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HomeMy WebLinkAbout930685.tiff RESOLUTION RE: THE BOARD OF EQUALIZATION, 1993, WELD COUNTY, COLORADO PETITION OF: EXETER DRILLING NORTHERN INC P 0 BOX 868 HOUSTON, TX 77001 DESCRIPTION OF PROPERTY: PIN: P 0012345 PARCEL: 105723000010 - DRILLING RIG #22 23 4 66 WHEREAS, the Board of County Commissioners of Weld County, Colorado, organized as the Board of Equalization for the purpose of adjusting, equalizing, raising or lowering the assessment and valuation of real and personal property within Weld County, fixed and made by the County Assessor for the year 1993, and WHEREAS, said petition has been heard before the County Assessor and due Notice of Determination thereon has been given to the taxpayer(s) , and WHEREAS, the taxpayer(s) presented a petition of appeal of the County Assessor's valuation for the year 1993, claiming that the property described in such petition was assessed too high, as more specifically stated in said petition, and WHEREAS, said petitioner being represented by Robert Holland, who submitted a letter regarding said petition, and WHEREAS, the Board has made its findings on the evidence, testimony and remonstrances and is now fully informed. NOW, THEREFORE, BE IT RESOLVED by the Board of County Commissioners of Weld County, acting as the Board of Equalization, that the evidence presented at the hearing clearly supported the value placed upon the Petitioner's property by the Weld County Assessor. Such evidence indicated the value was reasonable, equitable, and derived according to the methodologies, percentages, figures and formulas dictated to the Weld County Assessor by law. The assessment and valuation of the Weld County Assessor shall be, and hereby is, affirmed as follows: 930685 ORIGINAL Land $ Improvements OR Personal Property 18, 150 TOTAL ACTUAL VALUE $ 18, 150 BE IT FURTHER RESOLVED that a denial of a petition, in whole or in part, by the Board of Equalization may be appealed by selecting one of the following three options: 1. Board of Assessment Appeals: You have the right to appeal the County Board of Equalization's (CBOE's) decision to the Board of Assessment Appeals (BAA) . Such hearing is the final hearing at which testimony, exhibits, or any other evidence may be introduced. If the decision of the BAA is further appealed to the Court of Appeals, only the record created at the BAA hearing shall be the basis for the Court's decision. No new evidence can be introduced at the Court of Appeals. (Section 39-8-108(10) , CRS) Appeals to the BAA must be made on forms furnished by the BAA, and should be mailed or delivered within thirty (30) days of denial by the CBOE to: Board of Assessment Appeals 1313 Sherman Street, Room 523 Denver, CO 80203 Phone: 866-5880 OR 2. District Court: You have the right to appeal the CBOE's decision to the District Court of the county wherein your property is located. New testimony, exhibits or any other evidence may be introduced at the District Court hearing. For filing requirements, please contact your attorney or the Clerk of the District Court. Further appeal of the District Court's decision is made to the Court of Appeals for a review of the record. (Section 39-8-108(1) , CRS) 930685 Page 3 RE: BOE - EXETER DRILLING NORTHERN INC OR 3. Binding Arbitration: You have the right to submit your case to arbitration. If you choose this option the arbitrator's decision is final and your right to appeal your current valuation ends. (Section 39-8-108.5, CRS) Selecting the Arbitrator: In order to pursue arbitration, you must notify the CBOE of your intent. You and the CBOE select an arbitrator from the official list of qualified people. If you cannot agree on an arbitrator, the District Court of the county in which the property is located will make the selection. Arbitration Hearing Procedure: Arbitration hearings are held within sixty days from the date the arbitrator is selected. Both you and the CBOE are entitled to participate. The hearings are informal. The arbitrator has the authority to issue subpoenas for witnesses, books, records, documents and other evidence. He also has the power to administer oaths, and all questions of law and fact shall be determined by him. The arbitration hearing may be confidential and closed to the public, upon mutual agreement. The arbitrator's written decision must be delivered to both parties personally or by registered mail within ten (10) days of the hearing. Such decision is final and not subject to review. Fees and Expenses: The arbitrator's fees and expenses are agreed upon by you and the CBOE. In the case of residential real property, such fees and expenses cannot exceed $150.00 per case. The arbitrator's fees and expenses, not including counsel fees, are to be paid as provided in the decision. 930685 Page 4 RE: BOE - EXETER DRILLING NORTHERN INC The above and foregoing Resolution was, on motion duly made and seconded, adopted by the following vote on the 29th day of July, A.D. , 1993. p , 1 7� BOARD OF COUNTY COMMISSIONERS/0"/ATTEST: P ;� tvL;;,,,44,77 :1,1, ,D COUNTY, COLORADO 44,44 Weld County Clerk to the Board s Y 1° 4ic/ Constance L. Harbert, Chairman BY: EXCUSED Deputy Cler o the B W. H. bster, Pro- em A OV S TO FORM: eo�rrgge .E: Baxter Qf��/�/�J ounty Attorney f Dale 1 4arbara J. Kirkme r 930685 BOE DECISION SHEET PIN lt: P 0012345 PARCEL 8: 105723000010 EXETER DRILLING NORTHERN INC P 0 BOX 868 HOUSTON, TX 77001 HEARING DATE: July 29, 1993 TIME: 2:00 P.M. HEARING ATTENDED? (Y/N7/ NAME: AGENT NAME: //�� APPRAISER NAME: L'cf_ra_ DECISION: DECREASE IN VALUATION INCREASE IN VALUATION NO CHANGE IN VALUATION '�- ASSESSMENT RATIO ACTUAL VALUATION ORIGINAL ADJUSTED Land $ $ Improvements OR Personal Property 18, 150 /4 /.