Assessing State-Sponsored Tax Incentive Programs for Nonindustrial Private Forest Landowners in the Western United States

Abstract

Abstract In 1982 Colorado approved a constitutional amendment that, in part, provided a lowered property tax rate for agricultural lands. Forested lands were not considered agricultural lands until 10 years later when a statute passed providing for such a consideration, under the Forest Ag program. This new program has created a number of unanticipated consequences, such as increasing stress on county government coffers. This stress may cause the program to be terminated and suggests a need for program reevaluation. As an initial step toward reevaluation, property tax programs affecting nonindustrial private forestland in the western United States were examined. Of the 11 contiguous states, 18 distinct programs were cataloged. Although these programs hold a number of rudimentary features in common, most notably lowering a property owner's tax bill in exchange for land-management activities, further analysis should provide in-depth quantitative analysis.