The bill amends the existing statutory definition of agricultural land for purposes of the property tax to exclude up to 2 acres of land associated with a residential improvement located on such agricultural land unless the residence is integral to an agricultural operation conducted on the land.

The bill requires the property tax administrator to define the phrase "integral to the agricultural operation" in manuals, appraisal procedures, and instructions promulgated by the administrator. The bill specifies certain factors the administrator is to consider in promulgating the definition. Any person who objects to the application of the term "integral to an agricultural operation" to their property and whose objections or protests have been denied by the county assessor may submit a petition for appeal to the county board of equalization.