$0 Total Actual Value $ 18, 150 $ /15 1 /.p COMMENTS: I7 MOTION BY �.CK1 TO toy,,y i',-i �,�/j...m le- SECON DED BY Baxter Y N) Hall -- Y N) Failed to meet burden of proof Harbert -- ON) Comparables inadequate Kirkmeyer -- gY)N) y,_ Other: '[� r Webster i4# e,� -- ( jt ACC rin ' 1-bn3ce 1I I 9 3 f0 Y R tr 1 71) rk d:'rc 4 G± e4 I RESOLUTION NO. 93068E ASSESSOR 1400 NORTH 17th AVE. GREELEY, COLORADO 80631 } NOTICE OF DENIAL PHONE (303) 353-3845, EXT. 3656 WIlD C. DRDRILLING RIG *22 COLORADO • �• H Q OWNER EXETER DRILLING NORTHERN INC EXETER DRILLING NORTHERN INC PARCEL 105723000010 PIN P O012345 P 0 BOX 868 YEAR 1993 HOUSTON TX 77001 LOG 00016 06/28/1993 The appraised value of property is based on the appropriate consideration of the approaches to value required by law. The Assessor has determined that your property should be included in the following category(ies): RESIDENTIAL PROPERTY IS VALUED BY CONSIDERING THE MARKET APPROACH. AGRICULTURAL LAND VALUE IS DETERMINED SOLELY BY THE EARNING OR PRODUCTIVE CAPACITY OF THE LAND, CAPITALIZED AT A RATE SET BY LAM. ALL OTHER PROPERTY, INCLUDING VACANT LAND, IS VALUED BY CONSIDERING THE COSTS MARKET, AND INCOME APPROACHES. If your concern is the amount of your property tax, local taxing authorities (county, city, fire protection, and other special districts) hold budget hearings in the fall. Please refer to your tax bill or ask your Assessor for a listing of these districts,and plan to attend these budget hearings. The Assessor has carefully studied all available information, giving particular attention to the specifics included on your protest and has deter- mined the valuation(s) assigned to your property. The reasons for this determination of value are: YOUR PERSONAL PROPERTY HAS BEEN VALUED IN ACCORDANCE WITH COLORADO LAM AND INSTRUCTIONS PUBLISHED BY THE STATE DIVISION OF PROPERTY TAXATION. OTHER PERSONAL PROPERTY, SIMILAR IN NATURE, HAS BEEN CONSISTENTLY VALUED USING THE SAME STATUTORY METHODS. PETITIONER'S ASSESSOR'S VALUATION PROPERTY CLASSIFICATION ESTIMATE ACTUAL VALUE ACTUAL VALUE OF VALUE PRIOR TO REVIEW AFTER REVIEW PERSONAL PROPERTY 18, 100 .18, 150 TOTALS $ $ 18, 100 $ 18,150 If you disagree with the Assessor's decision,you have the right to appeal to the County Board of Equalization for further consideration, 39-8-106(1)(a), C.R.S. Please see the back of this form for detailed information on filing your appeal. By: WARREN L. LASELL _ O6/29/93 Q WELD COUNTY ASSESSOR DATE 930695 3 formPR2O -87/93 ADDITIONAL INFORMATION ON REVERSE SIDE a7 YOU HAVE THE RIGHT TO APPEAL THE ASSESSOR'S riECIASION ThE Gouger Boardof Equalization will sit to hear appeals beginning July 1,and,Gor.tinuin hear6CIAAugust1Gfor rC' er-edd renal - 0 nuildlfass} and persona€ progeny (furriittIEggs ee actaryt.rg, a > f dodatengi,e, 39BL.104 and 39 AO I ✓ : .. AP PR ..,4i H GS.: If add . r .Ante or .,rtpeel the Assessor's decision, mad or deliver doe try f 'fl r u'd r . C, ,;cunt Boa'd , on. To Preserve your r gh to appeal,your appr .:;; Y, :iirt o: if< . ,. PROPERTY, `., Cr ,;:-i � r 16 Fi..?F? REAL tTE:C}r :`t q..,f..A f`"� , dr L � r'w c'.-t tis S ,,.'ivt't d.._. f,d WELD t'C'tIe f-" BOAR) •`3f [Oleo TEA .UN ; 915 ltttl' Greet, P.O. nu: .158. 1 ". F 7 , ✓. C eir' n :00 80630 ota o • :3n Qf3 .. .. 4P •.Nir::_,: , r'o 't'' : EA INfa: r r . You ' ` ' a. ed of the time and place set tor the hearing of your anneal. � r. Cciej ;t . ..r >* ^.k rid£•- OOALUZATION"S DE1� "gJi N -nOr : The Co voty Board of Equalization must make a decision on your appeal and mail you a determination within five eusiderah neono County Board must conclude Phad hearings by August litnoo . ha EOP`tIi RtHERIAPPEALS: i r t➢ - v , , , 7 . • 4 • a :ti A that Nelefled wdh the f"r,ynty E3,aarr1 of Eqpglivatriorft o;ec4vO d _n ust PYIe 'I k isi Iv ,y t,yyr_of tnFr :y ri i uil}y ,r`}sra tF..tt7il`.+' trt (IVF:°7.L7Y "iRV'"11?ewU : ONC::-f f't4 t'' fckfl ulei Sd�lt Board of Assessment Appeals (SAA)t r ; C r ;he 7 AA at 1313 Sherman, Room 315, Denver. Colorado 80202. MEG, E66 g ffla0. District Court: 9th Avenue and 9th Street, P.C. Box C Greeley, Colorado 80632 c.. r Tt ::.. - . . .1pleBl*p1e,,(3O.:}f .5 }At9Oc..,.E '. 4P4 „4' -cr , . . . .t, '. y c • • • `� � � ddkPtAE$�a�$i(e Yf , .. .. � f� c_. " th L ColUYIPt TQt'RD'6F€� I}.F eAt QN v • '315 10rh"Street, P.C gox i58 Greeley, Colorado 80632 Telephone (3031 356 4000, Ext. 4225 If you do not receive a determination from the County Board of Equalization,you must fire an appeal wwith the Board ,.: ; ;r,z: Appeals by September 20. TO PRESERVE YOUR APPEAL RIGHTS, YOU MUST PROVE YOU HAVE FILED A TIMELY APPEAL; THEREFORE, WE RECOMMEND ALL CORRESPONDENCE BE MAILED WITH PROO€' OF MAILING. PETITION TO THE COUNTY BOARD OF EQUALIZATION in the space below. please explain why you disagree with the Assessor's valuation. IN ACCORDANC W fH 39-8-1 twi '.' C.. RS, YOU MUST STATE YOUR OPINION F VALUE `N CE..RM s ClOF n. SPECIFIC DOLLAR A€2 AMO NT.. Attach additional documents as necessary. t . I . • t "SEE ATTACHED LETTER OF PROTEST" i 1993 PERSONAL PROPERTY PROTEST ATTACHMENT TO SCHEDULE NO. 0012345 WELD COUNTY COLORADO Sec. 39-1-105. "All taxable property, real and personal , within the state at twelve noon on the first day of January, designated as the official assessment date, shall be listed, appraised and valued for assessment in the county wherein it is located on the assessment date. " Sec. 39-5-113.3. Oil and gas drilling rigs - Apportionment of Value - (1) "As soon after the assessment date as may be practical , the assessor shall determine those oil or gas drilling rigs that were operating, stored, or maintained in the county during the preceding calendar year (4) "This section shall apply to the apportionment of value of oil or gas drilling rigs and not to the provisions of section 39-5-113. " Sec. 39-1-105 establishes the assessment date, in this case January 1, 1993. Sec. 39-5-113.3 provides for the apportionment of value, based on the location of a drilling rig during the preceding calendar year. Sec. 39-5-113.3 does not provide the assessor the right to establish a "new assessment date" which he had done in this case. Exeter's drilling rig number 22 was destroyed by fire August 21 , 1992 while on location in Weld County, Colorado . Since said drilling rig was not in existence on January 1 , 1993 , the "official assessment date" , Exeter respectfully request that the assessor' s 1993 actual valuation current year value of $62,586 be changed to $ -0-. • • 930685 IIt! CLERK TO THE BOARD P.O. BOX 758 GREELEY,COLORADO 80632 WIIDc. (303)3564000 EXT.4225 COLORADO July 16, 1993 Parcel No. : 105723000010 PIN No. : P 0012345 EXETER DRILLING NORTHERN INC P 0 BOX 868 HOUSTON, TX 77001 Dear Petitioner(s) : The Weld County Board of Equalization has set a date of Thursday, July 29, 1993, at or about the hour of 2:00 P.M. , to hold a hearing on your valuation for assessment. This hearing will be held at the Weld County Centennial Center, 915 10th Street, Greeley, Colorado, in the First Floor Hearing Room. You have a right to attend this hearing and present evidence in support of your petition. The Weld County Assessor will be present before the Board. The Board will make their decision on the basis of the record made at the aforementioned hearing, as well as your petition, so it would be in your interest to have a representative present. If you plan to be represented by an agent or an attorney at your hearing, prior to the hearing you shall provide, in writing to the Clerk to the Board's Office, an authorization for the agent or attorney to represent you. If you do not choose to attend this hearing, a decision will still be made by the Board by the close of business on August 10, 1992, and mailed to you on or before August 16, 1992. Because of the volume of cases before the Board of Equalization, all cases shall be limited to 15 minutes. Also due to volume, cases cannot be rescheduled. It is imperative that you provide evidence to support your position. This may include evidence that similar homes in your area are valued less than yours or you are being assessed on improvements you do not have. Please note: The fact that your valuation has increased cannot be your sole basis of appeal. Without documented evidence as indicated above, the Board will have no choice but to deny your appeal. 930685 EXETER DRILLING NORTHERN INC - P 0012345 Page 2 At least two (2) working days prior to your hearing the Assessor will have available, at your request, the data supporting his valuation of your property. Please advise me if you decide not to keep your appointment as scheduled. If you need any additional information, please call me at your convenience. Very truly yours, BOA D OF EQUALIZATION//�J 1: Donald D. Warden,44:17 Clerk to the Board BY: fi/X�{—� y�C-�n— , arol A. Harding, Deputy cc: Warren Lasell, Assessor N 4 930685 t, eglik OCCIDENTAL PETROLEUM SERVICES, INC. OXY SUBSIDIARY OF OCCIDENTAL PETROLEUM CORPORATION July 21, 1993 RETURN RECEIPT ghQUBSTED CERTIFIED NO. P139 727 413 5 GL_. ... Carol A. Harding, Deputy Weld County Board of Equalization 915 10th Street, P. 0. Box 758 Greeley, Colorado 80632 RE: Protest of Parcel No: 105723000010 PIN No: P0012345 Hearing Date July 29, 1993 Dear Ms. Harding: Please accept this letter as support documentation applicable to the protest listed above. Your notice dated July 16, 1993 is attached. On August 21, 1992, Exeter Drilling Company's drilling rig Number 22 was destroyed by fire while on location in Weld County, Colorado. Sec. 39-1-105. "All taxable property, real and personal, within the state at twelve noon on the first day of January, designated as the official assessment date, shall be listed, appraised and valued for assessment in the county wherein it is located on the assessment date. " Sec. 39-5-113.3. Oil and gas drilling rigs - Apportionment of Value - (1) "As soon after the assessment date as may be practical, the assessor shall determine those oil or gas drilling rigs that were operating, stored, or maintained in the county during the preceding calendar year (4) "This section shall apply to the apportionment of value of oil or gas drilling rigs . . . . " Sec. 39-1-105 establishes the assessment date, in this case January 1, 1993. Sec. 39-5-113.3 provides for the apportionment of value, based on the location of a drilling rig during the preceding calendar year. Sec. 39-5-113.3 does not allow the assessor to establish a "new assessment date" which he had done in this case. Since said drilling rig was not in existence on January 1, 1993, the "official assessment date" , Exeter respectfully request that the assessor's 1993 actual valuation current year value of $62,586 be changed to $ -0- . Thank you for your time and consideration in this matter. Regards, Robert L. Holland Manager of Property Tax RLH/j lh Enclosure 2000 Post Oak Boulevard P. 0. Box 868 Houston,Texas 77001-0868 (713)840-7100 930685 HEMD JUL 191993 CLERK TO THE BOARD WIlD P.O. BOX 758 0XY PROPERTY&EXCISE AN; Y3,°9" GREELEY,COLORADO 