Colorado Gov. Jared Polis signed the second bill passed during a special session into law on Friday morning, making certain property tax exemptions for agricultural equipment permanent.
It applies to equipment used in a controlled agricultural environment and extends it to equipment used in a commercial greenhouse that is solely used to grow crops for humans or livestock. The exemption, passed in 2022, is currently set to expire in 2027.
“Colorado is proud to put food on tables across the state and around the world, and the success of our agricultural businesses and entrepreneurs is a key part of that,” Polis said in a statement. “Today we are breaking down barriers and cutting taxes for Colorado greenhouses, helping to keep more money in the pockets of the hardworking Coloradans who help strengthen our economy.”
House Bill 24B-1003 was sponsored by Democratic Rep. Junie Joseph of Boulder, Republican Rep. Matt Soper of Delta, Democratic Sen. Kevin Priola of Henderson and Republican Sen. Mark Baisley of Sedalia.
“This ensures all equipment used to plant, grow and harvest crops – regardless of whether they are grown outside or under a roof – are treated the same for business personal property tax purposes,” Priola said during the bill’s Aug. 28 committee hearing.
It is unclear how much the exemptions will affect local property tax revenue, according to the bill’s fiscal note.
The bill was one of two passed during the recent special session on property taxes.
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