Galleria Assessment Crashes $120 Mill–BOE OKs Tax Refund of Record $4.1 Million

 


 


WPCNR THE CERTIORARIAN. By John F. Bailey. June 23, 2009 UPDATED 12:10 P.M. E.D.T. (Updates in Italics):  The Board of Education approved a $4,177,152.05 certiorari refund to The Galleria Mall Monday evening covering the years 2006,2007 and 2008, Assistant Superintendent for Business Fred Seiler reported to WPCNR this morning. City Assessor Lloyd Tasch said the city was negotiating with two other malls in the city on their assessments, indicating there may be more certiorari and assessment losses the rest of this year from those other two retail properties.


 



Fred Seiler, Assistant Superintendent for Business, White Plains City School District, Monday evening speaking. The BOE tabled consideration of a mystery certiorari, as is their practice, went into Executive Session after their regular meeting and approved a $4.1 Million certiorari tax refund for The Galleria Mall covering the last three years.


 


 


Seiler said the $4,177,152.05 Million sum will be paid in two parts, half this coming December and half in August, 2010. Seiler said the amount should be covered by the School District reserve for certioraris and a certiorari bond for  about $8 Million, previously marketed successfully earlier this year.


 


City Assessor Lloyd Tasch confirmed to WPCNR Wednesday morning that the assessed market value of the Galleria has been lowered $120 Million  (from $260 Million) for the last three years, and as part of the settlement, the usual “3 year freeze” preventing owners for filing assessment grievances for three years after being granted a certiorari, has been waived in The Galleria case, meaning a further drop in The Galleria assessment for this year 2009 is likely. 





Tasch, asked how the $120 Million (in assessed market value)has been taken off the city tax roll said about “half”the $120 Million was taken off this year’s  2009 roll,  and that the other half would be taken off the roll for 2010, however, Tasch revealed that because of the waiver of the 3-year freeze, the city and The Galleria are “still in negotiations” to determine the 2009 assessed value. Tasch told WPCNR that $2 Million of Assessed Value translates to $88 Million of market value.


 


Asked how the shortfall was made up on this year’s roll, Tasch said that the Ritz Carlton second tower had come on the market and that “made up for a lot of it (the Galleria market value decrease).


 


The amount the city will refund on the certiorari should be about $1 Million, since $4 dollars in school property taxes are collected for every $1 the city collects. The Common Council will be made aware of the city portion of the refund Thursday evening.


 


Tasch was asked if future assessments of The White Plains Mall and the Westchester Pavilion could be lowered. Tasch said the city was in negotiation with those two malls that could lead to lowering of their assessments.


 


Tasch said the city is not in negotiation with The Westchester, which Tasch described as the city’s “strongest mall, completely leased up.”


 


Incidentally, the news comes one day after the County Board of Legislators tabled a vote on establishing a Westchester County Assessment Commission to establish standards for assessment across the county to address the falling value of the county municipality tax rolls. Legislator Thomas Abinanti was responsible for postponing the vote by announcing the word “over” with no explanation, forcing the vote to July 7, unless another legislator decides to “over” the Assessment Commission legislation.

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BOE Approves Teacher Contract With No Comment. Did Not Touch Steps Schedule

 


WPCNR SCHOOL DAYS. By John F. Bailey. June 20, 2009: The Board of Education tonight voted unanimously to approve a new three year contract with the teachers union, granting across-the-salary-schedule 2% (retroactive to the current 2008-2009 year), 2% in 2009-2010, and 2-1/2% on February 1,2011.


 



 


The Board Approves Settlement: Moment of Truth.


 


The Superintendent and the Board of Education made no public comment on the terms of the contract in the public meeting. Donna McLaughlin, President of the Board of Education told WPCNR after the meeting, “I’m thrilled we have a settlement and we can move forward, especially with the new Superintendent of Schools (Dr. Christpher Clouet) coming in.”


 



 


Kerry Broderick, head of the White Plains Teachers Association, speaking on different matter Monday night, in attendance, also did not make any public statement on the settlement agreed to privately Friday  June 12, and first reported by WPCNR Monday, June14.


 


Kerry Broderick of the White Plains Teachers Association told WPCNR that the Board of Education had not attempted to negotiate any scaling back of  the White Plains Salary Schedule for new teacher hirings during the 18-month negotiation.



