COLUMBUS, OH -- Ohio lawmakers are being asked to make important changes to Ohio's Current Agricultural Use Value (CAUV) formula. In an alert to its members asking them to contact their state legislators, the Ohio Farm Bureau Federation (OFBF) said the changes will help stem the increases in values and improve the formula's accuracy.
OFBF is seeking the changes as the legislature begins conference committee work on the biennial budget. Farm Bureau had previously testified on the importance of these changes during a hearing before the House Agriculture and Rural Development Committee.
The CAUV formula, which taxes land at its value for farm production rather than for development use, has been a beneficial tool for preserving agricultural land for 40 years. Recently, changing farm prices and other factors within the formula have combined to create significant increases in land values and taxes that are as much as 200 to 300 percent higher.
Farm Bureau's specific requests include a change in the method of calculating the capitalization rate and placing all conservation land at its minimum value. These changes are expected to significantly limit increases in property taxes on farmland revalued in 2015, however, increases of a lower magnitude will likely still be seen.
Farm Bureau members are asked to use the organization's action center by visiting ofbf.org. They can also directly contact both their state representative and state senator.