Real Property Tax Law Exemption for Farm Buildings Extended

From Gov. Cuomo's office:

The state's Real Property Tax Law exemption on farm buildings, which provides continued tax relief for New York farmers and growers, has been extended.

The Real Property Tax Law exempts agricultural producers from paying real property tax on buildings that are essential to the production of agricultural or horticultural products, such as temporary greenhouses, dairy barns and exercise arenas for horse-boarding operations. 

 

"New York's agricultural industry is a major sector of our economy, and it's critical that we continue to support local farmers and growers," said Gov. Andrew Cuomo in announcing the extension.

"This tax exemption will help New York's hard-working agricultural producers invest in their farms and grow their businesses, and as a result increase competitiveness and productivity for years to come," he said

The Real Property Tax Law exemption was extended for the next 10 years and applies to newly constructed and re-constructed agricultural buildings through Jan. 1, 2029. Since it was last renewed in 2008, the exemption for farm structures is estimated to have saved New York farmers more than $112.8 million. 

The exemption has helped support the growth of New York's agricultural industry by allowing farmers and growers to use the money saved to invest in their operations, purchase new equipment and modernize facilities, which increases the farms' competitiveness and profitability.

 

Agricultural buildings have been exempt from state taxation for decades, but the law granting the exemption was set to expire on New Year's Day 2019. The new law, sponsored by Assemblyman Bill Magee and Sen. Patty Ritchie -- chairs of the Assembly and Senate ag committees, respecftively -- amends New York State's Real Property Tax Law to extend the tax break and ensure it will remain in effect for the next decade.

 

The law prohibits tax increases based on the value of construction or improvement of structures that are used for essential agricultural operations. That includes the cultivation, harvest and storage of commodities; the feeding, breeding and management of livestock; and housing for farm employees. 

Housing for immediate family members is not covered by the exemption unless the family members are non-owners and critical to the commercial operation of the farm.

 

A complete list of rules regarding the exemption can be found at this link https://www.tax.ny.gov/pdf/publications/orpts/farmbuilding.pdf

Magee Bill Would Extend Property Tax Exemption on New Farm Buildings

A bill written by Assemblyman William Magee to extend the current real property tax exemption for new farm buildings until 2029 recently passed the Assembly.

The bill, A-10057, extends the property tax exemption for increases in value due to construction or improvement of buildings needed for farm operations by 10 years.

“Farmers work from sunrise to sundown to produce everything from crops to dairy products for our families,” Magee said. “But the cost of running and maintaining a farm is a lot to keep up with. This tax exemption is critical in helping farmers update their buildings and infrastructure and invest in businesses so they can afford to stay open and keep growing.”

Farm upkeep can be very costly, and building or upgrading vital structures like milking parlors, barns and stables is an expense many family farms can’t afford, Magee noted. The structures must abide by regulations that can drive these costs up even further. The bill helps lessen this burden, Magee said.

“Many farmers have invested in newer style milk barns which are more open, airy and efficient,” said Nelson Town Supervisor Roger Bradstreet. “Property tax assistance for this investment is helpful. I encourage the New York Senate to pass this important legislation, as the New York state Assembly has done in recent weeks.”

As the chair of the Assembly Committee on Agriculture, Magee has been a vocal advocate for farmers. Expanding the real property tax exemption and lowering the cost of production encourages farmers to invest in their farms, helps make farms more profitable and makes it easier to pass farms down to the next generation and keep them in the family, Magee noted.

Apply Now for Help With Water Quality Programs

From state Assemblyman William Magee

Assemblyman Bill Magee (D-Nelson) announced that livestock farms can now apply for state grants to help fund water quality projects that help comply with new environmental regulations. 

A total of $50 million is available through the Clean Water Infrastructure Act, which was included in this year’s state budget. As chair of the Assembly Agriculture Committee, Magee advocates for New York’s farmers and is dedicated to conserving our region’s soils and water resources.

“The agriculture industry is important to our region’s economy,” Magee said. “This funding ensures that farmers across New York can comply with new regulations designed to ensure our water remains clean. These water quality projects will keep our water safe for future generations.”

