NY Farm Bureau Lauds Passage of Bill That Caps Land Assessments

Farmers in New York just received a big boost to help contain rising property taxes.

The Assembly followed up the Senate’s action by unanimously passing a bill that will cap agricultural land assessment increases at 2% a year. This has been a top priority for New York Farm Bureau this legislative session. There has been great concern among our farmer members who have seen rising land values push up property tax bills for farmland in recent years, essentially doubling since 2006.

Agricultural land assessments are dictated by a complicated formula that takes into account national production value statistics and soil type. Currently, New York farmers pay $38.41 per acre in property taxes, according to Farm Credit East. That is the second highest rate in the country and eats up 15% of a farm’s net income. This puts farmers in this state at a clear competitive disadvantage.

“The passage of the 2% cap on agricultural assessments is welcomed news on farms all across New York. Not one has been immune to the skyrocketing property taxes that make it more difficult to provide local food and products to their communities. We very much appreciate Sen. Catharine Young for her strong support on this bill that she co-sponsored, and we are hopeful Governor Cuomo will sign off on the legislation that will go a long way to keep New York families on their farms,” said Dean Norton, President of New York Farm Bureau.

“For far too long, the cost of doing business for farmers has continued to increase. By placing a cap on the base rate that is used for assessing farmland, the state will be able to rein in some of these costs for one of our state’s largest and most important industries. With the passage of this bill, farmers can focus on their crops and animals, without having to worry about tax rates swallowing up an increasing amount of their revenue,” said Senator Catharine Young (R,C,I-Olean), Chair of the Legislative Commission on Rural Resources and a sponsor of the legislation.

While the legislation will address the immediate needs of farmers, New York Farm Bureau is also advocating for the establishment of a working group comprised of stakeholders and experts to address the long term problem of agricultural assessment valuation.