Haywood County’s property revaluation was a massive undertaking: appraisers had to lay eyes on 50,000 properties, from condos to fast-food joints to farms, and judge whether they had gone up or down in value over the past five year.

Hundreds of property sales from 2009 and 2010 set the bar for new values on the county’s property rolls. But just because a similar home across town sold for $200,000, does it mean yours would also?

In the world of real estate, location is everything, whether it’s a few blocks down or the other side of the ridge.

This year, the county developed a highly-engineered method called “neighborhood delineation.”

The formula carves the county up into nearly 1,000 neighborhoods. From there, the county essentially wrote its own computer program to calculate property values, taking dozens of variables into account. Each variable takes the value up or down a notch, but is only as good as the baseline assigned to the neighborhood.

The methodology is impressive, said Randy Siske, a Realtor and president of the Haywood County Board of Realtors.

“The last time we had a revaluation, the biggest complaint from the real estate community was they were comparing apples and oranges,” Siske said. “I think they really made an effort to compare apples and apples.”

Before, the county was divided into just 17 townships. All of Maggie Valley was lumped together, or all of Bethel.

Now, clusters of just 30 or 40 similar properties make up a neighborhood.

David Francis, Haywood County tax collector, pointed to a map of Hazelwood where a conspicuous donut hole appears in the middle of one neighborhood. A condo unit along a residential street was carved out and made its own “neighborhood” rather than lumping it in with the houses around it.

“That’s how close and how drilled down this is,” Francis said.

When county’s appraisal team reached the final stage of revaluation — a drive-by of every property on the books to double check their formulas — they had identified some 700 neighborhoods. But during their final drive-bys they kept creating more and more.

One appraiser trolling the back roads of Fines Creek left in the morning to survey what she thought was one neighborhood and came back to the office with three: Betsy’s Gap, Price Town and Turkey Creek.

“They were finding out that some neighborhoods were a little broad so they broke them down further,” said Haywood County Tax Assessor Judy Ballard said.

And further and further apparently, until they had added another 250 neighborhoods by the time reval was done.

“Neighborhood delineation” was lot of work on the front end — entering not just the number of bedrooms, square footage and whether a home has a garage — but also the school district, proximity to town parks or mountain views.

Those appealing their property values may have a harder time making their case.

“I think it is going to be more difficult for property owners to get through the appeal process,” Siske said. “I’m not saying there aren’t properties out there that need to be appealed. But finding a property that is $100,000 off in value I think it is very much less likely.”

It’s what everyone wants to know: is their neighbor’s house worth more or less than their own?

It’s not hard to find out at the county’s mapping site, where there’s a plethora of property revaluation data to keep even the most obsessed followers of local real estate busy for days.

Here’s how to navigate the county’s online mapping and tax information.

How to view property information:

• Go to http://maps.haywoodnc.net/gisweb/default.htm. (Or, from Haywood County’s home page, click on “maps” on the left.

• Search for your parcel by name, or click on “PIN” to search using the PIN number from your property notice.

• Your property will be highlighted in blue. You can also see your total assessed value, acreage, and so forth.

• For more complete details of the property, such as number of bedrooms, heated square feet, etc., click on “view tax card” on the lower left.

• To see the value of your neighbors’ property, click on “adjoiners” on the lower left. A list of neighboring parcels will appear. As you scroll over the list, the parcel on the map will be highlighted. Click “details” for the parcel you want to see info for. Click “back to search results” to get back to the list.

• To see the details of any parcel, first click on the “identify” button across the top, then click on the parcel you want to see.

• To move around your neighborhood, click on the symbol of the hand across the top and then use the tool to drag the map around.

How to find recent real estate sales:

• To see what recent sales in your neighborhood were used as a baseline for your property revaluation, pull up your own parcel (using directions above.)

• Click on “select viewable layers” (in the black bar just above the map).

• In the list on the left hand side, check the boxes for “revaluation neighborhoods” and “valid sales.” (Don’t uncheck anything that is already checked.)

• Recent sales used to determine property values in your neighborhood will be outlined in red. You may have to zoom out to see them.

• To see the details of any of the parcels, first click on the “identify” button across the top, then click on the parcel you want to see.

How to find old property values:

• Only the latest property values from the revaluation show up with the parcels on the map site.

• To find the old values for a parcel, go to http://www.haywoodnc.net/index.php?option=com_content&view=article&id=960&Itemid=134 (Or, from Haywood County’s home page, click on “taxes online” on the left side.

• Type in the name of the property owner.

• If the property owner owns multiple parcels, they will all come up and you will then have to select the one you want.

• When you select a property from the list, last year’s tax card will come up, which shows the value of the property last year.

With a clipboard under one arm and a giant measuring spool under the other, Greg West climbed into a county-marked truck last Wednesday, cranked the engine and consulted a large Waynesville map on the seat beside him.

“Today we’re hitting Blink Bonny,” he said, planting an index finger on street in a traditional middle class suburb.

West would spend the next eight hours slowly cruising Blink Bonny’s neighborhood streets, eyeing each house from the curb or even loitering in the driveway for telltale signs of its worth.

