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Committee backs HB 80 to shift competitive state agricultural leases to cash bids
Summary
The Agriculture, Livestock and Irrigation committee voted unanimously to pass House Bill 80, which replaces the crop-share component of competitively bid state agricultural leases with straight cash leases; DNRC said the change applies only to competitively bid leases and will not affect grazing rates.
The Agriculture, Livestock and Irrigation committee voted to approve House Bill 80, moving the competitive-bid portion of state agricultural leases from a crop-share to a cash-lease format.
The measure was introduced and a committee member moved that House Bill 80 "do pass." Emily Motichka, identified in the hearing as the ag and grazing bureau chief for the Department of Natural Resources and Conservation (DNRC), told the committee the change applies "for competitive bidding purposes only." She said "anything that's not competitively bid on will remain on the crop share or preference by the lessees to do a cash lease." The committee voted by voice; Chair Gillespie recorded unanimous approval and the bill passed out of committee.
Why it matters: Under current practice, agricultural leases on state trust lands that are competitively bid are subject to a minimum 25% crop-share requirement and are renewed on roughly 10-year staggered cycles. Motichka explained that if a bid exceeds 33.33% crop share the bidder is currently required to provide a guaranteed cash-per-acre value; HB 80 would remove the crop-share component for the competitive bidding process and make those competitive bids straight cash leases.
Grazing unaffected: Motichka emphasized the bill does not change grazing leases. She explained grazing rates are set per animal unit month (AUM) and are adjusted annually using the previous year's cattle prices through DNRC's contract with the U.S. Department of Agriculture and a statutory multiplier. "This does not touch the grazing portion at all. This is strictly agriculture," Motichka said.
Procedural next steps: A committee member volunteered to carry the measure forward; the transcript records committee discussion about who would serve as carrier and references Senator McCabe's experience with fairs and rodeos, but the committee did not record a named, confirmed carrier in the minutes of the hearing. The committee adjourned after completing the vote.
Quotes: "This is for competitive bidding purposes only," Motichka said. Chair Gillespie called the voice vote and announced the measure passed unanimously.
The committee's action sends House Bill 80 forward with a do-pass recommendation. Individual roll-call vote totals were not recorded in the transcript; the committee reported the result by voice vote.
