On the Menu 05.15.26

SB 200 – Farm & Ag Land Assessments

House Community & Regional Affairs heard SB 200 on Tuesday morning, and again on Thursday when it was moved out of committee. Sen. Bjorkman and staff Laura Achee presented the bill, underscoring the importance of building resilient food systems and food production in Alaska. He shared how this bill corrects several oversights from the 2024 legislation that updated state law around municipal farm assessments, widening the definition of eligible farm products beyond just food production, and allowing all farm businesses regardless of their corporate structure to apply for these reduced assessments. Invited testimony in support of the bill was heard from Amy Seitz, Alaska Farm Bureau, and Rita Jo Schoultz, Alaska Farm Bureau and peony farmer who spoke to the importance of the horticulture industry. The committee asked a number of questions clarifying the program, including the way it works for municipal assessments, specifying that it is mandatory for municipalities to offer this but it is optional for farmers to participate. They heard public testimony from Margaret Adsit, Alaska Farmland Trust, in support of the bill. The committee brought forward a committee substitute developed by Rep. Mears, which changed the farm use definition to only crops for human consumption, or for crops that are use to feed, breed, and manage livestock. Flowers would not be eligible, but hay would still be allowed. The CS also removed horses explicitly from the definition of livestock, but Mears noted that since the definition lists animals using the word “included”, it is not an exhaustive list. So they then went back and forth about the eligibility of horses, hay for horses vs. cows, and commercial sales that may not be related to agricultural production. There was further discussion around horses (including eating them!), and Sen. Bjorkman referred to horses as “an anchor tenant” for the hay market that are important as support for keeping land in production. He noted that until 2024, the definition included flowers and horses as part of the totality of farming and he regretted the earlier change and wants to see it fixed. Rep. Mears insisted that the CS would go back to the pre-2024 language (In fact, from 1985 to 2024, AS 29.45.060(g) stated: “farm use” means the use of land for profit for raising and harvesting crops, for the feeding, breeding, and management of livestock, for dairying, or another agricultural use, or any combination of these.”). There was extensive discussion around the farm use definition. There were additional questions around the inclusion of lands with soil conservation plans, and the importance of these areas to farms for things like wind breaks. The committee adopted the CS on a vote of 4 to 1. Watch the Tuesday hearing here. 

The committee heard the bill again on Thursday. Rep. Holland asked for more information on lands with soil conservation plans, and Amy Seitz from the Farm Bureau noted there are about 600 farms in the state with soil conservation plans. Staff Laura Achee noted they don’t anticipate this adding a lot of new farm land, but that these lands were previously understood to be eligible, and this language is clarifying that. 

Rep. Hall offered an amendment to again update the definition of “farm use” to include flowers and hay for any animals, including horses. Rep. Mears conceded that clearly they need to allow hay for any animals, and that floriculture is an integrated component of agriculture, and fully supported the amendment. The amendment was adopted unanimously and then the committee then unanimously passed the bill out of committee. Watch the Thursday hearing here. It now awaits scheduling for the House floor.