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i The Review Group has also reviewed)and affirmed the following items throughout the course of the last two years: i 1. The proactive communication established by the Division notifying owners of agricultural to residential classification changes in February 2019. The Division issued more than 6,800 letters prior to the 201.9 assessment notice notifying taxpayers of a change to their tax classification from agricultural to residential. This resulted in a greater level of communication between taxpayers and the Division to ensure all parties understood the reasoning and impacts of the change. 2. The Division's swift response to the,Lower East Rift Zone Eruption which started in May 2018. The Division issued a significant number of damage assessment letters; coordinated assessments with Civil Defense,Office of Housing and Community Development; adjusted taxes as a result of the Mayor's emergency declaration; and revaluated the market's response and recovery in a very short period of time, 1 3. A continuous review of State and County legislation impacting real property taxation. 4. The evaluation of the Tax Board of Review's annual report and recommendations with some of these recommendations also being affirmed by the Review Working Group. An example was the affirmation and recommendation by the Review Working Group to repeal the Non Speculative Residential Use Program. 5. A review of 2012 IAAO Audit action items which the Division has implemented and others which require Council action. Interim recommendations made by the group to Real Property Tax Division included presentations to the entire group by the Planning Department of the STVR bill and program, overall review of recent Legislative actions and a review of the County of Hawai'i budget cycle(see Appendix A) in relation to the Real Property Tax Division's tax cycle and various deadlines. Accompanying this report; the Ag Committee is submitting a comprehensive recommendation to.update the agricultural programs including updating agricultural values. The earliest these changes could have an impact on real property tax revenues is tax year 2021,if County Council is able to approve in a timely fashion, We realize these changes are substantial, however, the agricultural programs should provide considerable incentive to farm production at.a community level and go beyond a personal sustainable level. The current Agricultural Programs were developed at a time where there were large landowners with a single crop/agricultural activity such as ranching or sugar cultivation. The Dedicated Agricultural program was very effective in working within this set of circumstances. In addition, the Non-Dedicated Program supported small scale agricultural activities in the rural environment. 6