If anyone’s home, they might mistake him for a stalker. But in fact West is part of a team of Haywood County property appraisers tasked with assigning a new dollar value to each home, lot and tract of land — a dollar value which in turn will determine how much you pay in property taxes.

It’s been five years since the last countywide property assessment. In the past, you could count on values to go up with each reval, but it’s a different ballgame this time. The volatile real estate market has made it tougher for West and his compatriots to pin down accurate values.

With fewer homes selling, there’s less of a baseline to go by. And just because a home sold for one price six months ago doesn’t mean that’s still what it is worth today.

The county essentially wrote its own computer program to calculate property values, taking dozens of variables into account before spitting out a number. The finely-customized formula carves the county up into 700 neighborhoods of like homes. It was lot of work on the front end — entering not just the number of bedrooms, square footage and whether a home has a garage — but also the school district, proximity to town parks or mountain views.

West’s property drive-by is now a time of reckoning as the three-year process concludes. West and the rest of his team are laying a pair of human eyes on each house to make sure their computer-generated values are right.

The property appraisers are in the home stretch of that task, having visited nearly all the county’s 50,000 parcels from Crabtree to Cruso, from Balsam to Beaverdam, from Max Patch to Maggie.

The verdict so far?

“It’s been fairly accurate. We put quite a bit of work into it with neighborhood delineation. It gave us a pretty good start,” West said.

Testing the formula is not hard. They visit homes in the neighborhood that have actually sold and compare the actual selling price to the computer-generated value.

In Blink Bonny, West’s first test of their formula was a 3.5-acre tract. The computer pegged its market value at $77,800. It recently sold for $77,500, a mere $300 difference.

“Our formula fell right on the money,” said Ron McCarthy, a property appraisal consultant with RSN Appraisal assisting the county with the revaluation.

McCarthy downplayed any role luck played. They are just that good, he said.

“Luck is the residue of design,” McCarthy quoted.

But to make sure, West pointed his car a couple of streets over where a home had recently sold. The computer formula put the home at $315,000 but it sold in real life for $365,000. Suddenly things weren’t looking so rosy. West set out to uncover the discrepancy.  

He pored over the county’s data sheets for the home and found the culprit. It had been given a quality grade of average — a “C” on a scale from F to A+.

But this three-story house sported stacked stone, beadboard ceilings in a wrap-around porch, octagon attic windows and other classy features. Compared to the brick ranch homes on the rest of the street, a “C” rating was too low.

He changed the quality to a B+. Running the formula again but with the corrected data, it came up within a few thousand dollars of nailing the real selling price.

West was relieved. The formula itself wasn’t wrong — just the data that was plugged into it. With several dozen variables factored into the formula, if any of them are wrong, the value it spits out will likewise be wrong.

And that’s precisely West’s job during the drive-bys: to ensure the underlying data for each house is right.

Does the home have a new garage or deck? Has it fallen into disrepair? Is it junked up with a sofa on the front porch? Has the gravel driveway now been paved?

At one home, West did a double-take after spying a second-story over the garage with curtains and blinds visible inside the window.

“Looks like they added a bonus room,” West said, something his sketch of the home in the county’s records didn’t show.

West recalibrate the home’s square feet, triggering a higher value.

Three doors up, West’s keen eye struck again. A brick patio near the front door seemed in mint condition — no moss stains on the pavers, which you’d expect with a ‘70s era house. Either they had recently invested in a pressure washer or the patio was new.

West lifted his tape measure from the back seat and climbed out of the truck. He rung the bell and met a particularly helpful homeowner who not only confirmed that the front patio was new but volunteered that there was another new patio out back. Both would boost the home’s value.

“He had a keen eye to notice that,” McCarthy said of West’s detective work. “That’s why we do the drive-by.”

McCarthy put his own skills to work at the next house in a just-for-fun blind match-up against the computer formula. He sized up the house from the car window, glanced at the sketch of its footprint and threw out his best guess. He was just a few thousand dollars off from the computer-generated value of $300,000.

That likewise bodes well for the county’s modeling — the computer formula came up with the same value as a seasoned appraiser on the ground.

Yet there’s all sorts of factors that might lead appraisers to tweak your home value during the drive-bys. If the neighborhood is uniform — homes of same quality and condition — it’s an easy day.

“If it’s in-town homes on quarter-acre lots, you can just go bam, bam, bam, bam,” West said.

But there’s usually more variation than that.

New windows and a freshly shingled roof? This could earn you brownie points for your home’s condition, and a slight bump in value. Sagging gutters and mildewed sills could bring you down a notch.

“This is like the quality control,” McCarthy said of their work.

The labor intensive process can seem never ending, and indeed as soon as this reval is finished they county will soon start ramping up for the next one another four or five years away.

Attention Haywood County property owners

Start watching your mailbox in March for a notice from the county reflecting the new and current market value of your home.

In North Carolina, counties are required to reassess property values every few years. The revaluation — or “reval” — is intended to level the playing field, bringing the county’s assessed value of your property in line with the true market value so everyone is paying their fair share come tax day.

