RIVER FALLS – Ever wonder how property is valued and why? You’re not alone. River Falls City Council heard a presentation June 8 on this very subject.

Chris Plamann of Accurate Appraisal provided council members with a review of the property revaluation process, which occurs every six years. Every municipality in Wisconsin is required by law to be within 10 percent of its equalized value. Once out of compliance, a revaluation is needed within five years.

A municipality’s equalized value is set by the Department of Revenue. It’s the value of all property for each community based on market value of valid sales on the open market. Market value is determined by the sales of property on the open market between a willing seller and a willing buyer, free from undue pressure, Plamann said. Market value is not set by the state or by the assessor; it’s based on natural occurrences in the market.

“By periodically assessing property to market value, River Falls remains in compliance with state regulations,” Plamann said. “The municipality doesn’t collect more taxes just because a market revaluation is performed. A periodic revaluation ensures all property is assessed to market value.”

Since 2015, the city has seen a large increase in sales and volume, Plamann said. For three years, the city has been out of compliance and needs a revaluation.

“All market sectors appreciate and depreciate at different tares, which causes natural market inequity,” Plamann said.

Market sectors include neighborhoods, styles of homes (ranch vs. two-story, etc.), commercial property, vacant land and waterfront property.

“A periodic revaluation ensures each of these sectors is revalued,” Plamann added. “This creates fairness and equity among all market sectors.”

Open Book will be held 12-7 p.m. Aug. 16 and 9 a.m. to 2 p.m. Aug. 17. The Board of Review will be held 4-6 p.m. Sept. 23.