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Ohio’s farmers and rural communities will benefit from reforms to the state’s farmland tax policy, culminating a three-year effort led by Ohio Farm Bureau. The reforms were included in the new state budget signed by Gov. John Kasich.
“It’s taken three years of grassroots action to fix the flaws in the CAUV formula, and our members should be proud of this significant accomplishment,” said Ohio Farm Bureau Executive Vice President Adam Sharp. “We also want to thank the legislators who listened to our Farm Bureau members,” he added.
The budget legislation contains changes to the Current Agricultural Use Value formula, which in recent years has caused farmland owners to experience tax increases of 300 percent or more. These unsustainable increases have come at a time when farm incomes have fallen dramatically.
Sharp cited the “thousands of phone calls, emails and personal visits” Farm Bureau members made to help legislators understand the critical need for reform.
It is estimated that these changes, coupled with previous Farm Bureau-led reforms, will result in average savings of 30 percent for 2017 reassessments. This will help farmers stay on their land and continue their contributions to the local economy and community.
The reform also removes the penalty on farmers who place land in conservation practices that protect water quality.
The reforms are phased-in over two reassessment cycles (6 years) in order to assist local communities and schools to transition to the more accurate CAUV formula.
Under CAUV, farmland is taxed at a rate that reflects its value for agricultural purposes instead of its value as development property. It was enacted by Ohio voters in 1973 as a means to preserve farmland.
Sharp expressed gratitude to Gov. Kasich, Senate President Larry Obhof and House Speaker Cliff Rosenberger, as well as Senators Cliff Hite and Bob Peterson and Representatives Brian Hill and Kirk Schuring for their leadership.
The reforms will begin in the 2017 valuations, which farmers in 41 counties will receive in January 2018, and will be fully implemented for all counties after the 2022 reassessment.
This is a news release for use by journalists. Questions should be directed to Leah Curtis, 614-246-8912.
My first recommendation in your journey is to start out with a local farming friend or mentor along with joining an organization like Ohio Farm Bureau.
We’re just so thankful for the Farm Bureau and the foundation for helping put this together. And of course, the Boyert family for the vision they had with this grant. It’s jumping us forward 10 years. It’s unbelievable.
I could not have done it without the resources I have found through Farm Bureau.
It wasn’t until I joined the Wilmington College Collegiate Farm Bureau that I truly saw how my passion could translate into leadership, advocacy and a career.
The issue of property taxation remains as one of the biggest challenges our members face today. Ensuring agricultural property is valued for its agricultural potential and not development is critical to the continued success of Ohio agriculture.
Through the Select Partner program, we became educated in farm insurance and weren't just selling policies. It became more and more clear why farmers need an advocate like Ohio Farm Bureau.
So many of the issues that OFBF and its members are advocating for are important to all Ohioans. I look at OFBF as an agricultural watchdog advocating for farmers and rural communities across Ohio.
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