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HomeMy WebLinkAboutS Conservation Easement - Fickle Creek Farm• Oranps County NC 04/11/2007 State of North Carolina Rsal Estats Excise Tax Excis• Tax: 5556.00 ~ ~5~2-6.~~~5~ ~, . 3..i~9-~ 2IIIU~I~BInI~~III~IIIIIIIiIIIiNI~INII~ ~~~ ~~, Bk:R64256 Pg 445 04/11/2007 04:34:35PM 1/19 FILED Joycs H. Pearson Repistsr of Dseds Oran7~/,s C/OUN~TY,NC BY: ~ ~~~/9~GE,~~/~ Deputy/A~~"'`Kw" This instrument prepared by and return to: Geoffrey E. Gledhill, Coleman, Gledhill, Hargrave & Peek, P.C., P.O. Drawer 1529, Hillsborough, NC 27278 STATE OF NORTH CAROLINA cv COUNTY OF ORANGE ~jS ~~i~ ~~ WARRANTY DEED OF AGRICULTURAL CONSERVATION EASEMENT This Deed of Agricultural Conservation Easement ("Conservation Easement") is granted on this Jl `~y of r- , 2007, by NOAH N. RANELLS and BEN A. BERGMANN, • tenants in common, having an address of 4122 Buckhorn Road, Efland, NC 27243 (referred to as "Grantors"), to ORANGE COUNTY, NORTH CAROLINA, having an address of Post Office Box 8181, Hillsborough, NC 27278 (referred to as "Grantee"). WHEREAS: Grantors are the sole owners in fee simple, of certain farm Property, more pazticulazly described in Exhibit attached hereto and incorporated herein (the "Property"), which consists of approximately 60.953 acres of land, located in Bingham Township, Orange County, North Carolina and identified as on the plat of property. titled "Boundary Survey for Fickle Creek Farm. Agricultural Conservation Easement," prepazed by Freehold Land Surveys, Inc., which plat is recorded at Plat Booki1, Pagel(a~ Orange County Registry (PIN 9842-05- 4746). The Property includes buildings and other improvements, which are shown on Exhibit B, attached hereto and incorporated herein. The Property consists primarily of productive agricultural land. The majority of the soils on the Property have been classified as "prime" or "statewide important" soils by the Natural Resources Conservation Service, United States Department of Agriculture (also referred to as "MRCS" or "the United States"). It is the primary purpose of this Conservation Easement to protect the agricultural soils and agricultural viability and productivity of the Property. The Property also includes streams that flow through the Property on their way to where • they eventually flow into Cane Creek, a source of drinking water for residents of Orange County. Page 1 of 18 20070411000124050 DEED Bk:R64256 Pg:446 04/11/2007 04:34:35PM 2/19 The entire Property is within the Cane Creek Protected Watershed. It is a secondary purpose of • this Conservation Easement to protect these natural resources. The agricultural resources, including the protection of soils and other natural resources of the Property to be preserved by this Conservation Easement aze collectively referred to as the "conservation values" of the Property. The specific conservation values of the Property and its current use and state of improvement aze described in a Baseline Report prepazed by the Grantee with the cooperation of the Grantors, and acknowledged by both parties to be accurate as of the date of this Conservation Easement. This Report maybe used by the Grantee to document any future changes in the use or character of the Property in order to ensure the terms and conditions of this Conservation Easement are fulfilled. This Report, however, is not intended to preclude the use of other evidence to establish the present condition of the Property if there is a controversy over its use. The Grantors and Grantee have copies of this Report, and said report will remain on file at the office of the Orange County Environment and Resource Conservation Department. The Grantors and Grantee agree that the current agricultural use of, and improvements to, the Property are consistent with the conservation purposes of this Conservation Easement. The Grantors intend that the conservation values of the Property be preserved and maintained, and further, Grantors intend to convey to Grantee the right to preserve and protect • the agricultural and other conservation values of the Property in perpetuity. The conservation purposes of this Conservation Easement aze recognized by, and the grant of this Conservation Easement will serve, the following clearly delineated governmental conservation policies: (1) Sections 1238 H and 1238 I of the Food Security Act of 1985, as amended, which authorizes the Farm and Ranch Lands Protection Program, administered through the United States Department of Agriculture, Natural Resources Conservation Service, which provides funds for the acquisition of Conservation Easements or other interests in