CCR2018099-Dark Store
COMMON COUNCIL - CITY OF MUSKEGO
RESOLUTION #099-2018
CLOSE THE DARK STORE LOOPHOLES
STOP THE SHIFT
WHEREAS, home owners in Wisconsin already pay 70% of the total statewide property
tax levy; and
WHEREAS, that disproportionate burden is about to worsen unless the Legislature
addresses the unwarranted and unnecessary litigation by big box retailers across the
country using litigation to gain dramatic reductions in their property values that artificially
lowers their tax bills; and
WHEREAS, a carefully-orchestrated wave of 100s of lawsuits in Wisconsin is forcing
assessors to artificially slash the market value of thriving national retail stores, shifting
their tax burden to local mom and pop shops and homeowners; and
WHEREAS, big box chains are using what is known as the “Dark Store Theory” to
argue that the assessed value of a new store in a thriving location should be based on
comparing their buildings to sales of vacant stores in abandoned locations from a
different market segment; and
WHEREAS, the Republican-controlled Indiana state Legislature has on two occasions
in the last two years overwhelmingly passed legislation prohibiting assessors from
valuing new big box stores the same as nearby abandoned stores from a different
market segment; and
WHEREAS, the Michigan State House overwhelmingly passed similar legislation in May
of 2016.
NOW, THEREFORE, BE IT RESOLVED, that the Common Council of the City of
Muskego urges the Governor and the Legislature to protect homeowners and main
street businesses from having even more of the property tax burden shifted to them by
passing legislation clarifying that:
1. Leases are appropriately factored into the valuation of leased properties; and
2. When using the comparable sale method of valuation, assessors shall consider
as comparable only those sales within the same market segment exhibiting a
similar highest and best use rather than similarly sized but vacant properties in
abandoned locations.
Furthermore, the City Council directs the Clerk to send a copy of this Resolution to our
State Legislators, Governor Scott Walker and to the League of Wisconsin Municipalities.
TH
DATED THIS 27 DAY OF NOVEMBER, 2018.
SPONSORED BY:
Mayor Kathy Chiaverotti
This is to certify that this is a true and accurate copy of Resolution #099-2018 which
was adopted by the Common Council of the City of Muskego.
_________________________
Clerk-Treasurer