Farmers Union, Farm Bureau Differ on Property Tax Measure

A farmer pulls a roller across a field in Stutsman County on May 16, 2024. (Jeff Beach/North Dakota Monitor)

(North Dakota Monitor) -Two of North Dakota’s largest farm groups are taking opposite stances on a ballot measure that could bring major changes to how farmland is taxed and how local governments are funded.

North Dakota Farm Bureau announced last week that it would support Measure 4, which would prohibit governments from levying taxes on the assessed value of property if the measure is approved by voters in the Nov. 5 general election.

“The freedom to own property is the foundation of our American dream,” North Dakota Farm Bureau President Daryl Lies said in a news release. “We believe the passage of Measure 4 will enhance our freedom by removing valuation-based taxation of our private property.”

Matt Perdue, policy analyst for the North Dakota Farmers Union, said that group supports property tax relief but opposes property tax elimination as put forward in Measure 4.

“There’s really no plan for replacing those revenues,” Perdue said.

Lies said Farm Bureau “is committed to assisting and guiding the Legislature in the essential task of prioritizing funding to replace the resources allocated to municipalities, as specified in the measure.”

North Dakota Farmers Union calls itself the largest general farm organization in the state with more than 60,000 families as members. North Dakota Farm Bureau says it has more than 28,000 member families.

The state has estimated that Measure 4 would cost $3.15 billion for the 2025-2027 biennium.

Rick Becker, who has led to the effort to repeal property taxes based on assessed value, has said the state has plenty of money to replace local property tax revenue. He said the state needs to cut wasteful spending.

Perdue said local governments don’t want to rely on the state for funding.

“It transfers that control,” Perdue said, with rural areas feeling the greatest impact.

Farmstead homes and buildings are already not taxed, though the land beneath the buildings is.