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Hemp Bill Lollygagging, But Russell Ready to Promote Grass Tax Breaks

Team Noem is doing a poor job of whipping hemp legislation to passage. She said she wanted to wrap up the hemp issue in the first few days of Session, but she’s been busy talking fireworks with Don the Impeached, tweeting weather updates, and eating at Culver’s in Sioux Falls that she hasn’t gotten House Ag and Natural Resources to put House Bill 1008, the great emergency hemp-legalization bill, on its calendar yet.

But on the Senate side, Senator Lance Russell (R-30/Hot Springs) isn’t wasting time on his grass legislation. Senate Bill 57, headed for hearing before Senate Taxation Friday morning, would give conservation-minded farmers a tax break. SB 57 would require that native grassland or land seeded back to grass “for at least ten years and… used for animal grazing or left unharvested” be classified for tax purposes as lower-value noncropland.

Good grassland is an important part of a healthy ecological mix for pheasant habitat. Senator Russell’s SB 57 is good for pheasants and for landowners. It also signals that Senator Russell may be working harder to push good ag legislation through the Legislature than the Governor is.

25 Comments

  1. Wayne B.

    I like where Sen Russell is going, but it’s going to be tough for farmers to seed land back to grass and pay taxes on it for 10 years as though it were still corn ground. I imagine counties are going to scream as well because of the lost tax revenue.

  2. Jason

    Does SB 57 allow for haying? Or is unharvested mean that no haying? If haying is allowed then maybe you might (might being a very strong word here) see some land go back to grass but again to pay taxes on and get nothing from it….i don’t think so. Maybe the Cow/horse/sheep people might like it as it would help them with grazing but i think some farmers would rather see a hemp bill over a grass bill….unless we are talking a legal “grass” bill…lol

  3. Porter Lansing

    Right, Wayne. They should be able to sign an intent, get the tax break, and then be obliged by lien to pay back the taxes if they don’t do what they’ve obligated themselves to do.

  4. Jim peterson

    This is a bill that should have been passed in 2010 when 1st introduced. We have native grassland being taxed as if it was tillable because of its soil type. If you look at the charts you’ll see the rent on tillable ground is two to three times higher than rent on pasture ground in most countries. Thanks Lance for a good tax fairness bill. Jim Peterson

  5. Debbo

    I’m surprised that a member of the SDGOP did this. Kudos to Sen. Russell. It’s a decent bill. Hopefully as it goes through committees they’ll make it better.

  6. Debbo

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  7. Wayne’s point about the unfair delay is fair. Even our Olympic average would start factoring in the lower income of the land within a couple years. Is there any reason we couldn’t issue the tax break the year following the grass-seeding?

    If we assessed straight income tax instead of our Rube-Goldberg ag-productivity tax, farmers would enjoy the tax break of planting grass and seeing lower revenue generated from that land within a year… unless, of course, they make a truckload of money on their grass-fed beef.

  8. JW

    Frankly, a tax break is a start but it won’t accomplish much because the costs of installation far exceed the savings in property taxes. Cost data show that conventional installation of sodded turf grasses may exceed $12,000 per acre. Planting turf grass seeds may cost in the range of $4,000 to $8,000 per acre. This contrasts with installation costs of $2,000 to $4,000 per acre for seeding native prairie grasses and forbs. In order for this to work as intended, native grass and forb plantings are the only seedings that can or will achieve success and seed mixes must be closely matched to soil classifications and capability classes. Tame grass seeds don’t last long in shallow soils in Western SD. There needs to be incentives to reclaim the plow out in addition to tax incentives. USDA has been trying to do it for 40 years or more. Then, what are we going to say to all those responsible landowners who have gone years resisting the urge to plow out their native range; opting in stead, to improve their range and grass management practices to improve their bottom line while protecting soil, water, and wildlife habitat….. Shouldn’t they get a tax break too?

  9. Debbo

    In northwest SD the most successful grass is buffalo grass. It’s the last to green up in the spring and first to brown in the fall, but it’s very nutritious in either stage. In addition, it will take root and succeed even on blow sand ground. Of course not on hard pan. Nothing grows on hard pan, not even weeds.

    I’m pretty sure most counties have seed mixes particular to that county. They use it to seed ditches but it’s recommended for pastures too.

