agricultural property; classification; inspection.

Plain English Breakdown

The bill amends A.R.S. 42-12155 specifically regarding appeals under chapter 16, article 5; the source does not explicitly detail if this applies to all types of tax appeals or only those specific ones.

SB1291: Limits on Inspecting Agricultural Property After a Successful Appeal

This law stops county assessors from reclassifying or inspecting agricultural land for four years after an owner wins a tax appeal, unless specific changes happen to the property.

What This Bill Does

• Requires county assessors to tell owners if their agricultural classification is approved or denied by the time they send the valuation notice.
• Stops assessors from reclassifying land as non-agricultural for four years after an owner wins a tax appeal under specific state laws.
• Prevents on-site inspections of that property during those same four years following a successful appeal.
• Allows exceptions to this rule if the owner files a change in use notice, or if there is a split, ownership change, lease change, or taxable improvement.

Who It Names or Affects

• Owners of agricultural properties who win appeals against tax classification decisions
• County assessors responsible for inspecting and classifying real estate

Terms To Know

Agricultural property classification

The official status given to land used for farming or ranching, which affects how it is taxed.

County assessor

The local government official who determines the value and tax class of real estate in a county.

Taxable improvement

New construction or additions made to a property that can trigger an inspection or reclassification.

Limits and Unknowns

• The law only applies if the owner wins their appeal; it does not change rules for owners who lose or do not file.
• The specific date this law takes effect is listed as the general effective date, which depends on when the governor signs it.

Official Summary Text

SB1291 - 572R - Senate Fact Sheet

Assigned to
FIN������������������������������������������������������������������������������������������������� AS
PASSED BY COMMITTEE

ARIZONA STATE SENATE

Fifty-Seventh
Legislature, Second Regular Session

AMENDED

FACT SHEET FOR
S.B. 1291

agricultural
property; classifications; inspection

Purpose

Prohibits a
county assessor from reclassifying or conducting an on-site inspection of
agricultural property for four years after a property owner prevails in a
property tax appeal, unless there is a change in use or ownership, a property split
or a taxable improvement.

Background

Statute requires
each county assessor to conduct on-site inspections of 25 percent of
agricultural properties each year, ensuring that every agricultural property is
reviewed and appraised at least once every four years. If, during inspection, a
property is found not to qualify for agricultural property tax classification,
the owner must be notified by certified mail of the reason for reclassifying
the property and include information for the property owner to appeal the
reclassification (A.R.S. ��
42-12158

and
42-12156
).

A county
assessor must notify a property owner whether an agricultural classification
has been approved or disapproved by the time the assessor next mails the
property's notice of valuation. If the agricultural classification is
disapproved, the assessor must notify the owner of the reason for disapproval
within 120 days of the application and the owner may appeal the decision of the
assessor (
A.R.S.
� 42-12155
).

A person that
disagrees with the valuation or legal classification of the person's real
property may file a petition with the county assessor appealing the county
assessor's noticed valuation or recommended classification of the property. If
the county assessor denies a petition and if a county board of equalization has
been established in the county, the petitioner may appeal the assessor's
decision to the county board within 25 days after the assessor's decision was
mailed to the petitioner. In evaluating the petition, the county board must
either grant or refuse the request of the petitioner within 10 days after a
hearing on the petition has been held. If the county board of supervisors makes
any changes to valuations or legal classifications ordered by the county board,
the county board of supervisors must add up on the roll the entries of the
valuation of each description and class of property and the total valuations
and enter all totals on the tax roll. A property owner who is dissatisfied with
the valuation or classification of the property as determined by a county board
or a petitioner whose petition is denied by the county board may appeal
directly to the court within 60 days after the date of mailing of the decision
or by December 15, whichever is later. If the county board orders the valuation
of any property to be reduced, the county assessor or the Arizona Department of
Revenue may appeal the decision to court (
A.R.S. Title 42, Chapter 16,
Article 3
).

There is no
anticipated fiscal impact to the state General Fund associated with this
legislation.

Provisions

1.

Prohibits,
if a property owner prevails in a property tax appeal, a county assessor from
conducting an on-site inspection or reclassifying agricultural property for
four years after the appeal decision is rendered, unless one of the following
occurs:

a)

the property owner files a change in use notice;

b)

a split of the property;

c)

a change in ownership or lease of the property; or

d)

a
taxable improvement is made to the property.

2.

Becomes effective on the general effective date

Amendments
Adopted by Committee

�

Prohibits a county assessor from reclassifying or conducting an
on-site inspection of agricultural property for four years after an owner
prevails in an appeal, unless a taxable improvement is made to the property.

Senate
Action

FIN ���������� 2/16/26
���������� DPA �������� 5-1-1

Prepared by
Senate Research

February 18,
2026

MG//SJ/hk

Current Bill Text

SB1291 - 572R - S Ver

Senate Engrossed

agricultural
property; classification; inspection.

State of Arizona

Senate

Fifty-seventh Legislature

Second Regular Session

2026

SENATE BILL 1291

AN
ACT

amending section 42-12155, Arizona Revised
Statutes; relating to agricultural property.

(TEXT OF BILL BEGINS ON NEXT PAGE)

Be it enacted by the Legislature of the
State of Arizona:

Section 1. Section 42-12155, Arizona Revised
Statutes, is amended to read:

START_STATUTE
42-12155.

Notice of approval or disapproval; appeal

A. The county assessor shall notify the property
owner whether the assessor has approved or disapproved the agricultural
classification of the property on or before the date on which the assessor next
mails the owner the notice of valuation for the property.

B. If the assessor disapproved the agricultural
classification, the assessor shall notify the owner of the reason for
disapproval within one hundred twenty days of the application.

C. The owner may appeal the decision of the assessor
as prescribed by chapter 16, article 2, 5 or 6 of this title.

D. If the owner prevails in an appeal
under chapter 16, article 5 of this title, the county assessor may not
reclassify agricultural property or conduct an on-site inspection
pursuant to section 42-12158 for four years after the appeal decision is
rendered unless one of the following occurs:

1. The property owner files A change
in the use notice pursuant to section 42-12156, subsection A.

2. A split of the property.

3. A change in ownership or lease of
the property.

4. A taxable improvement is made to
the property.
END_STATUTE