3b. Abatement applications-Lynn Utke

INVESTIGATION OF ABATEMENT APPLICATION ABATEMENT NO. 4314,4315,4316,4317,4318, & 4319 Following is a report on the investigation of the abatement application of: Lynn Utke County Board of Commissioners and State Tax Commissioner: The applicant is asking that the 2007 agricultural assessments be reduced (see Exhibit A) due to the flood or flowage easements of the Maple River Dam project. Mr. Utke has listed reasons for lowering the assessments (see Exhibit B). The Highland Twp Board recommended denial of the abatements, due to the short history of the project (see Exhibit C). The upstream flood easements were obtained when the dry dam was constructed in Section 14 of Highland Twp. The elevation rises as one travels southwest, upstream from the dam (see Exhibit D). According to the appraisal report, during flooding, water through the dam is blocked, creating a temporary reservoir on the lands upstream. The duration of the inundation will depend on the elevation of the land and the extent of flooding. Based on historic data, the average duration of inundation per year ranges from 23 days at the 1,000 foot level, to less than one day at the 1,050 foot level. It appears that the dam project appraisal reports estimated damages at 25% for pasture land and 50% for tillable land, subject to the flood easement area. It does not appear that any adjustments were made for elevation of the land. Mr. Utke is asking for a 50% reduction in part of SE4 Section 10, part of the NE4 Section 15, and part of S 1 /2 Section 15. He is also asking for a 20% reduction in the NW 4 Section 15; which is not as susceptible to flooding. The applicant is also asking for a 10% reduction in part of the S2NE4 Section 29 and a 30% reduction in NW 4 Section 28. The lower lying elevations of Sections 28 & 29 are approximately 25-30 feet higher than the lower lying areas of Sections 10 and IS, which are closer to the dam. Mr. Utke also owns the NE4 Section 10 and the N2N2 Section 29; which are subject to flood easement areas, but has not asked for adjustment on those tracts (see Exhibit E). In reviewing the request, I believe that the flood easement will affect the productivity of the lands through decreased production and increased expense, especially in Sections 10 & 15. It appears that the legislature contemplates that assessors consider easements and use. NDCC 57-02-10 exempts lands from taxation for government water or wildlife conservation easements or road right of way. A special classification for inundated lands was also been created. It is standard appraisal procedure to consider the affect of easements in valuation of property. The water resource district is voluntarily paying taxes on the lands that they purchased outright