HyVee 2013 Property Tax Appeal_2395 NW ArterialBarry A. Lindahl, Esq.
City Attorney
Suite 330, Harbor View Place
300 Main Street
Dubuque, Iowa 52001-6944
(563) 583-4113 office
(563)583-1040 fax
balesq@cityofdubuque.org
cityofdubuque.org
Mayor and Members of the City Council
of the City of Dubuque
City Hall
13th & Central Avenue
Dubuque, IA 52001
Chairperson of the
Dubuque County Board of Supervisors
Dubuque County Courthouse
720 Central Avenue
Dubuque, IA 52001
Chairperson of the School Board
Dubuque Community School District
Central Administration Offices
2300 Chaney Road
Dubuque, IA 52001
Chairperson of the Conference Board
of the City of Dubuque
City Hall
13th & Central
Dubuque, IA 52001
Dubuque THE CRY OF
AfAmdica651Y DUB E
1'
2007
March 26, 2014
President of the Board of Directors
Northeast Iowa Community College
P.O. Box 400
Calmar, IA 52132
Chairperson of the Board of Trustees
Dubuque County Hospital
Sunnycrest Manor
2375 Roosevelt Street
Dubuque, IA 52001
Chairperson of the Council of the
Dubuque County Agricultural Extension
Service
14742 Hwy. 20 West, Suite 2
Dubuque, IA 52003
RE: Hy -Vee vs. Dubuque City of Dubuque Board of Review
2395 NW Arterial 2011 Tax Appeal — Case No. EQCV099735
2395 NW Arterial 2013 Tax Appeal - Case No. EQCV101066
300 South Locust 2013 Tax Appeal — Case No. EQCV101309
Dear Chairpersons, Mayor and President:
Enclosed are copies of three Stipulations of Settlement regarding the three property tax
assessment appeals referenced above. Iowa Code § 441.44 requires that the
Stipulations of Settlement be served upon each of you.
Hy -Vee Grocery Store located at 2395 NW Arterial
The property that is the subject of two of the appeals is the Hy -Vee Grocery Store
located at 2395 NW Arterial (the Northwest Arterial Hy -Vee). The Northwest Arterial
Hy -Vee is a 77,393 square foot retail store built in 1999 with an addition in 2006. The lot
size is 9.56 acres; nearly all of the lot is covered by a building or parking lot. The
assessed value for 2011 and 2012 was $5,061,500: land value of $1,161,700 and
building value of $3,899,800. That value was set by the Dubuque City Assessor's Office
in 2009 and affirmed by the Property Assessment Appeal Board in 2010. The Petitioner
then appealed to the Iowa District Court for Dubuque County where the assessed value
was once again affirmed. The Petitioner then withdrew its appeal before the Property
Assessment Appeal Board for 2010 but filed an appeal in 2011 with the District Court for
Dubuque County.
In 2013, the Dubuque City Assessor's office received a state equalization order
increasing all commercial property by 8%. The order increased the assessed value of
the Northwest Arterial Hy -Vee from $5,061,500 to $5,446,420 for 2013.
In protests to the Board of Review for the Northwest Arterial Hy -Vee, the Petitioner
requested a value of $2,530,750 for 2011, 2012, and 2013. The Board of Review
denied each protest for 2011, 2012, and 2013. The Petitioner then filed an appeal to
the District Court for 2011 and 2013, which would also include the interim year of 2012.
Those appeals are now pending.
The Board of Review hired three appraisers to perform appraisals for the District Court
appeal: Appraisers Bob Felderman, Kevin Pollard, and Dennis Cronk. The appraised
values were as follows:
Pollard: $5,200,000
Cronk: $5,100,000
Felderman: $4,850,000
The Petitioner also provided two appraisals. The two appraisers were Tom Slack and
Ken Riggs.
Slack: $3,500,000
Riggs: $3,870,000.
Hy -Vee Grocery Store located at 300 South Locust
The South Locust Hy -Vee is a 77,526 square foot grocery store built in 2005 and a
2,409 square foot convenience store built in 2006. The South Locust Hy -Vee sits on a
6.97 acre parcel of land which is almost entirely covered by a building or paving.
2
The South Locust Hy -Vee is only being appealed for 2013 with a request that the 2014
value remain the same as the 2013 valuation. The South Locust Hy -Vee was assessed
at $6,068,280 for 2013 prior to the 8% commercial equalization order. The Petitioner did
not file a protest to the Board of Review in 2013. When the 2013 8% equalization order
raised the assessed value to $6,553,742, the Petitioner filed a protest with the Board of
Review from the order. The Board denied the protest. Neither the Board of Review nor
the property owner have hired appraisers for this appeal.
The Proposed Settlements
The Board of Review and the Petitioner have reached a tentative settlement of the
appeals. The Northwest Arterial Hy -Vee assessed value will be set at $5,000,000 for
2011, 2012, 2013, and 2014 and the South Locust Hy -Vee will be returned to the pre -
assessed order value of $6,068,280 for 2013 and 2014.
The settlements will result in an assessed value reduction of $61,500 for the 2011
though 2012 assessments for the Northwest Arterial Hy -Vee which will result in a tax
loss of $2,074 per year. The 2013 reduction in assessed value will be $446,420 and will
result in a tax loss of $14,299 per year. Taxes to be collected for the Northwest Arterial
Hy -Vee branch will be as follows:
• 2011 - $171,602
• 2012 - $168,586
• 2013 - $160,156
The settlement on the South Locust Hy -Vee will result in an assessed value reduction of
$485,462 which will be a tax loss of $15,550. Taxes to be collected for the South Locust
Hy -Vee branch will be $194,376 for 2013.