  10. JW

    Buffalo grass and blue gramma grass, (native short grass species) are extraordinarily difficult if not impossible to start from seed and their rhizomatic/stoloniferous spread is slow at best. The same with highly nutritious sedges. In one case, buffalo grass/blue gramma, these are increaser species that usually spread with normal grazing pressure. In the case of most other species in the short/midgrass prairie, they are decreasers. County seed mixes are by in large comprised of mixes of tame and wild species that are the cheapest and most available. They are short term vegetative cover mixes designed to be quick livestock forage rather than a remedy for an ecologically sustainable landscape. And I will argue that there are plenty of plants that survive well on clay pan and silt soils. Then there is curly cup gum weed and prickly pear to consider. In Harding, Butte, much of Fall River, and parts of Meade, Pennington, Perkins, counties, the original ground cover is sage steppe which includes two different varieties of sage brush and associated understory of mid grass, forb plants and sedges that when properly managed, provide good forage for both wildlife and livestock (particularly sheep). There are not less than 10 species of native wildlife, that are 100% sage steppe dependent to include the greater sage grouse which has been on the SD Threatened Species list for over 15 years. Like the short grasses, sage brush can not be easily started with seed and once it is converted to any other vegetative cover, can not be reclaimed in any volume or quality in under 25-30 years. We shouldn’t have to be reminded, continually, that this state use to be called “The Land of Infinite Variety” and within that identification, was not less than 6 biographic regions of unique habitats; only one of which ideally supports the chinese ringneck pheasant. The term habitat, in political circles in SD has come to be understood to be pheasant habitat and more particularly, pheasant nesting habitat…. What we refuse to address is the damage this state has done to all other habitats and even the 4 other habitat requirements for the ditch parrot that makes cash registers ring. What we’ve done to tall grass prairie, riparian tree zones, wetlands, marshes, entire watersheds is both economically damning but it is also managerially inexcuseable. Why don’t we concentrate on repair of those habitats equally? What we refuse to address is the reality that all that land use conversion to “pheasant nesting” habitat has negative consequences for other species of native wildlife at the same time as it benefits something we exploit for fun and profit. What all that habitat inferrence also means is virtually all other species of wildlife, managed and otherwise, and their habitat needs, are ignored or disregarded because they aren’t economically important or worthy of development…… Is that good stewardship or responsible government advocacy. I think not/1

  11. Debbo

    “Climate change has, quite suddenly, become a lightning rod for business and finance leaders around the world, Axios’ Dion Rabouin and Amy Harder report.”
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  12. Robert McTaggart

    I tried to put in buffalo grass and blue gramma into my lawn. I had better luck throwing the seed around in November before the snow began and waiting till the next year than initially tilling the yard and trying to water, etc.

    So both grasses are still there, and they do better in some areas than others, but now I have several different kinds of grass. Probably less weeds over time. Nevertheless, I don’t water my lawn, I don’t fertilize my lawn, and I don’t remove the clippings when I mow.

  13. Debbo

    My knowledge of buffalo grass, hard pan and blow sand comes from 6 years of living in northwest SD and listening closely to the ranchers who’ve been there for generations.

    Yes, sage brush definitely grows there. Hard pan is the bare spots where the clay soil is so tightly packed water sits on top, unable to penetrate. Bare spots.
    Buffalo grass is preferred due to its superior hardiness.
    When seeding blow sand and similar unfarmable soils, they prefer the seed mixes the county uses for ditches, with buffalo grass mixed in.

    That’s what ranchers in Perkins, Harding and Meade counties do. I’ve been on their ranches, walked their pastures with them, etc. I believe them.

  14. JW

    40 years of wildlife habitat development, formal instruction and 30 years of practical experience in range science and cumulative 25 years spent with 1. the Chief Range Scientist and researcher for the US Forest Service, 2, my best friend and ranch owner that retired from a 35 year careeer with the NRCS as a range conservationist,( by the way, I work on that ranch of and on and have for the past 20 years. 3, 10 years with another good friend and a district conservationist and west river range conservationist for the NRCS. Add to that 8 years of field training and experience in both plant physiology and vegetative monitoring with both USFS, NPS and NRCS. Those are the people that ranchers go to for help and understanding when they can’t figure it out themselves. Did I fail to mention that the reason ranchers like buffalo grass is because it’s the only thing that survives heavy grazing pressure while decreaser species start to disappear and invasives like cactus, curly cup gum weed et al try to fill in the gaps.

