Part 6

This month’s installment of the scrutiny of questionable use of tax dollars in Williamson County, outlined by Elisabeth ‘Lily’ Abbott, Marion resident in her compilation of the matter, “None Dare Call it Corruption,” is the sixth in the series which, appropriately enough, continues for this Election Edition issue. The research was prompted by Abbott’s own tax and property battles with the city of Marion, Williamson County, and TIF District corporation owner Doug Bradley, who to this day doesn’t realize that a TIF District is effectively a taxing body. The research shows how Williamson County taxpayers are being deprived fair assessment of property tax values and income from higher-end properties that could alleviate other taxing woes, all in the name of “buddy” discounts and favoritism shown certain ones, and all apparently at the direction of Assessor Jeff Robinson.

Marion Discount LLC from FD Marion Illinois, from Mack’s Auto Sales, Inc.

In August of 2012, Mack’s Auto Sales, Inc. sold the corner part of the prime commercial corner lots on the northwest corner of Illinois Route 37 (Court Street) and West Main Street in Marion, Illinois to FD Marion Illinois 800 West Main, LLC (property directly across from the new CVS pharmacy).

P-TAX records confirm the total purchase price for (only part of) these five parcels was $ 325,000.

In August of 2012, FD Marion Illinois 800 West Main, LLC (aka the Family Dollar Store) took out a mortgage for $ 881,250 and began constructing the new facility.

In February of 2013, the building was finished and the new Family Dollar Store was open for business.

The Williamson County Tax Assessor created four new tax parcels for this transaction, with two for FD Marion 800 West Main, LLC and two for Janes Properties, Inc. Mack Janes, who originally owned all of, and retained part of his property in the sale to FD Marion 800 West Main, LLC. in August of 2012. Mack Janes placed the remainder of the Mack’s Auto Sales, Inc. property into Janes Properties, Inc. in the interim.

In an inexcusable departure from the normal and expected assessment requirements, the Williamson County Tax Assessor did not reassess this property to reflect the obvious and actual fair cash land value, aka purchase price of $ 325,000, for the vacant land for the 2013/2014 tax year.

The Williamson County Tax Assessor assessed the combined total fair cash land value of this property for the 2013/2014 tax year as only $ 202,480.

In addition, the Williamson County Tax Assessor assessed the finished building at a total fair cash value of $929,150. He then picked up only six months of that for the 2013/2014 tax year, $ 464,580, even though the building was obviously competed and open for business in February of 2013.

Accordingly, the fair cash value assessment for the building, based on nine months, should have been $696,862 for the 2013/2014 tax year. Adding the purchase price of the land, $325,000, makes a total fair cash value assessment for the 3013/2014 tax year of $ 1,021,862.

Instead, the Williamson County Tax Assessor has assessed this property’s total fair cash value for the 2013/2014 tax year for only $ 674,590.

The Williamson County Tax Assessor has given this property a discount of $347,272.00 for the 2013/2014 tax year.

The rough estimate of tax monies the county has been defrauded of for the 2013/2014 tax year alone is approximately $ 8,000.

In September of 2013, FD Marion Illinois 800 West Main LLC sold the property to Marion Discount, LLC, a Delaware limited liability company. P-TAX records confirm that the total purchase price for this September of 2013 sale was $1,473,984.

HC Development, LLC. from Ramsey Furniture, Inc.

In January of 2007, HC Development, LLC purchased a large store building located on the north side of New Route 13 (frontage road) in Carterville, from Ramsey’s Furniture, Inc. (locally aka Dushell’s Furniture).

P-TAX records confirm that the total purchase price for these three tax parcels was $1,100,000.

The large structure’s interior had been stripped “to the bare bones” before the time of the sale.

HC Development, LLC procured two mortgages dated the same day of the sale both recorded on this property, one for $1,100,000 and the second for $ 500,000, presumably for the cost of remodeling the stripped interior of the building.

At any rate, the Williamson County Tax Assessor failed to reassess this property to reflect its actual fair cash value based on the purchase price and the required complete interior renovation not only for the following tax year but all of the subsequent years to date.

The property currently houses numerous businesses, strip mall style.

The rough estimate of tax monies the county taxpayers have been defrauded of on this transaction to date is approximately $ 70,000.

Marion Heights, LLC from Edward Leon Billingsley and Mary Janis Billingsley

In June of 2012, Marion Heights, LLC purchased approximately one acre of land from Edward Leon and Mary Janis Billingsley. This property was comprised of four lots on two tax parcels located on Stanford Street just south of Morgan Avenue in Marion.

P-TAX records confirm that the total purchase price was $ 225,000 as shown by the two deeds in this transaction.

