Corey A. Cuddie
SHERMAN & HAY TOWSHIP ASSESSOR
5424 Renas Rd. Gladwin, MI 48624
Hay Township 2021 Assessed Values
Assessed values have been set for 2021. Assessment change notices will be mailed out the end of February. There have been numerous questions regarding how the water levels will impact property taxes and values. The following FAQ's will try to explain some of the assessment process.
1. How are property values determined?
Your 2021 property tax assessment is based on market value as of 12-31-2020. To establish market value, sales are analyzed of similarly situated properties using a 2-year sales study (4-1-2018 to 3-31-2020). This process is regulated by Michigan Property Tax Laws, the General Property Tax Act, and the State Tax Commission. Since the flooding and dam failure event occurred in May 2020, a 1-year sales study was also reviewed to determine how those property values were being impacted.
2. Will my taxes go down because of the reduced water levels?
The 2-year sales study indicated that residential parcels were being assessed at 46.87%. This number should be at 50%. This means that an increase in values for 2021 was necessary. Therefore, most residential properties will see an increase for 2021. "Waterfront" parcels were analyzed separately from the off-water parcels. The "Waterfront" properties will see only a slight decrease for 2021.
Please note that the process of analyzing sales to determine property values occurs each year. The property tax system is designed to reflect the changes in market values. If market values sharply decrease in the future then future assessments will reflect this change.
3. How can I appeal my assessment?
If you decide to appeal your 2021 assessment values, then you will need to file an appeal with the March Board of Review. March Board of Review will meet on Wed. March 10th from 3pm to 9pm and Thurs. March 11th from 9am to 3pm. Because of COVID restrictions, meetings will only be held virtually. Contact the assessor for an appointment and for the number to call in. Appeals can also be submitted in writing (recommended method). Written appeals need to be received by the Assessor by March 5, 2021. The form to file an appeal is available on the township website.
Property Transfer Form (L-4260)
This form must be filed whenever real estate is transferred (even if you are not recording a deed). It is used by the assessor to ensure the property is assessed properly and receives the correct taxable value. It must be filed by the new property owner within 45 days of the transfer.
Principal Residence Exemption Affidavit
A Principal Residence Exemption (PRE) exempts a principal residence from the tax levied by a local school district for school operating purposes up to 18 mills. A "principal residence" is the one place where a person has his or her true, fixed, and permanent home, to which whenever absent he or she intends to return. If you no longer own and/or occupy a residence, form 2602 must be filed with the assessor to remove the pre exemption.
Poverty Exemption Application
Taxpayers with household incomes below the federal poverty guidelines, who own and occupy the home as their principle residence, may annually apply for a complete or partial exemption of property taxes for that year if they meet certain income and asset level tests. Poverty applications can be filed beginning Jan. 1st of the current year through December Board of Review.
Policies and Procedures: 2021 Poverty Exemption
The township board will approve the poverty guidelines, application, and asset test each year. Poverty applications are reviewed by the March, July, or December Board of Review. The Board of Review may approve a poverty exemption !00%, 50%, 25% or 0%. Appeals can be made to the State Tax Commission.
Poverty applicants must submit the completed application, affidavit, and proof of income to the assessor each year. The deadline for 2021 submissions is Dec. 10, 2021.
Petition to Board of Review
Disabled Veterans Exemption