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Furst won't appeal Marina Jack decision


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  • | 4:00 a.m. May 10, 2012
Property appraisers have sought the right to collect taxes on Marina Jack property four times since the 1960s. File photo.
Property appraisers have sought the right to collect taxes on Marina Jack property four times since the 1960s. File photo.
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Sarasota County taxpayers don’t have to worry about Property Appraiser Bill Furst appealing a judge’s ruling on a tax dispute lawsuit between the property appraiser’s office and Marina Jack restaurant owner Bob Soran. However, there’s a strong possibility Soran will appeal.

If Soran chooses to appeal the case, a lawsuit that has already cost taxpayers $265,951 through April 30, would increase dramatically as the case continues in a court of appeals.

Soran challenged Furst’s August 2010 decision to collect $1.5 million in taxes on the property — $300,000 for 2010 and $1.2 million for unpaid back taxes.

The city owns the land and the building, but Jack Graham Inc. leases them both for 3% of its annual revenues, which came out to about $300,000 in 2010. The same agreement has essentially been in place since the 1960s, although it’s been challenged four separate times by county property appraisers.

Sarasota County Clerk of Court Judge Thomas Gallen ruled Feb. 22 that the restaurant company did not have to pay back property taxes sought by Furst because of an agreement in place with the city that essentially grandfathered the land from being taxed.

But May 1, the summary judgment ruled in favor of Furst’s ability to tax the surrounding property not specifically listed in the 1988 agreement. The agreement was reached when a former property appraiser also sought back taxes.

What worries Soran and his lawyer is what the May 1 ruling actually means.

In essence, Gallen’s ruling says Furst can’t tax any parcel that a previous judge already ruled was exempt in the 1988 ruling. Anything else, mainly new structures (i.e. docks and other upgrades to the property) that were built since that agreement, might be fair game for Furst to appraise.

What upsets Soran is a 1997 agreement that was reached when the taxation arose is more encompassing and wouldn’t allow Furst’s office to tax certain areas that could be taxed if only the 1988 agreement is applied.

By only going off the 1988 agreement, Soran said Furst might have the right to tax some docks and structures that have been built since that time.

Both Furst and Soran are headed to a court-ordered mediation June 1 to try and agree on what can be taxed moving forward.

“I would love to control costs for both me and the taxpayers,” Soran said. “But I won’t rule out my right to appeal if I have to.”

Bradenton attorney John Harllee, who is defending Jack Graham Inc., said the judge allowed his client to file an amended complaint that details the concerns they have with the judge’s ruling.

“There still appears to be a significant dispute over what’s exempt from taxation and what’s not,” Harllee said.

Neither Furst nor his attorney returned a phone call seeking comment for this story.

But at a May 3 Sarasota Tiger Bay luncheon, Furst told those in attendance he was pleased with the outcome of the lawsuit and expressed a willingness to work with Marina Jack.

“We are very happy with the results of the lawsuit,” Furst said. “We would not appeal the results and are in current discussions with Marina Jack on how to move forward,” he added.

 

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