LRB-0776/3
JK:wlj&jlg:km
1999 - 2000 LEGISLATURE
April 22, 1999 - Introduced by Representatives Brandemuehl, Freese, Hasenohrl,
Ainsworth, Gronemus, Albers, Goetsch, Gunderson, Hahn, Huebsch,
Hutchison, Johnsrud, Kestell, Klusman, Kreibich, Musser, Olsen,
Petrowski, Pettis, Porter, Seratti, Spillner, Sykora and Ward, cosponsored
by Senators Rude, Schultz, Drzewiecki and A. Lasee. Referred to Committee
on Ways and Means.
AB293,1,3
1An Act to renumber and amend 70.32 (2) (c) 1.;
to amend 70.32 (2r) (a), 70.32
2(2r) (b) 1. and 70.32 (2r) (b) 4.; and
to create 70.32 (2) (c) 1. b. of the statutes;
3relating to: the definition of agricultural land for purposes of the property tax.
Analysis by the Legislative Reference Bureau
Under current law, the assessed value of a parcel of agricultural land is frozen
at the assessed value of the parcel as of January 1, 1995. Agricultural land does not
include wooded land.
For each year's property tax assessment, the assessed value of a parcel of
agricultural land is reduced by a four-part formula that includes subtracting the use
value of the parcel from its frozen assessed value. The use value of a parcel of
agricultural land is based on the income that is or could be generated from the rental
of the parcel for agricultural use. Beginning with the property tax assessment after
December 31, 2008, the formula for reducing the assessed value of a parcel of
agricultural land will not apply, and a parcel of agricultural land will be assessed at
its use value.
Under this bill, agricultural land includes some wooded land that is not
productive forest land. The assessed value of a parcel of agricultural land that is
wooded land is frozen at its assessed value as of January 1, 2000. Beginning with
the assessments as of January 1, 2001, agricultural land that is wooded land is
subject to the same tax assessment reducing formula as other agricultural land.
After the assessments as of January 1, 2009, agricultural land that is wooded land
will be assessed at its use value.
For further information see the state and local fiscal estimate, which will be
printed as an appendix to this bill.
The people of the state of Wisconsin, represented in senate and assembly, do
enact as follows:
AB293, s. 1
1Section
1. 70.32 (2) (c) 1. of the statutes is renumbered 70.32 (2) (c) 1. (intro)
2and amended to read:
AB293,2,33
70.32
(2) (c) 1. (intro.) "Agricultural land" means
land, all of the following:
AB293,2,5
4a. Land, exclusive of buildings and improvements, that is devoted primarily to
5agricultural use, as defined by rule.
AB293, s. 2
6Section
2. 70.32 (2) (c) 1. b. of the statutes is created to read:
AB293,2,137
70.32
(2) (c) 1. b. Land, exclusive of buildings and improvements, that is
8contiguous to agricultural land under subd. 1. a.; that is owned by the person that
9owns the contiguous agricultural land under subd. 1. a.; that is limited in acreage to
10not more than 75% of the total acreage of all contiguous land that is owned by the
11same person; that is so covered with trees or woody vegetation that it is impracticable
12to use the land for pasture land or for growing crops; and that is not productive forest
13land.
AB293, s. 3
14Section
3. 70.32 (2r) (a) of the statutes is amended to read:
AB293,3,415
70.32
(2r) (a) For the assessments as of January 1, 1996, and January 1, 1997,
16or until the farmland advisory council under s. 73.03 (49) makes its recommendation,
17but not to extend beyond January 1, 2009, the assessed value of each parcel of
18agricultural land
under sub. (2) (c) 1. a. is the assessed value of that parcel as of
19January 1, 1995.
For the assessments as of January 1, 2001, but not to extend beyond
20January 1, 2009, the assessed value of each parcel of agricultural land under sub. (2)
21(c) 1. b. is the assessed value of that parcel as of January 1, 2000. For the assessments
1as of January 1, 2001, but not to extend beyond January 1, 2009, agricultural land
2under sub. (2) (c) 1. b. shall be assessed at the per acre rate for pasture land, as
3established by the department of revenue. For the assessments after December 31,
42008, all agricultural land shall be assessed by the method under par. (c).
AB293, s. 4
5Section
4. 70.32 (2r) (b) 1. of the statutes is amended to read:
AB293,3,106
70.32
(2r) (b) 1. Subtract the value of the parcel as determined according to the
7income that is or could be generated from its rental for agricultural use, as
8determined by rule, from its assessed value as of January 1, 1996
, or from its
9assessed value as of January 1, 2001, if the parcel is agricultural land under sub. (2)
10(c) 1. b.
AB293, s. 5
11Section
5. 70.32 (2r) (b) 4. of the statutes is amended to read:
AB293,3,1412
70.32
(2r) (b) 4. Subtract the amount under subd. 3. from the parcel's assessed
13value as of January 1, 1996
, or from the parcel's assessed value as of January 1, 2001,
14if it is agricultural land under sub. (2) (c) 1. b.
AB293,3,1616
(1)
Agricultural land. This act takes effect on the January 1 after publication.
