Back to Colorado

SB26-010 • 2026

Agricultural Property Tax Definitions

The act broadens the definition of 'ranch' for purposes of property taxation to mean a parcel of land that is predominantly used for grazing livestock for the primary purpose of obtaining a monetary p

Agriculture Taxes
Enacted

This bill passed the Legislature and reached final enactment based on the latest official action.

Sponsor
Sen. B. Pelton, Sen. D. Roberts, Rep. J. McCluskie, Rep. K. McCormick, Sen. M. Catlin, Rep. M. Martinez, Rep. M. Soper, Sen. J. Amabile, Sen. M. Baisley, Sen. M. Ball, Sen. S. Bright, Sen. J. Carson, Sen. J. Coleman, Sen. L. Cutter, Sen. T. Exum, Sen. L. Frizell, Sen. J. Gonzales, Sen. N. Hinrichsen, Sen. I. Jodeh, Sen. C. Kipp, Sen. B. Kirkmeyer, Sen. L. Liston, Sen. D. Michaelson Jenet, Sen. R. Pelton, Sen. J. Rich, Sen. C. Simpson, Sen. M. Snyder, Sen. K. Wallace, Sen. M. Weissman, Sen. L. Zamora Wilson, Rep. M. Duran, Rep. L. Goldstein, Rep. S. Lieder, Rep. M. Lindsay, Rep. M. Lukens, Rep. B. Marshall, Rep. T. Mauro, Rep. K. Nguyen, Rep. C. Richardson, Rep. M. Rutinel, Rep. L. Smith, Rep. K. Stewart, Rep. T. Story, Rep. R. Taggart, Rep. B. Titone, Rep. R. Weinberg
Last action
2026-02-03
Official status
Introduced In House - Assigned to
Effective date
Not listed

Plain English Breakdown

The candidate explanation included claims about local community benefits which are not directly supported by the official source material.

Clarifying Definitions for Agricultural Property Tax

This act changes the definitions of 'farm' and 'ranch' to include smaller-scale operations that use land predominantly for agricultural production or livestock grazing for profit.

What This Bill Does

  • Expands the definition of a 'ranch' to mean land used mainly for grazing livestock in a pasture-based operation, where animals have regular access to open fields and mostly eat grass.
  • Defines 'pasture-based operation' as a method of managing livestock that allows them to graze freely on pastures most of the time.
  • Expands the definition of a 'farm' to mean land used mainly for producing agricultural products from the land's productivity, with the goal of making money.

Who It Names or Affects

  • Farmers and ranchers who use their land predominantly for agriculture or livestock grazing.

Terms To Know

Pasture-based operation
A method of managing livestock where pasture-grazed livestock have regular access to open pastures and derive a majority of their diet through grazing.
Predominantly used
Mainly or primarily used for a specific purpose, such as agriculture or grazing livestock.

Limits and Unknowns

  • The act may not take effect until January 1, 2027, unless approved by voters in the November 2026 general election.
  • It is unclear how many smaller-scale operations will qualify under the new definitions.

Bill History

  1. 2026-03-09 Governor

    Governor Signed

  2. 2026-03-02 Governor

    Sent to the Governor

  3. 2026-03-02 House

    Signed by the Speaker of the House

  4. 2026-03-02 Senate

    Signed by the President of the Senate

  5. 2026-02-23 House

    House Third Reading Passed - No Amendments

  6. 2026-02-20 House

    House Second Reading Special Order - Passed - No Amendments

  7. 2026-02-19 House

    House Committee on Agriculture, Water & Natural Resources Refer Unamended to House Committee of the Whole

  8. 2026-02-04 House

    Introduced In House - Assigned to Agriculture, Water & Natural Resources

  9. 2026-02-03 House

    Introduced In House - Assigned to

  10. 2026-02-03 Senate

    Senate Third Reading Passed - No Amendments

  11. 2026-02-02 Senate

    Senate Second Reading Passed - No Amendments

  12. 2026-01-28 Senate

    Senate Committee on Agriculture & Natural Resources Refer Unamended - Consent Calendar to Senate Committee of the Whole

  13. 2026-01-14 Senate

    Introduced In Senate - Assigned to Agriculture & Natural Resources

Official Summary Text

The act broadens the definition of 'ranch' for purposes of property taxation to mean a parcel of land that is predominantly used for grazing livestock for the primary purpose of obtaining a monetary profit. A ranch must operate through a pasture-based operation, which is newly defined as a method of livestock management where pasture-grazed livestock have regular access to open pasture and derive a majority of their diet through grazing.
The act also broadens the definition of 'farm' for purposes of property taxation to mirror the predominant use language in the definition of 'ranch'. With this change, a farm means a parcel of land that is predominantly used to produce agricultural products that originate from the land's productivity for the primary purpose of obtaining a monetary profit.
(Note: This summary applies to this bill as enacted.)

