This bill establishes a property tax exemption for agricultural riparian buffers located on class 2a and 2b properties in Minnesota, as defined in section 103F.48. The exemption is contingent upon landowners complying with the requirements of that section. To obtain the exemption, taxpayers must submit an application to the county assessor, who, along with the local soil and water conservation district, will determine the eligible land. If a landowner fails to maintain compliance, the exemption will be revoked on the next assessment date. The bill also includes provisions for the certification and reimbursement process for local taxing jurisdictions affected by the exemption.

Additionally, the bill amends Minnesota Statutes to include specific procedures for the reimbursement of local taxing jurisdictions, excluding school districts, for the property tax amounts lost due to the exemption. The commissioner of revenue is tasked with calculating and distributing these reimbursements in two installments each year. Furthermore, the bill mandates that the commissioner of education receive and distribute reimbursements related to school districts. The effective date for these provisions begins with the assessment year 2026, and the reimbursement processes for school districts will take effect in fiscal year 2027.

Statutes affected:
Introduction: 272.02, 273.1392