Vandalia-Butler City Schools Board of Education v. Montgomery County Board of Revision
130 Ohio St. 3d 291
Ohio2011Background
- The Vandalia-Butler City Schools Board of Education challenges a Board of Tax Appeals decision affirming a reduced hotel valuation set by the Montgomery County Board of Revision.
- Auditor’s true value for 2006 was $2,096,320; the owner sought a reduction to $1,468,000, while the school board sought to retain the auditor’s value.
- BOR, after hearing, valued the property at $1,499,080.
- Patel, on behalf of the owner, submitted an appraisal dated March 2007; the BOR notes reflect adjustments and indicate reliance on an appraisal that was not certified in the BTA record.
- The BTA conducted a de novo review but adopted the BOR’s valuation, stating it relied on the BOR’s reduction rather than independently weighing the evidence.
- The court vacated the BTA’s decision and remanded to allow independent valuation weighing consistent with governing case law.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether BTA erred by deferring to BOR rather than independently weighing the evidence | Bajarangi contends BTA failed independent weighing | Montgomery County contends evidence warranted BOR’s value | BTA erred; must independently weigh evidence |
| Whether the record contained sufficient evidence to permit an independent valuation | Record supported independent valuation after negative evidence of auditor’s value | Evidence was insufficient for independent valuation, justifying BOR’s reduction | Record not sufficient for independent valuation; court must remand to assess |
Key Cases Cited
- Satullo v. Wilkins, 111 Ohio St.3d 399 (2006-Ohio-5856) (BTA must weigh evidence independently)
- Gahanna-Jefferson Local Sch. Dist. Bd. of Edn. v. Zaino, 93 Ohio St.3d 231 (2001) (BTA must reach its own independent judgment)
- Columbus Bd. of Edn. v. Franklin Cty. Bd. of Revision, 76 Ohio St.3d 13 (1996) (BTA independence in weighing evidence)
- Colonial Village, Ltd. v. Washington Cty. Bd. of Revision, 114 Ohio St.3d 493 (2007-Ohio-4641) (No presumption of validity for BOR; BTA weighs evidence)
- Simmons v. Cuyahoga Cty. Bd. of Revision, 81 Ohio St.3d 47 (1998) (BTA may rely on auditor’s valuation when appropriate)
- Dayton-Montgomery Cty. Port Auth. v. Montgomery Cty. Bd. of Revision, 113 Ohio St.3d 281 (2007-Ohio-1948) (Distinguishes Simmons; independent valuation needed when evidence permits)
- Bedford Bd. of Edn. v. Cuyahoga Cty. Bd. of Revision, 115 Ohio St.3d 449 (2007-Ohio-5237) (Assess sufficiency of evidence for independent valuation; defer to BOR only when appropriate)
- Colonial Village (repeated), 2009-Ohio-4975 (Penned with Colonial Village, 123 Ohio St.3d 268) (Framework for BTA duty when valuation is appealed from BOR)
- FirstCal Indus. 2 Acquisitions, L.L.C. v. Franklin Cty. Bd. of Revision, 125 Ohio St.3d 485 (2010-Ohio-1921) (Auditor’s initial value possesses prima facie probative force)