07 LC 18
6225/AP
House
Bill 321 (AS PASSED HOUSE AND SENATE)
By:
Representatives Royal of the
171st
and Roberts of the
154th
A
BILL TO BE ENTITLED
AN ACT
AN ACT
To
amend Code Section 48-5-7.4 of the Official Code of Georgia Annotated, relating
to bona fide conservation use property, so as to change certain eligibility
requirements with respect to conservation use assessment; to repeal conflicting
laws; and for other purposes.
BE
IT ENACTED BY THE GENERAL ASSEMBLY OF GEORGIA:
SECTION
1.
Code
Section 48-5-7.4 of the Official Code of Georgia Annotated, relating to bona
fide conservation use property, is amended by revising paragraph (1) of
subsection (a) as follows:
"(1)
Not more than 2,000 acres of tangible real property of a single
owner
person,
the primary purpose of which is any good faith production, including but not
limited to subsistence farming or commercial production, from or on the land of
agricultural products or timber, subject to the following
qualifications:
(A)
Such property includes the value of tangible property permanently affixed to the
real property which is directly connected to such owner´s production of
agricultural products or timber and which is devoted to the storage and
processing of such agricultural products or timber from or on such real
property;
(A.1)
In the application of the limitation contained in the introductory language of
this paragraph, the following rules shall apply to determine beneficial
interests in bona fide conservation use property held in a family owned farm
entity as described in division (1)(C)(iv) of this subsection:
(i)
A person who owns an interest in a family owned farm entity as described in
division (1)(C)(iv) of this subsection shall be considered to own only the
percent of the bona fide conservation use property held by such family owned
farm entity that is equal to the percent interest owned by such person in such
family owned farm entity; and
(ii)
A person who owns an interest in a family owned farm entity as described in
division (1)(C)(iv) of this subsection may elect to allocate the lesser of any
unused portion of such person´s 2,000 acre limitation or the product of
such person´s percent interest in the family owned farm entity times the
total number of acres owned by the family owned farm entity subject to such bona
fide conservation use assessment, with the result that the family owned farm
entity may receive bona fide conservation use assessment on more than 2,000
acres;
(B)
Such property excludes the entire value of any residence located on the
property;
(C)
Except as otherwise provided in division (vii) of this subparagraph, such
property must be owned by:
(i)
One or more natural or naturalized citizens;
(ii)
An estate of which the devisees or heirs are one or more natural or naturalized
citizens;
(iii)
A trust of which the beneficiaries are one or more natural or naturalized
citizens;
(iv)
A family owned farm entity, such as a family corporation, a family partnership,
a family general partnership, a family limited partnership, a family limited
corporation, or a family limited liability company, all of the interest of which
is owned by one or more natural or naturalized citizens related to each other by
blood or marriage within the fourth degree of civil reckoning, except that,
solely with respect to a family limited partnership, a corporation, limited
partnership, limited corporation, or limited liability company may serve as a
general partner of the family limited partnership and hold no more than a 5
percent interest in such family limited partnership, an estate of which the
devisees or heirs are one or more natural or naturalized citizens, or a trust of
which the beneficiaries are one or more natural or naturalized citizens and
which family owned farm entity derived 80 percent or more of its gross income
from bona fide conservation uses, including earnings on investments directly
related to past or future bona fide conservation uses, within this state within
the year immediately preceding the year in which eligibility is sought;
provided, however, that in the case of a newly formed family farm entity, an
estimate of the income of such entity may be used to determine its
eligibility;
(v)
A bona fide nonprofit conservation organization designated under Section
501(c)(3) of the Internal Revenue Code;
(vi)
A bona fide club organized for pleasure, recreation, and other nonprofitable
purposes pursuant to Section 501(c)(7) of the Internal Revenue Code;
or
(vii)
In the case of constructed storm-water wetlands, any person may own such
property;
(D)
Factors which may be considered in determining if such property is qualified may
include, but not be limited to:
(i)
The nature of the terrain;
(ii)
The density of the marketable product on the land;
(iii)
The past usage of the land;
(iv)
The economic merchantability of the agricultural product; and
(v)
The utilization or nonutilization of recognized care, cultivation, harvesting,
and like practices applicable to the product involved and any implemented plans
thereof; and
(E)
Such property shall, if otherwise qualified, include, but not be limited to,
property used for:
(i)
Raising, harvesting, or storing crops;
(ii)
Feeding, breeding, or managing livestock or poultry;
(iii)
Producing plants, trees, fowl, or animals, including without limitation the
production of fish or wildlife by maintaining not less than ten acres of
wildlife habitat either in its natural state or under management, which shall be
deemed a type of agriculture; provided, however, that no form of commercial
fishing or fish production shall be considered a type of agriculture;
or
(iv)
Production of aquaculture, horticulture, floriculture, forestry, dairy,
livestock, poultry, and apiarian products; or"
SECTION
2.
All
laws and parts of laws in conflict with this Act are repealed.