|
||||
|
|
||||
|
|
The Property Tax Audit ProcessThe RBJ Group uses a six-step process to identify and recover property tax overcharges for our clients. Task 1 Identify locations where there are probable property tax overcharges. Task 2 Obtain the necessary documents from Client to perform real property tax audit. Task 3 Review lease. Task 4 Audit Landlord's billings and Client's payments for property taxes. Task 5 Deliver findings to Client. Task 6 Facilitate recovery of overcharges with Landlord. TASK 1 - IDENTIFY PROPERTY TAX PROBLEMSThis task involves researching a complete list of client locations to determine which locations have a high probability of property tax overcharges and includes the following subtasks: 1.1 Obtain a complete list of all locations including the following information:
1.3 Determine Location to Audit: Based on research in 1.2 above determine locations for which to perform property tax audits. Determine with Client how many leases to begin with. TASK 2 - GATHER NECESSARY INFORMATION FOR AUDITThis task involves obtaining copies of the following information in order for RBJ to complete its property tax audit. 2.1 Lease and Related Documents: Obtain copies of lease, addenda, CC&R's and Reciprocal Easement Agreements from Client, if necessary. 2.2 Real Property Tax Records: Obtain landlord-prepared property tax invoices from Client, the Assessor's Parcel Map, and county records regarding property tax appeals and changes from respective public agencies. 2.3 CAM Reconciliations: Obtain copies of CAM reconciliations and property tax billings (if property taxes are billed separately from CAM) for the last three to four years from Client and/or landlord. 2.4 Building/Shopping Center Information: Obtain outside information regarding Building/Center size, square footage, tenant rolls and other pertinent information of use in the audit. TASK 3 - LEASE REVIEWThis task involves reading the actual, signed lease (addenda, CC&R's and REA's where applicable) to determine exactly which expenses Client is required to pay and exactly how those figures should be calculated. The lease determines pro rata share for demised premises property taxes and common area property taxes, and their method of calculation. TASK 4- AUDIT LANDLORD BILLINGSThis task involves reviewing actual pass throughs and includes a review of assessor's parcel maps, tax bills, special assessment breakdowns, and historical county records to determine accuracy of tax pass through as well as tax appeals/corrections that may have affected the property. TASK 5 - DELIVER FINDINGS TO CLIENTThis task involves preparing a spreadsheet which compares actual property tax expenses passed though to tenant compared to what should have been passed through to tenant pursuant to RBJ's review of the lease and records along with a letter detailing these findings. Client then gives approval prior to RBJ submitting findings to Landlord. TASK 6 - FACILITATE RECOVERY OF OVERCHARGESThis task includes progress reports and discussions with client, submitting findings to landlord, and landlord negotiations to recover overcharges. 6.1 Progress Reports: RBJ will prepare monthly progress report of property of tax audits to Client. In addition, RBJ will discuss property tax audits on an as needed basis with Client. Such conversations shall review the scope of work, present progress reports and final findings. 6.2 Initial Findings to Landlord: Deliver findings to landlord. Negotiations consist of additional letters to the landlord to resolve the issues. 6.3 Additional Discussions: Prepare responses, spreadsheets, and other documentation addressing specific landlord concerns raised in the initial discussion of overcharges to resolve the issues and recover overcharges. |
|
||