Goobie calls for review of Municipal Assessment Agency

By Craig Westcott / June 29, 2023

Count Holyrood Mayor Gary Goobie among the people who are vexed about the latest rise in property values assigned by the provincial government’s Municipal Assessment Agency, or MAA.

With the mil rate system that almost all municipalities use to levy taxes, the higher the property value, the more the homeowner pays in property taxes. The MAA completes property value assessments on homes every three years.

“All I can say is that I’m bemused and frustrated,” Goobie told his council colleagues Tuesday. “I came home one day only to find an assessor walking around our property. He said everything remained unchanged and nothing of any significance was done since the last assessment. I explained to him that I replaced a patio a few years ago, which cost me $15,000, but that would have been reflected in the last assessment. Lo and behold, when the latest assessment arrived several weeks ago, we had a $48,000 increase in property value. So, what was the justification behind that whopping increase? They say it’s based on comparable home sales in the area. I don’t think properties increased by that much in the last couple of years.”

Goobie said it looks like the agency is applying values to properties without anything substantive to justify them.

“Basically, it’s a hit or miss scenario,” charged the mayor. “Some owners will be hit, while others will be missed. It doesn’t seem like a very consistent or accurate system to me.”

Goobie said he can empathize with residents who get frustrated at tax time. Municipalities Newfoundland Labrador, he noted, has been advocating for a fairer tax system for years, but to no avail.

“In my personal opinion, and it’s my personal opinion only, and given the fact that nobody can seem to figure this out, I honestly believe the Auditor General needs to intervene and conduct a comprehensive review of the Municipal Assessment Agency and its operations,” Goobie said. “Residents deserve some clearcut answers.”

Councillor Bruce King agreed with Goobie.

“If you look at all the other communities, it’s not just Holyrood,” he said. “It’s right from one end of the province to the other. So, we’re not unique when it comes to how our properties are being assessed… And you’re absolutely right. There should be some kind of an inquiry or investigation, or some kind of better explanation on how somebody can have a property and do absolutely very little with it other than the normal maintenance and still be worth $80,000 or $90,000 more over a couple of years. That makes absolutely no sense.”

King said prior to the latest assessments, the average house in Holyrood was valued at about $270,000. “That has gone up about six per cent to about $285,000,” he added. “So, we’re in line with pretty well all the other communities across the province.”

King advised if you’re not happy with your property assessment, there is information on the back of the assessment form that details the process for appealing it.

“There’s also a line there that says you have a deadline,” he added. “So, there’s no good to wait until September, October or November… This is your opportunity now to make your feelings known to the Municipal Assessment Agency that you’re not happy.”

Deputy Mayor Michelle Woodford pointed out the appeal process is open to business property owners as well as homeowners. “I think the deadline is July 31, because I will be appealing mine as well,” she said. 

Woodford added there are several websites that offer advice on how to appeal a property assessment. 

“You just can’t say I appeal because I don’t believe it’s gone up $48,000. You have to give a reason why,” she said. 

Woodford pointed out there is a fee associated with appealing your property value assessment. “If your appeal is granted, you get that fee back,” she said. 

“There was a wise former councillor here way back years ago and he was attached with the provincial government, and he said it’s a magic formula that’s not meant for the public to understand,” Goobie said of the MAA’s property appraisal process.

“But if you ask for it, they have to divulge what that formula is,” Woodford said.

“I’m not saying there’s anything wrong.” Goobie said. “I’m just saying that residents should have a right to know.”