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As Introduced
136th
General Assembly
Regular
Session
S. B. No. 285
2025-2026
Senator Schaffer
To
amend section 5713.34 of the Revised Code
to exempt agricultural land converted to certain conservation uses
from recoupment charges.
BE
IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF OHIO:
Section
1.
That
section 5713.34 of the Revised Code be amended to read as follows:
Sec.
5713.34.
(A)(1)
Upon the conversion of all or any portion of a tract, lot, or parcel
of land devoted exclusively to agricultural use a portion of the tax
savings upon such converted land shall be recouped as provided for by
Section 36, Article II, Ohio Constitution by levying a charge on such
land in an amount equal to the amount of the tax savings on the
converted land during the three tax years immediately preceding the
year in which the conversion occurs. If the auditor discovers that
agricultural land valued at the lowest valued soil type, pursuant to
section 5713.31 of the Revised Code, because of its use for a
conservation practice or designation as eligible conservation land
ceases to meet that criteria sooner than thirty-six months after the
initial certification, the auditor shall levy a charge on such
agricultural land in an amount equal to the reduction in taxes
resulting from the land's valuation at the lowest valued soil type,
rather than valuation at its actual soil type, in all preceding years
the land was so valued, not to exceed the most recent three years.
The charges levied under this section shall constitute a lien of the
state upon such converted land as of the first day of January of the
tax year in which the charge is levied and shall continue until
discharged as provided by law.
(2)
Upon the conversion of an adequately described portion of a tract,
lot, or parcel of land, the county auditor shall divide any numbered
permanent parcel into economic units and value each unit individually
for the purpose of levying the charge under division (A)(1) of this
section against only the converted portion.
(3)
A charge shall not be levied under this section for the conversion of
a portion of a tract, lot, or parcel of land devoted exclusively to
agricultural use if the conversion is incident to the construction or
installation of an energy facility, as defined in section 5727.01 of
the Revised Code, and if the remaining portion of the tract, lot, or
parcel continues to be devoted exclusively to agricultural use.
(B)
Except as otherwise provided in division (C) or (D) of this section,
a public entity that acquires by any means and converts land devoted
exclusively to agricultural use and a private entity granted the
power of eminent domain that acquires by any means and converts land
devoted exclusively to agricultural use shall pay the charge levied
by division (A) of this section and shall not, directly or
indirectly, transfer the charge to the person from whom the land is
acquired. A person injured by a violation of this division may
recover, in a civil action, any damages resulting from the violation.
(C)
The charge levied by division (A)(1) of this section does not apply
to the conversion of land
that
meets either of the following conditions:
(1)
The land is exempt from taxation pursuant to division (B) of section
5709.09 of the Revised Code and remains principally undeveloped.
(2)
The land is
acquired
by a public entity by means other than eminent domain and thereafter
used exclusively for a public purpose that leaves the land
principally undeveloped when either of the following conditions
applies:
(1)
(a)
In the case of land so acquired and converted by a park district
created under Chapter 1545. of the Revised Code, the land is located
within the boundaries of the park district.
(2)
(b)
In the case of land so acquired and converted by a public entity
other than a park district created under Chapter 1545. of the Revised
Code, the land is located within the boundaries of any city, local,
exempted village, or joint vocational school district that is wholly
or partially located within the boundaries of the public entity that
so acquired and converted the land.
If
all or any portion of a tract, lot, or parcel of
such
land
described in division (C)(1) or (2) of this section
is later developed or otherwise converted to a purpose other than one
of the purposes enumerated under division (E)(1) of this section, the
charge levied by division (A)(1) of this section shall be levied
against such developed or converted land as otherwise required by
that division.
The
county auditor of the county in which the land is located shall
determine annually whether all or any portion of a tract, lot, or
parcel of land formerly converted to a purpose enumerated under
division (E)(1) of this section has been developed in such a way or
converted to such a purpose as to require the charge levied by
division (A)(1) of this section to be levied against the land so
developed or converted.
(D)
Division (B) of this section does not apply to a public entity that
acquires by means other than eminent domain and converts land devoted
exclusively to agricultural use to use for public, active or passive,
outdoor education, recreation, or similar open space uses when either
of the following conditions applies:
(1)
In the case of land so acquired and converted by a park district
created under Chapter 1545. of the Revised Code, the land is located
outside the boundaries of the park district.
(2)
In the case of land so acquired and converted by a public entity
other than a park district created under Chapter 1545. of the Revised
Code, the land is located outside the boundaries of any city, local,
exempted village, or joint vocational school district that is wholly
or partially located within the boundaries of the public entity that
so acquired and converted the land.
(E)
As used in divisions (C) and (D) of this section:
(1)
"Principally undeveloped" means a parcel of real property
that is used for public, active or passive, outdoor education,
recreation, or similar open space uses and contains only the
structures, roadways, and other facilities that are necessary for
such uses.
(2)
"Public entity" means any political subdivision of this
state or any agency or instrumentality of a political subdivision.
Section
2.
That
existing section 5713.34 of the Revised Code is hereby repealed.
Section
3.
The
amendment by this act of section 5713.34 of the Revised Code applies
to the conversion of land devoted exclusively to agricultural use, as
defined in section 5713.30 of the Revised Code, occurring on or after
the effective date of this section.