Some farmland idled by water failures would count as agricultural

Land left idle directly because of a qualifying water-system failure would count as agricultural use for property taxes. This covers land affected by failures in New Mexico water delivery entities, including irrigation districts, acequia or community ditch associations, and other entities legally authorized to deliver water. The failure must reduce district-wide water deliveries to 70% or less of the amount delivered in the previous calendar year. The district must certify the shortage to the county assessor. Two tax years earlier, the land must have been used primarily for agricultural production, a qualifying federal soil conservation program, or qualifying land resting. The provision would apply to property tax years beginning on or after January 1, 2026.

Water delivery districts would immediately certify qualifying water shortages to the county assessor. The duty would cover New Mexico water delivery entities, including irrigation districts, acequia or community ditch associations, and other entities legally authorized to deliver water. An infrastructure failure must directly reduce total deliveries to 70% or less of the amount delivered to all district water users in the previous calendar year. The certification requirement would apply to property tax years beginning on or after January 1, 2026.