Don’t assume that your property taxes will go up or down just because your property values do, however. Haywood County commissioners won’t set the actual tax rate until June. The tax rate is then applied to your property value to determine your tax bill for 2011.

With a clipboard under one arm and a giant measuring spool under the other, Greg West climbed into a county-marked truck last Wednesday, cranked the engine and consulted a large Waynesville map on the seat beside him.

“Today we’re hitting Blink Bonny,” he said, planting an index finger on a traditional middle class suburb.

West would spend the next eight hours slowly cruising their neighborhood streets, eyeing each house from the driveway for tell-tale signs of its worth. If anyone’s inside, they might easily mistake him for a stalker loitering at the curb.

West is part of the team of Haywood County property appraisers tasked with assigning a new dollar value to each home, lot and tract of land — a dollar value which in turn will determine how much you pay in property taxes.

It’s been five years since the last countywide property assessment. In the past, you could count on values to go up, but it’s a different ballgame this time. The volatile real estate market has made it tougher for West and his compatriots to pin down accurate values.

With fewer homes selling, there’s less of a baseline to go by. And just because a home sold for one price six months ago doesn’t mean that’s still what it is worth today.

The county essentially wrote its own computer program to calculate property values, taking dozens of variables into account before spitting out a number. It was lot of work on the front end and involved carving the county up into 700 neighborhoods of like homes.

West’s property drive-by is now a time of reckoning as the three-year process concludes. West is laying a pair of human eyes on each house to make sure their computer-generated value is right.

The property appraisers are in the home stretch of that task, having visited nearly all the county’s 50,000 parcels from Crabtree to Cruso, from Balsam to Beaverdam, from Max Patch to Maggie.

The verdict so far?

“It’s been fairly accurate. We put quite a bit of work into it with neighborhood delineation. It gave us a pretty good start,” West said.

Testing the formula is not hard. The first order of business with each of his daily drive-bys is to visit any homes in the neighborhood that may have actually sold. He compares the computer-generated value with what it actually sold for.

In Blink Bonny, West’s first test of their formula was a 3.5-acre tract. The county had pegged its market value at $77,800. In the real world, it recently sold for $77,500. A mere $300 apart.

“Our formula fell right on the money,” said Ron McCarthy, a property appraisal consultant with RSN Appraisal assisting the county with the revaluation.

McCarthy protested any role luck played. They are just that good, he said.

To make sure, West pointed his car a couple of streets over where a home had recently sold. The computer formula put the home at $315,000 but it sold in real life for $365,000. Suddenly things weren’t looking so rosy. West set out to uncover the discrepancy.  

West pored over the county’s data for the home and found the culprit. It had been given a quality grade of average — a “C” on a scale from F to A+.

But this three-story house sported stacked stone, beadboard ceilings in a wrap-around porch, octagon attic windows and other posh features. Compared to the brick ranch homes on the rest of the street, a “C” rating was too low.

He changed the quality to a B+. Using the same formula, but with the corrected data, it was now within a few thousand dollars.

West was relieved. The formula itself wasn’t wrong — just the data that was plugged into it

With several dozen variables factored into the formula, if any of them are wrong, the value it spits out will likewise be wrong. Thus West’s job during the drive-bys is mostly to ensure the data for each house is right.

Does the home have a new garage or deck? Has it fallen into disrepair? Is it junked up with a sofa on the front porch? Has the gravel driveway now been paved?

At one home, West spotted the telltale sign of a finished bonus room over the family’s garage: curtains and blinds over an upstairs window. The homeowners had added finished square feet, and that updated data triggered a higher value.

Three doors up, West’s keen eye struck again. A brick patio at the side of the house looked remarkably clean and lacked any sign of chipping and cracking you would expect for a patio dating to the home’s construction. Either they had recently invested in a pressure washer or the patio was new.

West lifted the tape measure from the back seat and climbed out. He rung the bell, and a particularly helpful home owner revealed that not only was the front patio new but there was another new patio out back. Both would boost the home’s value.

“He had a keen eye to notice that,” McCarthy said. “That’s why we do the drive-by.”

In a blind match-up between McCarthy and the computer formula, he sized up a house from the car window, glanced at the sketch of its footprint and threw out his best guess. He was just a few thousand off from the computer on a $300,000 house.

That likewise bodes well for the county’s modeling — the computer formula came up with the same value as a seasoned appraiser on the ground.

Yet there’s all sorts of tweaking that might lead West to adjust your home value during the drive-bys. If the neighborhood is uniform — homes of same quality and condition — it’s an easy day.

“If it’s in town homes on quarter-acre lots, you can just go bam, bam, bam, bam,” West said.

But there’s usually more variation than that.

New windows and a freshly shingled roof? This could earn you brownie points for your home’s condition, and a slight bump in value. Sagging gutters and mildew-stained flashing could bring you down a notch.

Views are particularly tricky. When the majority of a neighborhood has mountain views, the view factor is already built in to the baseline of home values.

