This bill establishes a property tax exemption for agricultural riparian buffers located on class 2a and 2b properties, contingent upon landowner compliance with specific requirements. The new subdivision added to Minnesota Statutes 2024, section 272.02, outlines the process for landowners to apply for this exemption, which includes submitting an application to the county assessor and having the local soil and water conservation district certify eligible land. If a landowner fails to comply with the requirements, the exemption will be revoked on the next assessment date. The exemption is set to take effect starting with the assessment year 2026.

Additionally, the bill introduces a new section, 272.0214, which details the reimbursement process for local taxing jurisdictions affected by the exemption. The commissioner of revenue is tasked with calculating and distributing reimbursements to these jurisdictions, excluding school districts, in two installments each year. The bill also amends section 273.1392 to include agricultural riparian buffer reimbursements in the payments certified to the Department of Education for school districts. Both the new section and the amendments are effective beginning with the assessment year 2026 and fiscal year 2027, respectively.

Statutes affected:
Introduction: 272.02, 273.1392