Appraisal district takes another look at ag exemption

ATVs and property set aside for timber use don't mix, according to the Gregg County Appraisal District.

According to tax records, the property including Rabbit Creek ATV Park is taxed at a fraction of its market value because its owner has claimed an "Ag Use Timber" exemption.

Libby Neely, director of appraisal for the GCAD, said parcel R182867 is taxed at a value of $120 per acre with the Ag Use Timber exemption. Without that exemption, the property would be taxed on a market value of $1340 per acre.

"When the use of the property changed (fram agricultural) so did the exemption," said Neely. "It is up to the owner of the property to file these changes."

Neely said an investigation would be conducted on the current acreage to establish just how much of the acreage is used for something other than agriculture.

The inconsistency surfaced last week after Rabbit Creek ATV Park lost a lawsuit filed by Eastman Chemical and Enbridge Pipelines, in which the pipeline owners claimed that four-wheelers were threatening pipelines that cross the park.

"We will re-map the area and determine how much acreage does not fall under this timber exemption and, once that is complete, present the findings to the owner," said Neely. "There will be a five-year look back on the taxes for the property, along with a ten percent assessment for penalties and interest."

Neely said once the owner has been notified of the tax change, he has 30 days to contest the decision and the GCAD will be "more than happy" to work with the violator.

"If the owner disagrees with the GCAD's findings, then they can contest it further in court," said Neely.

Adam Spry, field appraiser for timber use, said only the acreage in violation will be subject to a status change. "Once the final ruling has been made, the owner of the property is not eligible to file for an exemption on that property again for five to seven years," said Spry.

Neely said the land in question falls in the Sabine School District tax area, Kilgore College tax area and Gregg County. "Each of these entities will get a portion of the back taxes plus a little extra," said Neely.

Oscar Still, owner of Rabbit Creek ATV Park said the park has been in operation for four years. He does not own the real estate.

Lewie Byers out of Rusk is listed as the owner of the acreage and Byers could not be reached for comment.

Byers is listed as owner of several pieces of property in the vicinity of

the Park, as well as the parcel the ATV park is on. Spry said if multiple pieces of property are affected by the re-mapping, then they will have to be re-designated as well.

In Gregg County there are 53,952 acres with an Ag-Timber exemption and 38,465 acres with an agricultural exemption out of a total 176,640

taxable acreage in Gregg County. "Also there are homestead exemptions, school exemptions, federal buildings and property exemptions," said Neely. "Those people with strictly an agriculture exemption get an even bigger tax break then the timber exemption."