 


Asked if the Board of Education had attempted downward adjustments to future new hires during the course of the negotiations, McLaughlin confirmed they had not, “Not this time.”


 


 Asked why, McLaughlin said “This was a rollover. It was not a major negotiation.” She said the next major negotiation  would take place in 2011. Asked if revision of the salary schedule for new hires would be part of that, Ms. McLaughlin declined to commit to exploring that as being on the table.


 


Asked why the school board suddenly settled after long months if any legal action was threatened by the White Plains Teachers Association based on Peter Bassano e-mails to teachers had anything to do with the district change of heart, McLaughlin denied there was any threat of litigation by the teachers that threatened suing the district for bargaining in bad faith.


 


Peter Bassano, the newly re-elected member of the school interviewed after the meeting by WPCNR asked why the Board of Education did not explain the settlement to the public, said, “We didn’t want to rub their nose in it.”


 


Asked what made the 17% increase in wages over three years, the first year retroactive a good deal for the district Bassano said “We got them to pay 8% and 9% of health benefits in the second and third year, and agree to a $5 to $20 increase in the Co-Pay which creates a net savings. We also got them to eliminate the most expensive health care provider, Blue Cross-Blue Shield.”


 


Bassano said that a third of the teachers were at the maximum step level any way so they only received 2%, 2% and 2.5% and that saved the district money.  He also said retirements every year would mean new lower paid teachers would be hired to replace them, creating a savings – but he gave no figures, saying WPCNR would have to check with Assistant Superintendent of Business, Fred Seiler on those savings.


 


WPCNR expressed skepticism, asking  what with the compounding of  the salary schedule every year (based on higher salaries breeding high total dollar amounts), how can a $100 premium increase in pay the family level, possibly make up for increases totaling 5.5%, 5.5% and 6%?


 


Fred Seiler, the Assistant Superintendent for Business told WPCNR last October said the total premium for an individual with “SWSCHP” as it is known, this year (08-09)is $7,293, of which a teacher pays $625  annually (8.6%) . For a two-person family, the premium is $15,388, the teacher share they pay is $1,075 annually (7%). The premium for a family for more than two persons  is $16,336, of which a teacher on the family plan pays $1,220 (7% of the cost).


 


Today, Ms Broderick said that a Family Plan of over two persons costs the district using Health Net, the premier carrier now left after the contract approval, pays $18,000.


 


The teacher now having such a plan pays $1,260 a year of that $18,000, and that would go up $180 beginning July 1 to $1,440. In July, 2010, that same teach with a family of over two persons would pay 9% of that and if the cost goes up 10% to $19,800 as predicted they would pay $342 more.


 


The average increase in salary for the teacher with one year of service going  into 2008-2009 will receive $1,041 retroactively thanks to the 2% settlement on the wages in addition to the $1,831 they already received starting their second year with a B.A. This year will make $2,763 more in salary the first year of the three year contract. Teachers along the 20 year salary schedule of course receive more.It is unclear how a maximum increase inpremium the teacher pays at the family of more than two level, “nets” a saving for the district.


 


Mr. Bassano said the district would save a vast amount of money by the teachers eliminating the Blue Cross/Blue Shield health care choice but did not say how much. He advised WPCNR to get the numbers from Mr. Seiler.


 


Broderick told WPCNR Monday evening health care providers she has been told are keeping their health care insurance premium increases  this coming year and next, lower than the10% predictions in health care costs made nationally, in the 4% range because, she said they do not want to give the Obama Administration ammunition to use as rationale for a national health care plan initiatives.


 


WPCNR asked Mr. Bassano why the district did not attempt step increase adjustments beginning with new highers. Bassano said the state United Federation of Teachers representative who was with Ms.Broderick during negotiations would not have allowed that. Bassano said the step levels are sacrosanct.

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Teachers Approve New 3 Year Deal by Overwhelming Margin. Pay Up 17% in 2 Years

WPCNR SCHOOL DAYS. By John F. Bailey. June 22, 2009: Kerry Broderick, President of the White Plains Teachers Association in a statement to the CitizeNetReporter moments ago announced the 651-member White Plains Teachers Association voted “overwhelmingly” to approve a new three year contract with the school district, upgrading teacher pay across all step and degree levels by 17%.



