BEATRICE – A new state law in Nebraska that has changed the classifications on grass land and Conservation Reserve Program acres is liable to cause some consternation this year, not to mention property valuation protests.

LB 372 requires that land capability groups be based on Natural Resources Conservation Service data, specific to each land use. The state’s Property Assessment Division has created a new structure to comply with the law, for 2020 assessment.
Gage County Assessor Patti Milligan says the agriculture land valuation median in Gage County is at 69%.....the lowest it can go by law. But, because of the structure, some grass and CRP is jumping classes..

"I'm kind of at a loss for what's going on, because things that had been class four for a long time, are now one's and two's...and then we adjusted our value to what we could adjust to, but we have to maintain our 69% to 75% ratio".

Milligan says her office lowered dry land and irrigated values. "But then on the flip side, they're gonna see pasture, and CRP and trees, go up".

Milligan noted the State of Nebraska is getting a law of calls on the changes, related to the new legislation. Counties have to rely on property owners voluntarily producing their records from the NRCS, in order to review if classifications are accurate. Another option is filing a protest on the change.

"Keep in mind, I am reacting to the market. But I'm reacting to the market, based on September, '19 on ag land and three years back. We are not looking at the market from September of 19, going forward. And so, that's the hard part to understand. We're still in arrears looking at sales and that's the most important factor, at least on ag, especially".

Milligan Wednesday released median property valuation figures this year, in the county. The median for residential property is at 94% of full market value. For commercial property, it’s 96%....and for agriculture property, 69%. Residential valuations in Beatrice and other communities are increasing, anywhere from around 5% to 15%.

Board Chairman Erich Tiemann, trying to head off anticipated criticism, said the changes in valuation have nothing to do with the Beatrice Six federal civil judgment the county is required to pay.