Understanding the Lackawanna County Notice of Tentative Assessment Change

John Hart
Mar 31
5 min read

Updated: Jun 10

As expected, I’ve been receiving numerous calls lately. Friends, family, and clients are all sharing the same sticker shock when they open their mailboxes. If you find an envelope with the Lackawanna County Seal and “NOTICE OF TENTATIVE ASSESSMENT CHANGE” in bold, all caps, you likely understand the feeling. Your heart might have dropped, wondering what the new number means for you. Here’s the truth: these new values don’t provide context to determine whether they’re good or bad. Therefore, I want to explain why this is happening and what you should do.

Don't Panic, Here’s What You Need to Know

First and foremost, don’t panic. The most crucial thing to consider is, “If I wanted to sell my property today, is this how much I would sell it for?” Regardless of your new assessed value, it doesn’t truly indicate whether your taxes will go up or down. So, for now, take a deep breath. We’ll get through this together.

Assessed Value vs. Fair Market Value

To understand what’s happening, let’s clarify some key terms.

Assessed value is the valuation assigned to your property by the county’s assessment office for taxation purposes. It often considers various property characteristics like size, location, and condition. However, it doesn’t reflect the actual amount you’d receive if you were to sell your property today.
Fair market value, on the other hand, is the price your property would achieve on the open market. With the recent reassessment, the goal is to bring the assessed value closer to your property’s fair market value. This reflects what it would realistically sell for in today’s market.

What is the Common Level Ratio (CLR)?

The Common Level Ratio (CLR) is a critical concept in property assessments. It compares the assessed value of a property to its fair market value. The CLR helps determine whether properties are assessed accurately and uniformly across a county.

If the CLR is 1.0, it means assessed values match market values. However, when the CLR exceeds 1.0, it indicates that assessed values are lower than market value. In Lackawanna County, the CLR is currently set at 16.13, significantly higher than the state average of 4.71. This discrepancy results from not having a reassessment since 1968, leading to outdated assessments that no longer reflect current property values. The purpose of this reassessment is to bring the CLR closer to a fairer, more accurate measurement.

Why is the Reassessment Happening?

Lackawanna County’s last reassessment was in 1968. Since then, property values have fluctuated considerably. Many properties have become severely under or over-assessed. If the county had stuck with the outdated 1968 values, it would have created unfair tax burdens on property owners. Some paid too much, while others paid too little.

In fact, in 2022, a lawsuit was filed by three taxpayers against Lackawanna County. They sought to compel the county to conduct a reassessment. The plaintiffs argued that old assessments violated the Uniformity Clause of the Pennsylvania Constitution, creating disparities in property tax burdens. Ultimately, the lawsuit was placed on hold after the county entered into an agreement with Tyler Technologies, Inc. to conduct a countywide reassessment.

Had the county not reached this agreement, the lawsuit would have continued. Based on similar cases in other counties, such as Washington County, a court would likely have ordered Lackawanna County to perform the reassessment. Washington County faced a similar lawsuit in 2015, which ultimately resulted in a court-mandated reassessment.

What Will Happen to My Taxes?

One of the biggest questions on everyone’s mind is: “Will my taxes go up?”

The county has made it clear that the reassessment will be revenue neutral. This means the total amount of taxes collected by the county won’t increase. The taxing bodies—county, municipal, and school district—must adjust their tax rates to ensure total tax revenue remains the same as before the reassessment. However, how individual property owners are affected by the reassessment varies:

One-third may see an increase in taxes.
One-third will see a decrease.
One-third will notice no significant change.

This system is crafted to balance the tax burden more fairly based on current property values. So, while your assessed value might rise, it doesn’t mean your taxes will automatically increase.

Understanding Millage Rates and Property Taxes

Millage rates determine the amount of tax owed per $1,000 of assessed value. Following a reassessment, these rates adjust to maintain revenue neutrality, ensuring total tax collections remain consistent. Therefore, even with higher assessed values, many property owners may not experience substantial increases in tax bills.

The Reassessment Process

The reassessment process started in 2022 when Lackawanna County commissioners hired Tyler Technologies to update property values. This reassessment is based on fair market values, meaning the county is now looking at what your property would actually sell for on the market today.

Property owners who feel their new assessments are incorrect can challenge them through an appeals process. This is essential. The county has set up a way for you to file informal reviews and formal appeals to ensure your assessment is accurate.

What Can I Do If My Value Seems Wrong?

You have the right to question, challenge, and appeal your new value.

Step 1: Review Your Assessment Notice

Is your square footage accurate?
Is the number of bedrooms and bathrooms correct?
Is the market value reasonable for your area?

Step 2: Informal Review with Tyler

You can request a one-on-one review with the company that assessed your property. Bring documents and questions. However, note that this step is optional and often limited in scope.

Step 3: Formal Appeal with the County

If you still disagree, you can file a formal appeal with the Lackawanna County Board of Assessment Appeals. This is where having legal representation can make a significant difference.

Final Thoughts

This reassessment is not about raising taxes. It’s about ensuring fairness by aligning property assessments with their true market values. While reviewing your tentative assessment, remember that it doesn’t necessarily reflect your future tax bill. The county’s goal is to correct decades of outdated assessments and provide a clearer view of property values.

So, even if the new numbers are shocking, they are part of ensuring that everyone pays their fair share based on current market values. Don’t worry about taxes going up just yet. The key takeaway is that this reassessment aids in creating a more accurate, equitable property tax system for the future.

If you have concerns about your new assessments or would like assistance in reviewing your property’s value, please reach out. Let’s navigate this process together. Remember, “Be smart. Call Hart.”