Kerry Broderick, President of the White Plains Teachers Association. April 13,2009. WPCNR News Archive


As first reported last week by WPCNR, the settlement, Ms. Broderick said, gives the teachers a 2% increase “across all step levels” retroactive to July 1, 2008, 2% as of July 1, 2009 (coming up in 9 days), and 2-1/2% effective February 1,2011. Broderick said the raise in 2011 is a “net” 1 and a quarter percent, but the contract expires June 30 of 2011, 6 months later.


Broderick said 400 of the 651 teachers are still in the step schedule, and 200 of those in the step schedule have been with the district less than 10 years. 


On health care benefits Broderick confirmed the increase from 7% to 8% teacher share of their health care in 2009-10 and to 9% in 2010-11. Broderick said increase in the teacher share of health care would cost a family of more than two persons $150 a month.


Broderick confirmed all step levels and longevity increases would go up 2%, but she did not view it as receiving “2 raises” since teachers did not have the ability to change jobs for more money in the education marketplace as easily as the persons not in the educational field.


The increase across step levels in addition to the 2% equates to about 5.5% a year raises across all step levels, computing to 17% percent.


The School Board is expected to approve the contract this evening at the Board of Education meeting at 5 Homeside Lane.

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Not So Fast: County Legislature Delays Vote on new County Assessment Commission

WPCNR COUNTY CLARION-LEDGER. By John F. Bailey. June 22,2009 UPDATED June 23, 2009 12:20 P.M. E.D.T.: With a single uttering of the word “Over,” County Legislator Tom Abinanti delayed consideration and a vote scheduled  this morning by the 16 members of the County Board of Legislators of establishing a Westchester County Assessment Commission to upgrade data and assessment standards, that county area assessors and city managers said could lead to considerable increases in county and municipal assessibles


Ken Jenkins, the Legislator and  Chairman of Government Operations offered this explanation of the “Over” Rule to WPCNR Wednesday:


By rule, any Legislator can “lay over” an item.  The motion is not debatable.  There are no changes that I plan to make to the Resolution.


Clearly the State Office of Real Property Services, the Westchester Municipal Officials Association and the Westchester Chapter of the NYS Assessors Association support this resolution.  The item does appear have enough support to pass when it appears as unfinished business at the July 7th meeting.


Lloyd Tasch, President of the Westchester Chapter of the NYS Assessors Association, said the Association did not have a statement regarding the “over”.


Jenkins assured WPCNR that  an item can only be “over’d” once so the item will be on the July 7 agenda for a vote.  He also acknowledged some pressure from business groups may be being put legislators, in a written statement, Jenkins wrote WPCNR:

 

Legislators at every level get lobbied by interest groups all the time – so this is not unusual.

 

I believe that some legislators would like to move towards enacting legislation for county-wide revaluation.  So they do not want to support what has been acknowledged by the real property assessment experts as a reasonable and responsible first step.  Some may be feigning a better solution but are actually using procedures to delay. 

 

As far as this legislation is concerned, my view as Committee Chair is that the delay in action until July 7th will not impact the goals of the resolution.  I also expect that there is a set of best practices to develop a model for Westchester that will come quickly as we wait for the next available window to perform the photography (late fall ’09 or spring ’10).

 

 

 


The uttering of “Over,” by Mr. Abinanti, with no explanation to the public by either Mr. Abinanti or Chairman of the Board of Legislators came after a succession of assessors from Ossining, Yonkers, and city managers from Scarsdale and Ossining, and a representative from the Department of Real Property Services had spoken praising the legislature in advance, under the impression the establishment of the Commission, with its attendent appropriation for conducting oblique photography of all propertyies, commerical and residential in the county would up date assessment data characterized as fifty years out of date.

Assessors sitting in “Assessors Row,” expecting a passage of the resolution establishing the Commission, especially after a Board of Legislators’ press release issued Friday touting the possible passage of the Commission, were stunned.


WPCNR has contacted Mr. Abinanti’s explanation for the tabling of the resolution. Any legislator can prevent an item from coming to a vote by calling for an “over” which moves the resolution to the July Board of Legislatures meeting.


One of the speakers at the Citizens to Be Heard portion of the County Board of Legislators, the Assessor form the City of Yonkers, said Dade County Florida, found $1 billion of additional assessments based on a $1.2 Million expenditure of such a oblique photographic survey in $1 Billion in changes to property characteristics that were not on record.”


The “Overing” of the resolution comes two weeks after County Executive Andrew Spano called for a revaluation of Westchester county as an answer to establish fair and equitable property taxes.

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