There are more than 500 farms in New York state with more than 200 livestock, most of which are dairy farms with more than 300 cows. This money will help livestock farms better store nutrients, such as manure, until there is ideal weather for application. 

Previously, farmers with insufficient storage would have to apply manure during rain or snowmelt, which meant that nutrients could run off and contaminate water supplies rather than be absorbed into fields and help crops grow.

This money is especially important this year. Harmful Algal Blooms (HABs) have been confirmed at Craine Lake in Earlville and suspected in the DeRuyter Reservoir.

HABs are caused by several nutrient sources and environmental factors and have the potential to cause illness in people and pets, as well as impact fisheries and recreational opportunities on local waterbodies.

“I encourage livestock farmers to apply for this helpful funding,” Magee said. “This is one of many programs out there that could be an important boost to them. I’ll keep fighting to cut red tape, invest in innovative agriculture programs and spur economic growth.”

The first of three application periods is open now and will close Nov. 20. Awards for the first $20 million will be made by mid-December. 

An additional $15 million will be made available in both 2018 and 2019. County soil and water conservation districts can apply for the CAFO Waste Storage and Transfer System Program on behalf of eligible farmers. The maximum award amount per proposal is $385,000, which includes funding for engineering and construction expenses. 

The application link can be found right here agriculture.ny.gov/RFPS.html

Young Farmers Advisory Board Bill Signs by Cuomo

From staff reports

Gov. Andrew Cuomo has signed the bill creating a “Young Farmers Advisory Board.”

State Sen. Patty Ritchie, R-Oswegatchie, said the bill she sponsored would bring together leading agriculture experts to help protect the future of family farming in New York. 

The new law creates a 20-member board, made up of farmers, representatives of agricultural organizations and state agencies, to find ways to attract next-generation farmers, and connect them with existing state resources that will help them succeed. 
 
“If we want to make sure that agriculture remains our state’s leading industry, it’s imperative that we continue to come up with new, fresh ideas that will encourage more young people to consider careers in farming,” said Ritchie, who also is chair of the Senate Agriculture Committee. 
 
“There’s no better way to do that than to tap into the experience and expertise of our state’s hardworking farmers,” she said. “I am pleased to see this bill become law and look forward to seeing how the Young Farmers Advisory Board will help those new to agriculture achieve success and in turn, preserve the future of family farming for many years to come.”
 
It is estimated that in five years, there will be 100,000 young farmers needed nationally and in New York, the average age of a farmer is 57 — making initiatives like the Young Farmers Advisory Board especially important to the future of the industry. 
 
“The future of farming in New York State depends on encouraging young people to pursue careers in agriculture,” said Assemblyman William Magee, who sponsored the legislation in the Assembly and is chair of the Assembly Agriculture Committee. 

“Through the new Young Farmers Advisory Board, those who have achieved success in agriculture can continue to help pave the way for those who will follow in their footsteps and provide the guidance needed to help new and beginning farmers thrive,” Magee said.
 
In the 2017-2018 state budget, Ritchie helped obtain $1 million for a fourth round of the “New Farmers Grant Fund.” The grant program provides up to $50,000 for agriculture professionals to help offset startup costs with equipment and land purchases. 
 
More than 70 beginning farmers already have shared in the $2.5 million in grants to help them build their farm businesses. In addition, Ritchie secured $150,000 in the recent state budget to continue the “student loan forgiveness program” to help those who commit to careers in farming cover their education expenses.   

Bill To Ensure Farm Property Tax Relief Eligibility Passes State Legislature

From Assemblyman Bill Magee's office:

Assemblyman Bill Magee, D-Nelson, announced that legislation he sponsored to ensure more farms are eligible for critical property tax relief has passed both the Assembly and the Senate. 

The legislation allows family members who operate farms held in trust to qualify for the Farmers’ School Tax Credit – a refundable credit for farming businesses that have paid school district property taxes (A.4650).
 
