some of the highlights (and a few “lowlights”) of the meeting:

  • Commissioner Bob Ellis did an excellent job of kicking off the meeting and a generally good job of managing the meeting. Ellis clearly and concisely explained the situation and how the assessment process works.  He was articulate about the many problems plaguing the tax assessment system.  He seems to recognize that radical reform, including at the state level, is needed.  And he recognizes that, as a practical matter, Fulton County is incapable of handling the flood of appeals and requests for information (to support appeals) from citizens.  Commissioner Ellis is calling for rescinding the current assessments, investigating and reforming the current system, and freezing assessments at 2016 levels.  We believe Mr. Ellis is sincere in his efforts to persuade the Board of Assessors to heed his calls.  Mr. Ellis’s statements last night largely insulated him from the ire of citizens, which was mostly directed toward the Board of Assessors and the chief appraiser.  However, Mr. Ellis does need to take some responsibility for the current situation.  He and his fellow commissioners should have foreseen the potential backlash and intervened before the assessments were sent out.  The Commission has created a big problem for itself by not being proactive.
  • Conversely, the chief tax appraiser, Dwight Robinson, and the members of the Board of Assessors performed poorly. In particular, the chief appraiser was defensive, arrogant, and inarticulate.  Based on his performance last night, it is no wonder that he got the assessments so wrong.  It is difficult to fathom that he will be long in his current position.  Two members of the board seemed similarly deaf to the concerns of citizens.  The one stand-out was board member RJ Morris, who sympathized with citizens and stated that he would vote to rescind the 2017 tax assessments.
  • The figures on valuation increases were mind-boggling. 14% of Fulton County residents, many residing in Milton, received 70+% increases in their valuations.  Quite a few seniors stepped up to the mike and passionately spoke about the strain of the increased taxes on their family finances and how they might need to flee Fulton County for more tax-friendly jurisdictions.
  • The Board of Assessors met yesterday, but made no decisions about rescinding the assessments. However, the Board did decide to conduct a review of all valuation increases over 50%.  The Board will again meet on June 15th to decide whether to rescind the 2017 assessments.
  • What are the chances of rescission of the 2017 assessments? It is hard to say, but we would guess no better than 50-50.  One member, RJ Morris, has said he will vote for rescission.  That means 2 more votes are needed.  The 2 other board members in attendance last night were quite defensive and refused to state how they would vote . . . not a good sign.  And we suspect the 2 board members that did not attend likely stayed away because they are even less inclined to vote for rescission.
  • The Milton City Manager, Assistant City Manager, and City Engineer were all in attendance at last night’s meeting. Thank you.  It is important for citizens to see our staff engaged on these issues.

Citizens need to continue to stay engaged on this issue.  The pressure that you are exerting is effective.  County Commissioner Liz Hausman will conduct her own town hall meeting next week.  Following is the meeting information.

Date: Wednesday, June 14, 2017

Time: 7:00 p.m.

Location: Johns Creek Environmental Campus, 8100 Holcomb Bridge Road

Host: Fulton County Commissioner Liz Hausmann, District 1

Please bring the same passion to this meeting, as you did last night!

State Senator John Albers will host a meeting the following week.

Date: Monday, June 19, 2017

Time: 4 – 6 p.m.

Location: Roswell City Hall, 38 Hill Street, 30075

Host: State Senator John Albers, District 56

There are clearly reforms that need to be made at the state level that our legislators need to spearhead.

Property Tax Revolt

Words Need to Translate to Action

Mike

June 8, 2017

It seems that the Fulton County Commission is finally seeing the injustice in the recent tax assessments sent to Fulton County taxpayers.  The Patch reports that both the Fulton County Commission Chairman and Vice Chairman are calling for the most recent tax assessments to be rescinded and an investigation into how the Tax Assessors’ office got it so wrong.  We have been advocating for just such measures at this blog for the last week and are pleased that Milton’s citizens are being heard.  Chairman Eaves will meet today with the Board of Assessors to urge them to adopt his recommendations.

Fulton Chairman and Vice Push for Rescinding Flawed Assessments

Separately, state action is also being proposed that would put caps on how much property taxes can be raised in a single year and other reforms meant to make the levying of property taxes more fair and reasonable.

State Action Proposed to Reform Property Taxes

This is good news.  However, nothing is a done deal at this point.  Citizens need to continue to put pressure on our representatives to rescind the current tax assessments and implement reforms that result in fair and reasonable property taxes.  Please show up and speak up at tonight’s meeting with Bob Ellis.  He needs citizen support to implement his proposals.

