COMPLAINT FOR TX2020-001124.PDF

COPY
DEC 14 2020
CLERK OF THE SUPERIOR C' DURT
S. BARBA
CLERK
MOONEY, WRIGHT, Moore & WILHOIT, PLLC DEPUTY
Paul J. Mooney (No. 006708)
Bart Wilhoit (No. 020064)
The Mesa Tower, Suite 16000
1201 South Alma School Road
Mesa, Arizona 85210-1189
Telephone: (480) 615-7500
Email: pmooney@mwmwlaw.com
Attorneys for Plaintiff
SUPERIOR COURT OF THE STATE OF ARIZONA
ARIZONA TAX COURT
IX2020-001124
MESQUITE POWER, LLC, a limited No.
10 liability company,
ws COMPLAINT AND
11 Plaintiff, NOTICE OF TAX APPEAL
12 VS.
Title 42 — Property Tax
13 ARIZONA DEPARTMENT OF REVENUE,
an agency of the State of Arizona; COUNTY
14 OF MARICOPA, a political subdivision of
the State of Arizona,
15
Defendants.
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17 Pursuant to A.R.S. §§42-16204 and 42-16207, et seq., plaintiff, Mesquite Power,
18 LLC, a limited liability company (hereinafter, “Mesquite”’) appeals from the tax year 2021
19 full cash value determined by defendant, Arizona Department of Revenue (“ADOR”). In
20 support of this Complaint and Notice of Appeal, Mesquite alleges as follows:
21 I.
22 At all times material to this proceeding, Mesquite owned real and tangible personal
23 property located in Maricopa County, State of Arizona, which ADOR identifies by
24 taxpayer identification number 50-676 (hereinafter, “the Subject Property"). The Subject
25 Property consists solely of the real and tangible personal property that is known generally
26 as “Block 2” of the Mesquite Power Plant.
MOONEY, WRIGHT,
MOORE & WILHOIT PLLC
MESA,ARIZONA

Il.
Defendant, ADOR, is an agency of the government of the State of Arizona, created
and organized pursuant to A.R.S. §§42-1001, et seg. ADOR is charged with the duty of
determining annually the value of Mesquite’s taxable property located in Arizona,
pursuant to A.R.S. §§42-14151, et seq.
Ill.
Defendant, Maricopa County, is a political subdivision of the State of Arizona, and
it is made a defendant to this action, pursuant to A.R.S. §42-16208.
IV.
10 ADOR determined the final tax year 2021 full cash value of the Subject Property to
11 be $187,916,000, pursuant to its interpretation of the statutory valuation methodology
12 prescribed by A.R.S. §42-14156.
13 V.
14 Upon information and belief, for tax year 2021, the statutory full cash value of the
15 Subject Property, as determined by ADOR using the method prescribed by A.R.S. §42-
16 14156, is excessive.
17 VI.
18 Pursuant to Arizona law, Maricopa County will assess, levy and seek to collect
19 property taxes from Mesquite for the Subject Property, for itself and for each taxing unit
20 or district appearing upon its tax rolls, based on the full cash value of the Subject Property
21 that was determined by ADOR for tax year 2021.
22 VII.
23 For tax year 2021, the full cash value of the Subject Property as determined by
24 ADOR, is excessive and inequitable because, among other reasons: (1) ADOR valued the
25 Subject Property solely pursuant to the statutory methodology prescribed by A.R.S. §42-
26 14156, which valuation is excessive because (a) it exceeds the “market value” of the
MOONEY, WRIGHT,
MOORE & WILHOIT PLLC
MESA,ARIZONA

Subject Property, as determined using standard appraisal methods and techniques, in
direct contravention of A.R.S. §42-11001(6), and (b) it exceeds the statutory value if that
value is properly computed at no more than market value, under A.R.S. §42-14156.
VIL.
Pursuant to A.R.S. §42-13301, a reduction in the full cash value of the Subject
Property for tax year 2021 will require a reduction in the limited property value.
IX.
Upon information and belief, the property taxes that will be assessed against the
Subject Property for tax year 2021 will be based upon excessive full cash and limited
10 property values. As a result of these overvaluations, Mesquite will have to pay more taxes
11 than could legally be collected if the Subject Property was valued properly. Therefore,
12 pursuant to A.R.S. §§42-16213 and 42-16214, Mesquite is entitled to have the 2021 tax
13 roll corrected to reflect the correct full cash and limited property values, and to receive a
14 refund of any taxes levied, assessed and paid based on the excessive 2021 full cash and
15 limited property values, together with interest as provided by law.
16 X.
17 Because this action involves the assessment and/or collection of taxes, in the event
18 that Mesquite prevails by an adjudication on the merits of this case, Mesquite is entitled to
19 recover its reasonable attorneys’ fees and any expert witness expenses, pursuant to A.R.S.
20 §12-348(B) and (1), together with its taxable costs under A.R.S. §§12-332 and 12-341.
21 WHEREFORE, Mesquite requests that this Court:
22 1. Determine and fix the full cash value and limited property values of the
23 Subject Property for tax year 2021, in accordance with the requirements of A.R.S. §§42-
24 11001(6) and 42-13301, or correct the statutory valuation under A.R.S. §42-14156 to
25 insure that the full cash value determined under that statute does not exceed the market
26 value of the Subject Property;
MOONEY, WRIGHT,
MOORE & WILHOIT PLLC
MESA,ARIZONA

2. Render judgment that Mesquite have and recover from Defendant, Maricopa
County, a refund in the amount of any excess taxes paid based on the 2021 full cash value
and limited property values, as determined by this Court, together with interest thereon at
the legal rate from the date(s) of payment by Mesquite until refunded in full;
3. Award Mesquite its attorneys' fees and expert witness expenses incurred
herein, pursuant to A.R.S. §12-348, as well as its taxable costs; and
4, Grant such further relief as the Court may deem proper.
DATED this 14th day of December, 2020.
9 MOONEY, WRIGHT, MOORE & WILHOIT, PLLC
10
11 By:_/s/ Paul J. Mooney
Paul J. Mooney
12 Bart Wilhoit
Attorneys for Plaintiff
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MOONEY, WRIGHT,
MOORE & WILHOIT PLLC
MESA,ARIZONA