Nys agricultural assessment program

The State Legislature enacted the New York Agricultural Districts Law in to protect and promote the availability of land for farming purposes. Subsequent amendments have broadened its scope. The law provides a locally initiated mechanism for creating agricultural districts. Forming agricultural districts is intended to counteract the impact that nonfarm development can have upon the continuation of farm businesses.

The Agricultural Districts Law allows reduced property tax bills for land in agricultural production by limiting the property tax assessment of such land to its prescribed agricultural assessment value.

Owners whose land satisfies the eligibility requirements may apply for an agricultural assessment see details below. Benefit assessment, special ad valorem levies, or other rates and fees for the finance of improvements such as water, sewer or nonfarm drainage may not be imposed upon land used in agricultural production and within an agricultural district unless such charges were imposed prior to forming the agricultural district.

Landowners must apply for an agricultural assessment, and the farmland must satisfy certain gross sales and acreage eligibility requirements. Land outside an agricultural district may qualify for an agricultural assessment. The requirements and application procedure are the same. However, land located outside of an established agricultural district that receives and agricultural assessment is required to remain in agricultural use for eight years land within an agricultural district is encumbered for five years or be subject to a payment for conversion to non-agricultural use.

Eligibility is determined by the assessor or board of assessors where the application is filed. If denied, the applicant has the right to an administrative review by the Board of Assessment Review. Land generally must consist of seven or more acres that were used in the preceding two years for the production for sale of crops, livestock, or livestock products.

Agricultural assessments is limited to land used in agricultural production, defined to include cropland, pasture, orchards, vineyards, sugarbush, support land, and crop acreage either set aside or retired under Federal supply management or soil conservation programs. Up to 50 acres of farm woodland is eligible for an agricultural assessment per eligible tax parcel.

Land and water used for aquacultural production are eligible, as is land under a structure within which crops, livestock or livestock products are produced. Land visibly associated with the owner's residence is ineligible.

Since farm operations often encompass more than one parcel, eligibility is determined by combining separately assessed parcels that are farmed together as a single operation.

However, a separate application for each separately assessed parcel must be made. A single operation is one distinct agricultural business enterprise. Land rented for agricultural purposes may receive an agricultural assessment. If the rented land satisfies the basic eligibility requirements described above, it is eligible for agricultural assessment.

In addition, if the rented land does not satisfy the average gross sales value requirement, but does satisfy the other requirements, it may still be eligible if it is farmed, under a written rental agreement of at least five years, with the other farmland that satisfies all eligibility requirements. The applicant must substantiate the existence of the term of the rental agreement by providing the assessor with either a copy of the lease or Form RPc, Agricultural Assessment Written Lease Affidavit for Rented Land.

A start-up farm operation may include rented land. Gross sales value means the actual proceeds from sales of agricultural products. The landowner must adequately document sales for the assessor. Proceeds from all parcels used in a single operation may be combined to satisfy the average gross sales value requirement.

If a crop is grown and processed on the farm, the value of the crop before processing must be used when computing its average gross sales value. The commercial horse boarding receipts can be generated wither through the boarding of horses or though the production for sale of crops, livestock, and livestock products or through both.

Agricultural lands affected by natural disasters or continued adverse weather conditions may continue to be eligible. County Cornell Cooperative Extension staff must certify such natural disaster or weather condition destroyed the agricultural production and, as a result, the average gross sales value for the preceding two years was less than the minimum required for eligibility.

The landowner must document the extent of damage and the gross sales value the land can produce under normal conditions. No minimum gross sales value is required for crop acreage either set aside or retired under Federal Supply management or soil conservation programs. Agricultural assessment applies only to land and any posts, wires and trellises used to support vines or trees for the production of fruit on eligible land. However, certain penalty payments are required if land that benefited from an agricultural assessment is converted to a use inconsistent with agricultural production.

It should be noted that where orchards, vines, and support structures exist on qualified land no additional assessments can be made to reflect these items since they are considered to be included in the agricultural assessment values. Calculation of the exemption is facilitated by pages 4 and 5 of the application form, Form RP or Form RPr-ws for renewal properties. Structures used on land in agricultural production must be assessed at an amount not to exceed the cost of replacement new at current prices less a deduction for a physical depreciation calculated in accordance with Assessor's Manual Volume 7, distributed by ORPTS, and b if applicable, functional and economic obsolescence.

Such structures are those used:. The governing body of a water, lighting, sewer, sanitation, fire, fire protection, or ambulance district for whose benefit a special ad valorem levy or a special assessment is imposed may adopt a resolution allowing the use of agricultural assessments in the levy of such charges.

If such local option applies, the exemption is calculated as described under General municipal and school district taxes above. Note: This code should not be used to identify property that is exempt under any of the statutes listed under Similar Exemptions below.

For coding of such property, see the Exemption Profile for the statute that applies. All of the above forms may be downloaded and printed from Property tax forms - Agricultural assessment. The special equalization rate is to be used where such a rate has been established as a result of a change in the level of assessment of all other property in the assessing unit.

If the rate exceeds , a special equalization rate of will be certified by ORPTS for use in calculating the agricultural assessment. The maximum allowable change in the value of the base agricultural assessment value is limited to two percent of the value of the preceding year. For more information on assessment of agricultural properties, see Agricultural assessment information.

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