New Haven Independent

The 2002 property tax revaluation coincided with soaring property values, making higher property taxes inevitable. But there was another factor. When the state imposed a four year revaluation schedule in 1995, town assessors began to hire outside revaluation companies. The company’s computers were installed in a town’s office, and the company’s employees came under the directives of state law. A new private industry was born. Vision Appraisal, Inc became the company of choice for many towns and cities, including Branford, New Haven, Hamden, Woodbridge, Milford, West Haven, and Madison. With the companies came a new “view” tax, a factor the company concedes is subjective in nature.
In the aftermath of the 2002 revaluation came more than 1,000 lawsuits in New Haven Superior Court alone, an overwhelming number. Typically these property tax disputes are resolved after a judge weighs the evidence of the town and the taxpayer and splits the difference. Case closed.
The larger, more complex issues are ignored. Well, maybe not completely ignored. When citizen outrage reaches crisis proportions, the legislature grants extensions, its band aid fix for a tax system in need of massive reform. It softens the blow but doesn’t tackle the issue.
Rarely do state courts look at the larger issues. Until now.
Late last month, a Superior Court judge in New Haven took the first step toward allowing a taxpayer to challenge the legality of a town’s property tax system. The judge, Lynda B. Munro, permitted a Branford couple to challenge in court the validity of the town’s 2002, 03 and 04 property tax lists, called the grand lists, the record of all taxable and tax-exempt property in a town. In 2002, the Branford grand list jumped by $700 million to $2.72 billion, a huge 33.5 percent.
Judge Munro, who sits on cases involving complex litigation, said the plaintiffs, Dawn and William Massey, had the right to try a case on grounds that the town violated state laws dealing with how the assessment lists were prepared and whether Branford’s tax officials, including the assessor and the Board of Assessors, were properly certified. Vision Appraisal’s role in the process will be examined should the case get to trial. This case will be followed closely by towns and cities.
The Masseys case began in 2004 after they became incensed that their new home was designated “custom,” a category introduced by Vision and approved by Branford tax assessor Barbara Neal. Vision applied the custom category to some 250 homes in Branford even though the category did not exist when many of these homes were built. If you had a “custom” house your tax rate was a $115.00 a square foot as opposed to $68.00 for the vast majority whose homes fell into one of 12 categories, i.e., ranch or colonial or contemporary. At the time, there was no definition of “custom” and efforts to get the category dropped were rejected by Ms. Neal.
Vision doesn’t discuss how they arrive at their figures. In the past they have told me that their statistical models are proprietary —-owned by — the company. They won’t reveal how they derive their models, even though the information they rely on is public.
Branford’s attorneys, Howd & Ludorf of Hartford and more recently the Marcus Law firm of New Haven, had hoped the judge would strike the major counts of the Massey’s 31-count complaint. Judge Munro did throw out many counts, but she kept the core issues alive. She also held open the possibility of punitive damages against the town if evidence warranted it.
What is remarkable about this case is that the plaintiffs have come so far. For one thing, they are acting pro se, that is, as their own attorneys, and they are up against some very sophisticated lawyers. Ed Marcus is former state democratic chairman and his firm now represents the town. Mrs. Massey is an accounting professor.
Besides the town and Ms. Neal, the Masseys have also sued Michael Milici, currently the East Haven assessor and former head of the Democratic Party in Branford. The Masseys complaint says that Milici, at Neal’s behest, inspected new houses for Branford’s 2002 reval, including the Masseys, while simultaneously serving on the Branford Board of Assessment Appeals.
The judge’s ruling paves the way for trial unless the parties settle. They will soon be required to meet with another judge to see if the issues can be resolved. Stay tuned.