05/01/1970 Regular Meeting1
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1970 ORIGINAL BOARD OF EQUALIZATION
MAY 1, 1970
I. CALL TO ORDER
The meeting was called to order at 7:45 PM by the Presiding Officer, Betty
Springhill, in the Courtroom of the State Office Building, Kodiak, Alaska.
II. ROLL CALL
Present
Betty Springhill, Presiding Officer
Ed Naughton
Norm Sutliff
Don Arndt
T. T. Jackson (late arrival due to which Mr. Jackson was unable to vote on any
of the following cases)
Also present: Tom Harrison, Borough Assessor, Mr. William Damery, Marine Surveyor,
and Kathleen May, Assessing Clerk acting as Clerk.
III. CASES FOR CONSIDERATION BY THE BOARD
It was noted that there were four (4) cases to be heard by the Board and To
Harrison pointed out that Mr. Damery was at the meeting at his request to
represent the Borough's position regarding the two cases involving fishing vessels.
CASE 70 -1 Earl D. Deater - M/V Oakland - Kodiak, Alaska
The appellant had stated in his petition that that he had purchased the vessel
in September of 1969 and had paid $11,200 for it and felt that the assessment
of $30,000 was too high. Mr. Damery stated that Mr. Deater had purchased the
vessel on sealed bid and had gotten a good buy on the boat. Mr. Deater was
present and stated that after talking with Mr. Damery and upon receiving the
advice that the boat could be insured for $30,000 that he would go along with
the assessment of $30,000.
Mr. Naughton made the motion that the appeal be denied and Mr. Arndt seconded
the motion and it carried as follow:
FOR:
Ed Naughton
Don Arndt
Norm Sutliff
Betty Springhill
CASE 70-4 Blake Kinnear - M/V Northern Queen - Kodiak, Alaska
The appellant was not present; however, Mrs. Springhill read Mr. Kinnear's
statement as follows: "I feel that the increase in the total valuation of the
M/V Northern Queen from $37,000 to $48,825 is an unfair appraisal because the
vessel is more than 40 years old, has little or no resale value and is uninsurable
on the public market even at rates in excess of 162. The boat was extensively
damaged by fire in April 1969 necessitating extensive repairs which were costly,
but which did not enhance the value of the boat. We request that the value of
the boat be sat at not more than the book value of $21,925. The depreciated
value of the Northern Queen is as established by the auditing firm of Moss Adams
Company."
Mr. Darcy pointed out that his assessment on the vessel was for $45,000.00 and
Tom Harrison stated that the difference between lft. Damary's figure of $45,000
and his assessment of $48,825 was due to the fishing gear on board.
Mr. Damery stated that even though the boat had bean built in 1928 it had been
kept up and that in 1969 it was re -built with new wiring and electrical work.
He said that the vassals ware not assessed at their depreciated value but at the
present market value of the boat and he definitely felt that the vessel was worth
$45,000.00.
The Board decided to table this case until last to enable the appellant, Blake
Kinnear, to appear before the Board if possible.
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ORIGINAL BOARD OF EQUALIZATION
MAY 1, 1970
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CASE 70 -2 CWC FISHERIES, INC. - PORT BAILEY, ALASKA LOCATION
The appellant was not present: however, the following statement written by
Mr. Alec W. Brindle (attorney for CWC Fisheries, Inc.) was read by Mrs.
Springhill: "The above- mentioned property (note: U. S. Survey 2424 - Port Bailey,
Alaska) was purchased on March 16, 1968 for a total of $311,000 which included
the entire cannery installation plus machinery, parts, equipment building and
land. The assessed value is greatly in excess of the amount paid for the
property which should be the full and true value "
Mrs. Springhill alsc read the pertinent correspondence which included a letter
from Mr. Brindle in which the Petitions for Revision of Assessed Valuation were
included, a certified letter from the Assessor to Nr. Brindle stating the time
to be heard by the Board of Equalization (along with receipt of certified letter),
an additional letter from the Assessor to appellant that there had not been a
re- evaluation on the properties since 1964 and that his inspection had found new
buildings and improvements to both locations. There was one more letter from
Mr. Brindle in which he stated that he would be unable to appear before the Board
of Equalization due to conflicting schedules
(T. T. Jackson arrived - 8.07 PM)
Tom Harrison, the Assessor, pointed out that the basis for his assessments on all
canneries is the same and it is based on a reproduction cost less depreciation
basis and that these costs are determined from the Property Appraisal Manual for
Mr. Marrison pointed out that there was a new bunkhouse built in 1966 and he had
assessed that building alone at $37,625. Along with the bunkhouse there have
been improvements made to the dock and to the buildings.
