[Vision2020] Developer Appeals Latah County Tax-Exemption Denial

[Tom Hansen]

Courtesy of today's (September 3, 2009) Moscow-Pullman Daily News.

--------------------------------------------------------

Developer appeals Latah County tax-exemption denial
Commissioners ruled in July that Thompson land should be taxed as
residential, not ag

By Mark Williams, Daily News staff writer
September 3, 2009

A local land developer is appealing the Latah County commissioners' denial
of a request for an agricultural tax exemption on property originally
intended to be sold as a subdivision.

The commissioners ruled in July that the land on the northern edge of the
Moscow city limits is zoned by the city as residential, and city code does
not allow for agricultural uses in a residential zone without a
conditional use permit.

Moscow farmer and developer Ted Thompson, owner of Thompson Development
LLC, is seeking the exemption for his Indian Hills Sixth Addition
development located on South Blaine Street near Alturas Technology Park.

County Assessor Pat Vaughan said he received word Wednesday from Thompson
attorney Susan Wilson that the company will appeal to the State Board of
Tax Appeals.

No date for the appeal hearing has been set, but Vaughan said the board
usually schedules appeals within 90 days of the filing. The hearing likely
will take place in Latah County.

The 31 parcels spread over 5 acres were originally intended to be sold as
part of a residential subdivision. Wilson said Thompson planted wheat on
the section of land referred to as "phase 1" when the housing market began
to slump last fall. The section is complete with city-paved sidewalks and
other infrastructure.

The exemption would have allowed Thompson to pay only $2.50 in taxes per
lot, compared to $1,000 per lot for residential, a difference of roughly
$30,000.

Wilson acknowledged the appeal is moving forward but declined further
comment.

In July, Commissioners Tom Stroschein and Jennifer Barrett said Moscow's
zoning plan left them with little choice but to deny Thompson's appeal.
Commissioner Jack Nelson abstained from voting because he was on vacation
during the original hearing.

Thompson argued that despite the code's language, there are several
instances of agricultural uses within city limits.

At the hearing, Wilson said the code is meant to prohibit agriculture in
residential zones once a move has been made to develop the land.

Thompson has used his land for agriculture purposes in the past, and he
should continue being allowed to do so, she said.

Barrett said that interpretation is a "stretch," and she has only become
more confident over time that the county made the right decision in
denying the exemption.

She said commissioners met with state tax experts at a conference in
Orofino shortly after the hearing and received assurances that they made
the right interpretation of the law.

"It's pushing the letter of the law a little," she said. "Or pushing a lot."

--------------------------------------------------------

Seeya at Farmers' Market, Moscow.

Tom Hansen
Moscow, Idaho

"The Pessimist complains about the wind, the Optimist expects it to change
and the Realist adjusts his sails."

- Unknown