80832 HAOUSTON,TEXAS JED 'v.,. C SH r " (303)358.1000 EXT.4225 OOH �/ HLC JRB COLORADO RLLHH ✓ July 16, 1993 Parcel No. : 105723000010 PIN No. : P 0012345 EXETER DRILLING NORTHERN INC P 0 BOX 868 HOUSTON, TX 77001 Dear Petitioner(s) : The Weld County Board of Equalization has set a date of Thursday, July 29, 1993, at or about the hour of 2:00 P.M. , to hold a hearing on your valuation for assessment. This hearing will be held at the Weld County Centennial Center, 915 10th Street, Greeley, Colorado, in the First Floor Hearing Room. You have a right to attend this hearing and present evidence in support of your petition. The Weld County Assessor will be present before the Board. The Board will make their decision on the basis of the record made at the aforementioned hearing, as well as your petition, so it would be in your interest to have a representative present. If you plan to be represented by an agent or an attorney at your hearing, prior to the hearing you shall provide, in writing to the Clerk to the Board's Office, an authorization for the agent or attorney to represent you. If you do not choose to attend this hearing, a decision will still be made by the Board by the close of business on August 10, 1992, and mailed to you on or before August 16, 1992. Because of the volume of cases before the Board of Equalization, all cases shall be limited to 15 minutes. Also due to volume, cases cannot be rescheduled. It is imperative that you provide evidence to support your position. This may include evidence that similar homes in your area are valued less than yours or you are being assessed on improvements you do not have. Please note: The fact that your valuation has increased cannot be your sole basis of appeal. Without documented evidence as indicated above, the Board will have no choice but to deny your appeal. 9J0685 EXETER DRILLING NORTHERN INC - P 0012345 Page 2 At least two (2) working days prior to your hearing the Assessor will have available, at your request, the data supporting his valuation of your property. Please advise me if you decide not to keep your appointment as scheduled. If you need any additional information, please call me at your convenience. Very truly yours, Bhat OF EQUALIZATION Donald D. wa den , Clerk to the Board BY: / `' ,�..L sz-1 '/7—/ 2-" D �p arol A. Harding, Deputy �� cc: Warren Lasell, Assessor 330617,) /F.>G°Lo Colorado Department of Local Affairs ai cc; DIVISION OF PROPERTY TAXATION Mary Anne Maurer Property Tax A LEI q.Y ASSESSOR /876 Roy Romer o Governor JUN 1 D 1993 TO: All County Assessors GREELEY,COLON!— FROM: Mary Anne Maureri4, Property Tax AdministratorL��" .: SUBJECT: 1987 Oil and Gas Drilling Rig Apportionments DATE: February 5, 1987 DISTRIBUTION: File in Section V, AH565 Oil and Gas Replacement Cost Manual ------------------ MEMORANDUM Effective January 1, 1987, all oil and gas rotary drilling rigs that are subject to local assessment must be apportioned between counties by using the previous year's location. This change in apportionment procedure also applies to auxiliary equipment located on licensed truck mounted drilling rigs. This change is required due to the provisions of H.B. 1178 which was passed in 1986.. A copy of this act is attached for your review. The new procedure for apportioning rigs and auxiliary equipment is: 1 . their All county assessors, who determine that rigs were operating in countiesg the pra evious owner orear, must )l agent. If copy of additional rig information is desired, it is suggested that a Div the Drill Division of Property Taxatio Questionnaire be mailed rwithsthevdeclarrationhe schedule. 2. On the declaration schedule, the rig owner or agent must list all rigs that were located in the county during the previous year, and must attach a drilling log for each rig. The declaration schedule must be signed and filed with the assessor by April 15 of each year. 3. The rig owner or agent must mail , to the county of original assessment sufficient 0 todeterminetanvaluationdforlassessmentoperty j 'EXHIBIT 1313 Sherman Street, 623 Centennial Building, Denver, Colorado 80203 (303) 866-2371 CD1e3i! 3ps85 h 4. The assessor of the COA must value the rig and apportion the value between the counties listed on the drilling log. 5. By May 24, the assessor of the COA must mail a notice of valuation and apportionment to the rig owner or agent and to all counties to which an apportionment was made. In addition, the assessor of the COA must mail a copy of the drilling log to each of the assessors involved. 6. Each assessor receiving an apportionment from a COA must use the valuations provided by the assessor of the COA. 7. All rig assessments must be reflected in the applicable counties' abstract submitted by August 10 of each year. An important point to remember is that, as of January 1, 1987, all valuations and apportionments must be based on prior year information only and rigs that move into the state during the current year are not valued until the following year. In addition, the 25% minimum valuation provided by 39-5-110 C.R.S. is still in effect. This act also provides that the Property Tax Administrator define the term "oil and gas drilling rig" which is to be applied by all Colorado assessors. The definition will be included in ARL Volume 5 - Personal Property Manual to be published this year. MAM:DW:go 87rigapp x(1)1 • 930685 CaloraGC Capart en G: Local Artairs .0c cotEN DIVISION OF PROPERTY TAXATION u, °o Mary Anne Maurer **� * Property Tax Administrator * /876 * - Roy Romer Governor TO: ALL COUNTY ASSESSORS FROM: Mary Anne Maurer, 