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TAX WATCH

Subpoenas issued for Monmouth pilot program

Susanne Cervenka
@scervenka
Matt Clark, Monmouth County Tax Administrator, is interviewed about the Assessment Demonstration Program Thursday, June 25, 2015, in his office at the Hall of Records in Freehold.

Several Monmouth County towns were served grand jury subpoenas in connection to a criminal investigation into the county's embattled property tax pilot program.

At least three towns, as well as the Monmouth County government, received the orders to produce records related to the embattled Assessment Demonstration Program, local property assessors and Monmouth County Tax Administrator Matthew S. Clark, several independent sources told the Asbury Park Press. They include Avon, Belmar and Tinton Falls, but other towns were expected to receive them.

Windfall for tax assessors:Read the original investigation

Public outrage boiled over after a Press investigation published last month found that a former Monmouth County Tax Board member who helped create the program is now a managing member of Realty Data Systems, which has won millions in contracts to conduct the inspections that are signature to the program. The newspaper also found another firm, Realty Appraisal Co., which has won millions in contracts to appraise property under the program, had previously hired as subcontractors municipal assessors who are supposed to oversee their work.

Tax board wants ideas on besieged pilot program

Clark and attorneys representing Realty Data Systems could not be reached for comment. Philip Elberg, the attorney for Realty Appraisal, said he was not aware of the subpoenas and could not comment.

The subpoenas asked for all "records associated with Realty Appraisal Company, Realty Data Systems" and three other firms involved with municipal contracts. It also asked for all emails and correspondence to or from Monmouth County Tax Administrator Matthew Clark.

The subpoenas were signed by Monmouth County Prosecutor Christopher Gramiccioni, and the trial court administrator of the Superior Court in Freehold. Charles Webster, spokesman for Gramiccioni, said the prosecutor's office does not comment or confirm investigations.

The assessment pilot program, which radically changes how the county places values on property for tax purposes, began drawing detractors as property owners started getting new, higher property assessments. The furor increased as those new assessments translated into higher property tax bills.

APP sparks call for tax investigation

In the wake of the investigation, Monmouth County freeholders and at least eight towns have called for the pilot program to be suspended while issues raised by the Press investigation were further reviewed. Those requests were rebuffed by the Monmouth County Tax Board, which oversees the ADP, whose members said the pilot program is being besmirched by "allegations and innuendo."

Avon recently authorized a lawsuit against the Tax Board asking the town to be let out of the program. That lawsuit is still being prepared.

Meanwhile, Wall is scrutinizing its $715,000 contract with Realty Appraisal Co. to ensure work is being done properly. The township temporarily suspended the contract because Realty Appraisal was months behind a court-ordered schedule, a fact that township officials say their municipal assessor may have helped hide because he was working with the appraisal firm.

Christie won't take action on Monmouth tax program

Middletown canceled its $555,506 contract with Realty Data Systems, one of the companies at the center of the Press investigation, saying it can do a better job keeping the work in-house with part-time employees.

This is a developing story. Check back for updates.