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VAB Agenda 08-06-2018 Item 11B 08/06/2018 Item 11B EXECUTIVE SUMMARY Department of Revenue Correspondence to VAB Legal Counsel OBJECTIVE: To review correspondence dated April 25, 2018, received from the Department of Revenue General Counsel. CONSIDERATIONS: The Department of Revenue (DOR) Chief Assistant General Counsel for the Property Tax Oversight Section, Stephen J. Keller, sent an email to Collier County's VAB Legal Counsel Cosby regarding an issue brought forth by Mr. Carl Suarez. VAB Legal Counsel Cosby submitted a timely response that same day to DOR. RECOMMENDATION: Per the email from Steve Keller with the Florida Department of Revenue, Property Tax Oversight Section, Mr. Suarez (a constituent) mentions that "the issue of the appointed magistrate and property appraiser saying that you can't use the property appraiser's property valuations against them in your arguments at VAB"based on a brochure that the Property Appraiser's Office has. The matter was responded to by VAB Legal Counsel Cosby and then further addressed in an additional correspondence. Ms. Cosby further explained to Mr. Suarez that the VAB does not have any control over what the Property Appraiser has in their informational materials and suggested that he address his concerns further with that office. Attachments • Email from VAB Legal Counsel Cosby in response to Correspondence received from the Department of Revenue — Property Tax Oversight Division's Chief Assistant General Counsel • Email correspondence between VAB Legal Counsel Cosby and Carl Suarez dated May 23 and May 24, 2018 Email Correspondence between: DOR-PTO Steven Keller and VAB Legal Counsel Holly Cosby Dated 04/25/2018 Patricia L. Morgan From: Law Office of Holly E. Cosby, PA <holly@cosbylaw.com> Sent: Wednesday,April 25, 2018 5:32 PM To: 'Steve Keller' Cc: Patricia L. Morgan Subject: RE:VAB Collier Good afternoon, Mr. Keller. It is always nice to hear from you, although, it is never under pleasant circumstances. I have reviewed both the email string attached to your email and the information you have provided below. I thank you for the synopsis of the law as it pertains to the issue at hand, although you are correct, I am well aware of what the law states. I find the"complaint" vague as it pertains to the Collier Value Adjustment Board (VAB), as the author does not reference any particular issue or petition, therefore, there is no way for me or the VAB to investigate the allegations and confirm or deny the same. At this time, and with a year of experience with the Collier VAB, I have no reason to believe that the special magistrates appointed by the Collier VAB act in any way other than within the requirements and limitations of the laws and rules that govern Florida VABs. However, in continued efforts to strive for excellence in all things VAB, the Collier VAB administration and I will add this information to our Organizational Meeting agenda, in efforts to advise the VAB that this issue was raised with my office and addressed on behalf of the Collier VAB. I will also be sure that all special magistrates appointed by the Collier VAB are in receipt of your email, elaborating on this issue via the referenced statutes and case law. While you are correct, the DOR should not opine on whether such evidence described in the referenced authorities is present in a given case, nor whether properties are comparable for tax assessment purposes, nor can the Department weigh the evidence presented in a VAB petition, any information and guidance provided can certainly be considered. With regards to the allegations made against the property appraiser's actions and/or informational materials, I can neither affirm or deny any of that information. Further, as Collier VAB Counsel, I believe that it would be improper for me to speak on any issue pertaining to the Collier County Property Appraiser's Office. I believe that it would be most proper to address the Collier County Property Appraiser's Office directly with regards to any actions and/or informational materials within their control, and I am hopeful that you have done so in order to provide them with the opportunity to respond directly to any and all allegations made against them. I am hopeful that my response addresses and alleviates your concerns with regards to VAB operations and intended VAB operations in Collier County. Thank you for bringing this matter to my attention. Respectfully, Holly Cosby Holly E. Cosby Law Office of Holly E. Cosby, P.A. 602 Center Road Fort Myers, Florida 33907 (239) 931-0006 (239) 418-0006 (fax) 1 This electronic message transmission and any associated files and/or attachments contains information from the Law Office of Holly E. Cosby, P.A. that is considered confidential or privileged. The information is intended solely for the recipient and use by any other party is not authorized. If you are not the intended recipient, be aware that any disclosure, copying, distribution or use of the contents of this information is prohibited. If you have received this electronic transmission in error, please permanently delete this information and notify me immediately by telephone (239-931-0006), or by electronic mail (holly@cosbylaw.com). Additionally, however, Florida has a very broad Public Records Law. Most written communications to