If you are the lone house without a view, you will see your value reflect that.

Of, if you are the lone house with a view in a  neighborhood that otherwise lacks them, plan on a requisite bump up.

Attention Haywood County property owners

Start watching your mailbox in March for a notice from the county with your new property value reflecting the current market value of your home.

In North Carolina, counties are required to reassess property values every few years. The revaluation — or “reval” — is intended to level the playing field, bringing the county’s assessed value of your property in line with the true market value so everyone is paying their fair share when paying property taxes.

Don’t assume that your taxes will go up or down just because your property values have, however. Haywood County commissioners won’t set the actual tax rate until June.

Property owners in Haywood County will soon learn how their home and land values weathered the recession.

Every home, lot and tract of land in the county — all 50,000 of them — have been reappraised to reflect the current real estate market.

Some will see their property value go up compared to the last countywide appraisal in 2006. But a good number will find their property values have gone down. Start watching your mailbox in March for a notice from the county with new property values.

While the county isn’t yet saying what folks should expect — whether property values as a whole went up or down — it’s not rocket science to make an educated prediction.

“I would think the normal market price is going to drop, on some properties as much as 30 percent,” according to Bruce McGovern, real estate broker and owner of McGovern Property Management and Real Estate Sales.

Of course, it will vary by the type of property. Higher priced homes are more likely to drop, while median priced homes have held their value better and may see increases.

What’s likely to take the biggest hit?

“Vacant subdivision lots have come way down,” McGovern said. So has land.

McGovern pointed to 40 acres he just sold for $160,000 — far less than the $400,000 it was initially listed for four years ago.

But it’s not necessarily a bad thing, McGovern said. WNC was a victim of an inflated real estate market five years ago. Now, values are more realistic.

“I think it is a true adjustment that needed to be done,” McGovern said. “We need to have correct appraisals on property.”

Final countdown

A team of four county appraisers is still wrapping up the two-year process with a final drive-by of every piece of property. Snow in December and January set this final step back a few weeks, said David Francis, director of the county tax department. Francis said his staff has been working long hours, including Saturdays, to get it wrapped up.

“It is a complicated process,” Francis said. “It is something we take extremely seriously. We want to make this as accurate and as fair as possible.”

In North Carolina, counties are required to conduct a periodic mass appraisal of real estate — called a revaluation, or “reval” for short. Property taxes are based on property values — the more your property is worth the more taxes you pay. The reval is intended to level the playing field, bringing the county’s assessed value of your property in line with the true market value so everyone is paying their fair share come tax day.

Haywood County commissioners will set the property tax rate in June, which is related to but not contingent on the results of the reval.

This reval will be a different story compared to the last reval in 2006 at the height of the mountain land rush when property owners saw their values double, triple or even quadruple.

The county actually postponed its revaluation from 2010 to 2011 because the real estate market was still in flux, making it difficult for appraisers to determine new market values for property accurately.

Haywood County is one of the first mountain counties to wade into a reval since the real estate crash.

Swain County did a reval two years ago but tossed it out rather than enact it. Swain is now shooting for 2012 instead. Macon County was on schedule to do a reval this year, but postponed it until 2013.

Jackson County is still in limbo about whether and by how much to postpone its reval.

Macon County’s schools will get a long-awaited upgrade, but its taxpayers are going to have to pay extra for it.

County commissioners voted last Tuesday to raise the property tax rate by one-and-a-half cents to build a $15 million elementary school. The new tax rate will go into effect next year. The move will also fund several smaller school construction projects contained in a 10-year capital plan.

County Manager Jack Horton said the plan was a conservative way to accomplish much-needed school improvements.

“These are what I would call essential and necessary construction projects following the long-term school renovation plan,” Horton said. “There aren’t any frills here. This is as conservative as we could come up with.”

The construction of North Macon School will consolidate the two existing elementary schools of Cowee and Iotla, in addition to accommodating around 70 students now attending East Franklin Elementary.

As a result of the consolidation, Cowee’s grade school will go out of service and the current building at Iotla will be razed so the new school can be built in its place.

In November 2007, the public narrowly voted down a $42 million bond issue for school construction. Plans called for building two new schools — one for grades K-4 and one for grades five and six — and doing away with three smaller schools of Cullasaja, Iotla and Cowee.

The bond measure failed by a near miss, but the school board and county commissioners decided to move forward with the construction anyway. A fifth-and sixth-grade school and the expansion at East Franklin were completed, but the new North Macon elementary was temporarily put on hold due to budget shortfalls related to the recession.

The commissioners’ decision to fund the construction of the North Macon School through an increase in property taxes also included plans to allocate $1.8 million for the Nantahala K-12 school, to be obtained through a low-interest loan program made available through the stimulus package. The county will also move $1.3 million from school reserve to fund repairs and renovations at Franklin High School.

Commissioners acknowledged that raising taxes during a recession was risky. But with construction costs at an all-time low and the availability of attractive interest rates through federal stimulus loans, the county’s remaining school facilities needs could be accomplished at an affordable price tag.