“It’s important that we help farms transition from one generation to the next,” Magee said. “Those who have been farming for decades have knowledge that has been handed down and is almost impossible to replace. We can help new farmers take the helm and continue their family’s legacy by cutting red tape to ensure they get the tax relief they need and deserve.”
 
As chair of the Assembly Committee on Agriculture, Magee is a strong advocate for farmers, and fights to ensure that family farms can continue to thrive. He recognizes that trusts have become more common over the past several years as more families use them to transfer their farms to the next generation. 

Currently, there are more than 400 farms in New York State classified as “cooperative, estate or trust, institutional” and a significant number of those are trusts.

However, a technicality in current law allows family members who intend to purchase the land to be eligible for the Farmers’ School Tax Credit, while those who will inherit through a trust are not. Magee’s legislation corrects that oversight and allows new farmers to claim the credit. 

The legislation has passed both houses and awaits the governor’s signature to become law.

New York State Budget Includes Millions for Agriculture

Go to http://www.watertowndailytimes.com/news03/state-budget-awards-millions-to-agriculture-thousands-for-farm-business-and-education-programs--20170412 to check out the story.

Senate, Assembly Favor Family Farm in their Budgets

From New York Farm Bureau:

New York Farm Bureau said the Senate and Assembly, especially the Agriculture Committee Chairs, Sen. Patty Ritchie and Assemblyman Bill Magee, have made the state’s family farms a priority in their respective budgets.

Many of the funding lines have been restored to last year’s levels, which will make a difference in the support and promotion of the state’s diverse agricultural commodities. This includes funding multiple research projects that the agricultural community depends on to confront growing challenges that exist on farms.

The New York State Senate also stepped up to the plate to fund many of the priorities of New York Farm Bureau including a refundable investment tax credit to assist farms looking to reinvest in this down farm economy. 

The Senate majority is also supportive of doubling the agricultural minimum wage tax credit which will help farms better manage labor costs while attempting to remain competitive with farms in other states that have significantly lower wage rates.

The Farm to Food Bank Bill also received budgetary support for the first time in both chambers’ budgets. 

This is a big boost to the bill that has seen bi-partisan support the past two years only to have the governor veto the bill, in part, because it was passed outside of the budget process. 

Farm Bureau believes there is no excuse for the governor to pull out his veto stamp again, and we encourage him to negotiate funding in the final budget to support the tax credit, as he promised. It will allow farmers to donate even more fresh food to their regional food banks and pantries.

The support of the “Farm to Food Bank Bill” comes on the heels of New York state farmers donating more than 13.2 million pounds of food in 2016. The number is the second highest for any state in the country.  The total was announced last month at the American Farm Bureau Federation’s Fusion Conference in Pittsburgh, PA. 

New York Farm Bureau participates in Feeding America’s Harvest for All Program. This record number for New York highlights the generosity of farmers in this state, and food donations will likely increase with the passage and signing of the “Farm to Food Bank Bill.” 

The tax credit on 25 percent of the wholesale value of the food, up to $5,000 annually, would help offset a portion of the costs of labor, packaging and transportation required to get more food from the fields to those in need.

“As the April 1 budget deadline approaches, we are hopeful these items will remain in New York State’s final fiscal plan. The past year has been a difficult one for the state’s farmers," said Farm Bureau President David Fisher.

"From higher labor costs to lower commodity prices, coupled with extreme weather woes, the additional support could not come at a more necessary time for the hard working farm families of New York,” Fisher said.

New York State Commemorates 20 Years of Farmland Protection

On June 28, state Sen. Patty Ritchie and Assemblyman William Magee announced the recent passage of a Joint Resolution of the New York State Senate and Assembly commemorating the 20^th Anniversary of New York State’s Farmland Protection Program. 

Over the last two decades the state’s Farmland Protection Implementation Grants program has provided $140,306,211 to permanently protect 59,150 acres of farmland on 222 farms in 29 counties across New York. 

 

“When it comes to our state’s agriculture industry, available farmland that’s ready for cultivation is one of our most important resources,” said Ritchie, who is chair of the Senate Agriculture Committee.