or from State and Local Officials regarding State or Local business are public records available to the public and media upon request. Your email communications may therefore be subject to public disclosure. Thank you. From: Steve Keller Sent: Wednesday, April 25, 2018 12:01 PM To: holly@cosbylaw.com Cc: csuarez479@gmail.com; CQUINBY@collierappraiser.com Subject: VAB Collier To: Holly Cosby, VAB Attorney Collier County cc: Jeep Quinby, Collier County Property Appraiser's Office Mr. Carl Suarez Dear Ms. Cosby: Attached is a communication dated April 22, 2018 that relates to petitions in your county referenced as subject above. We are sending this to you for your review and appropriate action since it does not appear you were copied with the communication. In the email dated April 22, 2018, Mr. Suarez mentions "the issue of the appointed magistrate and property appraiser saying that you can't use the property appraiser's property valuations against them in your arguments at VAB." We wanted to specifically call your attention to this issue for the following reasons. As you know, Section 194.034, F.S. provides for the special magistrate to consider assessments of other properties. "(5) For the purposes of review of a petition, the board may consider assessments among comparable properties within homogeneous areas or neighborhoods." The provisions of section 194.301, F.S. also provide for evidence regarding other property in the county: (a) If the challenge is to the assessed value of the property, the party initiating the challenge has the burden of proving by a preponderance of the evidence that the assessed value: 1. Does not represent the just value of the property after taking into account any applicable limits on annual increases in the value of the property; 3. Is arbitrarily based on appraisal practices that are different from the appraisal practices generally applied by the property appraiser to comparable property within the same county. See also Ozier v. Seminole County Property Appraiser, 585 So.2d 357, 359 (Fla. 5th DCA 1991), in which the court stated "We find Ozier has standing to challenge the methodology used by the assessor." The court recognized, as being a factual issue, comparability as it relates to market value, for purposes of a challenge to a tax assessment on ground of systematic undervaluation of a substantial number of other homes. 2 The Department cannot opine on whether such evidence described in these authorities is present in a given case, nor whether properties are comparable for tax assessment purposes, nor can the Department weigh the evidence presented in a VAB petition. However, we believe these provisions are central to a proper administrative review concerning the issue. We recommend that you, as VAB attorney, review these provisions with the special magistrates to ensure that evidence is being properly received and considered in the administrative reviews of petitions. Sincerely, Stephen J. Keller Chief Assistant General Counsel tu Property Tax Oversight Section Office of General Counsel Department of Revenue gz 850 617 8347 FLORIDA email encryption status [unsecure]; signifies: not encrypted NOTIFICATION TO RECIPIENTS: The subject line of this email may indicate that this email has been sent unsecure. This is a default setting which in no way indicates that this communication is unsafe, but rather that the email has been sent unencrypted in clear text form. Revenue does provide secure email exchange. Please contact us if you need to exchange confidential information electronically. If you have received this email in error, please notify us immediately by return email. If you receive a Florida Department of Revenue communication that contains personal or confidential information, and you are not the intended recipient, you are prohibited from using the information in any way. All record of any such communication (electronic or otherwise) should be destroyed in its entirety. Cautions on corresponding with Revenue by email: Under Florida law, emails received by a state agency are public records. Both the message and the email address it was sent from (excepting any information that is exempt from disclosure under state law) may be released in response to a public records request. Internet email is not secure and may be viewed by someone other than the person you send it to. Please do not include your social security number, federal employer identification number, or other sensitive information in an email to us. 3 From: Carl Suarez [mailto:csuarez479@gmail.com] Sent: Sunday, April 22, 2018 8:14 AM To: Muntz,Trenton <Muntz.Trenton@flsenate.gov>; Kevin Lilly <k lilly(acomcast.net>; alvaro carraro <dersublue@mac.com>; Bruce Williams <hbwgolfer@qmail.com>; Ed Kraus <elkaybakeryCa msn.com>; Joseph Falcon <irfir126@aol.com>; Kathleen C. Passidomo <passidomo.kathleen.web@flsenate.gov>; Ernie Suarez <suarez@cua.edu>; Susan Suarez <susanlsuarez4l@gmail.com>; Doug Finlay <Djfinlay@aol.com>; Janet Kelly <blizzardll@comcast.net>; Scott Madwar <scott@drmadwar.com>; Diana Suarez <dianaferris.suarez@gmail.com>; Linda Black <Iblackl0150gmail.com>; Brent Batten <brent.batten@naplesnews.com>; Penny Taylor <Penny.Taylorcolliercountyfl.Qov>; Michael Paramore <Michael.Paramore@floridarevenue.com> Subject: Re: Emails Hello Trent, We have a small group of area property owners