eliminate the Agricultural Land Assessment Implementation and Oversight Advisory Task Force, and to provide that the Department of Revenue receive the submission of recommendations and provide a report on agricultural value.

26.985.13 101st Legislative Session 1264

2026 South Dakota Legislature
House Bill 1264
ENROLLED

AN ACT

ENTITLED An Act to eliminate the Agricultural Land Assessment Implementation
and Oversight Advisory Task Force, and to provide that the Department of
Revenue receive the submission of recommendations and provide a report on
agricultural value.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA:
Section 1. That § 10-6-124 be AMENDED:
10-6-124. The secretary of the department may promulgate rules pursuant to
chapter 1-26 concerning the:
(1) Collection and tabulation of information required to determine median appraisal or
sales assessment ratio, and coefficient of dispersion;
(2) Criteria to be included in a compliance audit of assessment practices;
(3) Conditions under which a certificate of compliance may be issued to a county;
(4) Procedures for determining the valuation of agricultural buildings and structures;
(5) Procedures for determining the valuation of dwellings on agricultural land and
automobile garages or portions of buildings used as automobile garages;
(6) Application of cropland and noncropland income values;
(7) Application of soil classification standards; and
(8) Procedures for making adjustments to the value of agricultural land pursuant to
§§ 10-6-127 to 10-6-132, inclusive.
Section 2. That § 10-6-128 be AMENDED:
10-6-128. The secretary of the department may contract with one or more
qualified entities for the purpose of creating or maintaining a database to determine the
agricultural income value of agricultural land by county, consisting of eight consecutive
years of cropl and data and noncropland data. The data for the year representing the
highest agricultural income value among the eight years and the year representing the
26.985.13 2 1264
HB1264 ENROLLED
lowest agricultural income value among the eight years must be discarded from the
database and the remaining six years averaged for valuation purposes. For each
assessment year, the first year of the eight -year data period is nine years prior to the
assessment year.
The cropland data must include acres planted, acres harvested, yield per acre, and
statewide crop prices. The noncropland data must include cash rents and statewide calf
prices. The noncropland data may also include rangeland and pastureland animal unit
months per acre, rangeland and pastureland acres, and grazing season data.
A qualified entity contracting with the secretary of the department pursuant to this
section shall provide the data for each county to the secretary by June first of each year.
For purposes of this section, a qualified entity is a federal or state agency,
instrumentality, institution of higher learning, other federal or state authority, or private
entity with expertise in researching or evaluating land production capacity.
On or before March first of each year, the department shall provide a report to the
Taxation Committees in the Senate and the House of Representatives on the data compiled
pursuant to this section.
Section 3. That § 10-6-129 be AMENDED:
10-6-129. An entity contracting with the department pursuant to § 10-6-128 may
submit recommendations regarding the factors to use for the percentage of annual earning
capacity to be used to determine the agricultural income value of the land pursuant to
§ 10-6-127. Any recommendations under this section must be submitted to the
department by September first of each year.
Section 4. That § 10-6-134 be REPEALED.
Section 5. That § 10-6-135 be REPEALED.
26.985.13 3 1264
HB1264 ENROLLED
An Act to eliminate the Agricultural Land Assessment Implementation and Oversight Advisory
Task Force, and to provide that the Department of Revenue receive the submission of
recommendations and provide a report on agricultural value.

I certify that the attached Act originated in
the:

House as Bill No. 1264

Chief Clerk of the House

Speaker of the House

Attest:

Chief Clerk of the House

President of the Senate

Attest:

Secretary of the Senate

House Bill No. 1264
File No. ____
Chapter No. ______

Received at this Executive Office
this _____ day of _____________,

2026 at ____________M.

By
for the Governor

The attached Act is hereby
approved this ________ day of
______________, A.D., 2026

Governor

STATE OF SOUTH DAKOTA,
ss.
Office of the Secretary of State

Filed ____________, 2026
at _________ o'clock __M.

Secretary of State

By
Asst. Secretary of State