WASHINGTON, D.C. - U.S. Sen. Mitch McConnell (R-KY) praised passage of his legislation, The Protecting American Farmlands Act, which reduces the tax burden on selling farmland, encouraging farmers to keep their land in agricultural production and curbing the loss of farmland across the country.

McConnell introduced the legislation in March and worked to secure it in the One Big Beautiful Bill Act, which was signed into law by President Trump on Independence Day.

The Kentucky Farm Bureau, a supporter of McConnell's legislation, recently launched the Kentucky Farmland Transition Initiative (KFTI), a coalition aimed at uncovering ways to help farmers transition acreage to future generations of farmers.

KFTI found that farmers tend to hold onto their land to avoid paying capital gains taxes on their property. The Protecting American Farmlands Act would defer the capital gains tax over a four-year period if land is sold to a farmer who will keep it in agricultural production for a minimum of 10 years.

"The Protecting American Farmlands Act addresses the steady decline in available farmland by easing the tax burden on our hardworking producers," McConnell said. "This is a huge win for Kentucky farmers and will help preserve our vital farmland for future generations."

"We are excited to see the inclusion of capital gains tax relief in the One Big Beautiful Bill Act. This is a direct result of Sen. Mitch McConnell's efforts on the issue, which includes his legislation, the Protecting American Farmlands Act," said Eddie Melton, president of the Kentucky Farm Bureau Federation.

"This is a crucial first step in providing America's farmers capital gains relief while incentivizing keeping farmland in the hands of active farmers. This will provide farmers with another tool when looking to transition their land while also addressing the drastic loss of farmland across the country. Sen. McConnell has long been a champion for Kentucky agriculture, and this legislation is a testament to his commitment to the American farmer and the future security of America's food supply."

According to the 2022 USDA Census of Agriculture:

• Over the past 20 years, Kentucky farmland acreage has declined from 13.8 million acres in 2002 to 12.4 million acres in 2022.

• In just the last five years, Kentucky lost 546,000 acres of farmland, an average of 290 acres lost per day.

• In the last five years, the number of farmers in Kentucky has decreased 9%.

• The number of farms in Kentucky has decreased from 86,541 farms in 2002 to 69,425 farms in 2022.

• The average age of a Kentucky farmer is 57.1 years old, and approximately 1.3 million farmers nationwide are now at or beyond retirement age.