AN ACT TO AMEND TITLE 9 OF THE DELAWARE CODE RELATING TO FARMS.

This Act more closely aligns the meaning of agricultural, horticultural, and forestry land use with the U.S. Census Bureau’s definition of “farm,” which, since the 1974 Census, has included “any place from which $1,000 or more of agricultural products were produced and sold . . . during the year.” This alignment will ensure a more equitable tax treatment of farms throughout Delaware. Under this Act, the use qualifies as agricultural, horticultural, or forestry only if, during the applicable year, the use results in $1,000 or more of products being produced or sold, the owner of the land files a Schedule F (Profit or Loss From Farming) form with the U.S. Internal Revenue Service, and the use is made on at least 10 acres. “Applicable year” means the calendar year immediately before the February 1 that an application for valuation is due under § 8334(3) of Title 9. This Act keeps the existing Delaware law that allows contiguous parcels to be combined to reach the required threshold. This Act also clarifies that an application for valuation must be submitted on the next official business day if February 1 falls on a weekend day or legal holiday. Finally, this Act makes technical corrections to conform existing law to the standards of the Delaware Legislative Drafting Manual, including citing to § 8333 within § 8334, both of Title 9, instead of duplicating identical language in 2 places in the Code.