Current Bill Text

Read the full stored bill text
SENATE BILL 26-010
BY SENATOR(S) Roberts and Pelton B., Catlin, Amabile, Baisley, Ball,
Bright, Carson, Cutter, Exum, Frizell, Gonzales J., Hinrichsen, Jodeh, Kipp,
Kirkmeyer, Liston, Michaelson Jenet, Pelton R., Rich, Simpson, Snyder,
Wallace, Weissman, Zamora Wilson, Coleman;
also REPRESENTATIVE(S) McCluskie and McCormick, Martinez, Soper,
Duran, Goldstein, Lieder, Lindsay, Lukens, Marshall, Mauro, Nguyen,
Richardson, Rutinel, Smith, Stewart K., Story, Taggart, Titone, Weinberg.
CONCERNING CLARIFICATION OF DEFINITIONS USED IN CONNECTION WITH
THE TAXATION OF AGRICULTURAL PROPERTY.
Be it enacted by the General Assembly of the State of Colorado:
SECTION 1. Legislative declaration. (1) The general assembly
finds and declares that:
(a) In Colorado, since at least 1967, the classification of property as
agricultural land has helped support agriculture producers through
reductions in property tax obligations;
(b) Under current law, enacted in 1983, the classification applies to
land that is used for grazing livestock or producing agricultural products;
Capital letters or bold & italic numbers indicate new material added to existing law; dashes
through words or numbers indicate deletions from existing law and such material is not part of
the act.
( c) Rising land prices make it difficult for producers to purchase
large tracts of land. As a result, entry into agriculture is increasingly
occurring through smaller-scale operations, which are more financially
feasible.
( d) Smaller farms and ranches are using pasture-based operations to
produce agricultural products for profit, including pasturing livestock like
chickens and pigs, to meet consumer demands for locally sourced food,
support their agricultural businesses, supply food to other small businesses,
and generate significant economic activity locally and statewide.
(2) Therefore, it is in the best interest of the state and is the intention
of the general assembly that the classification of agricultural property
extend to producers that predominantly use their land to produce
agricultural products and predominantly pasture their land to graze
livestock, which will save these producers money, encourage more
agricultural activity, and benefit the economy of local communities and of
the state.
SECTION 2. In Colorado Revised Statutes, 39-1-102, amend (3 .5)
and (13.5) as follows:
39-1-102. Definitions.
As used in articles 1 to 13 of this title 39, unless the context
otherwise requires:
(3 .5) "Farm" means a parcel ofland which THAT is PREDOMINANTLY
used to produce agricultural products that originate from the land's
productivity for the primary purpose of obtaining a monetary profit.
(13.5) (a) "Ranch" means a parcel of land which THAT is
PREDOMINANTLY used for grazing livestock for the primary purpose of
obtaining a monetary profit THROUGH A PASTURE-BASED OPERATION.
(b) For the purposes of this subsection (13.5):
(I) "Livestock" means domestic animals which THAT are used for
food for human or animal consumption, breeding, draft, or profit; AND
PAGE 2-SENATE BILL 26-010
(II) "PASTURE-BASED OPERATION" MEANS A METHOD OF LIVESTOCK
MANAGEMENT WHERE PASTURE-GRAZED LIVESTOCK HA VE REGULAR ACCESS
TO OPEN PASTURE AND DERIVE A MAJORITY OF THEIR DIET THROUGH
GRAZING.
SECTION 3. Act subject to petition - effective date -
applicability. (1) This act takes effect January 1, 2027; except that, if a
referendum petition is filed pursuant to section 1 (3) of article V of the state
constitution against this act or an item, section, or part of this act within the
ninety-day period after final adjournment of the general assembly, then the
act, item, section, or part will not take effect unless approved by the people
at the general election to be held in November 2026 and, in such case, will
take effect January 1, 2027, or on the date of the official declaration of the
vote thereon by the governor, whichever is later.
PAGE 3-SENATE BILL 26-010
(2) This act applies to property tax years commencing on or after the
applicable effective date of this act.
James Rashad Coleman, Sr.
PRESIDENT OF
THE SENATE
�Esther van Mourik
SECRETARY OF
THE SENATE
Julie McCl�ie
SPEAKER OF THE HOUSE
OF REPRESENTATIVES
\)��Reilly
CHIEF CLERK OF THE HOUSE
OF REPRESENTATIVES
APPROVED Oh mond� \fYl&u--oh q➔h 2-02.& o...f \2; zofVY'\
(Date and Time)
PAGE 4-SENATE BILL 26-010
Jared S.
GOVE