Walgreen Co. Property Tax Appeal Settlement Copyrighted
April 2, 2018
City of Dubuque Consent Items # 7.
ITEM TITLE: Walgreen Co. Property Tax Appeal Settlement
SUMMARY: City Attorney recommending approval of a Stipulation of
Settlement for a property tax appeal filed by Walgreen Co.
affecting property at 55 John F. Kennedy Road.
SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Approve
ATTACHMENTS:
Description Type
Staff Letter Staff Memo
Stipulation of Settlement Supporting Documentation
Notice of Voluntary Settlement Supporting Documentation
Dubuque
Barry A.Lindahl, Esq. THE CITY OF �
Senior Counsel �'��h
Suite 330, Harbor View Place T T� � 11}Xzk
300 Main Street � ��� ���
Dubuque, [owa 52001-6944 I I
(563)583-41 13 oftice 2007•2012
(563)583-1040 fax Masterpiece on the Mississippi 2o13•z017
balesq_c citvofdubuque.ora
Office Hours: 8:00 AM—5:00 PM,T-W-Th
8:00 AM— 12:00 PM,F
AGENDA LETTER
March 16, 2018
I
Mayor and Members of the City Council President of the Board of Directors
of the City of Dubuque Northeast lowa Community College
City Hall P.O. Box 400
13t" & Central Avenue Calmar, IA 52132
Dubuque, IA 52001
Chairperson of the Chairperson of the Board of Trustees
Dubuque County Board of Supervisors Dubuque County Hospital
Dubuque County Courthouse Sunnycrest Manor
720 Central Avenue 2375 Roosevelt Street
Dubuque, IA 52001 Dubuque, IA 52001
Chairperson of the School Board Chairperson of the Council of the
Dubuque Community School District Dubuque County Agricultural Extension
Central Administration Offices Service
2300 Chaney Road 14858 West Ridge Lane, Suite 2
Dubuque, IA 52001 Dubuque, IA 52003
Chairperson of the Conference Board
of the City of Dubuque
City Hall
13t" & Central
Dubuque, IA 52001
RE: 2017 Property Tax Appeals — In the District Court for Dubuque County
• Walgreen Co. vs Dubuque City Board of Review CVCV106264
• Walgreen Co. vs Dubuque City Board of Review CVCV106265
• Walgreen Co. vs Dubuque City Board of Review CVCV106266
Enclosed is a copy of a Stipulation of Settlement regarding a tax assessment appeal filed
by Walgreen Co. lowa Code Sec. 441.44 requires that the Stipulation of Settlement be
served upon each of you.
There are three properties for three Dubuque commercial establishments that are the
subject of these appeals for the 2017 assessment year: 55 John F. Kennedy Road; 2260
John F. Kennedy Road; and 345 E. 20th Street. The proposed settlement affects only 55
John F. Kennedy Road; as part of the settlement, the appeals for the two other properties
will be dismissed by Walgreen Co.
Walgreen Co. Property at 55 John F. Kennedy Road
The property which is the subject of this appeal and proposed settlement is the Walgreen
Co. property located at 55 John F Kennedy Road, parcel number 1027301009. The
property sits on 1.835 acres and has a 1-story 14,736 square foot brick steel frame
building. The building is used as a retail drug store and was built in 2005. The building
has an average interior finish and is in average to good condition.
2017 Appeal
Walgreen Co. filed a protest with the City of Dubuque Board of Review in the Spring of
2017 appealing the 2017 assessed value of $2,001 ,944. In the protest, Walgreen Co.
claimed the assessed value should be $1,111,500. The Board of Review denied the
protest and Walgreen Co. appealed the denial to the District Court.
The Appraisals
An appraisal was completed for the Board of Review by Rochelle L. Dietiker, MAI, Cook
Appraisal of lowa City, lowa. Ms. Dietiker concluded that the January 1, 2017 assessed
value was $2,200,000.
Joseph Calvanico, MAI, FRICS managing director of Loop Capital Financial Consulting
Services LLC of Chicago, Illinois completed an appraisal for Walgreen Co. Mr. Calvanico
reached an assessed value of $1,250,000.