1/14-a-c.h-c-it-- Property Tax Administrat SUBJECT: Drilling Rigs and the 25% Assessment Minimum DATE: April 18, 1988 DISTRIBUTION: Circulate to Personal Property Staff Place in AH 565, Section V MEMORANDUM The Division has been contacted regarding whether the 25% minimum assessment, as stated in 39-5-110 C.R.S. , still applies to the valuation and apportionment of drilling rigs. After discussions with the Colorado Attorney General 's office, it has been determined that the 25% minimum assessment no longer applies to drilling rigs. Drilling rig proration and apportionment is specifically covered in 39- 5-113.3 C.R.S. The first sentence of this paragraph states: (2) The assessor, upon receiving such inventory and notification that his county was the first location of the rig in Colorado, shall determine its value and shall apportion such value between the counties in which the drilling rig was located during the preceding year and the districts thereof, in the proportion that the periods of time during which such equipment was located or maintained in such counties bear to the full calendar year. The Assistant Attorney General has advised us that, since this statute specifically covers the proration and apportionment of drilling rigs, it would supercede the general provisions covering taxable personal property moved out of state that are stated in 39-5-110 C.R.S. Among these general provisions are the 25% assessment minimum. All counties of original assessment (COA's) for drilling rigs must be sure to exclude drilling rigs from the 25% minimum assessment. All valuations and apportionments must be based on the actual number of days the rig is in Colorado. If you have any questions regarding this interpretation, please call Bill Hyde or Chris Woodruff of this office. 4a - 7 1313 Sherman Street, 623 Centennial Building, Denver, Colorado 80203 (303) 866-2371 930685 _:ter,,s= _. t ,:?2 . :7::4';'',`..:*: ri l,vf)fL S sv , d�:ae', a A ,70,,.......:. 1.-.,#;.... :,',...A1:1.12-Tel-n-1:-.5. 76 I 77 Valuation and Taxation : 39-5-113.3 ale personal property r 39-5-111. Livestock,agricultural products-not valued, when. (Repealed) , t e Ie administrator and r shall be so designed Repealed, L. 83, p. 1485,§ I1, effective April 22, 1983. ''. location and general ≥ pr'fiIF nto the various sub- ` 39-5-113. Movable equipment - apportionment of value. (2) k i ring of such informa- The assessor of the county in which such equipment is located on the assessment date ` ,•-,' ' :olorado income tax ` shall determine its value and shall apportion such value between the counties 'j aired by the assessor affected and the school districts thereof, in the proportion that the periods 'I :hedule shall include of time during which such equipment may be located or maintained in such 39-1-102 7.2 , of a �' ( ) counties bear to the full calendar year. He shall furnish a copy of such valua- pursuant to section . tion and apportionment to the owner of such equipment or to his agent and nd the date on which shall also transmit a co • py,thereof to the assessor of each county affected i ': as his authority to list the apportioned value of such equipment on the assess lay 8; (1) amended, ment roll of his county. For purposes of making such apportionment, the valuation of the portable or movable equipment made by the assessor of ,� the county of original assessment shall be used by all county assessors involved. (4) Repealed, L. 76, p. 765, § 33, effective January 1, 1977. ', Source:(2)amended,L. 90, p. 1696,§ 18, effective June 9. It iEditor's note:The repeal date shown for subsection(4) in the 1982 Replacement Volume 16B was erroneously printed as"January 1977"instead of"January 1, 1977". i tent date - removal ory. (2) If any tax- tent date or brought 39-5-113.3. Oil and gas drilling rigs-apportionment of value.(I) As soon ite is removed from : after the assessment date as may be practicable, the assessor shall determine n the owner thereof' those oil or gas drilling rigs that were operating, stored, or maintained in rate, shall apply to the county during the preceding calendar year and shall mail or deliver two +{ I! Ited and valued for copies of a declaration to the place of business or drilling operation or to I proceed to revalue the residence of each person known or believed to own such rigs, or to the year as the revalue. 3 agent of such person. Such person or his agent shall list in such declaration ,' state bears to th all oil or gas drilling rigs owned by him, or in his possession, or under his le less than twenty ' control that were located in said county during the previous calendar vear2 :ion s t n awe ty : attaching thereto the drilling logs of the respective rigs showing their various I locations and corresponding dates. In addition, such person or his agent shall d, if such original-, provide to the assessor of the first county in Colorado listed on each rig's annual abstract o ' log an inventory of that rig's equipment sufficient to determine a valuation valuation shall be for assessment. The original copy of the declaration shall be signed and :ly notify the treas returned to the assessor no later than the April 15 next following. a ide. Failure of th (2) The assessor, upon receiving such inventory and notification that his • make application: county was the first location of the rig in Colorado, shall determine its value i erty from the stat- ' and shall apportion such value between the counties in which the drilling I, ation by the asse `: rig was located during the preceding year and the districts thereof, in the i' ' ion (2) shall apply, proportion that the periods of time during which such equipment was located e same ownership , or maintained in such counties bear to the full calendar year. On or before il I June 15, the assessor shall furnish a copy of such valuation and apportion- I' I7 83. ment to the owner of such equipment or to his agent and shall also transmit II d 'I a copy thereof to the assessor of each county affected, together with a copy 22; (2) amende. of the drilling log for that rig. For purposes of making such apportionment,the valuation of the oil or gas drilling rig made by the assessor of thbfa : J7��`�t'��r. j .