BEATRICE – As Gage County heads toward what could be a big year for property valuation protests….it is upgrading technology to make the assessment process…if not easier...at least more consistent.


Officials are working with the Multi-County Information and Programming Service (MIPS)…the technology division of the Nebraska Association of County officials… as it appraises property in small towns.
MIPS Deputy Director Derrick Niederklein manages a system that replaces Terracon…a program used by the county that is no longer in existence.


"There's a lot of counties that really get caught into valuing individual properties at a time...instead of really getting things classified and listed consistently, so that they can value groups of properties, using a mass appraisal concept."


The company has reviewed small towns of Gage County...about two-thousand properties in recent months.
"Going to the property, knocking on the door, visiting with the homeowner. If they're not at home, we put a door tag that has the assessor's phone number...it also has a Q-R code and a website where the property owners...if they come back and see the tag, can enter information about their property. We do most of the review from the exterior of the property unless someone invites us in to review the inspection. But, generally what we see on the outside, is what exists on the inside."


Information is imported into the system, including photos, through field staff using laptops. Sales of property are used to calibrate property valuations. Niederklein says the end result is a property valuation structure.


"The important part is having a consistent description of properties so that a house on this side of town and a house on that side of town...if they're built the same year, they're the same conditions, have the same amenities...are described the same..and generally if the economics of this side of the town and that side of the town are the same...they shoulld come up with the same value. Equalization is a very important concept, as you know, through your roles. By having the properties listed correctly and having them valued based upon the recent sale information as the law requires...it's generally a process that's never popular.....but is more equitable."


MIPS is undertaking a similar process in Saline County. Counties, by law, must inspect properties no less than once every six years. That can account for changing market conditions and deterioration of properties.
Revaluation occurs every year….and assessed values submitted by counties are reviewed by the state’s property tax division within the Revenue Department.


"If the market stays the same, good valuation structures can last for several years....and that's really the hallmark of what we're doing...is we're putting together a structure that when we leave....we don't want to come back."


Done correctly, Niedkerklein says the structure should continue to work. He said one objective is to avoid making arbitrary decisions in valuing property.


"A lot of counties will go in and make changes....they'll go in and change the depreciation, they'll change the value....more like an arbitrary, I think this is the right answer and they'll put that in there. What that did, it disconnected it from the structure and that value lives forever....it doesn't get back on track next year. Once it's disconnected from the structure, it's always disconnected."


County officials briefly discussed the merits of having MIPS personnel present during board of equalization protest hearings, this year.