Thursday, April 16, 2020

NWX2 Designated Foresland tax avoidance

Last?
Special interest gain at public expense is an issue that divides Bend. It extends to Deschutes County and State level. Political influence of a few at the expense of many is becoming more self evident and obviously controversial. All politics is local. If we can expose and resolve problems starting in Bend it begins long overdue  house cleaning going all the way up to Salem.

Political dealings are as murky as the smoke we too often see in in the distance rising from our treasured forestland. Facts of the fire beneath are facts.. Data driven facts put and end to the fire and the smoke.

Bend grew on the economy of harvesting timber and milling it. It was in the public benefit and interest then to have a low property tax on cheap forestland.  
https://www.oregon.gov/DOR/programs/property/Pages/timber-forestland-tax.aspx 

Fact: The official 2018-19 Special Assessment for All Designated Forestland in Eastern Oregon established by the Dept. of Revenue is $79.38 per acre. The intent of that low taxable assessed property value is to protect Forestland from urban growth encroachment and preserve our natural environment. 

Self evident empirical based fact: Tax policy stimulating economic growth is a good thing. It returns an equal or greater public economic and social benefit. It is applied today as Enterprise Zones. Money flowed into Bend in the past as milled lumber shipped out perhaps to tax advantage incentives. . Now money flows into Bend for investment in a new broadly based economic engine employing workers in Bend. The Old Mill is in a different business and adjacent properties a community recreation asset.

Fact: 71 acres of Designated Forestland with a taxable assessment value of $79.38 per acre within Bend city limits.   Legislative intent of this Special Assessment is to protect Forestland from Urban encroachment. There are Dept of Forestry resource management link as well.  Deschutes County Assessor public records value these 71 acres in Bend as follows:

https://foundercividata.blogspot.com/2018/11/71-acres-forestland-in-city-of-bend.html

Maximum Specially Assessed Value: $6,295
Specially Assessed Value (Measure 5): $10,309
Taxable Assessed Value: $6,293
Real Market Value: $12,721,970
Estimated tax due @ nominal $15 per thousand: $94.39
71 acres X 79.38 per acre = $5,635.98 Taxable Value 

Where are these taxlots in Bend having Designated Forestland that total 71 acres?
Fact: Deschutes County DIAL has all the public data to find them. It was not easy to find them until one property related to a cluster area.

Beyond Bend city limits the same Special Assessed Designated Forestland taxable rate per acre (Eastern Oregon) $79.38 applies to all Designated Forestland in Deschutes County. Table 2a SAL Report.
Facts:
Deschutes County has 3,545 acres of Designated Forestland ( Highest and Best Use is another category)
RMV: $61,755,130
TAV: $235,799
Total Tax: (est) $3,537

One summarized example half of the 71 acres that have been examined in detail.
3 contiguous taxlots, same owner.  
$2.6 million RMV 
About $100 property tax 

Example of Designated Forestland property outside Bend on Skyline Road
NWX2:
https://dial.deschutes.org/results/general?value=nwx2&x=0&y=0&m=0

Single taxlot example:
NWX2 LLC 
Small Tract Forestland Acres 36.67
Taxlot Account Summary. https://dial.deschutes.org/Real/Index/269905  
Map View: https://dial.deschutes.org/Real/InteractiveMap/269905 
Zoning Map View https://dial.deschutes.org/Real/ZoningMap/269905
RMV: $1,112,350
AV: $550
Property Tax $79.35
Tax History: https://dial.deschutes.org/Real/TaxInformation/269905
2018-19 Tax Statement: 
SCHOOL DISTRICT #1         2.62 
HIGH DESERT ESD              0.05 
C O C C                                  .34 
EDUCATION TOTAL:                                                   3.01 

DESCHUTES COUNTY        0.67 
COUNTY LIBRARY               0.30
COUNTYWIDE LAW ENFORCEMENT 0.59 
RURAL LAW ENFORCEMENT 0.74 
COUNTY EXTENSION/4H 0.01 
9-1-1 0.20 
BEND METRO PARK & RECREATION 0.80
GENERAL GOVT TOTAL:                                          3.31 

DEPT OF FORESTRY FIRE PATROL 71.83  Not a tax but a fee collected by the county assessor
BEND METRO PARK AND REC BOND  0.09 
SCHOOL #1 BOND 2007                       0.40 
SCHOOL #1 BOND 2013                       0.39 
SCHOOL #1 BOND 2017                       0.26 
C O C C BOND                                       0.06 
BONDS - OTHER TOTAL:                                    73.03 

Total Revenue distributed for public services:                $79.35 - $71.83 = $8.52

Application for Designated Forestland Special Assessment:
https://www.oregon.gov/DOR/forms/FormsPubs/application-designation-land-forestland_309-024.pdf
Every Designated Forestland Special Assessment is based upon an approved application for the intent of commercial timber harvest.

Property view: Map View: https://dial.deschutes.org/Real/InteractiveMap/269905 
Can you see the forest of special interest for the trees?

Just the facts but they have a history of my research and submission to city and county officials for their attention over several years.  

I have military information systems management and analysis experience background.  In that role the only special interest was the defense of our nation.  The role of leadership, responsibility, performance and accountability was clearly defined and assigned.

