A state official revealed last week that it is likely illegal for Kootenai County commissioners to create an advisory board for property valuation appeals, which the officials have been pursuing as a time- and cost-saving measure.

"The legal authority to assign property tax appeals to an advisory board is unclear, but under current statutes, I believe the procedure will not withstand a court challenge," wrote Carol Olsson, deputy attorney general, in a letter to Rep. Frank Henderson, who had approached the office about the legality of the commissioners' idea.

But the county is still going to create the new advisory board as planned, said Commissioner Jai Nelson, their legal staff holding ground that it is legal and will give taxpayers a fair say.

"(Olsson's) opinion was made with insufficient information," said Nelson, the driving force behind creating the board. "This panel, it provides due process, does no harm and I'm told it would withstand a legal challenge."

The commissioners, who meet as the Board of Equalization every summer to hear taxpayers' property valuation appeals, interviewed applicants this week to sit on the new BOE advisory panel that will hear appeals and make recommendations to the commissioners on how to rule.

The commissioners have said a citizens' panel would be better qualified to hear appeals, if members have appraisal expertise. The panel conducting hearings would also free up time for the commissioners to govern, as the hearings can consume days and weeks.

"In the '70s and '80s, there were 30 to 40 appeals in a year, and now we're seeing 400, 700, over 1,000," Nelson said. "The numbers are going up. So how do the counties deal with this?"

According to Olsson's Jan. 17 letter, such an advisory board appears to violate Idaho statute.

Having taxpayers plead their case to an advisory board instead of the commissioners would deprive citizens of a chance to make an argument before the decision makers, he pointed out.

"The give and take between taxpayer, assessor and the decision maker is absent," Olsson wrote.

Without the ability to question the taxpayer, he added, the commissioners will lack information to overturn the recommendation of the advisory board.

"The advisory board will be the real decision maker; the board of equalization will be a rubber stamp," Olsson stated. "I do not believe the current statutes contemplate such an arrangement."

The county's legal staff respectfully disagrees, said county attorney Pat Braden.

He noted that the commissioners will be able to review transcripts and audio recordings of the advisory board's hearings, as well as call the appellants back in to consult them directly.

The commissioners already rely on the citizen Planning and Zoning Commission, as well as county hearing examiners, for recommendations on land use issues, Braden added, without rubber stamping any decisions.

"I've seen plenty of times where the county commissioners disagree with the recommendations of the hearing examiner and the Planning Commission," he said. "I don't see this as necessarily being any different."

The details of the advisory board's function and set-up will be ironed out in an ordinance the county is currently drafting, Braden said.

Nelson said no one in the Attorney General's office contacted the county about the matter.

The Idaho State Tax Commission is supporting the county's efforts, she added, and is prepared to train the advisory board members on the hearing process.

"This panel is going to be well equipped to be knowledgeable about the issues," she said, adding that the commissioners will announce the individuals chosen for the advisory board soon.

Appellants dissatisfied with the final BOE decision can appeal through the state tax commission or through District Court, Braden said.

If the legality question persists, he added, the county is prepared to pursue state legislation clearing things up.

"I don't really see a lot of downsides to trying this," Braden said.