Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-05-05

Member Of the AssOcIated Press.
Assessments and Real Value.

Interesting as are the courts re-
Elections on the subject OF expert wit
ness" testimony generally, there are
other important points emphasized In
connection with Justice Hits decision
in the Court OF Appeals against the adj
instability of such testimony Oh the
part OF the District assessor. The case
involved condemnation Of land for the
Districts use. Following what has come
to q pretty well established procedure.
the District assessor was called as an
expert witness. The court held that
he should not testify in that capacity In
such cases.
1T Is widely recognized" said Justice
Hitz, that sppraisements OF property
By tax assessors for the purpose Of tax
alton are not reliable guides Of market
value and consequently not admissible
IN condemnation cases"
In the District of Columbia the tax
assessor is by law compelled to assess
for taxation at full value, and this the
conscientious and eficient Mr.. Rich
ards seeks to do. Comparison OF assess
nfent prices with actual sales prices
shows how aStoniShingly near true
value, reckoned on the basis Of sales. Is
the average Of the assessments. But
II the courts, or anybody else, were In
clined to regard the assessment value
as the real index to true value, there
would, of course, be no excuse for con-
domination juries. The value Of prop
erty would be the assessment for tax
alton, and the assessment would be the
last word.
ANY one can see the fallacy in this
theory. But our good legislators are
in q constant state Of nervous anxiety
by seeking to apply it. A jury con-
dennis land for public use at price
greatly in excess Of the assessment.
Throwing to the wind such factors as
supply and demand, the condemnation
award is Immediately labeled excessive
BY congressional critics, and the prop
erty owners are regarded as Shylocks
because the sales figure was higher than
the assessment figure. For time the
law sought to confine actual value TO q
figure twenty-five per cent above the
tax assessment, and the delays oc-
casioned in the purchase of really de-
sirsble property proved the law to be
an expensive instrument.
The effort to apply the law requiring
tax assessments to be at full value works
other obvious hardships on property
owners. A building site. particularly
desired by q purchaser for definite
purpose, and held dearly by the owner,
brings an exceptional price. The as
SCISSOR learns of the sales price, pro-
Vided the parties to the sale are honest
and agree to make it known. and the
high price Is reflected by increased as
Sessments on the surrounding property.
A real estate slump may lower actual
values, but the assessment, generally
speaking, continues TO be based on the
highest and the most recent sales. The
assessment is probably the last figure to
be affected by q falling real estate
market.
This practice may work out equitably
in the long run as far as the city as q
whole is concerned. There must be
something tangible upon WHICH TO base
. true value assessment. The error oc-
ours. as the court has pointed out, when
efforts are made to link too closely the
taxation assessment figure and the FIG
ure representing the success OF some
keen property owner in driving q good
bargain.
Every one will agree with Justice Hits
tribute TO Mr.. Richards as an individual
and as q conscientious public OfnciAl,
and the fact that principles only, and
not individuals, are at Issue.