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-17 <br /> rfis <br /> t <br /> The soils are listed in this manual according to the MLRA in which they occur. They are then <br /> further broken down into their productivity for each of the three types of use: agriculture, <br /> horticulture and forestry. Every soil listed in each of the MLRAs is ranked by its productivity <br /> into four classes (with the exception of forestry which retained its previous six classes). The <br /> classes for agricultural and horticultural land are as follows: <br /> CLASS I Best Soils <br /> CLASS II Average Soils <br /> CLASS III Fair Soils <br /> CLASS IV Non-Productive <br /> It should be noted that, in some soil types, all the various slopes of that soil have the same <br /> productivity class for each of the usages, and therefore for the sake of brevity,the word "ALL"is <br /> listed to combine these soils. Each of the classes set up by the UVAB soils subcommittee <br /> corresponds to a cash rent income established by the most recent cash rents survey conducted by <br /> the North Carolina Department of Agriculture. This rent income is then capitalized by a rate <br /> established each year by the UVAB (see below). The criteria for establishing present-use value <br /> for forestry have remained basically unchanged from previous years due to the quantity and <br /> quality of information already available. <br /> III. Capitalization Rate <br /> The capitalization rate mandated by the 1985 legislation for all types of present-use value land <br /> was 9%. The 1998 study by NCSU strongly indicated that a lower capitalization rate for <br /> agricultural and horticultural land was more in line with current sales and rental infounation. The <br /> 2002 legislation mandated a rate between 6%-7% for agricultural and horticultural land. <br /> ( <br /> 7 <br />