that have been working in a sort of loose cooperation on this issue. One of them even went to VAB last year. Another process in need of serious reform. One particularly issue that I have been aware of and fighting for some time that came up in our conversations (and on their brochure) was the issue of the appointed magistrate and property appraiser saying that you can't use the property appraiser's property valuations against them in your arguments at VAB. This seems absurd to me. The statement this clearly makes to property owners is that the property appraiser is admitting that they are so inaccurate that they somehow have convinced the judge to disallow their own work as evidence against them. The only place I have seen this stated is in the collier county property appraiser's own brochure. Do either of you know if this is FL law, and if not, how is it possible for the special magistrate to disallow the presentation of this evidence? Best Regards, Carl On Wed, Apr 18, 2018 at 9:46 AM, Muntz, Trenton <Muntz.Trenton@flsenate.gov> wrote: Mr. Suarez, Just wanted to give you a quick update. Our staff has been working with the Senate Ethics and Elections Committee to get some background information on term limits on local constitutional officers. I've also reached out to the Department of Revenue. I know that you mentioned in one of your emails that you did not have a response from them, so I went to their Legislative Affairs Office. They have been pretty responsive with us in the past. I'll let you know as I find out more. Best, Trent From: Muntz, Trenton Sent: Wednesday, April 11, 2018 3:21 PM To: 'Carl Suarez' <csuarez479@gmail.com> Subject: RE: Emails No problem at all. Sorry we had the long wait during session. Sounds good, feel free to reach out anytime. From: Carl Suarez <csuarez479@gmail.com> Sent: Wednesday, April 11, 2018 2:59 PM To: Muntz, Trenton <Muntz.Trenton@flsenate.gov> Subject: Re: Emails Hi Trent, Thank you for your assistance and diligence over the past few months. If I don't hear back from you, I will check in after a couple of weeks. Regards, Carl On Wed, Apr 11, 2018 at 2:47 PM, Muntz, Trenton <Muntz.TrentonCai)fisenate.gov> wrote: Mr. Suarez, I just heard your voicemail and am confirming receipt of your emails. I printed them and added them to a file of things that we sent the Senator home with to review. Feel free to reach out anytime! Best, Trenton Muntz Legislative Assistant Senator Kathleen Passidomo Carl W. Suarez Realtor ® Sun Realty 239-777-7100 2 Email Correspondence between: Carl Suarez (constituent) and VAB Legal Counsel Holly Cosby Dated 05/23/2018 and 05/24/2018 Patricia L. Morgan From: Law Office of Holly E. Cosby, PA <holly@cosbylaw.com> Sent: Thursday, May 24, 2018 2:22 PM To: 'Carl Suarez'; 'Steve Keller' Cc: 'Jeep Quinby'; 'Trenton Muntz' Subject: RE:VAB Collier Importance: High Good afternoon, Mr.Suarez. Thank you for the further clarification. I will advise, as counsel to the Collier County Value Adjustment Board (VAB), that pursuant to Section 194.015, F.S., the VAB is comprised of two County Commissioners, one School Board member, one Citizen Member appointed by the Board of County Commissioners (BoCC) and one Citizen Member appointed by the School Board.The VAB is not made up of any Property Appraiser representatives. Additionally, Counsel to the VAB (i.e., Me) "...may not represent the property appraiser, the tax collector, any taxing authority, or any property owner in any administrative or judicial review of property taxes." Further, as stated in Section 12D-9.005, F.A.C. and Section 12D- 9.024, F.A.C.,the VAB is a body, independent from the Property Appraiser's Office. With regards to your concerns about any Property Appraiser action,you must contact the Property Appraiser's Office directly, and as VAB Counsel, it is improper for me to comment on anything related to Property Appraiser operations. Further, it is also improper for the VAB to comment on Property Appraiser operations, other than any actions which can be substantiated to have occurred during a VAB hearing. With regards to your concerns about VAB magistrate actions, the basis for your concern and/or claim is hearsay, at best. You are relying on "what someone told you about what happened last year," without including any specific reference to a particular hearing, petition or verbatim record.As such, I would not be able to address this matter from a VAB standpoint, as you have not provided any substantial proof that anything actually or specifically occurred during a specific VAB hearing, which was inconsistent with the laws that govern Florida Value Adjustment Boards. At this time, as it appears that your true concern is with Collier County Property Appraiser paraphernalia, it would be appropriate for you to deal with the Collier County Property Appraiser directly. Upon receipt of the initial information with regards to this matter, I confirmed with the Department of Revenue that I will be sure to forward this information to the VAB appointed special magistrates, moving forward, to ensure that they are aware of this issue and address this issue on a case by case basis, when necessary.This is the only action that would be appropriate for me to take on behalf of the VAB. I respectfully request that you remove me from any further correspondence with regards to this matter. Per