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House Taxation committee approves new "sustenance use" land class in HB 27, passes 11-10
Summary
The House Taxation Committee on executive action approved House Bill 27 as twice amended, adding a new "sustenance use" property classification for small, household-focused food production and setting valuation rules for the residence and underlying acre. The measure passed 11-10.
House Taxation Committee Chair Fielder on a voice and roll-call sequence reported that House Bill 27, as amended twice, passed the committee by a vote of 11 to 10.
The bill establishes a new "sustenance use" classification for parcels under 640 acres that are primarily devoted to growing fruits, vegetables, grains or raising livestock for personal household consumption or noncommercial community food sharing, with limits on surplus income and special valuation rules for the land and residence.
Megan Moore, committee staff, told members the principal change in the amendment "provides for a new sustenance use land classification" and explained the major points: the classification applies to contiguous parcels under 640 acres primarily used for household food production; land devoted to residential use may be classified as sustenance-use land with up to one acre valued at an agricultural productive value; structures (the residence itself) are valued at market value; an attestation is required when valuing property under the new class; and conforming changes were added to appraisal and tax-deed sections of law.
Under the amendment language Moore summarized, the land must be "primarily used for growing fruits, vegetables, and grains or raising livestock for personal household consumption or non commercial community food sharing," and the land may not generate more than $500 of annual gross income from surplus production to qualify as sustenance-use land. Moore also noted conforming cross-references were updated and that tax-deed procedures for residential property in the new class were clarified.
Representative Marler spoke in opposition to the bill in its current form while acknowledging the underlying problem the bill attempts to address; Representative Konauer asked for clarification about the amendment's scope during consideration. The committee accepted multiple amendments (committee staff said the amendments did not conflict) and then approved the bill as twice amended.
Votes at a glance: House Bill 27, twice amended — passed by committee vote, 11 aye, 10 nay.
The committee moved on to other executive actions after the vote; no implementation dates or effective dates were specified in the committee discussion recorded in the transcript.