The Williamson County Tax Assessor immediately changed both the owners’ name and the mailing address on both of the tax parcels for the tax year of 2011/2012, but did not reassess this property to reflect the actual purchase price.

The combined total assessed fair cash value for this property was only $ 11,298 for the 2012/2013 tax year.

In an inexcusable departure from the normal and expected assessment requirements the Williamson County Tax Assessor did not reassess this property for the following tax year of 2013/2014 according to the published assessments changes for Williamson County.

The rough estimate of tax monies the county taxpayers have been defrauded of on this transaction alone is approximately $ 5,000.

Marion Heights LLC from Susan Kay Emery

In August of 2012, Marion Heights, LLC purchased approximately 1.5 acres of land from Susan Kay Emery. This property is located on the south side of Morgan Avenue near the northbound Interstate 57 off ramp currently under construction in Marion.

P-TAX records confirm that the purchase price for these parcels was $ 285,000. The Williamson County Tax Assessor changed both the owner’s name and mailing address to that of Marion Heights, LLC for the following 2012/2013 tax year for all of these tax parcels.

In an inexcusable departure from the normal and expected assessment requirements, the Williamson County Tax Assessor did not reassess these tax parcels to reflect the actual purchase price for the 2013/2014 tax year, according to courthouse files and the published assessment changes for Williamson County.

Interestingly, all of these parcels were in the City of Marion’s First TIF District until 2011 when the Marion Heights II TIF district was amended, and three of these tax parcels were removed from the much older, but still active, First TIF District, and inducted into the newer Marion Heights II TIF District. The fourth tax parcel in this transaction was split between the TIF districts, creating two new tax parcels. The Marion Heights II TIF District is named after, and was created for, the same developer who purchased this 1.5 acres.

The rough estimate of the tax monies the county taxpayers have been defrauded of on this transaction alone is $ 6,200.

Jill N. Crespi and Daron F. Absher from Robert Brent Gentry and Anita Lynn Gentry

In December of 2005, Jill N. Crespi and Daron F. Absher purchased a 1974 sq. ft. home, built in 1999, from Robert Brent Gentry and Anita Lynn Gentry. This brickfront property is located at 1016 Meadowlark Drive in Carterville.

Robert Brent Gentry is also known as Brent Gentry, an elected county official, one of the three Williamson County Commissioners.

P-TAX records confirm that the purchase price for this property was $ 206,000.

In an inexcusable departure from the normal and expected assessment requirements, the Williamson County Tax Assessor did not reassess this property to reflect the actual purchase price, aka fair cash value, for the following 2006/2007 tax year.

In fact, the Williamson County Tax Assessor did not reassess this property for the subsequent tax years of 2007/2008, 2008/2009, 2009/2010, 2010/2011, 2011/2012, 2012/2013, nor for the current 2013/2014 tax year.

The rough estimate of tax monies the county has been defrauded of in this transaction alone is approximately $ 5,200.

Mack’s Auto Sales from Elizabeth Ragland Boyle

In June of 2005, Mack’s Auto Sales purchased a 4 acre tax parcel from Elizabeth Ragland Boyle. This prime commercial property is located at 914 West Main Street in Marion.

P-TAX records confirm that the purchase price was $ 425,000. Property record cards also confirm that this sale was not an “arm’s length transaction.”

Courthouse records further show that there are two large commercial buildings on the paved property. The first is approximately 18,000 sq. ft. and was built in 1969, including two later additions and improvements (in 1973 and 1991). It housed Mack’s Super Foods for several years, and currently houses the busy Borowiak’s IGA grocery supermarket.

Courthouse records show that the second commercial building located on this tax parcel is approximately 7,800 sq. ft. and was built in 1987. It housed the Hook’s Drugstore for years, and is currently leased to a thriving Christian bookstore called “Handfuls on Purpose.”

This property is located on the north side of West Main Street in Marion directly across from the City of Marion’s new multi million-dollar project, “Lazy River Recreation Center,” currently under construction. The property is certainly not economically obsolete or disadvantaged.

The fair cash value assessment of this large 4 acre property with the two commercial buildings was $ 1,340,112 on the 2005/2006 year tax bill, also the year of the non-arm’s-length purchase.

The Williamson County Tax Assessor, Jeff Robinson, would provide no answers when asked why this prime commercial property received two huge tax reductions in 2006 and 2010.

The Williamson County Tax Assessor inexplicably reduced the fair cash value of this property to $824,160 for the 2006/2007 tax year.

The Williamson County Tax Assessor further reduced the fair cash value of this property to only $671,280 for the 2010/2011 tax year after a Board of Review Hearing. Williamson County Commissioners were not available for comment or answers as to why.

Interesting to note that in 2010 the new City of Marion Hub TIF District was created, and this property was included. Clearly, the lower the EAV tax base is at the inception of the TIF, the greater the opportunity for that TIF district to siphon off future tax revenue on that property.

