HF 2752

as introduced - 87th Legislature (2011 - 2012) Posted on 03/14/2012 11:34am

A bill for an act
relating to property taxation; eliminating the Department of Revenue's role
in setting property valuations for green acres and rural preserves; amending
Minnesota Statutes 2010, sections 273.111, subdivision 4; 273.114, subdivision 3.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2010, section 273.111, subdivision 4, is amended to read:

Subd. 4.

Determination of value.

(a) The value of any real estate described
in subdivision 3 shall upon timely application by the owner, in the manner provided
in subdivision 8, be determined solely with reference to its appropriate agricultural
classification and value notwithstanding sections 272.03, subdivision 8, and 273.11.
Furthermore, the assessor shall not consider any added values resulting from
nonagricultural factors. deleted text begin In order to account for the presence of nonagricultural influences
that may affect the value of agricultural land, the commissioner of revenue shall, in
consultation with the Department of Applied Economics at the University of Minnesota,
develop a fair and uniform method of determining the average value of agricultural
land for each county in the state consistent with this subdivision. The values must be
determined using appropriate sales data. When appropriate, the commissioner may
make reasonable adjustments to the values based on the most recent available county or
regional data for agricultural production, commodity prices, production expenses, rent,
and investment return. The commissioner shall annually assign the resulting countywide
average value to each county, and these values shall be used as the basis for determining
the agricultural value for all properties in the county qualifying for tax deferment under
this section. The county assessor, in consultation with the Department of Revenue, shall
determine the relative value of agricultural land for each assessment district in comparison
to the countywide average value, considering and giving recognition to appropriate
agricultural market and soil data available.
deleted text end

(b) In the case of property qualifying for tax deferment only under subdivision 3a,
the assessor shall not consider the presence of commercial, industrial, residential, or
seasonal recreational land use influences in determining the value for ad valorem tax
purposes provided that in no case shall the value exceed the value deleted text begin prescribed by the
commissioner of revenue deleted text end for class 2a tillable property in that county.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for assessment year 2013 and
thereafter, taxes payable in 2014 and thereafter.
new text end

Sec. 2.

Minnesota Statutes 2010, section 273.114, subdivision 3, is amended to read:

Subd. 3.

Determination of value.

Notwithstanding sections 272.03, subdivision
8, and 273.11, the value of any real estate that qualifies under subdivision 2 must, upon
timely application by the owner in the manner provided in subdivision 5, not exceed the
value deleted text begin prescribed by the commissioner of revenue deleted text end for class 2a tillable property in that
county. The house and garage, if any, and the immediately surrounding one acre of land
and a minor, ancillary nonresidential structure, if any, shall be valued according to their
appropriate value. In determining the value for ad valorem tax purposes, the assessor shall
not consider the presence of commercial, industrial, residential, or seasonal recreational
land use influences that may affect the value of real estate subject to this section.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for assessment year 2013 and
thereafter, taxes payable in 2014 and thereafter.
new text end