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, landowners 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 comply with the requirements, the exemption will be revoked on the next assessment date. The bill also includes provisions for the reimbursement of local taxing jurisdictions for the loss of property tax revenue due to these exemptions.

Additionally, the bill outlines the process for certifying and calculating reimbursements to local taxing jurisdictions, excluding school districts, for the gross property tax amount attributed to the exemption. The commissioner of revenue is responsible for making these reimbursements in two installments each year. Furthermore, the bill amends section 273.1392 to include agricultural riparian buffer reimbursements among the various reimbursements that the Department of Revenue certifies to the Department of Education for school districts. The effective date for these provisions begins with the assessment year 2026 and fiscal year 2027 for school district reimbursements.

Statutes affected:
Introduction: 272.02, 273.1392