(HB 1135)
Reclassification of property, procedure revised.
Section
1.
That
§
10-6-33.17
be amended to read as follows:
10-6-33.17.
Any land which is classified pursuant to
§
§
10-6-33.14 to 10-6-33.19, inclusive,
shall remain so classified for
a minimum of five years
one year
.
Five years after the land is so
classified, the land may be reclassified as agricultural land if the land remains in agricultural use
during the five year period and if the owner of the land submits an annual application to the director
of equalization. The application shall include verified documentation that the land has been in
agricultural use during past year. If the land meets the criteria set forth in
§
10-6-31.3, has been in
agricultural use for five years, and the application requirement in this section is complied with, the
director of equalization may reclassify the nonagricultural acreage as agricultural land.
Thereafter,
the director of equalization shall reclassify all or part of any land which is classified pursuant to
§
10-6-33.14 according to its actual use, provided that any land reclassified as agricultural is
consistent with
§
10-6-31.3. Land classified pursuant to this section shall be valued for ad valorem
tax purposes in the same manner as like property.
Section
3.
The secretary of revenue shall conduct a pilot study concerning the use of
agricultural income value as a means to value agricultural land. The pilot study shall include an
analysis of various capitalization rates and determine the impact of such rates on the total statewide
assessed value of agricultural property and its relationship to the total statewide assessed value of
all property. The pilot study shall include the counties not included in the pilot study provided by
chapter 44 of the 2000 Session Laws. The secretary shall, for the purpose of providing information,
apply the provisions and procedures provided in chapter 44 of the 2000 Session Laws to value
agricultural land in the remaining counties. The secretary shall submit a report detailing the
information collected to the Governor and the Seventy-eighth Legislature.
Section
4.
There is hereby appropriated from the general fund the sum of fifty thousand dollars
($50,000), or so much thereof as may be necessary, to the Department of Revenue for the purpose
of conducting a pilot study concerning the use of agricultural income value as a means to value
agricultural land.
Section
5.
The secretary of the Department of Revenue shall approve vouchers and the state
auditor shall draw warrants to pay expenditures authorized by this Act.
Section
6.
Any amounts appropriated in this Act not lawfully expended or obligated by June 30,
2003, shall revert in accordance with
§
4-8-21.
Section
7.
Whereas, sections 3 to 6, inclusive, of this Act are necessary for the support of the
state government and its existing public institutions, an emergency is hereby declared to exist, and
sections 3 to 6, inclusive, of this Act shall be in full force and effect from and after its passage and
approval.