July 3, 2014
FROM THE OFFICE OF WEBSTER J. GUILLORY
ORANGE COUNTY ASSESSOR
625 NORTH ROSS, BUILDING 11
SANTA ANA, CALIFORNIA 92701
Contact: Webster J. Guillory (714) 834-2734
Orange County Assessor Webster J. Guillory has delivered the 2014-15 Local Assessment Roll of Values that includes all locally assessable property in Orange County. The total net taxable value on the Roll is over $471.2 billion. The Roll of Values is up 6.42% or $28.4 billion more than last year (FY 2013-14).
Each of Orange County’s 34 cities and the unincorporated areas had a year-to-year increase in net taxable value. Value changes are reflecting the Orange County real estate markets that show significant increases in property values this year and the restoration of values previously reduced under decline in market value provisions.
Under Proposition (Prop.) 13, the Consumer Price Index (CPI) increase this year, that will apply to many properties, is 0.45% and this is the second lowest CPI in the last 36 years. Prop. 13 continues to provide taxpayers with taxable value protection even as home values are recovering.
The $471,258,906,485 Local Assessment Roll includes 1.069 million units of property valued on the Secured Roll and the Unsecured Roll. The Secured Roll represents the Prop. 13 increases and decreases in taxable value of all locally assessed real estate, excluding exempt properties such as schools, hospitals and churches. This year the Secured Roll includes 924,791 parcels and has a total value of $450.6 billion, an increase of $26.9 billion or 6.36% more than last year. The Unsecured Roll consists of business personal property, plus boat and aircraft assessments. The 2014-15 Unsecured Roll of $20.6 billion had an increase of $1.46 billion or 7.66% for 2014. The Unsecured Roll has a total of 145,151assessments, including approximately 106,200 businesses, 32,100 boats and 750 aircraft.
It is important to emphasize that the Assessment Roll of Values reflects taxable property values as of January 1, 2014. New construction is up, sales are up and market values are moving up after the recession, this activity helped to add value to the Roll. Many properties that had a taxable value decrease in prior years will see their taxable value increase back up to their Prop. 13 limit based on market conditions. Increases are applicable only up to the Prop. 13 taxable value limit for each property.
Overall, the Rolls of Value increased by 6.42% for FY 2014-15 after smaller increases for the prior two (2) years of 3.36% and 1.92%.
Irvine has the highest value increase by percentage (9.22%) this year, followed by Laguna Woods (8.48%) and Fountain Valley (8.31%). Irvine is firmly the county’s number one city with the highest total assessed value of $55.5 billion. Newport Beach is second with a value of $44.7 billion, and Anaheim has the county’s third highest total assessed value of $38.2 billion.
This year again there has been significant inquiry from new homeowners about how Prop. 13 works to limit the taxable value of property. First, the basic tax rate is fixed at one percent (1%) everywhere in California. Second, if the market value of property is higher than the Prop. 13 taxable value, then the taxable value can increase up to the CPI (0.45% this year) or a maximum of 2% per year. Third, taxable value for each year is the lower value of the market or the Prop. 13 taxable value on January 1. ALL property owners benefit from Prop. 13 protection.
A property value notice for each property is in the mail to the owners of real estate as of January 1, 2014.
These notices help taxpayers to review their taxable values and follow-up with the Assessor before tax bills are issued in the fall. If a notice is not received by July 18, owners should contact the Assessor Department at (714) 834-2727 to verify their mailing address or to request a duplicate notice.
Values provided on the notices have been determined in accordance with Prop. 13 and other applicable laws. All taxable property is valued as of January 1, the lien date, as prescribed by law. The Assessor is required to enroll the property’s Prop. 13 taxable value or the market value on January 1, whichever is lower.
New construction, changes in ownership and market value changes that occur after January 1 are not included on this July notice. Assessable events that occur after January 1 may be adjusted with a supplemental assessment during the year, and will be included in next year’s Annual Value Notice.
The Assessor conducts a proactive program to review value changes in the marketplace to find properties that require a taxable value adjustment up or down. The public participates in this process by sharing useful market data on similar properties in their areas and by providing feedback to the Assessor Department about their notice of taxable value.
Value notices are mailed to the owner, as of January 1, at the address on file with the Assessor Department. To change a mailing address, please complete and submit the “Change of Address Notice” form on the Assessor website at http://www.ocgov.com/assessor, or send a request with the following information to the Assessor Department immediately: assessor parcel number (APN), property address, new mailing address, owner’s name, name of person requesting the change, a daytime telephone number and the effective date of the change. Address change requests should be sent to the Orange County Assessor Department at PO Box 628, Santa Ana, CA 92702-0628.
Taxpayers seeking to appeal the values on their notice of valuation can find information about the appeals process on the Clerk of the Board of Supervisors’ website http://ocgov.com/gov/cob.