Fulton County Board of Commissioners Vice Chairman Bob Ellis (District 2) will hold a community meeting regarding 2017 Property Assessment Notices:

Thursday, June 8, 2017, 6:30 p.m.
Fulton County Water Resources Operations Center, 11575 Maxwell Road, Alpharetta, GA 30009 

Property Tax Revolt

Map Shows Milton Hit Hard By New Tax Assessments

June 8, 2017

Following is the only map we have been able to find that shows the average percentage increases in property valuations by area.  You can see that many areas of Milton, particularly in the North, were hit hard.  One good citizen gave us data for homes in the Birmingham Road and Dinsmore area.  Appraisals for this sampling of around 50 homes showed an average increase of 56%.  Valuations of 4 parcels of undeveloped land increased a whopping 178%.  The huge tax hike was discussed a bit at Monday’s City Council meeting.  However, not a peep was heard from our North Milton representatives, Matt Kunz and Bill Lusk.  Both are keeping up their fine tradition of non- and mis-representation of District 2 constituents . . . hear no evil, see no evil, speak no evil.

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Property Tax Revolt

Links to Various News Stories on Spike in Milton Property Taxes

vegas_taxesCitizens have sent us a bunch of links to help other citizens make sense of the tax hike in North Fulton.  Here are some of the links with commentary.  The links are provided in no particular order.

Following is 11 Alive news clip on tax hikes.  State Senator Albers has taken up the fight for Milton residents and cites his own tax assessment as proof that something has gone terribly wrong at the Fulton Tax Assessor’s office.

11 Alive: Fulton Leaders Spar Over Tax Hike

Following is a story that was published at the Alpharetta Patch.  John Albers will be hosting a meeting on June 19th with citizens at Roswell City Hall.

Alpharetta Patch: Town Hall Meetings Scheduled

Following is a link to Senator John Alber’s government website.  Albers gets it and describes the situation pointedly:  the process is broken.  Why aren’t other North Fulton leaders stepping up and advocating for citizens?

State Senator Albers: Process is Broken

It is insulting for local leaders to advise citizens to appeal their tax assessments.  Clearly, the tax assessment process is broken.  We need to fix the problem, not shift the burden to taxpayers in the way of appeals.  We all know that Fulton County is going to be flooded with appeals.  The backlog will stretch into eternity.

Johns Creek Patch: Local Leaders Urge Citizens to Appeal

Following is another Johns Creek Patch story.  Statistics are provided for Cobb and Gwinnett Counties, which have levied comparable increases.  Such comparisons are irrelevant.  Milton citizens have intentionally chosen not to live in those counties.  Also, using averages misses the central point:  that Milton is bearing the brunt of the Fulton Country tax increase.  In some areas, average valuations have increased more than 50%, with some specific homes/properties seeing increases of more than 100%.

Johns Creek Patch: 2017 Tax Assessments Sent Out

Following is an 11Alive story on appealing your property tax assessment.  We love John Eaves statement that Fulton County is “a victim of its own success . . . the quality of life has improved in many areas and as a result, our real property values have gone up.”  Were but it were true.  Mr. Eaves needs to experience the traffic congestion and school overcrowding up here in Milton and then maybe reconsider that statement.  Mr Eaves seems to be giving himself an (undeserved) pat on the back at the same time that he sticks it to Milton taxpayers.

Mr. Eaves Pats Himself on Back While Sticking It to Milton Taxpayers

Following is link to WSB story on tax hike for Milton taxpayers.  We hope Bob Ellis starts advocating more strongly for his constituents.

WSB Story: Includes Questions to Bob Ellis

Here is a link from Milton Nextdoor where residents are providing advice on appealing property tax assessments.

Milton Nextdoor: Advice on Property Tax Appeals from Other Milton Citizens

Here is Fulton County’s web page on Property Tax Appeals.

Fulton County Webpage on Appealing Your Taxes

Here is an 11Alive story that actually shows maps that are shaded to show the percentage increase in valuations for particular areas of Fulton County.

11Alive: Taxes to Increase More than 50% for Some

Here is another 11Alive news story.  John Eaves is feeling the backlash and is reversing his position.  He is now calling for a freeze on tax assessments, but will have to convince the Board of Assessors.  A freeze would mean that 2016 assessments would be the basis for 2017 property taxes.  This is not a done deal.  Citizens need to keep up the pressure; it is working.

Eaves Calls for Freeze on Property Tax Assessments

Following is an excellent story on neighbors banding together to fight the tax increase.  Click on the WSB video to get the story.

Neighbors Band Together to Fight Taxes

Here is one more story from the AJC

Property values to rise steeply in much of Fulton County

Property Tax Revolt

Town Hall Meetings on Property Tax Increases: Let’s Pack the Room!

