Auditor, Farm Bureau Hosting Town Hall Nov. 9

Butler County Auditor Nancy Nix and the Butler County Farm Bureau are hosting
a Town Hall meeting on Thursday, Nov. 9, to discuss the new soil values that will be implemented in
2023 to determine the Current Agricultural Use Value (CAUV) of properties in the program.

The meeting will take place beginning at 7 p.m. in the Ohio State University Extension area of the
Butler County Board of Elections building, 1802 Princeton Rd. in Hamilton. The featured speaker will
be Leah Hetrick, director of legal education and member engagement for the Ohio Farm Bureau.

There are 41 Ohio counties undergoing a state-mandated reappraisal or triennial update in 2023.
Agricultural values are adjusted by the state during a county’s reappraisal or triennial update cycle. The
average CAUV soil value is set to increase from $668 per acre to $1,443 per acre, or 116 percent. In
Butler County, there are 11 soil types that account for 50 percent of the acreage enrolled in the CAUV
program. The average increase for those 11 soils is 118 percent.

The CAUV program helps farmers as those in the program are taxed on the agricultural use value of
their land instead of fair market value. There are about 130,000 acres in Butler County enrolled in the
CAUV program administered by the County Auditor’s Office.

CAUV affects only agricultural “values.” Once CAUV values are determined, tax calculations mirror
the calculations of residential properties.

The CAUV values are determined by the Ohio Department of Tax Equalization (DTE) based upon data
they receive from United States Department of Agriculture and The Ohio State University. Unlike fair
market values where sales from a three-year period are studied (with emphasis on the third year), CAUV
values are based on a study of seven years of crop income and expense data with the highest year and
lowest year being dropped from the analysis.

Any possible remedies to the farmer for these drastic increases would be similar to those the Auditor’s
Office submitted for residential properties, including modifying the 20-mill floor, re-introducing
rollbacks/credits, expanding the Homestead exemption and eligibility, or capping the amount of value
increase that can be taxed.

Current legislation (House bill 187/Senate bill 153) moving in Columbus would reduce the CAUV value
increase by averaging the last three years of the formula’s soil prices. If the legislation becomes law, the
average increase in Butler County (based on the 11 most common soils) would be approximately 60
percent instead of 118 percent.