Lucas County Assessor

2020 Disaster Board of Review Petition

Board of Review Form

Board of Review Petition

Agricultural Property

In Iowa, there are five property classifications:

• agricultural
• residential
• multi-residential
• commercial
• industrial

Preferential Assessment of Agricultural Property

Residential, multi-residential, commercial and industrial properties are assessed based on their market value; that is, what the property would sell for in the open market. Agricultural property is an exception. It is assessed based on a value-in-use standard, using a productivity and net earning capacity formula prescribed by law. Therefore, agricultural assessments are a fraction of what the properties would sell for in the open market.

Agricultural real estate is assessed at 100% of productivity and net earning capacity value. The assessor considers the productivity and net earning capacity of the property. Agricultural income is reflected by production, prices, expenses and various local conditions.

Productivity and net earning capacity formula

This is a complex formula that involves average crop yields and prices for a five-year period. The value of buildings and other improvements are factored into the equation. The percentage of non-productive land such as timber, ponds, etc. is also considered. What this means is that as commodity prices rise over time, agricultural valuations rise, and vice versa.

Determining productivity and net earning capacity

Iowa law states that in determining the productivity and net earning capacity of agricultural real estate, the Assessor shall use available data from Iowa State University, the Iowa Crop and Livestock Reporting Service, the Department of Revenue or other reliable sources. The assessor shall also consider the results of a modern soil survey (if completed since January 1, 1949).

The Department of Revenue conducts a county by county productivity study in each equalization year (odd numbered years). Data used in the study pertains to crops harvested during a five year period ending with the calendar year in which assessments were last equalized. If the total agricultural land and building value for a jurisdiction is not within 5% of the current land and building calculations, a jurisdiction will receive an order to adjust values accordingly.

Modern soil survey

The use of a modern soil survey is the best method to value agricultural land. Corn Suitability Rating (CSR) is an index that rates soil types based on their productivity for row-crop production.

CSR is a "gross productivity rating"

• Rating established for each soil type
• Ratings range from 5 to 100
• Rating of 100 is very good quality with little or no slope
• Rating of 5 is very steep or rocky, have many restrictions on ability to produce net income

Agricultural Assessment Changes in 2015

In 2015, Lucas County began using the new formula (crop/non-crop) for making adjustments to the productivity values of certain agricultural lands. The Agricultural Adjustment Committee developed the new formula in order to provide more consistency statewide for assessment of non-productive land.

Agricultural Assessment Changes in 2017

While the new adjustment formula (crop/non-crop) was used in 2015, the assessments were still based on the old CSR system. In 2017 Lucas County will implement the latest soil survey released by Iowa State University called "CSR2." The total agricultural value in Lucas County for the 2017 assessment cycle has been increased (by 4.6 %.) Lucas County is only 1 of 8 counties in Iowa where agricultural values have increased. In order to meet the agricultural building factor of 21% (previously 24% in 2015) Ag buildings in Lucas County were decreased in value by 15%. This change required an increase of the total Ag land value of 6% county wide. Individual parcels in Lucas County may increase or decrease due to the change to CSR2 and the countywide 6% Ag land value increases.

What is CSR2?

CSR2 is an index similar to CSR ratings but incorporates a clearly defined and easily calculated formula to calculate the soil's productivity.

• CSR2 uses a more data-driven model similar to the NRCS methods while CSR used a judgement and experience based system
• CSR2 is more suitable to site-specific soil measurement and precision farming uses as it takes into consideration the soil inclusions or subcomponents
• The climate factor in the CSR formula has been eliminated in CSR2. Formerly northwest Iowa counties had points deducted for being colder and drier.
• ISU (Iowa State University) formerly was in charge of both the soil survey and CSR system. While ISU still controls CSR/CSR2, NRCS (Natural Resources Conservation Services) handles soil mapping, resulting in the need for a calculation that ties into the NCRS database.
• NRCS is using new technology to update soil maps in Iowa's 36 million acres of land. Soil names have been added or changed.
• Iowa now has full coverage with LiDAR, a soil survey tool. NRCS updates are no longer done by county.

CSR2 Formula = S-M-F-W-D+/-EJ

• S = Taxonomic subgroup class of soil series
• M = Family particle size class
• F = Field conditions of particular SMU (Soil Map Unit)
• W = Water holding capacity
• D = Soil depth & erosion factor T
• EJ = Expert judgement correction factor

CSR2 Has Three Goals

• The philosophical goal is to get the same total values as CSR but with greater transparency, consistency & ease.
• The technical goal is to have CSR2 consistent with today's soil mapping, classification, and government programs.
• The ancillary goal is to be able to extend CSR2 across boundaries.

Agricultural Factor and Agricultural Buildings

In order to determine the assessed value for agricultural buildings and structures, assessors shall make an agricultural adjustment to the market value of the buildings and structures by developing an agricultural factor for their jurisdiction.

Ag factor

• Product of the ratio of the productive and net earning capacity value per acre
• Ag factors are calculated by the Iowa Department of Revenue in every odd or equalization year
• The calculation utilized agricultural production and price data from various sources, and market data provided by Dr. Michael Duffy's ISU Ag land survey.

Commercial Property

Multi-Residential

Multi-Residential property is a new class to the state of Iowa, it includes:

Mobile home parks, Manufactured home communities, Land-leased communities, Assisted living facilities, Property primarily used or intended for human habitation containing three or more separate dwelling units. This includes apartment buildings and dwellings converted to three or more apartments which are classified as commercial, and

Dual Class Properties: Portions of properties intended for human habitation (and a portion of the land) regardless of the number of units, if the use for human habitation is not the primary use and that is not otherwise classed residential.

Properties not included in the Multi-Residential class include, Section 42 Housing, Hotels, Motels, Inns, and other dwellings where rooms or dwelling units are typically rented for less than one month.

Residential Realty

Industrial Property

Appeals

April 1 - 25 (Informal Review): If you are not satisfied with the assessment for your property, you can request an informal assessment review with the Lucas County Assessor's Office. If an agreement is reached between you and the office, you can avoid having to file a petition with the Lucas County Board of Review.

April 1 - 30 (Lucas County Board of Review): A property owner may appeal the assessment on their property by filing a petition with the Lucas County Board of Review. 

Board of Review Form https://tax.iowa.gov/sites/files/idr/forms1/56064_1.pdf

AcreValue Link https://www.acrevalue.com/map/IA/Lucas/   This link/company is not being promoted by Lucas County, it is just posted here for our viewer's convenience. No information from this site has been verified by Lucas County. 

Homestead Exemption Form

https://tax.iowa.gov/sites/default/files/2020-01/HomesteadTaxCredit(54028).pdf

Military Exemption Form

https://tax.iowa.gov/sites/default/files/2020-02/ApplicationMilitaryExemption%2854146%29.pdf

2019 AG Rollback

https://youtu.be/jB9WLg7pZBo

Where Do Your Taxes Go?

https://www.youtube.com/watch?v=-cYiBolo3q4