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State Representative Paul Anderson

255 State Office BuildingState Office Building
100 Rev. Dr. Martin Luther King Jr. Blvd.
651-296-4317

For more information contact: House GOP Communications 651-296-5520

Posted: 2009-03-23 00:00:00
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E-mail update

Green Acres fixes in works


Neighbors-

Many people in our area participate in Green Acres and they have expressed concern over changes the Legislature made to the agricultural land program last year. Fixing Green Acres has been an ongoing process this session and the issue was brought to the House floor Monday. Here’s an update:

The Senate added Green Acres “fixes” to the House’s tax conformity bill (HF392). The Senate also pulled out federal tax conformity components. The House majority voted against approving those changes Monday, so now the bill will be reviewed by a conference committee starting Tuesday.

There are up to 18 bills to repeal or fix those Green Acres changes, but it is clear the House majority will not allow any of them to pass on their own merit. The Senate’s Green Acres changes are steps in the right direction and some would say this is better than nothing at all. But, at the very least, the lack of a true grandfather clause and a weak transfer clause need to be addressed by the conference committee.

Here are the Senate’s Green Acres provisions in HF392:

-Rural vacant land (RVL) will continue to qualify until:
1. the land is sold, transferred or subdivided
2. the 2013 assessment year

-RVL that is withdrawn from the green acres program and enrolled in the Land Conservation Property Tax Program will not be subject to back taxes.

-When land no longer becomes eligible for the green acres program, it is subject to a three (3) year payback.

-Government sponsored conservation land (ie: CRP, RIM) does qualify for green acres.

-Extends the definition of class 2a property

One cause for concern over this bill being sent to the conference committee is we have a stacked deck in terms of representation. Rep. Randy Demmer (Hayfield) is the lone minority member from the House who has been appointed.

In any case, several scenarios could unfold as the conference committee works on the bill. There could be slight changes, a major overhaul, or Green Acres fixes could be altogether stripped from the bill. A few things could happen if Green Acres was removed:

1. Green Acres reappears late this session in the omnibus tax bill.
2. Green Acres reappears in some other form.
3. Nothing happens and Green Acres fixes are on hold for at least a year.

The Senate has done its part by giving us a starting point for fixing Green Acres. Now it is up to the House majority to help fix the problems created last session. The only reason for delay at this point is if the majority does not want to restore the program.

Sincerely,
Paul

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