“New York state’s Farmland Protection Program has played a key role in safeguarding our farmland, helping to ensure our hardworking farmers have access to undeveloped property, which they can use grow the fresh foods we rely on," she said. "I’ve been proud to advocate for farmland protection, and am looking forward to continuing our efforts to make sure our farmers have the land they need to feed the people of our state, and beyond.”

 

“As the average age of our farmers increases, so does our obligation to protect the farmland of the state by preserving it for agricultural uses,” said Magee, chair of the Assembly Agriculture Committee. “Over the past 20 years, the Farmland Protection Program has been successful in establishing the permanent protection of over 59,000 acres of farmland."

"Keeping farmland in production benefits every New Yorker with access to fresh, local farm products, providing sustenance for generations to come, and helping to preserve our way of life in Upstate New York,” he said.

 

Farmland lies at the foundation of New York’s $39 billion farm and food economy and is a key resource in producing fresh, healthy foods grown from local farms. Yet, New York state has lost nearly 500,000 acres of farmland to real estate development since the 1980s – paving over an area equivalent to about 5,000 farms or 3 farms a week for the past 30 years. New research from American Farmland Trust (AFT) has also shown that nearly 30 percent of New York’s farmers are over 65, suggesting that approximately 2 million acres of farmland will change hands in coming years. 

 

Since 1996, New York state has awarded farmland protection money for the purchase of permanent agricultural conservation easements on farmland. Such deed restrictions enable farms to remain in private ownership but ensures that the land will always be kept available for farming. Currently, funding for FPIG is allocated from the state’s Environmental Protection Fund.

 

In 2015-2016, $35 million was allocated to farmland protection in the state budget – the most in the state’s history and the fourth largest annual state funding for protecting farmland in America. In 2016-2017, a record appropriation of $300 million for the Environmental Protection Fund included $20 million in funds for the Farmland Protection Program, an increase of $5 million over the previous year.

 

Dairy Day Celebrated at the State Capitol

Dairy Day at the State Capitol. From left, Chip Pratt, Aileen Randolph of the New York Farm Viability Institute, Sen. Patty Ritchie, and David Grusenmeyer of the New York Farm Viability Institute

State Sen. Patty Ritchie, chair of the state Senate Agriculture Committee, welcomed dairy industry leaders to the State Capitol Wednesday for “Dairy Day,” a celebration of one of New York’s leading industries. 

The event, which is taking place during National Dairy Month, was once a tradition in Albany, and this year, Senator Ritchie, who chairs the Senate Agriculture Committee, joined with Assemblyman Bill Magee, who chairs the Assembly Agriculture Committee, to sponsor its return.

“As Chair of the Senate Agriculture Committee, and someone who grew up on a dairy farm, I’m proud to sponsor the return of Dairy Day at the State Capitol,” said Ritchie. “This is a great chance to spread the word to my colleagues, as well as visitors about how important dairy is to our agriculture and rural economies—especially in the rural regions I represent.”

On hand for Wednesday’s celebration were producers of dairy products — including milk, yogurt, cheese and others — from across the state, as well as representatives of various agriculture groups that help support the industry.

Established in 1937, National Dairy Month started out as “National Milk Month,” an event held to promote drinking milk.  Since that time, the observance has grown into an annual tradition that helps to celebrate our state’s 5,000 dairy farms and all the fresh, nutritious foods and drink they produce. 

Will the State Horse Slaughter Bill Make it Out of Committee This Year?

By DEBRA J. GROOM
Empire Farm & Dairy
 
In May 2013, about 30 horses on the  way to a slaughterhouse in Quebec died in a horrific blaze when the transport truck they were in caught fire on Interstate 81 north of Binghamton.
 
A bill to prevent this from happening again has been introduced in the New York state legislature for a number of consecutive sessions and will be introduced again this spring, said a spokesman with Senate bill sponsor Sen. Kathleen Marchione , R-Saratoga County.
 