prune, unique, or other productive soils for the purpose of limiting conversion to nonagricultural uses of the land; (2) North Carolina General Statute 139-2 et seq., which provides that "it is hereby declazed ...that the farm, forest, and grazing lands of the State of North Carolina are among the basic assets of the State and the preservation of these lands is necessary to protect and promote the health, safety, and general welfaze of its people... it is hereby declazed to be the policy of the legislature to provide for the conservation of the soil and resources of this State;" (3) North Carolina General Statute 106-583 et seq., which states that "It is declared to be the policy of the State of North Carolina to promote the efficient production and utilization of the products of the soil as essential to the health and welfaze of our people and to promote a sound and prosperous agriculture and rural life as indispensable to the maintenance of maximum • prosperity;" Page 2 of 18 20070411000124050 DEED Bk:RB4236 Pg:447 04!11!2007 04:34:35PM 3!19 (4) The Uniform North Carolina Conservation and Historic Preservation Agreements Act, North Carolina General Statute 121-34 et seq., which provides that conservation agreements are "interests in land" which maybe effective "perpetually;" which provides for the enforceability of restrictions, easements, covenants, or conditions "...appropriate to retaining land or water azeas predominantly in their natural, scenic, or open condition or in agricultural, horticultural, farming, or forest use...;" and which provides for tax assessment of lands subject to such agreements "on the basis of the true value of the land and improvement less any reduction in value caused by the agreement;" (5) The establishment of the North Carolina Farmland Preservation Trust Fund established in 1986 (N.C.G.S. 106-744(c)) to preserve important farmland in North Cazolina; (6) The special use value assessment of farm and forestland as set forth in North Cazolina. General Statute 105-277.2 et seq.; and (7) The zoning of the Property by Orange County as Agricultural Residential. Grantors and Grantee have the common purpose of protecting the above-described conservation values and current condition of the Property and preventing conversion of the Property to nonagricultural uses. Grantors agree to create and implement a conservation plan • (hereinafter the "Conservation Plan's that is developed utilizing the standards and specifications of the NRCS field ofEce technical guide and 7 CFR part 12, as well as other commonly- recogrrized best management practices, and is approved by the Orange County Soil and Water Conservation District; The Grantee is a body politic existing under Chapter 153A of the North Cazolina General Statutes, and is qualified to hold Conservation Easements under the applicable laws of the State of North Carolina; NOW, THEREFORE, for the reasons given and other good and valuable consideration, and in consideration of the mutual covenants, terms, conditions and restrictions contained herein, the Grantors hereby grant and convey unto Grantee a Conservation Easement, of the nature and character and to the extent hereinafter set forth, in respect to the Property as described in Exhibit A; forth: The terms, conditions and restrictions of the Conservation Easement are as hereinafter set 1. Grant of Agricultural Conservation Easement; Extinguishment of Development Rights Grantors hereby voluntarily grant and convey to the Grantee, and the Grantee hereby • voluntarily accepts, a perpetual Agricultural Conservation Easement in the Property, which easement is an immediately vested interest in real property the nature and character described Page 3 of 18 20070411000124050 DEED Bk:RB4256 Pg:448 04!11!2007 04:34:35PM 4/19 herein.. Grantors promise that they will not perform, nor knowingly allow others to perform, any • act on or affecting the Property that is inconsistent with the covenants herein. Grantors authorize the Grantee to enforce these covenants in the manner described below. Grantors hereby voluntarily grant and convey to the Grantee all development rights for the Property, except as otherwise reserved and provided by the terms of this Conservation Easement, that are now or hereafter inherent in the Property. The parties agree that such development rights are now terminated and extinguished, and may not be used on or transferred to any other property adjacent or otherwise, nor used for the purpose of calculating permissible lot yield of the Property or any other property by anyone or any entity, including the Grantee. 