A Bill for an Act
Page 1, Line 101Concerning clarification of the definition of "ranch" used
Page 1, Line 102in connection with the taxation of agricultural
Page 1, Line 103property.
Bill Summary
(Note: This summary applies to this bill as introduced and does not reflect any amendments that may be subsequently adopted. If this bill passes third reading in the house of introduction, a bill summary that applies to the reengrossed version of this bill will be available at http://leg.colorado.gov/.)
Water Resources and Agriculture Review Committee. The bill broadens the definition of "ranch" for purposes of property taxation to include a parcel of land used for grazing or raising livestock for the primary purpose of obtaining a monetary profit rather than a parcel of land used only for grazing livestock for the primary purpose of obtaining a monetary profit. The bill also eliminates the limited definition of "livestock" included in the definition of "ranch" and replaces it with the general definition of "livestock" used for property tax purposes that includes all animals.
Page 2, Line 1Be it enacted by the General Assembly of the State of Colorado:
Page 2, Line 2SECTION 1. Legislative declaration. (1) The general assembly finds and declares that:
Page 2, Line 3(a) In Colorado, since at least 1967, the classification of property
Page 2, Line 4as agricultural land has helped support small-scale agriculture producers through reductions in property tax obligations;
Page 2, Line 5(b) Under current law, enacted in 1983, the classification only
Page 2, Line 6applies to land that is used for grazing livestock or producing agricultural
Page 2, Line 7products. Grazing livestock does not include raising animals such as pigs and chickens.
Page 2, Line 8(c) Coloradans across our state raise pigs, chickens, and other
Page 2, Line 9animals for profit to support their agricultural businesses, supply food to
Page 2, Line 10other small businesses, and generate significant economic activity locally and statewide.
Page 2, Line 11(2) Therefore, it is in the best interest of the state and is the
Page 2, Line 12intention of the general assembly that the property tax savings realized by
Page 2, Line 13producers through the classification of agricultural property extend to all
Page 2, Line 14producers not only grazing but also raising livestock for profit, including,
Page 2, Line 15but not limited to, chickens and pigs, as a means to save these producers
Page 2, Line 16money, encourage more agricultural activity, and benefit the economy of local communities and of the state.
Page 2, Line 17SECTION 2. In Colorado Revised Statutes, 39-1-102, amend
Page 2, Line 18(13.5) as follows:
Page 3, Line 139-1-102. Definitions. As used in articles 1 to 13 of this title 39, unless the context otherwise requires:
Page 3, Line 2(13.5) "Ranch" means a parcel of land
whichPage 3, Line 3grazing or raising livestock for the primary purpose of obtaining a
Page 3, Line 4monetary profit.
For the purposes of this subsection (13.5), "livestock"Page 3, Line 5
means domestic animals which are used for food for human or animal consumption, breeding, draft, or profit.Page 3, Line 6SECTION 3. Act subject to petition - effective date -
Page 3, Line 7applicability. (1) Except as provided in subsection (2) of this section,
Page 3, Line 8this act takes effect January 1, 2026, and applies to property tax years commencing on or after January 1, 2026.
Page 3, Line 9(2) If a referendum petition is filed pursuant to section 1 (3) of
Page 3, Line 10article V of the state constitution against this act or an item, section, or
Page 3, Line 11part of this act within the ninety-day period after final adjournment of the
Page 3, Line 12general assembly, then the act, item, section, or part will not take effect
Page 3, Line 13unless approved by the people at the general election to be held in
Page 3, Line 14November 2026 and, in such case, will take effect on the date of the
Page 3, Line 15official declaration of the vote thereon by the governor and apply to property tax years commencing on or after that date.