The bill amends South Dakota's agricultural land valuation laws, specifically sections 10-6-130 and 10-6-131. It establishes that all soils are classified according to standards set by the USDA, categorizing agricultural land as either cropland or noncropland based on soil capability classes. Notably, soil types classified as IV can be designated as either cropland or noncropland by the director of equalization, who is required to notify the department of any changes by the first of November each year. Additionally, the bill allows for a maximum 20% increase in the total acres of class IV soil types classified as noncropland from the previous assessment year. The director is also mandated to implement soil ratings provided by the department to determine land values.

Furthermore, the bill modifies the responsibilities of the director of equalization regarding the assessment of agricultural land values. The director is now required to adjust assessed values based on various factors affecting productivity, including location, size, and climate, rather than having the option to do so. The director must document all adjustments and keep this documentation on file for the duration of the adjustment. The bill also clarifies the definition of "shelterbelt" to include specific types of tree plantings for conservation purposes, excluding ornamental or commercial trees.

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