Fiscal Note
The proposed resolution authorizes a $56,306.25 tax refund pursuant to a settlement agreement. The subject properties consist of property at 1212 Deming Way in the City of Madison. The refund will be paid through a reduction in property tax revenue budgeted in the 2018 Adopted Operating Budget. The City's share of the refund is $22,312.37. The entire refund will be paid by the City and the non-city portion will be recovered from the other affected taxing jurisdictions (school district, county and technical college district).
Title
Authorizing the settlement and payment of a tax refund for tax year 2017 for AX Madison Greenway, L.P. v. City of Madison, Dane County Circuit Court Case Number 2018CV1715. Authorizing entry into settlement agreement and approving payment of approximately $56,306.59 from City resources to effectuate the settlement. $22,312.37 represents the City’s approximate portion of the settlement.
Body
The subject property, parcel number 0708-153-0402-0, is an office building located at 1212 Deming Way in the City of Madison. For tax year 2017, the City assessed the subject property at $11,590,000. AX Madison Greenway, L.P. filed an objection which was ultimately sustained by the Board of Review and subsequently this suit was brought.
AX Madison Greenway, L.P. produced the actual lease document which provided for significant tenant improvement allowances and the City used additional sales comparables and subsequently reduced the assessed value of subject property to $9,020,000 for tax year 2018.
Settlement
Based on the additional and accurate information supplied to the City for the 2018 assessment, it is appropriate therefore, to reduce the 2017 assessed value to the 2018 value of $9,020,000. This reduction would result in a refund of approximately $56,306.59. The parties have reached this tentative settlement based on the recalculated assessment for tax year 2017. This resolution seeks approval of the settlement...
Click here for full text