How to get a lower property tax rate for farming land

(a) Lands classified and used for agriculture and which are not dedicated pursuant to section 19-60, may be assessed for real property tax purposes as established in subsection (a)(2) of this section and shall be subject to the following: (1) The land in nondedicated agricultural use must be used on a continuous and regular basis for intensive agriculture, orchards, feed crops and fast rotation forestry or pasture and slow rotation forestry on lands zoned by the County to be in the districts of agricultural, residential and agricultural, family agricultural, intensive agricultural, and agricultural project district; (2) The portion of land that is committed in specific nondedicated agricultural use shall be assessed at two times the dedicated agricultural use value as established by the director of finance under this chapter; and (3) A farm dwelling site shall be assessed at the highest commercial agriculture use value, provided that the maximum farm dwelling site area to be assessed at the highest commercial agriculture use value shall not exceed one- fourth acre. (b) All portions of land that are not committed or used for a specific agricultural use shall be assessed based on the proportional market value of the total property. (c) Application; filings; assessment effective; renewal. (1) The director shall prescribe the form of the nondedicated agricultural use application. (2) The application shall be filed with the director by December 31 of any calendar year with no new applications accepted after September 1, 2024. SUPP. 15 (1-2024) 19-34 REAL PROPERTY TAXES § 19-57 (3) The application for a nondedicated agricultural use assessment must be signed by all owners of the land being committed. (4) If the application is approved, the assessment based upon the use requested in the application shall be effective as of January 1 for the following tax year. (5) Renewal of the application shall be in such form and at such time as required by the director. (d) Deferred or rollback tax. (1) A deferred or rollback tax shall be imposed on the owner of the agricultural land upon any of the following events: (A) Conversion to any County zoned district other than agricultural, residential and agricultural, family agricultural, intensive agricultural, or agricultural project district as a result of a petition by the owner or lessee; (B) The property is subdivided into parcels of less than five acres in size; or (C) A condominium property regime is declared for the property having condominium units with an area equivalent to less than five acres in size. (2) The deferred tax shall commence from the date the conversion was made retroactive to the date the agricultural use assessment was approved, but for not more than a period of two years plus the current year. (3) The amount of deferred taxes shall be based on the difference between the assessed market value at highest and best use and the assessed agricultural use value of the land at the tax rate applicable for the respective years, with a ten percent penalty. (e) Sunset of nondedicated agricultural use assessment. This section shall be repealed on January 1, 2029. Consequently: (1) No new applications for nondedicated agricultural use assessment will be accepted by the director after September 1, 2024; (2) Owners of land currently assessed in the nondedicated agricultural use category shall reapply for an alternative use assessment or dedication by September 1, 2026. If no application is received by the director by September 1, 2026, the property shall not be assessed at the nondedicated agricultural use value established in subsection (a)(2) of this section; (3) The director shall notify all current owners of land currently assessed in the nondedicated agricultural use category in writing of the intent to sunset the nondedicated agricultural use assessment and the deadline to apply for another program; (4) On or before September 1, 2028, the director shall review all reapplications; (5) Owners of land who have applied for a community food sustainability use assessment or a short- or long-term commercial agricultural use dedication in accordance with section 19-57(e)(2) shall have their property assessed at the nondedicated agricultural use assessment rate until the 2029 tax year, unless their applications have been denied or they have applied for a different tax program; and 19-35 SUPP. 17 (1-2025) (6) Subsection 19-57(d) shall continue to apply to owners of land who reapply under this sunset provision. (2004, ord 04-143, sec 4; am 2023, ord 23-59, secs 3 and 4; am 2024 ord 24-72, sec 2.)19- 57