Introduced in the House on March 13, 2001, to exempt certain agricultural land from the "highest and best use" principle of property tax assessment. It would provide for a 12-year agricultural production exemption certificate, to be approved by the local unit of government and the State Tax Commission, on land located in an agricultural production district designated by a local unit of government. The property would then be taxed at a rate determined by its agricultural use value, not its "highest and best use." If the property were taken out of agriculture during the 12-year period, the property owner would be liable for up to seven-years worth of the difference between the alternative tax rate and the amount that would have been paid if the property had been taxed at the usual rate.
The state would reimburse community colleges, local school districts, and the state School Aid Fund (SAF) from the General Fund for smaller amount of revenue which they would receive under the bill
The vote was 103 in favor, 1 opposed and 5 not voting
(House Roll Call 302 at House Journal 54)Click here to view bill details.