County assessor projects property values will drop

As the county assessor prepares to cast off the tax rolls, he predicts a drop in assessed property values — for the first time ever.

The housing market has crumbled and foreclosures have kicked in, but County Assessor Greg Hardcastle will not know the 2009-2010 assessment until late next week. Unless the drop breaches much higher than 1 percent, Porterville will not be affected, according to Porterville Finance Director Maria Bemis.

“I’ve been the county assessor for 23 years,” Hardcastle said. “I’ve never seen it decline.”

If Hardcastle’s prediction is correct, Tulare County will not be alone. On Wednesday, Sacramento County’s tax rolls showed a 6.4 percent drop from last year. Then on Wednesday morning, Los Angeles County’s assessor’s office released a report showing a .09 percent decrease compared to last year.

It is likely that Tulare County’s 2008-2009 total assessment of $27.9 billion will not be matched. Of the 40,000 single family residences the assessor has reviewed, 82.5 percent will drop in value, Hardcastle said.

Hardcastle could not predict which communities will experience the biggest drop, however, he did speculate that cities with the most construction from 2003 until now will get hit the hardest.

Property taxes are based on the assessed value of a property, and support city services like the Porterville Police Department, the Porterville Fire Department and Parks and Leisure Services Department.

About one third, or $7 million, of the city’s general fund revenue comes from property taxes.

“We probably won’t make any changes to the budget if the assessment is negative,” Bemis said.

Last year, the county’s total assessment increased by about 5 percent, while Porterville generated $7.2 million in property taxes.

-- Contact Jenna Chandler at 784-5000, Ext. 1050 or jchandler@portervillerecorder.com.