It now goes to the House floor and requires a two-thirds vote by both chambers before being placed on the November ballot. The Michigan Constitution requires property to be assessed at its highest and best use. When development approaches farmland, the assessor makes a judgment that the farmland would be more valuable as residential property. Thus, the farm is assessed as residential property, which drives up the tax burden. The reassessment pushes taxes so high that farming becomes unaffordable for the next generation.
Many farmers discontinue farming because of the increases.
Other frustrated farmers sell to developers and precious land is lost. Under Gilbert s plan, taxes levied in 2001 and after on qualified agricultural property will be based upon agricultural use. Farming preserves open space and our rural character. The Gilbert measure is part of a reform plan moving its way through the Legislature. The package aims to tax agricultural property at the 6 mill rate, with value based on productive capacity of farmland, soil characteristics and average production.