Nature Conservancy backs bill allowing rotational grazing on tax-exempt land for conservation

Senate File 49, presented Jan. 21 by Senator Weber, would allow certain tax-exempt properties used for conservation to be leased to private ranchers for grazing without losing their property tax exemption, provided the use supports conservation objectives.

Steve Chaplin, Prairie Conservation Coordinator for The Nature Conservancy in Minnesota, told the committee that limited-duration targeted grazing is a widely used conservation tool to control invasive cool-season grasses, improve prairie vigor and support habitat. Chaplin said less than 2% of Minnesota—s native prairie remains and rotational grazing helps manage invasive species and improves soils.

Chaplin said conservation organizations often invest in fencing and water infrastructure to expand grazing opportunities, but current law treats tax-exempt land leased to for-profit businesses as taxable for that year, making short-term grazing uneconomic for private producers. He said exempting such short-duration, ecologically driven grazing would be effectively revenue neutral because the properties involved are already tax-exempt and the grazing typically involves small acreages and neighbor-producers who accept in-kind rent such as fence or water maintenance.

Senators on the committee asked about current practice, selection of grazing lessees, and payment arrangements. Chaplin said grazing partners are often neighboring producers and that leases frequently account for infrastructure and fence maintenance so cash rents are low or nominal. Senator Putnam and Senator West spoke in support, and Senator Weber said the measure could increase available forage for producers while promoting conservation goals. The committee laid the measure over for possible inclusion.