The Letter You Didn’t Want to Receive: The Reassessment Results Are In!
- John Hart
- Mar 31
- 5 min read
As expected, I’ve been receiving a lot of calls lately from friends, family, and clients all sharing in the same sticker shock when opening their mailboxes over the past few weeks. If you’ve opened an envelope with the Lackawanna County Seal and “NOTICE OF TENTATIVE ASSESSMENT CHANGE” in bold, all caps, you know exactly what I mean. Your heart might have dropped, wondering what this new number means for you. But here’s the truth: these new values don’t provide you with any context to determine whether they’re good or bad, so I want to take a moment to explain why this is happening and what you should do.
First and foremost, don’t panic. The most important thing to ask yourselves is, “If I wanted to sell my property today, is this how much I would sell it for?” Regardless of what your new assessed value says, it doesn’t give any real indication of whether your taxes will go up or down. So, for now, take a deep breath. We’ll get through this together, and here’s why.
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 the purpose of taxation. It’s often based on various property characteristics like size, location, and condition. However, it doesn’t reflect the actual amount you’d get if you were to sell your property today.
- Fair market value, on the other hand, is the price at which your property would sell on the open market. With the recent reassessment, the goal is to bring the assessed value closer to your property’s actual fair market value, reflecting 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 when discussing property assessments. It is a calculation that compares the assessed value of a property to its fair market value. The CLR helps determine whether properties are being assessed accurately and uniformly across a county.
If the CLR is 1.0, it indicates that assessed values match market values. However, when the CLR is higher than 1.0, it means that assessed values are lower than the market value.
In Lackawanna County, the CLR is currently set at 16.13, which is significantly higher than the state average of 4.71. This discrepancy is the result of not having a reassessment since 1968, leading to outdated assessments that no longer reflect current property values. This reassessment is being done to bring the CLR closer to a fairer, more accurate measurement of market values.
Why is the Reassessment Happening?
Lackawanna County’s last reassessment was in 1968. Since then, property values have fluctuated considerably, and many properties have become severely under or over-assessed. If the county had continued with the outdated 1968 values, it would have resulted in 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, seeking to compel the county to conduct a reassessment. The plaintiffs argued that the old assessments violated the Uniformity Clause of the Pennsylvania Constitution, creating disparities in property tax burdens. However, 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 entered into this agreement, the lawsuit would have continued, and based on similar cases in other counties, such as Washington County, the court would have most likely compelled Lackawanna County to perform the reassessment. Washington County, in 2015, also faced a similar lawsuit, which ultimately led to a court order mandating a countywide reassessment. Washington County also used Tyler Technologies as their vendor for this reassessment, which aimed to address outdated assessments and bring the county’s property values into alignment with market realities.
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, meaning 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 so that the total tax revenue remains the same as it was before the reassessment. However, how individual property owners are affected by the reassessment varies:
- One-third of property owners may see an increase in taxes.
- One-third will see a decrease.
- One-third will see no significant change.
This system is designed to balance the tax burden more fairly based on current property values. So, while your assessed value may have gone up, it doesn’t automatically mean your taxes will increase—because the millage rate will be adjusted to keep total revenue the same.
Millage Rates and Property Taxes
Millage rates determine the amount of tax owed per $1,000 of assessed value. Following a reassessment, these rates are adjusted 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 the property values. This reassessment is based on fair market values, meaning the county is now looking at what your property would actually sell for if it were on the market today. Property owners who feel their new assessments are incorrect can challenge them through an appeals process. This is an important step, and the county has set up a way for you to file informal reviews and formal appeals to make sure 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/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 — but know 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 big difference.
Final Thoughts
This reassessment is not about raising taxes. It’s about ensuring fairness by aligning property assessments with their true market values. As you review 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 give us all a clearer, more accurate view of our property’s value.
So, while the new numbers might be shocking, they’re just part of the larger process of ensuring that everyone pays their fair share based on the current market value of their properties. Don’t worry about taxes going up just yet. The key thing is that this reassessment helps ensure a more accurate, equitable property tax system for the future.
If you have any concerns about your new assessments or would like assistance in reviewing your property’s value, feel free to reach out. Let’s navigate this process together. While this reassessment brings new values, you have the same rights. “Be smart. Call Hart.”
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