SB 248: AGRICULTURAL LAND VALUATION

An Act Relating To Property Taxation; Providing For A Cap On The Valuation Of Certain Land Previously Valued As Land Used Primarily For Agricultural Purposes; Declaring An Emergency.

Add to My Bills

MILD SB 248
AGRICULTURAL LAND VALUATION

Legislative URL:

SB 248 on nmlegis.gov

Emergency Clause:

Yes

Germane:

N/A

Location:

SCC

Action:

[4] SCC/SCORC/SFC-SCC API.

Issue(s):

Land Use & Growth

Related Legislators

Bill Sponsor:

Carlos Cisneros Roberto “Bobby” Gonzales

Related Documents

Downloads:

Introduced
Fiscal Impact Report

Summary

This piece of legislation enacts new law that places a cap on the valuation of some property that formerly qualified for valuation as “land used primarily for agricultural purposes” (under §7-36-20 NMSA 1978) for property tax purposes but no longer does. To qualify, the land must have been valued as agricultural property for at least nine of the ten prior tax years. Under the bill, the value of the land will not exceed the greater of 103% of its value 2 years before the tax year in question or 106.1% of its value three tax years before. The bill also requires that during the 10 prior years the piece of property did not change ownership with the exception of changing ownership among spouses, parents, children or siblings. The measure provides for similar caps for succeeding years until the value reaches the “current and correct value.”

The measure does not apply to residential property, commercial property or certain other enumerated properties.

This bill may have the positive effect of allowing families to keep agricultural property in the family after it is no longer being used as such because it may allow them to avoid unmanageable increases in property taxes. That may be a positive step towards keeping properties from being sold for development or other use that would cause the loss of undeveloped land.

This bill is not a companion bill to HB301 but addresses the same issue. Both bills share the same pair of sponsors.

Date of Summary:  1/31/2014

Outcome:

SB 248 died in the Senate Committees Committee.

Updated 7/31/14