Pursuant to the Stipulation of Settlement, these appeals will be dismissed and the
assessment values will be adjusted to $5,000,000 for the Northwest Arterial Hy -Vee for
the years 2011 through 2014 and $6,068,280 for the South Locust Hy -Vee for 2013 and
2014.
The proposed settlement will be presented to the Court after fourteen days from the
date indicated on the attached Notice of Voluntary Settlement. If there are any
objections to the proposed settlement, they should be made known to the Court prior to
that time.
If you have any questions about the proposed settlement, please contact City Assessor,
Rick Engelken at (563)-589-7800.
3
Very sincerely
Barry A. Lindahl, Esq.
City Attorney
BAL/tls
Enclosure
cc: Michael C. Van Milligen, City Manager
Kevin Firnstahl, City Clerk
Rick Engelken, City Assessor
F:\USERS\tsteckle\Lindahl\Tax Appeals \HyVee 2011 & 2013\TaxingBodiesLtr_032614_AgendaVersion.doc
IN THE DISTRICT COURT FOR DUBUQUE COUNTY
HY-VEE FOOD STORES, INC. and
ASBURY ROAD DUBUQUE -IA LLC,
Plaintiffs,
vs.
BOARD OF REVIEW OF CITY
OF DUBUQUE, IOWA,
Defendant.
ORDER
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Case No. 01311 EQCV10106(k
(4 UT
On this 1" day of 774/LL , 2014, there isr
esente
Court a proposed Stipulation of Settlement of the parties in the above tax appeal to the
Iowa Code Section 441.44 requires that written notice of the proposed settlement
be served upon each of the taxing bodies interested in the taxes derived from the
assessments that are the subject of these appeals.
The Court concludes that service upon each of the taxing bodies by ordinary mail
is sufficient to meet the requirements of the statute.
IT IS THEREFORE ORDERED that the Board of Review of City of Dubuque,
Iowa shall serve a copy of the proposed Stipulation of Settlement upon each of the
taxing bodies interested in the taxes derived from the assessment by ordinary mail; and
that proof of said service be made by Affidavit: of the person who actually mails such
copies.
SO ORDERED.
Judge, First Judicial District
On 321D 201
Copy of this document was mailed to
l P�S 1 IS
°Dcka-
IN THE DISTRICT COURT FOR DUBUQUE COUNTY
HY-VEE FOOD STORES, INC. and
ASBURY ROAD DUBUQUE -IA LLC,
Plaintiffs,
vs. )
)
BOARD OF REVIEW OF CITY )
OF DUBUQUE, IOWA, )
)
Defendant.
)
)
COPY
Case No. 01311 EQCV101066
STIPULATION OF SETTLEMENT
Plaintiffs, Hy -Vee Food Stores, Inc. and Asbury Road Dubuque -IA LLC, and
Defendant, Board of Review of City of Dubuque, Iowa, state to the Court that the
pending litigation with regard to the tax assessment for the following -described
property as of January 1, 2013, locally known as 2395 NW Arterial, Dubuque, Iowa,
Parcel No. 10-17-476-005:
Lot 3 Asbury Plaza No. 2, City of Dubuque, Iowa
has been settled and agreed upon as follows:
1. Valuation:
Land $1,254,000
Buildings $3,746,000
Total $5,000,000
It is further agreed that the Valuation of $5,000,000 shall be effective for the
years of 2013 and 2014.
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 Plaintiffs.
Dated this day of
, 2014.
HY-VEE FOOD STORES, INC. and
ASBURY ROAD DUBUQUE -IA LLC
by:
Mark A. Roberts, Esq.
BOARD OF REVIEW OF THE CITY
OF DUBUQUE, IOWA
by:
Bar A. Lindahl, Esq.
Simmons Perrine Moyer Bergman PLC
115 Third Street SE, Suite 1200
Cedar Rapids, IA 52401
Phone: 319-366-7641
City Attorney
Suite 330, Harbor View Place
300 Main Street
Dubuque, IA 52001-6944
(563) 589-4113
Attorney for Plaintiffs Attorney for Board of Review
IN THE. DISTRICT COURT FOR DUBUQUE COUNTY
HY-VEE FOOD STORES, INC. and )
ASBURY ROAD DUBUQUE -IA LLC, )
)
)
)
)
)
)
)
Plaintiffs,
vs.
BOARD OF REVIEW OF CITY
OF DUBUQUE, IOWA,
)
Defendant. )
Case No. 01311 EQCV101066
NOTICE OF VOLUNTARY SETTLEMENT
TO: City of Dubuque, Iowa
County of Dubuque, Iowa
Dubuque Community School District
Northeast Iowa Community college
Dubuque County Hospital
Dubuque County Agricultural Extension Service
Conference Board of the City of Dubuque
YOU ARE HEREBY NOTIFIED, pursuant to Iowa Code Section 441.44, that
the above-named Plaintiffs and the Board of Review of the City of Dubuque, Iowa,
Defendant, 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 above-named Court for
approval after fourteen days from the date of this Notice.
Dated this Z e day of ARV -a+ , 2014.
BOARD OF REV W OF THE CITY OF
DUBUQUE, I
By
Bar A. Lindahl, Esq.
Cit Attorney
Sui e,330, Harbor View Place
300 Main Street
Dubuque, IA 52001-6944
(563) 589-4113
F:\USERS\tsteckle\Lindahl\Tax Appeals\HyVee 2011 & 2013\HyVee 2013 - Case No 101066-Asbury\Settlement Docs\NoticeOfVoluntarySettlement_022814.doc