  15. Debbo

    I’m not doubting your qualifications. I’m telling you what I saw and what ranchers told me. Why would they all lie?

  16. Bill update: Senator Russell must have found some legal snag in his original wording. He withdrew SB 57 in committee yesterday and filed Senate Bill 76, which seeks the same goal of valuing unharvested land that’s been grass for at least ten years as noncropland. The provisions look the same to me; the only difference may be that SB 76 puts the noncropland language in a separate section, whereas SB 57 tried to achieve its purpose by amending an existing tax statute.

  17. Senate Taxation convened for three minutes and four seconds yesterday to recognize the pages, call the roll, and adjourn. Chairman Jeff Monroe needed someone to remind him to formally put “withdrawn by the sponsor” on the record as the reason for the suddenly blank agenda. No explanation was given during this brief meeting for the withdrawal.

  18. Good question, Jason. Does anyone know if there’s any legal distinction between harvesting crops and mowing hay?

  19. The wording of SB 76 seems to apply the term unharvested to that grassland: Senator Russell would extend the noncropland designation to land that is “seeded to grass for at least ten years and is used for animal grazing or left unharvested.” The “and” in the middle means we’re talking about land with grass growing that is not harvested. My read, thus, is that if you hay it, SB 76 says it’s still cropland.

  20. JW

    Cory: Go to your local NRCS office and visit with the DC about the Rangeland Reserve Program and other programs designed to reclaim the plow out for reasons associated with soil and water conservation. Or talk to a range and grassland specialist. You might also review the latest rules for CRP. Historically, under CRP, grasslands were installed with restrictions that they be left to “mature” without haying or grazing treatment unless disasters were declared. There is a reason for the stipulated time periods in these programs and likely the legislation. To restore land back to permanent vegetative cover and keep it sustainable, it is recommended practice to leave it alone to permit full root development, consistent stand production and growth potential. 6 years minimum for native grasss/forb seedings and 3 years for tame. These bills follow a familiar track and it shouldn’t surprise us to learn that the property tax breaks are designed to dovetail in with federal USDA programs as added incentive. And by the way, blue gramma and buffalo grass have little value for wildlife or ground nesting gallenacious birds.

  21. jerry

    Pine Ridge set to vote on legalizing marijuana for recreational and medicinal use.

    “Alcohol in casinos and medical and recreational marijuana may be legalized on the Pine Ridge Reservation.

    The Oglala Sioux Tribal Council voted 10-5 on Jan. 8 to call for a citizens referendum on the measures.

    Voters will decide on March 10 whether to legalize three separate issues: to legalize recreational marijuana, medical marijuana, and the sale and consumption of alcohol at the Prairie Wind Casino near Oglala and the East Wind Casino near Martin.

    The referendums require a majority of votes to pass, and the decisions would be binding, meaning the council must implement them, said Sandra Old Horse, vice chair of the election commission. ” Rapid City Journal, like right now. Booyah!!

    Something tells me that the tribes are gonna do well in the future, the very near future.

  22. Porter Lansing

    Watch the rez kids thrive. Less suicides, penitentiary sentences, meth use, and low self esteem driven problems. These results have happened wherever marijuana is legal. These kids will be residents of the woke part of the state and their pride will spill over to the white kids who interact with them. CO has see a steady decline in underage pot use since legalization. Probably because if it’s not illegal, why not wait?

  23. grudznick

    My whillickers, Mr. Lansing. You’re saying that the Demon Weed is the solution to all the rez kids’ problems. The world, with kids on the Demon Weed, will scientifically be a better place.

  24. Porter Lansing

    OK, Boomer. Read it again. When pot is legal kids don’t experiment with it nearly as much. The rez will be psychologically a better place because they’ll finally have something the whites can’t have and that the whites desperately want. That’s prideful, like Wisconsin is proud of cheese and Hawaii is proud of pineapples.
    PS … And the rez can s**t can the unconstitutional ingestion law.
    PSS … It’s only demon to whitey.

  25. jerry

    And South Dakota is proud of idiots

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