2. Statement of Purpose It is the primary purpose of this Agricultural Conservation Easement to enable the Property to•remain in agricultural use by preserving and protecting its agricultural soils and agricultural viability and productivity. Except as specifically permitted herein, no activity that would impair the actual or potential agricultural use of the Property shall be permitted. To the extent that the preservation and protection of the natural, historic, recreational, habitat, or scenic values referenced in this Conservation Easement are consistent with the primary purposes stated above, it is within the purpose of this Conservation Easement to also protect those values, and no activity that would significantly impair those values shall be permitted. h 1 be etual. It is an easement in oss, runs with the • This Conservation Easement s al peril ~' land, and is enforceable by Grantee against the Grantors, their representatives, heirs, successors and assigns, lessees, agents, and licensees. 3. Rights and Responsibilities Retained by Grantors Notwithstanding any provisions of this Conservation Easement to the contrary, the Grantors reserve to and for themselves and their successors all customary rights and privileges of ownership, including the rights to sell, lease, and devise the Property provided such transaction is subject to the terms of this Conservation Easement and written notice is provided to Grantee, together with any rights not specifically prohibited by or limited by this Conservation Easement, and consistent with this Conservation Easement. Unless otherwise specified below, nothing in this Conservation Easement shall require the Grantors to take any action to restore the condition of the Property after any natural disaster or other event over which they had no control. Grantors understand that nothing in this Deed relieves them of any obligation or restriction on the use of the Property imposed by law. 4. Right to Farm Grantors retain the right to farm, or to permit others to farm the Property, consistent with the conservation values of the Property and in accordance with applicable local, state, and federal laws and regulations. • Page 4 of 18 20070411000124050 DEED Bk:R64256 Pg:449 04/11/2007 04:34:35PM 5/19 • Subject to the terms of this Agricultural Conservation Easement, fanning, grazing, horticultural, and animal husbandry operations are permitted only if conducted consistent with Best Management Practices promulgated by the State of North Carolina and in conformity with a Conservation Plan as required in Paragraph 9 of this Conservation Easement. Cattle and other livestock are allowed to exist and to graze on the Property, except within a 100-foot stream buffer, 50 feet on either side of the stream as measured from the center of the stream to the to the top of bank and perpendiculaz to the stream-the location of which is identified and mazked on Exhibit B, attached hereto and incorporated herein. Exhibit B is a copy of a GIS rendering of the Property, the original of which will be maintained with the Baseline Report at the office of the Orange County Environment and Resource Conservation Department. S. Right to Privacy Grantors retain the right to privacy and the right to exclude any member of the public from trespassing on the Property. This Conservation Easement does not create any rights of the public in, on, or to the Property. 6. Right to Use the Property for Customary Rural Enterprises Grantors retain the right to use the portion of the Property within the "Farmstead Area" (which contains approximately 3.4 acres) as identified on Exhibit B, and more particulazly described in the Baseline Report, for otherwise lawful and customary rural enterprises, such as, but not limited to, firewood distribution, bed and breakfast, farm stand, farm tours, or educational programs so long as such activities aze consistent with Orange County zoning regulations and permits required by and issued by Orange County under its laws and ordinances, and aze conducted in buildings otherwise permitted under this Conservation Easement in a manner that is consistent with the conservation purposes of this Conservation Easement. Conducting customary rural enterprises on any other part of the Property is not permitted without the advance written permission of Grantee in each instance. Grantee shall not give such permission unless Grantee determines that the proposed use will not diminish or impair the conservation values of the Property. 7. Procedure to Construct Buildings and Other Improvements The Grantors' rights to construct or reconstruct buildings and other improvements aze described in subparagraphs (a) through (f) below. