Revises provisions relating to the taxation of agricultural real property. (BDR 32-426)
Summary
AB 479 revises Nevada’s property tax rules for agricultural real property to expressly include “agrivoltaic purposes” as a form of agricultural use. The bill defines agrivoltaic purposes as an integrated system in which solar energy production and agricultural activity occur on the same parcel using designs or technologies that support both uses. Under the bill, land used in this way can qualify as current agricultural employment only if, before July 1, 2025, it had already been found to be agricultural real property and qualified for agricultural use assessment.
The bill also limits eligibility in cases where the solar portion of the property is already receiving certain tax abatements under chapter 701A. In those circumstances, the owner may not apply for agricultural use assessment for the parcel. For qualifying property, assessors must value the land by considering the integrated agricultural and solar use together, rather than treating the agricultural component in isolation. The bill preserves the existing deferred-tax framework for agricultural property, including the rule that deferred taxes become due if the parcel is converted to a higher use.
Impact
AB 479 amends Chapter 361A of the Nevada Revised Statutes governing agricultural real property taxation. It expands the statutory definition of agricultural use and current employment of land, creates a new definition for agrivoltaic purposes, and directs county assessors to account for combined agricultural and solar production when valuing qualifying parcels. The bill affects property owners using dual-use solar-agriculture systems, county assessors, and taxpayers seeking agricultural use assessment, while also interacting with Nevada’s solar tax abatement provisions in chapter 701A.
Sentiment
The bill appears to have broad legislative support and little recorded opposition. It passed the Assembly 39-3 and the Senate 20-0, indicating strong overall approval. The available record does not include committee testimony or debate, but the vote margins suggest the measure was generally viewed favorably as a targeted update to agricultural tax law and renewable-energy policy.
Contention
The main policy issue is how to treat land that is simultaneously used for farming and solar generation. Support for the bill likely centers on recognizing agrivoltaics as a legitimate agricultural practice and providing tax clarity for dual-use projects. Potential concerns are limited to the bill’s narrow eligibility rules, especially the requirement that qualifying land have already been agricultural real property before July 1, 2025, and the prohibition on agricultural assessment when the solar use is already receiving certain abatements. Those provisions suggest an effort to prevent double tax benefits and to limit the change to existing parcels rather than newly converted projects.
Revises provisions relating to the lease of certain state real property for certain purposes and the sale of agricultural products produced on such real property. (BDR 26-1133)