The large commercial buildings on this property are 44 and 26 years old respectively, and appear to be in the expected condition, and obviously are both in use and producing income. As mentioned, both buildings house active businesses.

Using a very conservative $50.00 per sq. ft. cost approach would set a cost value of $900,000 on the supermarket building, and a cost value of $390,000 on the bookstore building, for a combined total of $ 1,290,000. Figure in a liberal 50 percent depreciation factor, $25.00 per sq. ft., and you have a current combined fair cash value of $645,000 for the commercial buildings. Add a conservative $20,000 for paving and the (very low) 2012 land value assessment of $330,480 for the four acres and you have a lowest possible total fair cash value assessment of $995,480.

Arguably, a very conservative fair cash value of $995,480 for the 2013/2014 tax year is plausible and supportive with facts (compare to the $1,340,112 value for the 2005/2006 tax year).

The rough low estimate of tax monies the county taxpayers have been defrauded of on this property alone in eight years is approximately $45,000.…likely much higher.

Delta Communications, LLC from Cerrado, LLC 

On October 20, 2010 the City of Marion passed Ordinance #2330 accepting the dedication of the newly created subdivision platted as the “CLEARWAVE COMMUNICATIONS COMMERCIAL” to the City of Marion, Illinois. This 3.142-acre subdivision was comprised of a total of only two lots. Jeff Robinson approved the subdivision plat, signed, and recorded it.

On October 29, 2010, Cerrado LLC (Osman and Mayer et al) sold Lot #2 to Delta Communications, LLC (the recipient of a $31 million federal contract award).

P-TAX records confirm that the purchase price was $440,000.

There was a 19-year-old building (previously a “Golf Warehouse”) on the property at the time of the sale, assessed with improvements at a fair cash value of $115,680 on the 2010/2011 tax bill.

Delta Communications, LLC obtained a $560,000 building permit in March of 2011, razed the old building, and built a new one specifically for their fiber optic cable installing business.

In an inexcusable departure from the normal and expected assessment requirements, the Williamson County Tax Assessor did not reassess this property to reflect the actual purchase price, aka its fair cash value.

Instead, the Williamson County Tax Assessor assessed the land value at only $57,090, and the new building for $ 400,370. Clearly, the fair cash value assessment should have been the actual purchase price of $ 440,000, plus the new building assessment of $ 400,370, for a total of $ 840,370.

The rough estimate of tax monies defrauded the county taxpayers on this transaction alone is approximately $ 18,000.

William Brian Ziegler and Robyn Dale Ziegler from The Salvation Army

In August of 2011, William Brian Ziegler and Robyn Dale Ziegler purchased five vacant land parcels from The Salvation Army, an Illinois Corporation. This prime commercial property is located on North Court Street, aka Illinois Route 37, in Marion.

Property record cards record the purchase price as only $ 150,000, less than half of the purchase price six years earlier.

William Brian Ziegler is the owner of Clarida & Ziegler Engineering , and along with Glen Clarida, serves as the City of Marion’s engineer. Clarida & Ziegler Engineering provides the vast majority of all engineering services for the City of Marion, IDOT, and Williamson County.

The Salvation Army example of this exposé outlines the failure of the Williamson County Tax Assessor to reassess this same property in the previous 2005 sale as well, to reflect the actual purchase price. The property was included in the City of Marion’s new Hub TIF District in 2010.

For this transaction, the Williamson County Tax Assessor reduced the (already-questionable) fair cash value assessment of $235,380 from the 2010/2011 tax year, to a fair cash value assessment of only $155,508 for the 2011/2012 tax year.

The Williamson County Tax Assessor immediately changed the owner’s name and mailing address on all five tax bills for the 2011/2012 tax year.

In March of 2012, William Brian Ziegler took out a $ 633,420 mortgage and began construction of a large commercial building on the northern part of this property. It currently houses the thriving Clarida & Ziegler Engineering firm.

In an inexcusable departure from the normal and expected assessment requirements, the Williamson County Tax Assessor did not assess this property for the new construction for either the 2012/2013 tax year, or the 2013/2014 tax year according to the required published assessment changes for Williamson County, as well as property record files at the courthouse.

Based on above mortgage information (as well as the large brand new brickfaced commercial building now on this property) a conservative estimate of the fair cash value assessment for this building would be $ 500,000.

The rough estimate of tax monies the county taxpayers have been defrauded of on this transaction alone for non assessment of the new building is, at least, approximately $12,000.

Marion of Illinois, LLC/City of Marion

In May of 2000, a land lease agreement was entered into by the City of Marion and Marion of Illinois, LLC for the construction of a large 51,000 sq. ft. commercial building for use by the Wisconsin Physicians Service Insurance Corporation.

