McHenry Township Assessor has turned in her fourth year of real estate assessments and they show a margin of error of 19.21%.
The margin of error, called the “Coefficient of Dispersion” by the Illinois Department of Revenue, measures how uniform property tax assessments are in a jurisdiction.
The three-year level of assessments for McHenry Township real estate is 31.15%.
Because state law mandates that property be assessed at 33.3%, Mahady’s underassessment meams the McHenry County assessment office will impose what are commonly called “township multipliers” to increase the three-year average to one-one third of market value.
What does a 19.21% margin of error mean?
Let’s assume local sales taxes were still five percent. (I know one has to go a long way back to have paid that little, but this is just an illustration.)
And, let’s assume Mahady’s margin of error were slightly higher at 20%.
If three people bought $100 worth of groceries,
- one would be charged $5 sales tax
- another would be charged $4 sales tax and
- the third would be charged $6 in sales tax
McHenry Township homeowners are treated just a bit better than that.
Another way of looking at the margin of error statistic is that after the County raises assessments with a uniform township multiplier of about 7.3%
- half of McHenry Township homeowners will be assessed between 30.9%and 35.7% and
- the other half will be assessed higher or lower