07-07-1997 - Laserfiche WebLink

Commission Minutes--July 7, 1997 1656 Wesley Belter Mr. Belter lives in Maple River Township and is a legislator from Cass County. He is the chairman of the House Tax & Finance Committee of the state legislature. He said an interim study has been done before on the issue of farm exemptions. He discussed the Burkel Turkey Farm in Richland County. The turkey farm is not taxed as a commercial operation. After the initial interim study on farm exemptions, the legislature decided Richland County should decide whether to tax the turkey farm. However, similar situations have now arisen in Cass County. Mr. Belter asked the Commission to delay any decisions on taxing commercial operations and let the legislature do another interim study to determine the guidelines for farm exemptions and to clarify the law. Mrs. Schneider was concerned about repercussions if the Commission did not follow the Supreme Court decision. Jonathan Garaas Attorney Jonathan Garaas spoke on behalf of his client, Chris Tallackson, who is concerned that his hog raising will be taxed as commercial industry. Mr. Garaas said Butts Feed Lots Inc. court case outlined five defining factors (North Dakota Century Code 57-02-08(15)) that would a tax exemption. He said Mr. Tallackson's situation falls under all five factors. He also noted that state statutes were not followed as Mr. Tallackson did not receive written notice of an increase in his assessment. He suggested this property be treated as agricultural land until the interim study is completed. Mr. Klein said Mr. Tallackson's property was assessed by Gill Township at $75,000 and the township did not send a notice of increase. He said this property is not on the list of individual increases for action at today's meeting. However, Mr. Klein noted that the county will send a written notice to Mr. Tallackson and will assess his property. He suggested this property be discussed at the July 21st Commission meeting. Mr. Wieland asked for the definition of a family farm. Mr. Belter said everyone has his or her own definition of a family farm; however, he considers it to be a farm managed by the owner or operator and the farm can be any size. Mr. Belter said the interim committee also has to address this question. Mrs. Quick does not want to ignore Mr. Klein's interpretation of the law. She feels the statute should be followed in order to prompt further action that may encourage changes to the law. Mr. Klein said as the Tax Director he also is in a difficult position. He has to answer to all the taxpayers. He feels if this is a bad law, maybe it should be enforced in order to instigate an appeal or to change the law. He said this issue is a problem the State Board of Equalization and the legislature need to address. Allen Baumgarten Mr. Baurngarten lives in Durbin Township and is the township assessor. He said Mr. Klein did not contact him regarding increases in the township. He admitted that some properties are valued too Iow and some too high; however, he feels the spring flooding should be considered when raising the values in Durbin Township.