“The need has been there, and construction costs are at an all-time low,” Horton said. “The stimulus money and the low-interest loans make it attractive to do these projects now.”

Gambling on the economy

Commissioner Jim Davis, who represented the county board alongside Chairman Ronnie Beale on the school liaison committee, said the vote to raise taxes was a calculated risk.

“It is a gamble. We’re gambling that the economy is not going to get worse, and we don’t know that,” Davis said. “Macon County is in an extremely good position to weather the storm, and I don’t want to jeopardize that. There’s a reason why we have a good fund balance and that’s because our commissioners have historically been careful about how they spend the county’s money.”

School Superintendent Dan Brigman said the funding plan approved by the board will make the district safer and provide a better learning environment. With the construction of the North Macon School, children across the district won’t be limited in their choices of school because of capacity issues.

“It’s basically going to set up a situation where there is a school choice option with capacity not being a barrier,” Brigman said.

In addition, Brigman said the district would save $250,000 per year in operating costs by consolidating the schools, as well as making it free of mobile classrooms for the first time in years.

Brigman said the board’s vote last week was the culmination of years of effort by the school liaison committee that he regards as a triumph of cooperation between the school board and the county. The school liaison committee incorporated two members from the school board, two from the county board, and financial and executive officers from the district and the county.

“There has been a partnership existing between the two boards that is like nothing I’ve experienced in the six counties and two states I’ve served as an educator,” said Brigman.

But while the vote was unanimous in the end, a lively debate arose over whether the board was going far enough to improve the county’s school facilities.

Commissioner Bobby Kuppers argued passionately that an additional half cent tax increase could allow the county to renovate the gym and install artificial turf on the football field at Franklin High as well.

Brigman said the 52-year-old gym is too small to accommodate community events and the natural turf field couldn’t take the traffic of year-round use for student and community activities.

“I think we’re gambling that we’re at the bottom of the curve. Otherwise, we wouldn’t be talking about a cent and a half,” Kuppers said. “The only reason I’m bringing this up is I want the seed to be planted that for a half a cent more we should finish the job.”

Beale replied that while the high school might need the renovations, they weren’t part of the liaison committee’s discussion.

“We have met for four years to figure out a plan that would work and never has anyone mentioned a gym,” said Beale. “I’m not saying it’s not needed. I’m not saying that at all.”

Davis said he was already uncomfortable raising taxes when taxpayers were hurting, and he didn’t believe the athletic facilities should be prioritized the same way as instructional facilities.

“My comfort zone is stretched to go ahead and build this school now to raised taxes 1.5 cents,” Davis said. “We’re trying to make up for a lack of planning in the past.”

An analysis of property values in Haywood County aims to reduce disparities between the value listed on the county’s tax rolls and the real-life value.

The project will more precisely hone in on characteristics that affect home values, hopefully resulting in a more accurate assessment in a pending countywide reappraisal of property values due out in 2011. Since the values are used to calculate property taxes, the consequence is whether some people pay too much or too little in property taxes compared to everyone else.

The county commissioners voted last month to hire the firm RSM associates for $211,000 to conduct the analysis.

“It gets us closer and closer to accurate and fair values,” said David Francis, Haywood County tax collector.

When doing an appraisal on a mass scale — roughly 52,000 parcels of land and 40,000 structures — it is simply too costly and time consuming to personally visit each one.

Instead, properties are weighed by key variables such as number of bedrooms, whether there’s a garage or even if it has a good view. Each variable takes the value up or down a notch, but is only as good as the baseline assigned to the neighborhood. The method is often accused of painting with too broad a brush.

The analysis aims to create more distinctions between properties on a micro level.

“I feel like this will give a more accurate appraisal,” said Commissioner Kevin Ensley, who owns property throughout the county and in the past has felt the county-assigned values were a little off.

Francis had to look no further than his childhood home for a classic example of what many in the county face. The home dates back to the early 1960s in what was then rural Francis Cove. During the building boom of the past decade, wealthy houses cropped up all around it.

“Right next door to the house I grew up in is a development where no house sold for less than $500,000,” Francis said.

While that would naturally push up the value of neighboring properties, there’s no way his boyhood home built in the early ‘60s was worth as much as those houses next door, Francis said. Under the conventional reappraisal method, however, it would have been lumped into the same category.

While the technical lingo for the project is “neighborhood delineation,” Francis likes to call it “fine-tuning.”

For example, while a home with a view is already valued higher than a similar home without a view, the new methodology will adjust not just for a view but the caliber of the view.

“My idea was to drill it down even further,” Francis said.

Worth the cost?

A couple of residents have questioned the expense of hiring the outside consultants.

“I believe that department is fully capable of doing this process on their own,” Ted Carr, a Bethel resident, said during a public comment period at a county meeting last week. Carr was among a group of vocal residents who have become regulars at county commissioner meetings. Members of the group regularly speak during the public comment period, largely preaching fiscal restraint.

