With a decrease of property values over the past year or so, the Amador County Assessor's Office is in the process of reviewing and reducing some assessments throughout the county and we are also receiving numerous inquiries about the reduction of assessments. The difficult task we have is determining which assessments would be subject to a reduction and which would not.

This difficulty arises due to the fact that even though real estate values may be down over the last year or so, not every property owner can expect their assessment to be reduced. However, we are obligated to reduce assessments when the assessed value of a property is greater than fair market value. Lowering an assessment is a situation that is most likely to happen to property owners who have purchased or constructed in the past three years at the peak of the real estate market. But even if a property has been recently purchased or constructed, it may not be eligible to receive a reduced assessment because, even with this weak real estate market, the assessed value could still be less than or equal to the fair market value.

As property values were rising in excess of 20 percent per year over the first half of this decade, assessed property values are bound by the provisions of Proposition 13 with a maximum increase of 2 percent per year. This means assessed values that are more than two or three years old tend to be artificially low, at less than fair market value, and will most likely not be considered for reduction.

The reason this is a difficult task for the assessor's office in Amador County is that being a rural county with a small percentage of homogeneous housing tracts or subdivisions means that properties have to be evaluated on an individual basis, which is much more time consuming.

When we do determine that a property should be considered for a reduction, the assessor's office can only consider the market value of the property as of Jan. 1. The current market value of the property is to be determined by analyzing sales of comparable properties in the area. The customary time parameters for the comparable sales are up to one year prior to and up to three months after Jan. 1. For example, for Jan. 1, 2008, we would look at sales that occurred from Jan. 1, 2007 through March 31, 2008.

For a reduction to be in order, properties with characteristics similar to the property being considered must have sold for less than the current assessment.

If a property owner disagrees with the assessor's value after a review has been completed, they may file an appeal with the county Board of Equalization. The filing period for the applications for changed assessment is July 2 through Nov. 30.

If any reduction of value is made under Prop. 8 guidelines, the property must then be reviewed each year until the current market value exceeds the established base year value adjusted with the annual inflation factor, which can be no higher than 2 percent per year.

If a property owner believes that a reduction in assessment may be in order and has not received notification from the county assessor's office, he or she can request a review and it is a fairly simple process. The easiest way to get the process started is to click on the commonly used forms in the assessor section of the county Web site at www.co.amador.ca.us and fill out the request for assessment review form, print it and mail it to the assessor's office. A form can also be requested at the counter or by phone to be sent by mail. If comparable data or other information is not readily available, it can be left blank and we'll do the research.

One very good way to compare values is when refinancing is done. Refinancing isn't necessarily a reason for reassessment, but if an appraisal indicates a value that is less than the assessed value then a reduction may be in order. These Prop. 8 assessment reviews result in one of two outcomes: The assessed value may be reduced or it may stay the same. The review will not result in an increase.

Assessment review requests may be submitted to the assessor's office at any time. Requests for assessment review that are received between July 2 and Nov. 30 will be reviewed for the current tax year. Requests received between Nov. 30 and June 30 may be examined for the next tax year.

It is important to remember that the filing of an assessment review request does not extend any filing dates for assessment appeals, nor alter or delay the date taxes are due. Also, supplemental assessments will not be revised due to Prop. 8 reviews.

If there are any questions or concerns, please contact the assessor's office at 223-6351.