Bos at his new home in Homer. Photo from Mary Minkoff

The bill has been sponsored in the Assembly by Assemblywoman Deborah Glick, D-Manhattan.

The bill calls for prohibiting the slaughter of horses for human consumption and the transport of horses for slaughter for human consumption in New York state.
 
Right now, horses are not slaughtered for human consumption in New York, according to the state Department of Agriculture and Markets. But there are such slaughterhouses in Quebec, so trailers filled with animals do travel through New York state north on Interstate 81 and the Adirondack Northway (Interstate 87) from points in the United States.
 
The bill was sponsored last session by Glick and Marchione. It was sent to the agriculture committees in both the state Assembly and the state Senate but did not move from there.
 
In fact, the bill has been around since 2007, but never makes it out of the agriculture committees in the Assembly or Senate. To become law, it would have to be approved in committee, go to a vote by the full Legislature and then be signed by Gov. Andrew Cuomo.
 
“Assemblywoman Glick is very committed to this bill,” said Charles LeDuc, Glick’s legislative analyst. He said the problem deals with wording in the bill.
 
“She cares deeply about this issue and will continue to work with the chair of the committee,” LeDuc said. “It all comes down to the wording in the bill.”
 
“Sen. Marchione believes that New York’s horses are majestic, beautiful animals that deserve protection from inhumane treatment and slaughter,” said Joshua Fitzpatrick, speaking for Marchione. “This bipartisan legislation continues to work its way through the legislative process.”
 
Assemblyman William Magee, D-Nelson, Madison County, chair of the Assembly agriculture committee, said he didn’t hear much from constituents concerning the bill when it was first introduced. It was amended last year to beef up the enforcement part of the bill and was reintroduced this year, and will be discussed by the committee this session.
 
Assemblyman James Tedisco, R-Glenville, Saratoga County, has been a co-sponsor of the bill each time it has been introduced and continues to back it.
 
Tedisco called the slaughter of horses animal abuse and said it is a bridge crime to more heinous actions, such as the assault or killing of people. He also called horses noble “creatures of God” that “built this nation, built the Erie Canal and worked the farms” that made the U.S. and New York grow into what they are today.
 

Bos before being rehabilitated at Sunshine Horses

Bos is one of those “noble creatures” of which Tedisco speaks, says Mary Minkoff, vice president of Sunshine Horses, a rescue organization outside of Central Square, Oswego County.
 
Minkoff found Bos — a 15-year-old Standardbred — at a kill pen in Pennsylvania in 2013. He had been a champion harness race horse, bringing in about $200,000 in winnings for his owner.
 
But when he couldn’t race anymore, he was sold to some Amish farmers. He pulled carriages.
“This is a hard life for these horses,” Minkoff said.
 
She said Bos was worked quite hard and then auctioned off again when he couldn’t pull his load.
He ended up in the kill pen, where he was rescued by Minkoff.
 
“He came to us in April 2013 and he was quite ill,” Minkoff said. “He had a respiratory illness and had to be in quarantine.”
 
Today, Bos is thriving. He was nursed back to health and lived for a while with other horses at Sunshine Horses stables, enjoying the outdoors, the camaraderie  of other equine and, life in general. He’s inquisitive and is always the first to come check out a new person at the fence.
 
“He’s a funny boy,” Minkoff said.
 
He has recently been adopted by the Laughlin family in Homer, Cortland County.
Minkoff thinks the state’s slaughter bill is a good idea, although she said “enforcing it is probably going to be a problem.” She thinks more could be done if a federal bill was passed.
 
There is a federal bill called the Safeguard American Food Exports, or SAFE, which is in committee in both the House of Representatives and Senate. The bill states it would “prevent human health threats posed by the consumption of equines raised in the United States.”
 
“We have to stop the transport of horses over borders,” Minkoff said. “People need to be educated about horse slaughter. About 100,000 horses are slaughtered each year over the border.”
 
The federal bill keys in on the health problems that can arise from eating horse meat and prohibits the “sale or transport of equines or equine parts in interstate or foreign commerce for purposes of human consumption.”
 