In May of 2000, a “Subordination, Non-Disturbance and Attornment Agreement was signed by and between Associated Commercial Mortgage, Inc. (lender) and Marion of Illinois, LLC (borrower) and Wisconsin Physician’s Service Insurance Corporation (tenant) attaching a 12.7786 acre piece of a 46.45 acre parcel PIN #06-17-200-026, owned by the City of Marion (lessor).

In May of 2000, Marion of Illinois, LLC signed, and the City of Marion executed, a $4,800,000 mortgage with Associated Commercial Mortgage, Inc. with Mayor Robert L. Butler signing for the city, and Attorney Thomas Jilot signing for a Robert A. Blettner for Marion of Illinois, LLC.

This $4,800,000 mortgage was secured by the 12.7786 acre part of a 46.45 acre tract of land owned by the City of Marion, which is shown as PIN #06-17-200-026, along with all improvements.

In 2001, a 51,000 sq. ft. commercial building was constructed on the site, PIN #06-17-200-026, located in the Robert L. Butler Industrial Park on the west side of Marion, just south of Illinois New Route 13, in Marion.

In June of 2003, the City of Marion deeded to Marion of Illinois, LLC two strips of land adjacent and west of the 51,000 sq. ft. building totaling 7.64 acres and described as parking parcels #1 and #2. The deed was prepared by the City of Marion Clerk, Elizabeth J. Strobel. The deed was signed by Mayor Robert L. Butler and Elizabeth J. Strobel, with an attached plat of survey by Clarida Engineering of Marion, and recorded at the Williamson County Courthouse. These two parking parcels are now identified as PIN #06-17-200-025.

In July of 2005, an Amendment to Mortgage Security Agreement and Financing Statement was filed at the Williamson County Courthouse and signed by and between the Lender, Associated Bank, National Association and the Borrower, Marion of Illinois, LLC and also executed by the City of Marion, subjecting the fee interests of the City of Marion to that of the Lender’s, Associated Bank, National Association.

A second amendment was signed and filed by the same parties in September of 2013.

The 51,000 sq. ft. building financed by this mortgage by Marion of Illinois, LLC and leased in a ten-year lease with two five-year options agreement to Wisconsin Physicians Service Insurance Corporation is absolutely located on PIN # 06-17-200-026, which by all apparent accounts is owned by the City of Marion.

However, for some unknown reason this building has been taxed on a completely different, adjacent, and vacant 21.01-acre land tract also owned by the City of Marion, PIN #06-17-400-012, and the bills sent to The Blettner Group and shown paid, for the tax years (earliest copies of which were available) of 2004/2005, 2005/2006, 2006/2007, and 2007/2008.

The 51,000 sq. ft. building continued to be taxed on PIN #06-17-400-012 for the tax years from 2008/2009, 2009/2010, 2010/2011, and 2011/2012, but the tax bill recipient and mailing address were changed without explanation to Marion of Illinois, LLC.

The 51,000 sq. ft. building incorrectly listed as on PIN #06-17-400-012 for all these years has enjoyed the tax benefits of an “enterprise zone” the entire time. The “enterprise zone” benefit disappeared for the 2012/2013 tax year.

For the tax year of 2012/2013, the building was taken off of the tax bill for PIN #06-17-400-012 and transferred to PIN #06-17-200-026 for the first time (which is actually the land it sits on) and the recipient’s name on the tax bill for 06-17-200-026 was changed to Marion of Illinois, LLC for the first time.

PIN #06-17-200-026 had been tax free and had been in the name of the City of Marion from 2005 through the 2011/2012 tax year.

There is no recorded deed showing Marion of Illinois, LLC as the owner of PIN #06-17-200-026. (Marion of Illinois, LLC. was only deeded the two parking parcels aka PIN #06-17-200-025.)

PIN #06-17-200-026 showed it was taxed for a total fair cash value of $6,731,628 for the 2012/2013 tax year and that a total of $146,988.70 in taxes was paid.

PIN #06-17-400-012 on the other hand, went back to zero taxes, and the recipient is now the City of Marion.

The published changes listed in the Marion Daily Republican newspaper for the 2013/2014 tax bills show that now at least part of PIN #06-17-200-026 (that’s the one the 51,000 sq. ft. building sits on) in the name of the City of Marion now has a reduced assessment of $ 5,550,420.

This type of tax parcel manipulation for what appears to be either huge enterprise zone tax abatement benefits, or just plain incompetence by the City of Marion and the Williamson County Tax Assessor leave the taxpayers at risk, and defrauds the taxpayers of trust for honest services by their government officials

Be watching upcoming issues of Disclosure for the finale of this astonishing ripoff of the taxpayers of Williamson County.