COUNTY OF SAN MATEO

Inter-Departmental Correspondence

County Counsel

DATE:

January 22, 2010

BOARD MEETING DATE:

February 9, 2010

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

TO:

Honorable Board of Supervisors

FROM:

County Counsel

SUBJECT:

Correction of Property Tax Roll

1130-1150 Veterans Blvd., South San Francisco

APN 015-010-710

RECOMMENDATION:

Approve a correction to the 2008 tax roll, and the corresponding tax refund with interest, to correct an error in the property tax assessment of property located at 1130-1150 Veterans Blvd., South San Francisco, APN 015-010-710 (the “Property”) brought about by the inadvertent double valuation of construction in progress.

BACKGROUND:

Revenue and Taxation Code sections 4831, et seq., allow for the correction of clerical, descriptive and tax roll errors or mistaken entries. Over the course of any year, it is not uncommon to uncover some errors among the tens of thousands of assessments made by the Assessor. The errors may be caused by defects or delays in information or descriptions provided by assessees, unknown economic or historical information, duplication of assessments or simple clerical or mathematical errors by the assessee or the Assessor, or both. When the correction to the tax roll involves a correction in excess of $50,000, Board of Supervisor’s approval of that correction is required.

DISCUSSION:

There was an assessable change in ownership of the Property on August 1, 2007, and the assessed and enrolled supplemental value at that time included the value of certain construction in progress. In determining the 2008 annual roll value, the value for the construction in progress was again (mistakenly) added to the supplemental value for a second time when the building permit activity was addressed for the close of the roll. This tax roll correction corrects the erroneous double assessment. Authorizing this correction of the property tax roll will contribute to the Shared Vision 2025 outcome of collaborative community by demonstrating fiscal accountability.

FISCAL IMPACT:

The fiscal impact of this action is a $224,354.06 decrease in the 2008 tax roll, with a corresponding property tax refund, plus interest.