MS SB2885

Amends Mississippi Code sections 29-3-63 and 29-3-69 to cap annual rental increases on sixteenth section school land classified as farm residential at no more than 5% of the current market value of agricultural land in the county where the lease is located.

Establishes that farm residential land rentals cannot exceed 5% of agricultural land market value for any lease beginning on January 1, 2009, and applies to lease extensions and rent adjustments.

Modifies rent adjustment provisions for residential and farm-residential leases to limit increases to either fair market rental value or 5% of agricultural land market value, whichever is lower.

Takes effect July 1, 2010.