After lengthy discussion and questioning Mr. Sutliff made the motion to deny
the petition and Mr. Naughton seconded the motion and it carried as follows:
FOR: Nona Sutliff
Ed Naughton
Don Arndt
Betty Springhill
CASE 70 -3 CWC FISHERIES, INC. - ALITAK, ALASKA LOCATION
The appellant's attorney, Mr. Alec W. Brindle, stated in his petition that
"Last year's improvements were assessed at $323,225. The assessment this year
was increased by $264,950. There were no changes or additions to the property to
warrant this increased assessment."
The correspondence was read (duplications of the correspondence on the Port Bailey
location). Mr. Harrison pointed out that there had been an egg processing plant,
a warehouse and a garage added to this operation since the last physical assessment
had been made in 1964.• Along with the aforementioned Mr. Harrison stated that there
had bean other miscellaneous improvements and upgrading to the property.
He further stated that the rising costs of construction were relevant in his
assessment.
Mr. Harrison distributed the photographs he had taken while at the Alitak location
for the Board to view,
After lengthy discussion Mr. Sutliff made the motion to deny the petition and Mr.
Naughton seconded same and it carried as follows:
FOR:
Mr. Sutliff
Mr. Naughton
Mr. Arndt
Mrs. Springhill
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ORIGINAL BOARD OF EQUALIZATION
MAY 1, 1970
CASE 70 -4 - RETURNED TO THE CASE OF BLAKE KINNEAR - M/V Northern Queen -
Mr. Kinnear had not appeared when the Board returned to the aforementioned
case at 8:55 PM and Mrs. Springhill re -read his petition to refresh the Board's
memories:
IV. ADJOURNMENT
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After some further discussion by Mr. Damery and Mr. Harrison Mr. Arndt made the
motion to deny the petition and Mr. Naughton seconded the motion and it carried
as follows:
FOR:
Mr. Arndt
Mr. Naughton
Mr. Sutliff
Mrs. Springhill
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At 9:05 PM Mrs. Springhill declared the 1970 Board of Equalization formally
be closed.
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TOM HARRISON
Borough Assessor
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ADJUSTMENTS PASSED BY THE BOROUGH ASSEMBLY APRIL 30, 1970:
NAME ADJ. NO• AMOUNT FORGIVEN
MAHLE, Otto P -70 -2 $14.08
FRANKLIN, Stephen A. P -70 -3 2.26
HAWLEY, Wanda L. P - -70 -4 9.58
LESTER, Joseph L. P -70 -5 101.38
MUNSEY, Park P -70 -6 15.65
SARGENT, W. F. P -70 -7 12.77
BOGGS & JOHNSON P -70 -8 370.64
CLARK, Jack W. P -70 -9 23.88
DAWSON, Hobart R. P -70 -10 5.34
GUGEL, Gerold S. P -70-11 152.51
JOHNSON, Jerry C. P -70 -12 105.64
CUTHBERT, James D. P -70 -13 99.69
LeMAIRE, Howard P -70-14 2.27
EKIN, Robert A. P -70-15 3.41
MULLAN, Patrick P -70 -16 20.98
NICHOLS, J. B. P -70-17 12.36
CUMMINS, Benjamin L. P -70-18 7.74
TURNER, Charles P. P -70 -19 8.16
COPELAND, Mildred M. P -70-20 10.23
GRANT, David V. P -70-21 3.19
BUNDRANT, C. H. P -70 -22 17.84
SHIMMB4•, William P -70-23 8.50
BROOKS TOOL RENTAL P -70 -24 19.93
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ADJUSTMENTS:
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NAME
RERNDON, Mary R.
KILGORE, Vivan
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ADJ. NO. AMOUNT FORGIVEN
P -70 -25 $10.86
P -70-26 13.76
TOTAL FORGIVEN: $1,052.65