Special Use Valuation in Texas

This blog post will focus on the rules related to Open Space Valuation (“OSV”).  Passed in 1978, more than a decade after Agricultural Use Valuation, this method is governed by Article VIII, Section 1(d)(1) of the Texas Property Code and Sections 23.51-59 of the Texas Tax Code.  This valuation method may also frequently be referred to as “1(d)(1) valuation.”  A one-time application must be filed with the County Appraisal District. In order to qualify, a landowner must show the following:(1) The land must be currently devoted to agricultural use; (2) of the degree and intensity generally accepted in the area;(3) for at least 5 of the last 7 years, the land must be devoted principally to agricultural use, timber, or forest products.