BIL 317 Draft 01 2012-2014 - Laserfiche WebLink

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(2) The deferred tax shall commence from the date the conversion was made retroactive to the date the agricultural use assessment was approved, but for not more than a period of two years plus the current year. (3) The amount of deferred taxes shall be based on the difference between the assessed market value at highest and best use and the assessed agricultural use value of the land at the tax rate applicable for the respective years, with a ten percent penalty. (e) This section shall be repealed in its entirety on June 30, 2019." SECTION 3. Chapter 19, article 8 of the Hawaii County Code 1983 (2005 Edition, as amended), is amended by adding a new section to be appropriately designated and to read as follows: "Section 19- . Short term commercial agricultural use dedication. (a) A special land reserve is established to enable the owner of any parcel of land, or lessee of a recorded agricultural lease with a minimum of three years remaining on the lease at time of petition to dedicate the land for a specific short term commercial agricultural use dedication, and to have the land assessed its value in such use for a period of three years, or in the case of a recorded agricultural lease the term of the lease up to three years, provided: (1) As used in this section commercial agricultural activities is defined as the use of property to generate income, monetary gain or economic benefit in the form of money or money's worth of a minimum $2,000 annual gross income per farm operation which may include multiple parcels that need not be contiguous and the use adheres to generally accepted standards or recognized practices within the agricultural industry and is not otherwise prohibited by law; (2) The land is designated by County zoning district classification as agricultural residential and agricultural, family agricultural, intensive agricultural agricultural project district, or any other County zoning district classification meeting with the approval of the planning director; and (3) The land dedicated for short term commercial agricultural use must be used on a continuous and regular basis for intensive agriculture, orchards, feed crops and fast rotation forestry or pasture and slow rotation forestry and have a minimum lot size per farm operation for that dedicated category of commercial activity as provided for in the administrative rules and regulations of the department. (b) The portion of land that is committed in short term commercial agricultural use shall be assessed at two times the dedicated agricultural use value as established by the director under this chapter. (c) Determining short term agricultural use value. (1) In determining the value of lands classified and used for short term commercial agriculture use, consideration shall be given to rent, productivity, nature of actual short term commercial agricultural use, the advantage or disadvantage of factors such as location, accessibility, 3