Section 12D-9.0009, F.A.C., as VAB Counsel, I am required to respond to any and all complaints asserting noncompliance of the VAB, and the VAB is billed for the time spent doing so. As I only have jurisdiction over VAB matters, and as I have discovered and established that this is not actually VAB matter, I believe that continuing to include me in correspondence for this matter will only cost the VAB additional legal fees, which I do not feel are appropriate past my review and response herein. Respectfully, Holly Cosby Holly E. Cosby Law Office of Holly E. Cosby, P.A. 602 Center Road Fort Myers, Florida 33907 1 (239)931-0006 (239)418-0006 (fax) This electronic message transmission and any associated files and/or attachments contains information from the Law Office of Holly E. Cosby, P.A. that is considered confidential or privileged.The information is intended solely for the recipient and use by any other party is not authorized. If you are not the intended recipient, be aware that any disclosure, copying, distribution or use of the contents of this information is prohibited. If you have received this electronic transmission in error, please permanently delete this information and notify me immediately by telephone (239-931-0006), or by electronic mail (hollv@cosbylaw.com).Additionally, however, Florida has a very broad Public Records Law. Most written communications to or from State and Local Officials regarding State or Local business are public records available to the public and media upon request. Your email communications may therefore be subject to public disclosure.Thank you. From: Carl Suarez Sent: Wednesday, May 23, 2018 10:03 PM To:Steve Keller Cc:Jeep Quinby; holly@cosbylaw.com;Trenton Muntz Subject: Re:VAB Collier Ms Crosby, To be more specific, my complaint and the opinion would apply directly to the language in the property appraiser's brochure that comes out each year. Under the section labelled: "Making a case" it states in the last sentence of the first paragraph specifically: "Evidence of comparable sales, not assessments, should be presented." I spoke to a person who went to VAB last year and this position was reaffirmed by the magistrate, and he was not allowed to present the property appraiser's own market assessment of nearby properties to make his case against them. This is specifically the problem-- if it was not clear before. Regards, Carl Suarez On Wed, May 23, 2018 at 4:12 PM, Steve Keller<Steve.Keller@floridarevenue.com>wrote: [resent due to system technical issue] To:Jeep Quinby, Collier County Property Appraiser's Office cc: Holly Cosby,VAB Attorney Collier County Mr. Carl Suarez Dear Mr. Quinby: 2 This is a follow up to my email dated April 25, 2018 relating to an email communication dated April 22, 2018 from a constituent that relates to petitions in your county referenced as the subject above. Also attached are email communications dated April 25, 2018 from the VAB attorney and April 26, 2018 also from the constituent. I am including copies of these emails for your review. We are sending this to you for your review since it does not appear you were copied with the communication dated April 25, 2018 from the VAB attorney or the April 26, 2018 email from the constituent. In furtherance of our additional review of the constituent's communications, we would appreciate your assistance in providing us with insight on the topics expressed in the communications pertaining to the property appraiser's office. We did not want to conclude our review without providing your office with the constituent's communications, and offering an opportunity to your office to address the communications in a response to our office. Your assistance will greatly help us in our further review of the matters. Sincerely, Stephen J. Keller Chief Assistant General Counsel Property Tax Oversight Section Office of General Counsel Department of Revenue 850 617 8347 email encryption status [unsecure]; signifies: not encrypted NOTIFICATION TO RECIPIENTS: The subject line of this email may indicate that this email has been sent unsecure.This is a default setting which in no way indicates that this communication is unsafe, but rather that the email has been sent unencrypted in clear text form. Revenue does provide secure email exchange. Please contact us if you need to exchange confidential information electronically. 3 If you have received this email in error, please notify us immediately by return email. If you receive a Florida Department of Revenue communication that contains personal or confidential information, and you are not the intended recipient, you are prohibited from using the information in any way. All record of any such communication (electronic or otherwise) should be destroyed in its entirety. Cautions on corresponding with Revenue by email: Under Florida law, emails received by a state agency are public records. Both the message and the email address it was sent from (excepting any information that is exempt from disclosure under state law) may be released in response to a public records request. Internet email is not secure and may be viewed by someone other than the person you send it to. Please do not include your social security number, federal employer identification number, or other sensitive information in an email to us. Carl W. Suarez Realtor® Sun Realty 239-777-7100 4