Senate Bill 35, an act to amend title 9 of the Delaware code relating to assessments and taxation of structures located on land in agricultural, horticultural, and forest use, was heard during a Senate Ag Committee meeting on March 19th. Delaware Farm Bureau (DEFB), a major proponent of this bill, has worked closely with primary sponsor Senator Hoffner.
DEFB members attended the hearing to share their thoughts on the bill with committee members, Chair Huxtable, Vice Chair Hoffner, Sen. Hansen, Sen. Sokola, Sen. Hocker, and Sen. Wilson. Sen. Paradee was absent from this meeting.
DEFB members highlighted the financial strain caused by recent property reassessments, which have significantly increased taxes on older agricultural buildings, many of which were valued near the cost of new construction. Some farmers expressed that these high taxes are forcing them to choose between paying property taxes or their mortgage, while others are considering selling part or all their operations.
Members emphasized that the bill is critical for food security, community stability, and rural economic resilience. DEFB President Bill Powers testified as an expert witness, while other members stressed that passing this legislation is essential for protecting the next generation of farmers.
DE FFA President Kyle Gares pointed out that farmers who invest in new structures and operational expansions for environmental benefits are being penalized through excessive taxation. Tom Puglisi added that an ongoing battle over tax reassessments is unsustainable for farmers. He added that if the state doesn’t stand strong with agriculture, then Delaware is going to lose its top industry.
Dave Marvel highlighted the broader significance of the bill, stating, “This is farmer preservation.” While farmland conservation efforts continue, he noted that preserving farmers themselves is just as crucial as without them, there will be no one left to farm the land.
Sydnie Grossnickle, Program and Policy Coordinator, concluded by saying, “this is a step forward in a better approach to taxation, particularly for those who contribute to feeding our world.”
Read more about Senate Bill 35 at https://legis.delaware.gov/BillDetail?LegislationId=141751. If you are interested in sharing your story regarding the property reassessment and taxes, please contact Sydnie Grossnickle at sydnie.grossnickle@defb.org.