�rei- •..' ,-,:a gat rxs mss^• ii,„ . kid -- n�•'c �y 4 FY T xW `YM5 P24*Z. M}epT¢"4.4rj •11i Z m..rm:''._, Y, -2C4 4,---R �L+eyMnY lir+ ..r-------_ `SS'-Y 'Y„,.._ ,._,...:1 Y. ' 1 -.7:-. f„ <, i 39-5-113.5 Taxation 78 7947 Colorado county on the log shall be used by all county assessors involved. 39-5-116. In the subsequent counties, the assessor shall accept the returned declaration (I) If any p with the rig's name and location data as a proper filing, i personal pro? (3) The values so apportioned shall be included in the affected counties' or his depur. abstracts of assessment filed pursuant to section 39-5-123. : and return tr. il (4) This section shall apply to the apportionment of value of oil or gas by such date drilling rigs and not the provisions of section 39-5-113. . vided for in • (5) For purposes of this section "oil and gas drilling rigs" shall be defined :. the amount c by the property tax administrator pursuant to section 39-2-109 (I) (e), which 'r amount of tax. definitions shall be uniform and consistent throughout the state. sonal propem Source: Entire section added, L. 86, p. 1107, § 1, effective July I, 1987; to be filed. . (2) amended, L. 88, p. 1297, § 4, effective April 29; (2) amended, L. 90, r or more of su p. 1696, § 19, effective June 9. 17 for filing, for in writing anc i a amount of twc t 'j 1. extension shall 1.- •• 39-5-113.5. Works of art - apportionment of value. (1) Any persons s which a persoi _; ,. owning any works of art which are apt to be displayed in any county of to file one or [ t the state during any calendar year shall indicate in a statement accompanying shall be subjec their personal property schedule the kind and description of such works of. requested. Fun art and the estimated period of time during the calendar year in which such.!s ules by April I works of art are to be so displayed and shall provide to the assessor proof extension. then of exemption pursuant to the provisions of sections 39-3-123 and 39-26-102 •., taxable person: (2.5). Failure to file a statement results in forfeiture of a claim for exemption and obtainable in that calendar year. i of such valuati } (2) The assessor of the county in which such works of art are displayed -_( the assessor's c shall determine its value in the proportion that the periods of time during for collection w: which such works of art may be displayed bear to the full calendar year. .a (2) (a) If an He shall furnish a copy of such valuation to the owner of such works of.:4 cessive persona art or to his agent. s assessor or his c Source: Entire section added, L. 84, p. 999, § 2, effective Janua 1 1 a full and comr ry amended, L. 89, p. 1484, § 8, effective April 23; (2) amended, L. 90, p 1697>::. poses, the assts § 20, effective June 9. a full and cam _':i date of notificat I value of such pe 39-5-115. Taxpayer to furnish information - affidavit on mineral leases r'•4 available to and (1) At any time prior or subsequent to April 15 of each year, the assesso or his agent of may request any person known or believed to own taxable property locate', :a amount of up u in his county to furnish such information or to make available.for examina-'' medne dofthehtrea -4 -, tion such records as may be required by him to determine the actual value of such property. xrsonal proper. (2) Within ten days after the execution of a mineral lease, a lessor sh• 01 his personal r file with the assessor an affidavit stating the annual net rental payable under `sled schedule an such lease for the purposes of determining the actual value of such mineral ow or by him. • interest where the income approach to appraisal is utilized by the assessor: • owned him. Such affidavit shall constitute a private document and shall be available oi. (13) Any pers a confidential basis as provided in section 39-5-120. s sonal property c not be assessed c Source: Entire section amended, L. 85, p. 1213, § 11, effective May 9 mein rolls under t • R \ Soc k 35 0 U 'pa\ 3"),o • Cry \ l�o vya� J \RL°C7 t lb% 13, �eo 930685 0., q,Sne 1 .30 k a 35o o ebo °CTh `io t. Qua oaAa_. 1.% 1% 0 1 s 1 oe co o Colorado Department of Local Affairs P5 DIVISION OF PROPERTY TAXATION • Mary E. Huddleston * *F* Property Tax Administrator 1876 Roy Romer Governor TO: All County Assessors FROM: Mary Huddleston 1C Property Tax Administ ator SUBJECT: 1993 Oil and Gas Drilling Rigs Valuation Schedule DATE: January 29, 1993 DISTRIBUTION: Circulate .to appropriate staff Place in ARL Volume 5, Section VI . MEMORANDUM Attached are the recommended procedures for the valuation of oil and gas drilling rigs in 1993. The values contained within these procedures are based on drill rig and equipment sales during the 1992 calendar year. The Statutory Advisory Committee (SAC) met on March 2, 1993, and reviewed the attached appraisal procedures for use in 1993. The State Board of Equalization has thirty days to review the recommendations of SAC. If there are changes, you will be advised in a separate memorandum of the action of the SBOE. Otherwise, the procedure is effective April 2, 1993. If you have any problems or questions on the use of these procedures, please contact Mike Owen or Bill Hyde at the Division office for assistance. • • Attachments DW:M0/JRH/jrh 93RIGBUL.DOC/ HYDE NETWORK SD DRILLRIG teas 85 1313 Sherman Street, Room 419, Denver, CO 80203, (303) 866-2371 TDD (303) 866-5300 FAX (303) 866-4000 2 1993 OIL AND GAS DRILLING RIG (Market Valuation Depth Schedule) MARKET VALUATION DEPTH SCHEDULE To use the market valuation depth schedule, the assessor must physically inspect the rig and determine the following: 1. Actual rig depth capacity. 