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June 6, 2017

It is absolutely critical that citizens participate in the town hall meetings that have been scheduled to discuss the huge spike in property taxes being levied on Milton residents.

We appreciate that County Council representatives Liz Hausmann and Bob Ellis have scheduled town hall meetings to discuss the property tax hikes.  It is a good first step.  However, we will be looking for more than listening and talk from our representatives.  We need action, including an independent investigation and a freeze on all assessments (i.e., application of 2016 assessments) until this situation is resolved.

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This is not the Milton Coalition’s first rodeo.  If citizens show up in large numbers and civilly, but directly, express their concern and dissatisfaction, there is a much higher probability that our representatives will take action.  Citizens, do not rely on other citizens to show up and advocate on your behalf.  Right now, there is a lot of backlash on this issue; we need to capitalize on that discontent to achieve tax fairness and justice.

Following are the details of the town hall meetings:

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Date: Thursday, June 8, 2017

Time: 6:30 p.m.

Location: Fulton County Water Resources Operation Center, 11575 Maxwell Road

Host: Fulton County Commission Vice Chairman, Bob Ellis, District 2

Date: Wednesday, June 14, 2017

Time: 7:00 p.m.

Location: Johns Creek Environmental Campus, 8100 Holcomb Bridge Road

Host: Fulton County Commissioner Liz Hausmann, District 1

SEE YOU THERE!

(We will be publishing other posts in advance of these meetings to better prepare citizens.)

Milton Coalition, The Blog and Petition

Overwhelming Response to Re-Launch of Milton Coalition Blog

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June 5, 2017

Just 3 weeks ago, at the request of our supporters, the Milton Coalition did a soft re-launch of our blog.  This included a selective mail-out to about 500 citizens that signed the CSO petition, but not our second Petition Advocating for Smart Land Use and Good Governance.  Since that time we have experienced an overwhelming response to our re-launch.  Here are the statistics:

  • Our blog has exceeded over 500 hits since re-launch.
  • Our Petition for Smart Land Use and Good Governance has garnered 68 new signatures of Milton voters since re-launch.
  • Our e-mails are being opened by 54% of recipients, more than twice the average (25%) for similar citizen action groups.
  • Our click-through rate to the blog or petition is 30%, or nearly 4 times the average (8.25%) for similar citizen action groups.
  • Since inception, we have received 5,623 hits to our blogs.
  • Our petitions have garnered 2,702 signatures and 972 comments. (Subtracting citizens that signed both petitions, over 2200 unique voters have signed our petitions.)

Why are these statistics important?  Because they demonstrate that citizens trust the Milton Coalition.  Despite several attempts by a few Council members to discredit us and shut us down, we are stronger than ever.  Your trust is both humbling and energizing.  As you know, we are ordinary citizens, just like you.  We advocate for citizens in our spare time.  We have no ties to Special Interests (developers and land speculators).  We are not aligned with any council member (although we certainly agree with and prefer certain council members over others).  We are committed to clean, competent, courageous, and citizen-centric government.  And we will not settle for anything less.

We have added a new feature to the Milton Coalition blog.  You can now receive our blog posts by e-mail as soon as they are published.  If you would like to sign up, please go to the blog Home Page.  Scroll down to where you see the Follow button.  Enter your e-mail and hit the follow button.  You will receive a confirmation e-mail with a link that will complete the sign-up process.  Never miss a blog posting . . . sign up today!  (If you would like us to sign you up, please send us an e-mail request.)

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Thanks again for your trust, confidence, and support.  The backing of citizens is critical to our success.  There is strength in numbers.

Advocating for Citizens,

The Milton Coalition

Property Tax Revolt

Milton City Council Bears Some Responsibility for Property Tax Increases

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June 5, 2017

Several of you have written to us about what role, if any, was played by City Council in the recent (2017) spike in property tax assessments.  The answer is that City Council is partly responsible for the property tax increases.  Please read on for an explanation . . .

It is true that the City of Milton does not perform the actual calculations of appraised value.  That function is performed by Fulton County.  The results are then provided to the City of Milton, which calculates taxes based on the millage rate, appraised value, etc.  From what we understand (and we are verifying this), appraised value is a function of 1) the value of the lot and the 2) value of the actual house on the lot.

