At the present time there isn’t a Federal tax on inheritance but that isn’t saying that the Biden administration isn’t looking to do that very thing. Since there are 5 states that DO levy taxes on inherited property then a new generational farmer or rancher is going to be double clutched in those 5 states forcing them to sell. The other item up for examination is that even though there isn’t a Federal inheritance tax, there is a Federal Estate tax which can be raised or lowered at the whim of the Government. And how about eminent domain whereas the government or state can fawn a reason to want a particular parcel of land and pretty much take it for a dime on a dollar? But let’s not just stop at food production itself but how does the decrease in that production affect John Deere, International Harvester and the like? And how about the produce and animal trucking industry, sorting warehouses, makers of egg cartons etc? The bottom line is that there has to be a stopping point in which cities and states realize that the decrease in farmland because of an increase in people’s need for a $250K home doesn’t wash?
$250K was the top end in my neighborhood just a few years ago. It is now the low end with the top being 1.2 M. Property taxes have doubled and city maintenance services have decreased with sewer, water, and refuse costs doubling. Thanks to the dams our electricity is very reasonable. In Oregon along the river, the growth is due to Google and Amazon building several massive highly secure mainframe computer complexes. They use the river water to cool the massive computers. These are considered "green" installations and the same folks that cried about how the hydroelectric dams warmed the water and bothered the salmon are turning a blind eye to these massive water warmers. One large dairy farm was bought out and one of these complexes was built in its place.
In our area of Alabama, cotton and chickens seem to be the two main AG products but we’ve seen the decrease in chicken farms and cotton fields at a dramatic rate. Yvonne and I were talking yesterday about how many businesses are moving into the Madison County area and it goes without saying that there are thousands of people flocking to this area to get those jobs. I think I’ve posted it before but for a military post, (Redstone Arsenal) there are only about a thousand actual military personnel stationed here albeit there are over 40K civilian workers on post and rising. With the new businesses coming on board here then with the influx of new residents there has to be places for them to live ergo when it comes to cotton fields and poultry farms, production plants and mills we can just sing along with Queen……Another one bites the dust. Sadly, that new cotton shirt ya wanted will probably be coming from overseas and the ingredients of that store bought chicken pot pie will be coming from a new pot pie plant in Mexico or some such.
Pennsylvania leads the nation in the number of farms and acres permanently preserved for agricultural production. The program guarantees a future food supply and contributes to a healthier economy. It also assures a way of life Pennsylvanian's cherish will continue for generations to come. The program is a partnership between all levels of government and non-profit organizations - with a common goal of saving prime farmland. The Pennsylvania Agricultural Conservation Easement Purchase Program was developed to strengthen Pennsylvania's agricultural economy and protect prime farmland. This program enables state and county governments to purchase conservation easements from farmers. The program was approved in 1988 and the first easement was purchased in December of 1989. To date 5,329 farms have been approved for easement purchases totaling 552,702 acres. https://www.agriculture.pa.gov/Plants_Land_Water/farmland/Pages/default.aspx