2. Overall physical condition according to condition ratings shown in the condition ratings section. 3. Additional items such as drill pipe and collars. All operating oil and gas rotary platform drilling rigs are to be valued for 1993 using the market valuation depth schedule found below. • RIG CONDITION RIG DEPTH STACKED FAIR GOOD (Market Value in $ per linear foot) 7,499' AND UNDER $4.31 $6.33 $16.92 7,500' TO 12,499' $5.31 $8.88 . $19.76 12,500' AND OVER $4.17 $8. 13 $15.16 Rig actual values are calculated by multiplying the actual rig depth in feet times the market value per linear foot from the schedule based on rig condition . Additional items such as drill pipe and collars must be added to this value if they are present. The resulting total actual value is then multiplied by the specified year's adjustment factor to determine the specified year's level of value. CONDITION RATINGS Condition ratings must be determined by a physical inspection of each rig using the following guidelines: GOOD - The rig is in good mechanical condition and needs no major repairs or maintenance. It has been overhauled or has had very limited use so that no repairs or replacement of worn parts is necessary. The rig and related equipment will have a low number of operating hours. 930685 i 3 FAIR - The rig has seen a substantial amount of service or operating hours. A limited amount of use remains in the rig and may require a general overhaul soon. The need for major repairs, overhaul or rebuilding is evident from inspection. STACKED - Stacked rigs are those rigs which have been stacked over a year and are in poor condition. Because of stacking, these rigs show additional physical deterioration which will require additional repairs and/or maintenance to begin operation. Rigs which have been stacked only a short time, do not show additional physical depreciation due to "pickling" (covered with a preservative grease) , or are subject to regular maintenance should be valued using the operating rig depth schedule. The appraiser must evaluate the rig as a whole and assign the rating that most approximates the rig's condition. Do not interpolate between the ratings and values provided. ADDITIONAL ITEMS The schedule values shown for both operating and stacked rigs do not include values for drill pipe and drill collars. Add the following values for pipe and collars: DRILL PIPE - $1.30 per linear foot DRILL COLLARS - 7499' & under $ 720 7500' to 12,499' $ 960 12500' & over $1,080 BASE YEAR LEVEL ADJUSTMENT FACTOR Colorado statutes 39-1-104(12.3) (a) (I) require that the actual value of personal property be adjusted to the base year level of value. For 1993, the base year adjustment factor for drilling rigs is 1.00. 930685 • 4 DRILLING RIG VALUATION EXAMPLE The subject property is an operating, skid-mounted, rotary drilling rig located, as of January 1, in Carbon County, Colorado. The assessor's physical inspection determined that the rig was originally manufactured to drill to 8,000 feet but had been rebuilt to drill to 10,000 feet. The inspection also noted 12,000 feet of drill pipe and collars. The rig is determined to be in good condition. 10,000' (adjusted rig depth) x$19.76 (per foot value from depth schedule) $197,600 Value of rig + 15,600 (drill pipe - 12,000'x $1.30 per foot) + 960 (drill collars - $960 total for 10,000' rig) $214,160 Current level of value of rig and relateddpment x 1 .00 (specified year's adjustment factor) $214,160 Specified year's level of value x .29 (statutory assessment rate) $62,106 Assessed value The assessed value is then apportioned, as required in 39-5-113.3, C.R.S, to all counties where the rig was in operation during the previous calendar year. �tt 330685 Section VII , page 7. 1 SPECIAL PERSONAL PROPERTY ISSUES The purpose of this section is to discuss special issues related to the valuation or administration of personal property. This section of will be added to and revised periodically to include new special issues regarding personal property as they arise. APPORTIONMENT OF VALUE Apportionment means the division of taxable value between two or more counties within the state. Apportionment does not affect the total taxable value of the property. Personal property valuations are apportioned only in the following instances: 1. Movable equipment that is located in more than one county during the year. 2. Oil and gas drilling rigs that are located in more than one county during the year. A MOVABLE EQUIPMENT The statutory requirements and definitions for movable equipment apportionments are found in 39-5-113, C.R.S. Original Apportionment All persons owning movable equipment, except owners of oil and gas drilling rigs, that is apt to be located in more than one county during the assessment year must file the following information with the assessor no later than April 15: 1. Kind, description and serial number of the property. 