[read complete report - pdf]

Audit Objective

Determine whether the Town Assessor (Assessor) is properly administering agricultural real property tax exemptions.

Key Findings

The Assessor:

• Granted four woodland exemptions for rented agricultural parcels with $40,028 in assessed value that did not meet the woodland eligibility requirement.
• Granted three agricultural exemptions with assessed values of $543,390. Two of these exemptions lacked proper documentation and the remaining one was granted even though the 10-year exemption term had expired in 2013.
• Did not grant an exemption credit totaling $2,168 in assessed value on one property because the exemption amount was incorrectly calculated.

Key Recommendations

• Ensure property owners submit an initial or renewal application, when required, with proper supporting documentation and meet eligibility requirements before granting exemptions.
• Review all previously granted agricultural structures exemptions on an annual basis to verify that the 10-year exemption term has not expired.

Town officials agreed with our recommendations and have initiated or indicated they planned to initiate corrective action.