Horse breeders seek tax status

When state legislators added the breeding, training and boarding of horses as an agricultural pursuit to statute last year, the change didn’t correlate with property tax laws. So when St. Michael horse breeder David Dayon received notice that he was being assessed at a higher commercial tax rate, he sought help from the Legislature on behalf of the 13,000 farms that raise 150,000 horses in Minnesota.

HF539, sponsored by Rep. Bruce Anderson (R-Buffalo Township), would provide modifications to the agriculture classification law so these operations would qualify for the lower property tax rate. It was laid over in the House Agriculture and Rural Development Policy and Finance Committee March 3. Sen. Doug Magnus (R-Slayton) sponsors a companion bill, SF396, which awaits action by the Senate Agriculture and Rural Economies Committee.

Rep. Terry Morrow (DFL-St. Peter) said the bill may have implications with HF12, the Green Acres bill currently making its way through the legislative process. He recommended sending the bill to the House Taxes Committee.

Hennepin County assessor Bill Effertz said the bill could result in more discrepancies between city and county assessors.