When county commissioners voted to hire the consultants, they justified a portion of the expense by tapping into money already allocated for a reappraisal. The county budgets for a five-person staff in the property appraisal department. But it currently only has four staffers, resulting in a savings of $48,000. By not filling the fifth position, the county can apply the savings to offset the cost of the study — in effect only costing the county $115,000 instead of the full $211,000, the commissioners rationalized.

Carr challenged the mentality, however.

“What I am asking is to do what I do at home. When I find some extra money, I might apply it to the mortgage,” Carr told commissioners. “Please, don’t say ‘So where can we spend it?’”

County commissioners don’t see the expense as frivolous, however.

While there will always be inherent disparities in a property appraisal of this scale, the analysis should level the playing field, according to Commissioner Kirk Kirkpatrick.

“I believe this project will help to even out or create more fair market values,” Kirkpatrick said.

Francis said the lessons learned from the consultants could be applied in future years by the county’s in-house staff, making the one-time cost worth it in the long haul.

“They are teaching us a way to do a more fair appraisal,” Francis said.

Haywood County used to contract out the entire job of the countywide appraisal, but brought it in-house following the 2002 reappraisal.

That’s when the county switched from an eight-year reappraisal schedule to conducting one every four years. The shorter timeframe aimed to reduce “sticker shock.” Property values had been rising so rapidly in the mountains that over a span of eight years property was doubling, tripling or even quadrupling in value. While the state only requires property reappraisals to be conducted every eight years, nearly every county in the region has adopted a more frequent schedule.

When switching to the four-year schedule, the county realized it would be cheaper to set up its own department and do the job in-house rather than continue to contract it out.

Commercial versus residential

Along with neighborhood delineation, the firm will conduct the reappraisal of all the commercial property. It appears the last reappraisal in 2006 was favorable toward commercial property. Right now, commercial property is undervalued on the tax books when compared to residential, Francis said.

Naturally, property today is selling for more than it was in 2006, the year of the last countywide reappraisal. Residential properties are selling on average only 12 percent higher than the 2006 tax value. But when commercial property is included in the statistics, sale prices are 23 percent higher on average.

“We are seeing a huge difference in the sale prices on commercial property versus the tax value,” Francis said.

Francis pointed to the Sonoco gas station on Dellwood Road between Waynesville and Maggie, which sold for $1.4 million when the tax value was listed at half that.

Calculated delay

The county reassesses property values every four years, with the next one up in 2010. But county commissioners decided to postpone it for a year due to the fluctuating housing market.

Pegging a value on homes and land would have been difficult over the past year, the period when the lion’s share of the reappraisal would have been conducted. Housing prices were still in flux, and to some extent still are, Francis said.

Since a countywide reappraisal hinges on the selling price of existing homes, the lack of a consistent baseline during the thick of the recession led commissioners to delay the process.

“It was just really fluctuating. I thought it was in the best interest of the citizens to wait a year,” Francis said.

Swain County, which had a reappraisal slated to take effect this year, chose not to enact it despite the work already being done. Swain simply tossed out the reval, which had been conducted just prior to the recession but would have taken effect post-recession, and will just stick with current property values until the next reval rolls around in another four years.

After months of struggling to solve a $7 million budget shortfall, Haywood County commissioners voted 3 to 2 Monday night (June 15) to raise property taxes by 1.7 cents in lieu of more severe cuts to county workers.

The two commissioners who dissented gave different reasons for their vote: one opposed any tax increase while the other thought taxes might need to be raised even more. Commissioners Mark Swanger, Bill Upton and Kirk Kirkpatrick voted for the budget and associated tax increase. The county’s new tax rate will be 51.4 cents. The increase amounts to an extra $42 a year on a $250,000 home.

Commissioner Kevin Ensley, the lone commissioner opposed to the tax increase, said there was no easy answer to solve the budget shortfall. But ultimately, he believes county government should do what a business does when income dries up.

“In private business we have to cut expenses to the level of operating revenues,” said Ensley, who owns a surveying company and has seen his revenue cut in half by the recession. “As a business owner maybe I am more acclimated to making cuts.”

Ensley suggested furloughs and shortened work weeks for more county employees instead of raising taxes.

Meanwhile, Commissioner Skeeter Curtis voted against the budget because he felt the cuts were too deep and perhaps taxes should be raised more instead.

“Are we increasing the tax enough or are we going to have to hit it harder next year?” Curtis said. “If times continue to go bad, we’ve got no other cuts to make.”

The bare bones operation in the current budget will come back to haunt the county, Curtis said. Whether its deferring the purchase of computer software or replacing roofs on buildings, it will pile up in the laps of future commissioners to deal with, he said. Curtis partly blamed past boards of commissioners for today’s budget crunch. They kept the tax rate artificially low by dipping into the county’s savings, leaving the current board with little options, Curtis said.

Curtis also said county workers are suffering too much of a blow. The county is reducing its workforce by 32 employees. Thanks to early retirement and natural attrition, the county has already eliminated the lion’s share of those jobs, leaving only seven people that actually have to be let go. Another 11 employees will be cut to a 36 hour work week.

