North Dakota debates farmland tax changes

By Scout Nelson

Measure 4 is a ballot issue that could drastically change local government funding and farmland taxation. Two of North Dakota's biggest farming organizations are taking conflicting positions on it.

In the forthcoming general election on November 5, voters will have the opportunity to adopt Measure 4, which would outlaw property taxes based on assessed value. The North Dakota Farm Bureau has declared its support for this measure.

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

In contrast, the North Dakota Farmers Union, the state’s largest general farm organization with over 60,000 member families, opposes the measure. While the group supports property tax relief, it rejects the complete elimination of property taxes as proposed in Measure 4.

“Local governments don’t want to rely on the state for funding,” said Matt Perdue, policy analyst for the North Dakota Farmers Union. He expressed concerns about the control shift to the state, which he believes would disproportionately impact rural areas.

Measure 4 has significant financial implications, with the state estimating it would cost $3.15 billion for the 2025-27 biennium. Rick Becker, a key proponent of the measure, argues that the state has enough funds to cover the loss of local property tax revenue and calls for cutting wasteful spending.

Lies noted that the Farm Bureau is committed to helping the Legislature prioritize funding to replace local resources as outlined in Measure 4. However, Perdue highlighted that local control and funding stability are at risk, particularly in rural communities.

Currently, farmstead homes and buildings are not taxed, although the land underneath remains subject to property taxes. The outcome of the vote on Measure 4 could reshape the financial landscape for North Dakota’s agricultural community, with far-reaching effects on local governance and funding.

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