As a citizen I expect the same level of performance from our elected officials and the administration of policy and law in the more difficult framework of public service for the common good.  That is an extremely demanding duty and responsibility to serve the public interest.  Especially when those among the public have a special interest that they intend to serve first and the position and power for head of the line privilege. 

I am gratified to see that responsible citizens are looking at situations that must be corrected.  I have found support from those that understand and support what I have been researching.  They are in some instances in positions of knowledge but also risk.

I was compelled to offer my research to responsible stakeholder officials for resolution.  That has failed. 

I applaud and support investigative journalism.  The Secretary of State has admonished state level agencies for lack of performance audit audit investigations.  When the situation is that bad it is pathetic.

final final

Political influence of special interest agenda at public expense is as murky as the smoke we too often see in in the distance rising from our treasured forestland.  Public facts contained in the Deschutes County Assessor DIAL website expose the the truth of many issues for examination. 

The official 2018-19 Special Assessment for All Designated Forestland in Eastern Oregon established by the Dept. of Revenue is $79.38 per acre. The intent of that low taxable assessed property value is to protect Forestland from urban growth encroachment and preserve our natural environment. 

There are 71 acres of Designated Forestland within Bend city limits. Legislative intent of this Special Assessment is to protect Forestland from urban encroachment. 

Maximum Specially Assessed Value: $6,295
Specially Assessed Value (Measure 5): $10,309
Taxable Assessed Value: $6,293
Real Market Value: $12,721,970
Estimated tax due @ nominal $15 per thousand: $94.39
71 acres X 79.38 per acre = $5,635.98 Taxable Value 

Bend  revenue stakeholder recipient of property tax paid by on City Taxlots

The public benefit of this Special Assessment that was not intended by legislation  should be examined.  For almost two years it has been brought to the attention of public officials with no action results.




Beyond Bend city limits the same Special Assessed Designated Forestland taxable rate per acre applies to all Designated Forestland in Deschutes County. Assessor Table 2a SAL Report. Deschutes County has 3,545 acres of Designated Forestland having a Taxable Assessed Value of $79.38 per acre.

RMV: $61,755,130
TAV: $235,799
Total Tax: (est) $3,537
Much of this acreage is planned for development on the west side of Bend.


Example of Designated Forestland county property outside Bend on Skyline Road
NWX2:
https://dial.deschutes.org/results/general?value=nwx2&x=0&y=0&m=0

Single taxlot example:
NWX2 LLC 
Small Tract Forestland Acres 36.67
Taxlot Account Summary. https://dial.deschutes.org/Real/Index/269905  
Map View: https://dial.deschutes.org/Real/InteractiveMap/269905 
Zoning Map View https://dial.deschutes.org/Real/ZoningMap/269905
RMV: $1,112,350
AV: $550
Property Tax $79.35
Tax History: https://dial.deschutes.org/Real/TaxInformation/269905
2018-19 Tax Statement: 
SCHOOL DISTRICT #1         2.62 
HIGH DESERT ESD              0.05 
C O C C                                  .34 
EDUCATION TOTAL:                                                   3.01 

DESCHUTES COUNTY        0.67 
COUNTY LIBRARY               0.30
COUNTYWIDE LAW ENFORCEMENT 0.59 
RURAL LAW ENFORCEMENT 0.74 
COUNTY EXTENSION/4H 0.01 
9-1-1 0.20 
BEND METRO PARK & RECREATION 0.80
GENERAL GOVT TOTAL:                                          3.31 

DEPT OF FORESTRY FIRE PATROL 71.83  Not a tax but a fee collected by the county assessor
BEND METRO PARK AND REC BOND  0.09 
SCHOOL #1 BOND 2007                       0.40 
SCHOOL #1 BOND 2013                       0.39 
SCHOOL #1 BOND 2017                       0.26 
C O C C BOND                                       0.06 
BONDS - OTHER TOTAL:                                    73.03 

Total Revenue distributed for public services:                $79.35 - $71.83 = $8.52

Application for Designated Forestland Special Assessment:
https://www.oregon.gov/DOR/forms/FormsPubs/application-designation-land-forestland_309-024.pdf
Every Designated Forestland Special Assessment is based upon an approved application for the intent of commercial timber harvest.

Property view: Map View: https://dial.deschutes.org/Real/InteractiveMap/269905 
Can you see the forest of special interest for the trees?

Just the facts but they have a history of my research and submission to city and county officials for their attention over several years.  

I have military information systems management and analysis experience background.  In that role the only special interest was the defense of our nation.  The role of leadership, responsibility, performance and accountability was clearly defined and assigned.

As a citizen I expect the same level of performance from our elected officials and the administration of policy and law in the more difficult framework of public service for the common good.  That is an extremely demanding duty and responsibility to serve the public interest.  Especially when those among the public have a special interest that they intend to serve first and the position and power for head of the line privilege. 

I am gratified to see that responsible citizens are looking at situations that must be corrected.  I have found support from those that understand and support what I have been researching.  They are in some instances in positions of knowledge but also risk.

I was compelled to offer my research to responsible stakeholder officials for resolution.  That has failed. 

I applaud and support investigative journalism.  The Secretary of State has admonished state level agencies for lack of performance audit audit investigations.  When the situation is that bad it is pathetic.

If this is the truth then it is fit to print and more will follow.

I invite comments or corrections to this information.  I truly regret that it has been necessary to go to this extent.  It should have been resolved long before this point.  

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