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Assessment Methods <br />introduction <br />Statutes and case law specify that the assessment per parcel must notexceed the special benefit <br />adhering to the parcel due to the improvement and the assessments must be proportionate to <br />one another. Special benefit is defined as the difference between the fair market value of the <br />property before and after the local improvement project. A corollary to these principles is that <br />property not benefitted bythe improvements may not be assessed. No matter what assessment <br />method is used — per parcel, front foot, area, zone -termini, traffic volumes, special benefit <br />appraisal, etc. — a reviewing court will be concerned only with these criteria. Even if a project <br />lends itself to a front footage assessment method (i.e., uniform lots, similar zoning) or is not large <br />enough to warrant a complete special benefit analysis, it is wise to check a few strategic parcels <br />with a feasibility study or a limited restricted type of appraisal. This will prevent unpleasant <br />surprises at the final assessment roll hearing. <br />Appendix Four contains examples of assessment computations using both mathematical <br />methods and an analysis of special benefit. <br />LID/RID Special Benefit/Proportionate Assessment Study <br />Introduction <br />For ease of reading, "LID" will be used rather than other acronyms although the information <br />presented herein pertains to municipal districts otherthan a local improvement district (LID), such <br />as road improvement district (RID) and local utility district (LUD). <br />Typically, the scope of services involves a formation special benefit study or feasibility analysis <br />which may be utilized by municipalities to establish a proposed LID boundary, ascertain the <br />probable economic feasibility of the project and perhaps considerthe effectof alternative design <br />elements on the preliminary assessment ratio. <br />Afinal special benefit study is an assessment method that documents the proportionate amount <br />of the total LID assessment to be levied on each specially benefitted assessable property. The <br />special benefit estimates and resulting recommended assessments aredesigned to complywith <br />RCW statutes and case law precedent. Municipalities and property owners may utilize municipal <br />special benefit studies to become more informed aboutthe economic influence of the project <br />on the neighborhood, the assessments recommended on other specially benefitted properties <br />within the LID boundary and the validity of proposed assessments to be levied on specific <br />properties. <br />Owners may also engage real estate professionals to perform special benefit studies in order to <br />document proteststo assessments atfinal assessment roll hearngs. Becausethe municipalities <br />have the presumption of being correct in the administration of a LID, parcel appraisals or special <br />52 local and Rued Improvement Districts Manual for Washington State Sbah Edition <br />