New York Assemblyman Tedisco also is concerned about horse meat from other countries (possibly those slaughtered in Canada) making it into U.S. food.
 
“It is dangerous to people’s health,” he said. “There are a lot of drugs (used in horses) that can cause harm to people or even kill a baby in a woman’s womb.”
 
Some of the drugs listed in the federal bill are phenylbutazone, acepromazine, boldenone undecylenate, omeprazole, ketoprofen, xylazine, hyaluronic acid, nitrofurazone, polysulfated glycosaminoglycan, clenbuterol, tolazoline, and ponazuril, all of which are prohibited in meat used for human consumption.
 
Jack Knowlton is operating manager at Sackatoga Stable in Saratoga Springs and was the race manager for 2003 Kentucky Derby and Preakness winner Funny Cide. Funny Cide was the first gelding to win the Derby in nearly 75 years and the first New York-bred horse to win the Run for the Roses.
 
Knowlton has long been an advocate against equine abuse and slaughter and even has been honored for his work by various horse groups. He agrees the state bill would be difficult to enforce. But the bill should be pressed through, he said.
 
“I think the fact is at least getting a state bill passed is important — let’s get the state of New York on record,” he said. “We should say ‘this is not lawful. We do not want this in our state.’ ”
 
There used to be horse slaughter plants in the United States, but the last one closed in 2007 in Illinois. Since then, some states have tried to open plants again, but have not been successful, Knowlton said.
 
Knowlton discussed the fire on Interstate 81 that killed the horses en route to Quebec.
 
“Without an outlet in the United States, they have to take them elsewhere,” Knowlton said. “We don’t want to be the gateway for horses going to Quebec. It would be my thought that we could get them at the border — find out where the horses in the trailers are going and why.”
 
Some people believe the reason the bill doesn’t go anywhere in New York is because of lobbying by New York Farm Bureau. A Farm Bureau official said the state’s largest agriculture organization opposes the horse slaughter bill.
 
“This is an issue of compassion for anyone concerned about the overpopulation of unwanted horses in New York state and across the country,” said Jeff Williams, New York Farm bureau public policy director. “It is important to have a properly regulated alternative to deal with unwanted livestock, as opposed to neglect or the animals being turned loose.”
 
Farm Bureau also believes horses are livestock and not pets and therefore should be treated differently than dogs or cats.
 
State Sens. Patricia Ritchie, R-Heuvelton, chair of the Senate agriculture committee, and Marchione, R-Halfmoon, Saratoga County, would not comment on why the bill hasn’t moved out of the Senate agriculture committee for many years.
 
Assemblyman Magee, chair of the Assembly agriculture committee, said nothing about the Farm Bureau holding the bill up and instead, mentioned the amendment made to the bill last session, adding the bill should be taken up by the committee this session.
 
Minkoff said Farm Bureau should not worry about  maintaining slaughter as an option for disposing of unwanted horses.
 
“There are many other ways to deal with the horse population than slaughter,” she said. She said Sunshine Horses is trying to seek its sanctuary certification so it can take in and care for more unwanted horses.
 
“They should be able to go to a sanctuary and live out their lives with dignity,” she said. “There is no reason why they have to go to slaughter.” 
 
Many news outlets, including ESPN and the New York Times, reported that 1986 Kentucky Derby winner Ferdinand apparently died in a Japanese slaughterhouse in 2002, where his meat was used either in pet food or steaks for human consumption. His story often comes up during discussion of New York’s anti-slaughter bill.
 
There have been a number of protests outside the horse slaughter plant in Massueville, Quebec and a bill was introduced in Canada’s Parliament in 2010 to stop horse slaughter in that country. But it did not become law.
 
The New York Times in 2009 published commentaries both pro and con horse slaughtering. Those in favor of slaughter said there has to be an option for horse owners who need to rid themselves of expensive, old or infirmed horses. Those against horse slaughter believe there should be a more humane end for these beasts.
 
“These horses have been good companions and show horses for years,” said Minkoff, who called the slaughter process barbaric. “They deserve a lot better.”