Bill > HF1680

This bill establishes a property tax exemption for agricultural riparian buffers, which are strips of land adjacent to water bodies designed to reduce pollution and protect water quality. Under the new law, landowners with riparian buffers on agricultural land (specifically class 2a and 2b property) can apply for a property tax exemption, provided they comply with existing riparian buffer requirements. To receive the exemption, landowners must submit an application to the county assessor, and local soil and water conservation districts will certify eligible land. These districts will also monitor compliance and notify the county assessor if a landowner fails to meet buffer requirements, which would result in the exemption being removed. To ensure local governments are not financially disadvantaged by this exemption, the bill requires the state to fully reimburse taxing jurisdictions for the lost property tax revenue. Reimbursements will be made in two equal installments during the taxes payable year, with specific provisions for school districts. The tax exemption and reimbursement process will become effective beginning with the 2026 assessment year, providing a financial incentive for landowners to maintain riparian buffers and support water conservation efforts.

Budget and Finance

https://www.revisor.mn.gov/bills/bill.php?b=House&f=HF1680&ssn=0&y=2025