NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
BILL NUMBER: A1234
SPONSOR: Lupardo TITLE OF BILL:
An act to amend the agriculture and markets law, in relation to expand-
ing the definition of crops, livestock and livestock products to include
cannabis
PURPOSE OR GENERAL IDEA OF BILL:
The purpose of this legislation is to clearly define cannabis as an
agricultural product and make it eligible to receive an agricultural
assessment along with other protections afforded in the Agricultural
Districts law.
SUMMARY OF PROVISIONS:
Section 1: Subdivision 2 of section 301 of the Agriculture and Markets
law is amended by adding a new paragraph (m).
Section 2: Established the effective date.
JUSTIFICATION:
Now that New York State has legalized the adult use of cannabis, the
interest from farmers to grow this crop has increased. In order to
develop a locally grown product, we must be sure that we are supporting
our state farmers who choose to participate in this new sector of agri-
culture. Cannabis should be treated as an agricultural crop and it needs
to be clearly stated in the law in order to avoid any confusion for
local assessors and be eligible to receive an agricultural assessment.
Farming is difficult enough in New York State, but for farmers taking
the risk of planting a whole new crop, they should not have to face the
possibility of having to argue with their local assessor about whether
cannabis is a crop. Cannabis should be consider an agricultural crop and
treated as such, and in the same manner as grapes grown for wine
production, hops and malting barley along with grains used by distil-
lers.
Additionally, farmers who convert land from growing an agricultural
product currently receiving an agricultural assessment to cannabis could
lose their agricultural assessment on that portion of land converted to
growing cannabis, resulting in an unforeseen real property tax increase
and possible penalty for conversion.
For the state to reach its goal of having an adult cannabis program that
achieves its social equity goals, which includes distressed farmers, we
must not penalize farmers who choose to grow cannabis.
PRIOR LEGISLATIVE HISTORY:
Formerly A-9087 of 2022, did in the Agriculture Committee.
FISCAL IMPLICATIONS FOR STATE AND LOCAL GOVERNMENTS:
This legislation will allow cannabis plantings to be eligible for an
agricultural assessment in the same manner as other agricultural plant-
ings, which would make them eligible for an agricultural assessment. The
legislation will also allow land previously receiving an agricultural
assessment to continue to receive an agricultural assessment even if a
portion of the land is converted into growing cannabis.
EFFECTIVE DATE:
This act shall take effect immediately.
