Butte County Assessor Discusses Challenges Facing Williamson Act and Agricultural Property Taxes

During the Butte County Board of Supervisors meeting on August 12, 2025, significant discussions centered around the Williamson Act and its implications for local agriculture and property taxation. The Williamson Act, established in 1965, aims to preserve agricultural and open space land by allowing counties to enter into contracts with landowners for reduced property tax rates in exchange for restricting land use to agriculture for at least ten years.

The county's Assessor provided an overview of the program, emphasizing its importance in maintaining agricultural resources and open spaces, which are crucial for food production and environmental protection. Currently, Butte County has 1,475 parcels enrolled in the Williamson Act, covering approximately 220,000 acres. This program has historically benefited landowners by providing substantial tax reductions, with reductions ranging from 20% to 65%.

However, the meeting highlighted recent financial strains on farmers and ranchers, attributed to rising operational costs, inflation, and changes in state-mandated capitalization rates. In 2023, the Assessor's office raised rents on grazing land for the first time in 15 years, which added to the financial burden on local agricultural producers. The Assessor noted that while the capitalization rate had peaked in 2023, it has since decreased, offering some relief to landowners.

The discussion also touched on the impact of AB 12 65, legislation designed to help counties recoup lost revenue from the Williamson Act due to cuts in state reimbursements. This bill allows counties to implement a direct charge to offset the financial losses, ensuring that the program remains viable and beneficial for both landowners and the community.

The meeting underscored the delicate balance between supporting agricultural land preservation and addressing the financial realities faced by farmers. As the county navigates these challenges, the ongoing viability of the Williamson Act remains a critical topic for local governance and community welfare. The Assessor encouraged landowners to voice any concerns regarding property valuations, emphasizing the importance of accurate assessments in maintaining the program's integrity.