Proposed Settlement
The parties had several unsuccessful settlement discussions before reaching the
proposed settlement agreement. The City Board of Review and Walgreen Co. have
reached a tentative settlement for an assessed value for January 1, 2017 of $1,900,000.
This settlement if approved will also result in the two other district court appeals being
dismissed by Walgreen Co. Walgreen Co. had requested a substantial deduction in the
assessed value of those properties. However, those properties will remain at the 2017
assessed value established by the City Assessor.
The result of the settlement will be about a 2% reduction in total value for the three
properties. The settlement will result in a total tax loss to all taxing bodies of $3,112 for
the 2017 assessment year
2
Pursuant to the Stipulation of Settlement these appeals will be dismissed and the
assessed value will be adjusted to $1,900,000 for 55 John F. Kennedy Road. The value
for 2017 will be apportioned as follows:
Land $667,946
Building $1,232,054
Total $1,900,000
The proposed settlement will be presented to the District Court after fourteen days from
the date indicated on the attached Notice of Voluntary Settlement. If there are any
objections to the settlement they should be made known to the District Court prior to that
time. If you have any questions about the proposed settlement, please contact City
Assessor Rick Engelken at 563-589-7800.
Very sincerely,
�
Ba ry A. Lindahl, Esq.
Se ior Counsel
Enclosure
Attachment
cc: Michael C. Van Milligen, City Manager
Kevin Firnstahl, City Clerk
Rick Engelken, City Assessor
F:\Users\tsteckle\Lindahl\Tax Appeals\Walgreens 2017\TaxingBodiesLetter_AgendaLtr_031518.docx
3
IN THE IOWA DISTRICT COURT IN AND FOR DUBUQUE COUNTY
WALGREEN CO.,
Appellant,
vs. CASE NO. 01311 CVCV106266
DUBUQUE CITY BOARD OF REVIEW,
Appellee.
STIPULATION OF SETTLEMENT
Appellant Walgreen Co., and Defendant Dubuque City Board of Review,
state to the Court that the pending litigation with regard to the tax assessment for
the following-described property as of January 1, 2017:
Parcel No. 1027301009
(locally known as 55 John F. Kennedy Road, Dubuque, lowa)
has been settled and agreed upon as follows;
Valuation:
Land $867,946
Building $1,232,054
Total $1,900,000
The parties have agreed that the assessed value of the above described
property for the January 1, 2017 and January 1, 2018 assessment dates shall be
One Miilion Nine Hundred Thousand Dollars ($1,900,000).
It is further agreed that upon entry of a Court Order confirming the above
settlement, the above pending litigation shall be dismissed with prejudice and the
costs shall be paid by Appellant.
Dated this „�}h day of m��',� , 20 .
WALGREEN CO. DUBUQU IT BOARD OF REVIEW
By: By:
Brent A. Aube y, Esq. B ry A. Lindahl, Esq,, Senior Counsel
Faegre Baker Daniels LLP S ite 330, Harbor View Place
300 N. Meridian Street 3 0 Main Street
Suite 2700 Dubuque, IA 52001
Indianapolis, IN 46204
IN THE IOWA DISTRICT COURT IN AND FOR DUBUQUE COUNTY
WALGREEN CO.,
Appellant,
vs. CASE NO. 01311 CVCV106266
DUBUQUE CITY BOARD OF REVIEW,
Appellee.
NOTICE OF VOLUNTARY SETTLEMENT
TO: City of Dubuque, lowa
County of Dubuque, lowa
Dubuque Community School District
Northeast lowa Community college
Dubuque County Hospital
Dubuque County Agricultural Extension Service
Conference Board of the City of Dubuque
YOU ARE HEREBY NOTIFIED, pursuant to lowa Code Section 441.44, that
the above-named Appellant and the Dubuque City Board of Review, Appellee,
have entered into a voluntary settlement of this assessment appeal.
A copy of the proposed Stipulation of Settlement is attached hereto.
This Stipulation of Settlement will be presented to the Court for approval no
sooner than fourteen days from the date of this Notice.
Dated this 19t" day of March, 2018.
Dubuque C' Board of Review,
Appellee
i,
Barry A. Lindahl, Esq., Senior Counsel
Suite`330, Harbor View Place
300 Main Street
Dubuque, IA 52001-6944
(563) 583-4113