Larry Stone
An Interview With
by approximately $70 per year. Last year 264,000 homeowners applied for and received a homeowner’s exemption in Santa Clara County. SVL: What challenges did the Assessor face during the Great Recession? LS: The challenges were enormous. The number of assessment appeals quadrupled to more than 36,000 during the four-year downturn. At the same time, we proactively reduced assessed values on 136,000 properties, a reduction of assessed values in excess of $27 billion. SVL: This year is the 39-year anniversary of the passage of Proposition 13. What was it like after the historic property tax revolt? LS: Absolute chaos! The Proposition 13 ballot initiative passed by the voters provided no process or guidance for implementation. Immediately after passage, property tax revenue necessary to fund public schools and local government, declined by 58 percent. The Proposition 13 initiative was so poorly drafted that it required the state legislature to place a supplemental measure on the ballot six months later, which allowed for an assessment to be reduced when the market value of a property declines. Overall, Proposition 13 did pro-
Assessor, Santa Clara County
SVL: What is an assessed value and how do you arrive at that number? LS: In California, an assessed value is the dollar value of property determined by the local assessor for the purpose of property taxation. California Assessors are required to assess all property at fair market value at the time a property is transferred or at new construction. State certified appraisers in my office perform market-based appraisals to determine an assessment. Last year, the Santa Clara County Assessor’s office processed 71,192 recorded deeds of which 25,895 resulted in reassessable changes in ownership. In addition, the office processed 33,280 building permits of which 6,701 were reassessable new construction.
the Assessor’s appraisal staff, the property owner is entitled to a hearing before an independent Assessment Appeals Board. There is no filing fee to appeal an assessment. The value decisions of the Assessment Appeals Board are final.
SVL: What happens when a property owner believes a property is over assessed? LS: The property owner may file a formal assessment appeal. If the owner is unable to reach agreement after discussions with
SVL: What is a Home Owners Exemption? LS: Homeowners are eligible to receive a $7,000 exemption applied to their assessment if the home is their principal residence. The exemption reduces the homeowner’s property tax
SVL: Is it possible for a homeowner to get their property tax lowered? LS: Yes, during the “Great Recession” my office proactively reduced the assessed value of 136,000 properties reducing the assessment roll by $27 billion. During the economic recovery following the recession, all Assessors are required to restore the assessments to their Proposition 13 base year assessed value to reflect improving market conditions.
Larry with former Vice President Biden
vide property tax stability and predictability, preventing many homeowners from losing their homes due to skyrocketing home values and corresponding increases in property tax prevalent in the 1970’s. SVL: Did you ever meet the author of Prop 13 … Howard Jarvis? LS: No. However, I encountered him shortly after the June 1978 election. My business office was in San Francisco near the famous Tadich Grill. The restaurant did not take reservations. Shortly after the election, a long line of diners, including me, were waiting for a table. Howard Jarvis walked through the door and was escorted to a table, welcomed by a standing ovation from the patrons. SVL: What are some of your favorite hobbies? LS: I am passionate about politics and love to play golf. I also have a bucket list to see in person 38 of the world’s major sporting events. I have completed 29 events including four Super Bowls, three World Series, the Triple Crown of Horse Racing, Olympics (Winter and Summer), the five major golf championships, Tour de France, Wimbledon, etc. There are nine sporting events left on my list including the PBA Bowling Championship and the Iditarod Dog Sled Race, which will be challenging.