The value of a developed lot is tied to raw land prices—i.e., the value of an undeveloped lot.  This is important as raw land prices in Milton have skyrocketed.  The Milton Coalition looked at 4 undeveloped parcels and found a 178% increase in the appraisals for these parcels.  And as we know, increasingly the land that is available for development in Milton is becoming more marginal.  This is typical as developers tend to cherry-pick the best parcels of land for development, leaving more marginal land to later development.  This marginal land tends to be bought by land speculators that have found (or are looking for) loopholes to allow more profitable development of land.  These same land speculators often concoct schemes to bend, break, and change the rules to their benefit.  Their dubious schemes often end up before Milton City Council, where they get a sympathetic ear.  Three council members (Lusk, Thurman, and Kunz) are reliable votes for virtually any ridiculous request from developers/land speculators.  Accordingly, developers need only find one additional vote to get their requests approved.

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So the takeaway is that developers and land speculators are willing to pay sky-high prices for increasingly marginal land in Milton because they know Council will endorse their schemes to profitably develop these properties.  And even if a developer miscalculates, he knows he can likely convince Council to approve variances to correct for his mistakes.  In short, Council is interfering in the market for undeveloped land in Milton.  Its approval of schemes to increase density helps drive up the price of marginal land.  Speculators are thus able to largely shift their risk to you, the citizens of Milton.  Government interference in markets predictably causes distortions in those markets to the detriment of citizens.  There is only upside for developers; Milton’s City Council absorbs the downside and passes it through to citizens.  Concerned citizens, this is Economics 101.  If marginal land can be developed more profitably, then developers will pay more for it.  So how does this affect you as a citizen?  Well, it affects you in a number of ways:

  • Reduction in Milton’s quality of life. All of these developer schemes involve Council granting higher density than would be allowed under existing zoning.  More homes mean more cars on the road, more kids in our jam-packed schools, slower internet connections, more/faster degradation of infrastructure, etc.
  • Inflated property taxes. Property tax appraisals shoot up and not just on raw land.  Undeveloped land influences the value of developed lots, causing increases in valuations of your homes.
  • Imminent real estate bust. Milton is in danger of a real estate collapse.  Currently, we are experiencing a real estate bubble.  If raw land prices have truly increased more than 100% and home prices in areas of Milton have truly increased more than 50%, we are in for a hard landing.  Because of Council’s aiding and abetting of developers, there is clearly a building boom occurring in Milton.  Increasingly, builders are gambling on spec homes.  It is easy to predict a glut of unsold homes in the near future in Milton.  Such a glut will lead to a bust and all that entails:  abandoned, half-finished subdivisions; foreclosures; seizing up of the real estate market; etc.  Remember 2008-2012?
  • Acceleration in the loss of farms, greenspace, and equestrian properties.
  • Less bang for the greenspace buck. Skyrocketing raw land prices means that Milton’s greenspace bond money will buy much less land than we might have purchased just a few years ago.

Young black and white pigs feeding at the trough.

Clearly, Fulton County has erred in its calculations of Milton property values.  Many estimates are inflated and bear no resemblance to reality.  However, it is also true that the actions of Milton City Council have created an unsustainable real estate bubble (i.e., overly inflated housing/land prices) in Milton that has attracted many pigs to the trough.  So yes, Milton City Council does bear some blame for the current property tax debacle.  And Council needs to start owning the problem and taking corrective actions . . . before it is too late.  A good start would be to stop interfering (e.g., approving rezonings) with Milton’s real estate market on behalf of developers and land speculators.

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Property Tax Revolt

Town Hall: North Fulton Commissioners Need to Step Up and Advocate for Constituents

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June 4, 2017

Friday’s blog post addressed Fulton County’s huge hike in property taxes for many Milton residents.  Fulton County’s government is receiving a tremendous blowback from Milton and other North Fulton residents.  Town hall meetings have been scheduled by North Fulton’s two county commissioners, Liz Hausmann and Bob Ellis.  Both commissioners seem to be playing catch-up on this issue.  Did they not realize that voters would be upset by tax appraisals that increased by over 50% for many neighborhoods in Milton (and elsewhere in North Fulton)?  Or were they unaware of the assessments, (but should have been)?  These are key questions for the town hall meetings.  And residents will also need to understand what specific actions our commissioners will take to address the spike in taxes.

Hopefully, the commissioners are going to 1) acknowledge that there are obviously problems in Fulton’s tax assessment office and 2) seek an independent investigation into the situation.  And it would seem that the county should revert to 2016 assessments pending the outcome of such an investigation.  Rather than citizens filing hundreds (and perhaps thousands) of appeals that will clog up the Fulton County Assessor’s office, Fulton County needs to address this issue from the top down.  If the commissioners do not have good answers and specific solutions, these town hall meetings are going to be quite unpleasant for all concerned.  Defending the indefensible would be a bad strategy for Ms. Hausmann and Mr. Ellis.  Rather, they need to step up, advocate for their constituents, and get to the bottom of this debacle.