Pittston's Certified Ratio Set at 92 Percent

Now that Tax Bills have begun arriving in your mailboxes, those with certain exemptions may notice that the amounts are slightly less than the maximum. For instance, the reduction in valuation for a Homestead Exemption for this tax year is $23,000 (rather than the maximum of $25,000). Here’s the explanation from the Assessors’ Agent, Ellery Bane, of RJD Appraisal:\ \ “Sales in Pittston are exceeding our assessments. The State Property Tax audit which determines our ratio has determined we cannot certify at 100%, therefore the 100% exemption is not allowed for taxpayers. The exemption is adjusted to the allowable percentage… Until the market inflation slows or we factor our values up, the exemption will be less than 100%.”\ \ For those who like formulas, this is how the Town’s Certified Ratio is calculated:

[Town’s Valuation Amount] ÷ [State’s Valuation Amount] = Certified Ratio

This year, the Certified Ratio from the above formula equaled 0.82 (or 82%). However, the State allows the Town to add a 10% margin to the final number, bringing this to 92%.

That 92% applies to exemptions, so an exemption of $25,000, when multiplied by 0.92, equals $23,000. \ \ In simple terms, the State believes that the Town’s properties are worth more than what the Town’s claims for its own valuation. The certified ratio is an attempt to normalize all the municipalities across the State, to more fairly distribute exemptions, revenue sharing, and so forth.