SECOND REGULAR SESSION

House Concurrent Resolution No. 27

95TH GENERAL ASSEMBLY

INTRODUCED BY REPRESENTATIVES SANDER (Sponsor), DAY, McGHEE, WILSON (119), COX, NANCE, FISHER (125) AND SCHIEFFER (Co-sponsors).

4295L.01I

AN ACT

Relating to the disapproval of the Missouri State Tax Commission's recommendations regarding the value for each grade of agricultural and horticultural land based on productive capability.

Be it enacted by the General Assembly of the state of Missouri, as follows:

            Whereas, Section 137.021, RSMo, provides that on or before December thirty-first of each odd-numbered year the State Tax Commission is required under Section 137.021, RSMo, to promulgate by regulation a value for each grade of agricultural and horticultural land based on productive capability; and

            Whereas, the State Tax Commission, in accordance with Section 137.021, RSMo, did on December 15, 2009, propose a value for each of the several grades of agricultural and horticultural land for the 2011 and 2012 assessment years; and

            Whereas, Missouri farms are divided into eight grade categories based on land quality, with the best farms in Grade 1 and the worst in Grade 8; and

            Whereas, the State Tax Commission increased the value for farms in the four best categories which is generally cropland, lowered values for three lesser categories which include pastures, and made no change to the lowest category; and

            Whereas, using an average tax rate of $5 per $100 of assessed valuation, property tax on land in Grades 1-4 would increase approximately 90 cents per acre and Grades 5-7 would decrease approximately 20 cents per acre; and

            Whereas, wet weather, extreme market volatility, record production expenses, and weak demand have made this a very challenging year for many Missouri farmers and ranchers; and

            Whereas, United States Department of Agriculture numbers show projected net farm income for 2009 among the three worst years since 1929; and

            Whereas, Section 137.021, RSMo, permits the General Assembly to disapprove within the first sixty days of the next Regular Session of the General Assembly the agricultural and horticultural values as proposed by the State Tax Commission:

            Now, therefore, be it resolved that the members of the House of Representatives of the Ninety-fifth General Assembly, Second Regular Session, the Senate concurring therein, hereby disapprove the State Tax Commission's proposed state regulation to be promulgated under Section 137.021, RSMo, establishing agricultural land values for the 2011 and 2012 assessment years; and

            Be it further resolved that the Chief Clerk of the Missouri House of Representatives be instructed to prepare properly inscribed copies of this resolution for Governor Jay Nixon and the Missouri State Tax Commission.