Curtis’ larger concern was the decrease to county benefits, namely a suspension of retirement contributions and reduction in health insurance benefits.

County employees will see their deductibles and out-of-pocket maximums skyrocket. Curtis questioned how some county employees will afford it, citing some who earn only $20,000 a year.

“I don’t know how in the world if you are making $20,000 a year you are going to afford an increase in your deductible going up from $900 to $3,000 a year for a family,” Curtis said. “How do these people survive?”

Commissioner Mark Swanger, who voted for the budget, said it went against his principles but had to be done.

“I have always opposed tax increases, but again, circumstances demand in the absence of an acceptable alternative that I vote in a manner that is in the best interest of our county,” Swanger said.

Swanger said the county made many difficult cuts to get this far, from no increase in teacher supplements this year to a total elimination of contributions to non-profits, be it programs for the elderly or Folkmoot.

Commissioner Bill Upton said there were simply no more places to cut.

“We don’t need to go in our budget and find more positions to cut,” Upton said.

The budget process has seen a high level of public input, with many residents turning out to voice their opinions any time commissioners convened. Opponents even pitched in to comb the county budget for more places to cut in lieu of the tax hike.

The county enacted temporary measures over the past six months to make ends meet. Those included a hiring freeze, furloughs, a shortened workweek and suspended benefits. Some employees that have been operating on furloughs and shortened workweeks will return to normal hours with the enactment of the new budget.

Scores of Haywood County taxpayers criticized the county’s proposed budget at a public hearing Monday (June 1) saying commissioners had not looked thoroughly at every possible option before proposing job cuts and a property tax increase.

Nearly 150 residents attended the meeting, many waving signs denouncing additional taxes.

The proposed budget recommends cutting 35 county positions and increasing the property tax rate by 1.7 cents from the current rate of 49.7 cents per $100 to make up for a $7 million budget shortfall. The 2009/2010 fiscal year starts July 1.

“Come up with cost saving ideas instead of the typical knee jerk reaction of raising taxes,” county resident Bill Davis suggested to commissioners.

Resident Ted Carr said it was ludicrous for commissioners to even consider a tax hike at a time when the economy is causing many to struggle.

“With the economy in the tank and the jobless rate as high as it is, I think it’s unconscionable that you’d suggest a 1.7 cent increase,” Carr said.

Others said county residents would suffer with a tax increase.

“For the people who are on fixed incomes, I see a heavy hit if you raise the taxes,” warned resident Yvonne Mazet. Though Mazet opposes a tax increase, she could give few specifics when interviewed about how she would make up for the $7 million budget shortfall the county faces.

“I’m just one person. I don’t know all the answers. I don’t know where to cut. It’s not my job,” Mazet said, adding “I don’t want my taxes raised.”

Commissioner Skeeter Curtis told the audience of concerned citizens that the budget shortfall had left commissioners with few options.

“I want to find some more money, too, but I don’t know where it’s going to be right now because we’ve cut right down to the bottom,” Curtis said.

Some audience members said they understood the county is in a tough position, but that commissioners had gone too far with some of the proposed cuts.

“Our budget is at a place right now where we’re going to have to juggle, but when we cut our health out and we cut our schools off, we cut our throats,” said resident Danny Heatherly, referring to proposed cuts to the Department of Social Services and the public school system.

Audience members had plenty of suggestions, but in many cases, commissioners had already taken them into consideration.

Resident Linda Bennet suggested the county cut funding to programs that don’t benefit all citizens, like nonprofits.

“I’m not saying they’re not good causes, I’m not saying you’re not being sweet by paying for them, but if it’s not a program that benefits every single person, that’s the program you look at first,” Bennet said.

But the county already plans to cut all funding for nonprofits next year, and pre-emptively pulled funding for the remainder of this fiscal year. The cuts have impacted organizations like the Haywood County Arts Council and the Haywood County Fairgrounds.

Resident Pat Carr agreed with many other audience members, saying that the county should pare down to the essentials like many residents have had to do.

“When I have to cut my budget, I look to see at what is a necessity and what is not a necessity,” Carr said. “I’d much rather see recreation programs cut than teachers cut.”

The county has already proposed significant cuts to recreation, including yanking all funding it provides to individual towns.

“We’re not giving any money to the town of Waynesville (for recreation) this budget,” Curtis said. “Canton is getting zero dollars this year.”

Audience members had other suggestions. For instance, Tammy Maney suggested increasing room taxes paid at area hotels and motels to alleviate some of the tax burden from county residents.

But Commissioner Mark Swanger pointed out that hiking the lodging tax requires approval by the state General Assembly.

“A couple of speakers mentioned the ... increase in occupancy tax, but that requires legislation in Raleigh,” Swanger said. “That’s a state statute that authorizes that.”

State law also dictates that room tax money must be invested back into tourism and can’t be spent on general county services.

Other audience suggestions included closing county administrative offices one day a week, raising the deductible county employees pay on their health insurance premium, reducing the salaries of some of the highest paid county administration, and consolidating some county and town services.

Resident Bruce Gardner said the commissioners need to examine cuts to even the smallest expenses, like turning the lights of the county justice center off at night.