2. Counties where the property will be located during the year. 3. The estimated period of time that the property will be in each county. The taxpayer files this information with the county assessor of the county in which the property was located on January 1 . This county is called the County of Original Assessment (C.O.A.) . 15-OPT-AS PUB ARL VOL 5 2-89 Revised 1-91 930685 It is the responsibility of the assessor of the C.O.A. to determine the actual and assessed value of the movable property for the entire assessment year. The assessor of the C.O.A. is also responsible to make apportionments of value for the subsequent counties listed by the taxpayer. The taxpayer must be notified of the assessed valuation and the apportioned values of the movable equipment. The apportionment is based upon the number of days that the property is located in each county. Example: Subject Property: Portable Highway Sprinkler Systems (Privately Owned) . C.O.A.: Larimer County 1989 Actual value estimate: S25,000 Adjusted to Specified Level of Value: $24,750 Assessed Value (@ 29%) : $7,180 Counties and Time Estimates for Each County: County , Est. Time Property to be Located in County Larimer 45 days Boulder 65 days El Paso 120 days Adams 135 days 365 days Actual Value per Day: $24,750 -:- 365 a $67.81 Apportionment of Value to Each County Larimer: 45 days Apportioned Value: (45 x $67.81) - $3,051 ) Boulder: 65 days Apportioned Value: (65 x $67.81) . $4,408 El Paso: 120 days Apportioned Value: (120 x $67.81) - $8,137 Adams: 135 days Apportioned Value: (135 x $67.81) - $9,154 Total : 365 days igiat2 15-OPT-AS PUB ARL VOL 5 2-89 Revised 1-91 +t+ 930685 Section VII , page 7.3 The taxpayer and each of the three counties is notified of the apportioned value by the Larimer County assessor. The value of the movable equipment is included on the abstract of assessment. The subsequent counties are required to use the valuation and the apportionment provided by the assessor of the C.O.A. Any protests of value by the taxpayer are made to the C.O.A. Amended Apportionments If movable property is moved into a county not listed in the original declaration or if movable property is located in a county for a different length of time than that originally declared, the assessor of any county so affected shall request an amended apportionment from the county of original assessment. This must be done whether the time the equipment is located in the county is shorter than or longer than the period of time used in the original apportionment. The assessor of the C.O.A., upon receipt of such a request for amended apportionment shall reapportion the values to all affected counties accordingly. The taxpayer and the affected counties must be notified of any amended apportionments. If any county fails to request the amended apportionment, the original apportionment shall stand for that assessment year. When the change in apportionment occurs after the abstract of assessment is filed, the assessors recertify the valuation to the taxing jurisdictions affected pursuant to 39-1-111(5) C.R.S. . If the change in apportionment occurs after the tax warrant has been delivered, an abatement or additional assessment will be made by the affected counties. • OIL AND GAS DRILLING RIGS The term "oil and gas drilling rig" means any drilling unit capable of drilling oil and gas wells, except vehicle mounted rigs subject to the specific ownership tax. In addition, the term includes the auxiliary equipment which is not permanently attached to a vehicle which is self- propelled or capable of being towed. A complete description of an oil and gas drilling rig is found in SECTION VI, OIL AND GAS EQUIPMENT. 15-OPT-AS PUB ARL VOL 5 2-89 Revised 1-91 930685 - Section VII , page. 7 .1 The statutory requirements regarding the apportionment of the valuations of oil and gas drilling rigs are found in 39-5-113.3 C.R.S. Beginning January 1, 1987 the procedure is as follows: 1. County assessors shall determine those rigs that were operating in their counties during the previous calendar year and mail DS 056 declaration schedules to the owner or agent. 2. The owner or agent submits a declaration listing all rigs that were located in the county during the previous year, and attaches the drilling log for each rig. 3. The owner or agent sends an inventory of the rigs equipment sufficient to determine the valuation for assessment to the assessor of the first county in Colorado listed on each rig's log. The declaration must be filed with the assessor no later than April 15. 4. The assessor in the county of original assessment values the rig and apportions the value between the counties listed on the drilling log according to the period of time the rig was located in each county. 5. The value apportioned to each affected county is based on the proportion that the actual number of days the rig was located in each county bears to the full calendar year. The minimum 25 percent of full year valuation provision of 39-5-110(2) , C.R.S. does not apply to oil and gas drilling rigs that are located in Colorado for a total period of time that is less than 25 percent of the full year. 6. On or before June 15, the assessor furnishes a copy of the valuation for assessment and the apportionment to the owner/operator. Also by June 15, the assessor sends the valuation, apportionment, and a copy of the drilling log to every county assessor involved, and the assessors must use the values as apportioned by the assessor of the C.O.A. 7. The apportioned rig values are listed in the abstract of assessment. 15-OPT-AS PU8 ARL VOL 5 2-89 Revised 1-91 93068: Hello