This bill introduces a new agricultural water quality credit for property owners in designated counties of Minnesota who are part of the Minnesota agricultural water quality certification program. The credit, valued at $5 per certified acre, applies to properties classified as class 2a or 2b under section 273.13. The commissioner of agriculture will inform county assessors about the certified acres, and the county auditor will calculate the tax reductions, which will then be certified to the commissioner of revenue. The bill also details the reimbursement process for local taxing jurisdictions and school districts, with payments sourced from the clean water fund.

In addition to establishing the credit, the bill amends various sections of the Minnesota Statutes to integrate the new agricultural water quality credit into property tax calculations and statements. It allows for the inclusion of notices from taxing districts in property tax statements to inform taxpayers about budget deliberation schedules and encourages their participation in hearings. The bill mandates that these changes will take effect for property taxes payable in 2026 and emphasizes the need for transparency in property tax statements by requiring certain tax credits, such as "taconite tax relief," to be distinctly stated.

Statutes affected:
Introduction: 273.1392, 273.1393, 275.065, 276.04
1st Engrossment: 273.1392, 273.1393, 275.065, 276.04