“It’s the little things, it’s the dollars,” that add up, Gardner said.

Some residents blamed the county for frivolous spending in the past, saying it contributed to the county’s tough position today. Tammy Maney made that point just after Commissioner Chairman Kirk Kirkpatrick asked her to limit her speech to three minutes.

“If you’d been as strict with money in the county as the time limit to get up here and talk about it, we’d all be a lot better off,” Maney said.

Resident Sharon Miller pointed to the county’s grading of the Beaverdam Industrial Park in the east end of the county in hopes it would lure industry as an example of wasteful spending.

“(You spent) $1 million for the tearing down of a mountain where a year later there’s still no development there,” Miller said.

Resident Johnnie Curé, one of the most vocal of the tax opponents, pointed to the former county board’s purchase of 22 acres of land on Jonathan Creek over a year ago, intended for recreation purposes, as an example of wasteful spending. The former board of commissioners spent more than $1 million on the parcel.

“Why did we spend it when we didn’t have it?” Curé demanded. “You must have a great deal more stewardship when it comes to our money. Stop asking for more and more of it. There is no more to take.”

Curtis encouraged audience members to stay involved in the budget process.

“Stay engaged, because it is your budget, and it is your county,” Curtis said.

Commissioners will go back to the drawing board for another budget work session at 3:30 p.m. on Thursday, June 4, at the Haywood County Justice Center. A vote on the budget is scheduled for Monday, June 15 at the commissioners’ meeting at 5 p.m.

An angry crowd stormed downtown Franklin on tax day last week, protesting the federal government’s bailouts, high taxes and pork barrel spending.

The Tea Party protest was one of hundreds that took place across the nation April 15, the first tax day since President Barack Obama has been in office. The demonstrations have been touted as non-partisan, but the Franklin protest had a Republican bent with speakers and sign- wavers denouncing Obama and government-funded bailouts.

Signs waved by the shouting throng stated, “Freedom Works, Bailouts Hurt,” “Give Me Liberty or Give Me Debt,” TEA — Taxes Enslaving Americans,” and one that was a direct attack on Obama’s presidential campaign said, “So How’s That Hope and Change Working Out For You.”

Another sign stated, “We Are Proud of America Mr. Obama, Why Aren’t You?” while another said, “Bailouts + Debt = Fiscal Child Abuse.”

The event featured patriotic singing, with members of the audience singing along and one audience member was waving a Bible in the air.

Approximately 400 attended the rally put on by Freedom Works, a local political organization. The organization’s leader, Don Swanson, urged the crowd to push for change by writing letters to the editor.

“Do not leave this place and do nothing,” Swanson pleaded. “We’ve done that long enough.”

Staunch conservative and Asheville City Councilman Carl Mumpower — who was the Republican nominee for Congress against Democrat Heath Shuler, D-Waynesville, in the 11th District race — quipped that he doesn’t need a teleprompter to speak like Obama.

However, Mumpower said the protest was not about political parties, but instead about freedom.

“Enough of Washington policies that make people smaller and government bigger,” Mumpower told the cheering crowd.

Mumpower denounced welfare programs that “rest on the backs of our children through borrowed dollars.”

There also should be no tolerance for people who are indifferent to the U.S. Constitution, said Mumpower.

“We’re here to fight for the lives and future of our children,” Mumpower said.

Duty is the essence of being a human being and the baby boomer generation is the first to leave its children with a smaller vision of the American Dream, he said.

He urged the crowd to believe in the Constitution, not live off the labor of others and to believe in the American Dream. Mumpower quoted Gandhi, saying when someone tries to affect change, the first thing people in power do is ignore, then they laugh, then they fight and finally they surrender.

It is not too late to bring the change to America that is needed Mumpower said. In fact, the fight has just begun, he said. The nation’s founding fathers should be the role models as they were thoughtful, courageous and persistent, he said.

He turned to the American flag on the stage and pointed to the bronze eagle.

“We have to fight for that eagle,” Mumpower said.

As the most conservative member of the Asheville City Council, Mumpower voted against hiring new police officers for the city because they wouldn’t be allowed to enforce immigration laws.

Franklin businessman Phil Drake, who owns Drake Software and is the second largest employer in the county with 500 employees, spoke against the government bailing out corporations and banks.

“There is a place for government,” Drake said. “The primary role of the government should be defense.”

Drake then applauded the Navy seals for their recent rescue in the pirate standoff.

The real tax rate imposed by the government is not what is taken but what is spent because eventually that money will have to be paid back, Drake said. The money will be paid back by either raising taxes or printing more money, which will make “your money less valuable,” Drake said.

The tax code has 74,000 pages and no one understands it, Drake said, adding that the federal deficit is $11 trillion.

The problem in this country is that the government is demanding things today that it is not willing to pay for. Also, the 30 million babies killed by abortion could be alive today and contributing to Social Security, he said.

The government’s No. 1 expense is the “redistribution of wealth,” he said, adding there is only one way out of the current situation: “Stop spending.”