The bill amends existing laws regarding the categorization and valuation of agricultural land in South Dakota. It specifies that all soils are to be classified according to standards set by the United States Department of Agriculture, with agricultural land divided into cropland and noncropland categories. Soil types classified as land capability classes I, II, and III are designated as cropland, while those in classes V, VI, VII, and VIII are categorized as noncropland. The director of equalization is required to notify the department of any changes to the categorization of class IV soil types by November first each year and is limited to a maximum increase of twenty percent in the total acres of class IV soil types classified as noncropland from the previous assessment year.

Additionally, the bill mandates that the director of equalization shall adjust the assessed value of agricultural land based on various factors affecting productivity, such as location, size, and climate. The director is required to document all adjustments and maintain this documentation for the duration of the adjustment. The bill also clarifies the definition of "shelterbelt" and includes provisions for property owners to request an examination of their land if the actual use differs from the designated land use category. Overall, the amendments aim to enhance the accuracy and fairness of agricultural land assessments in the state.

Statutes affected:
Introduced, 02/05/2025: 10-6-130, 10-6-131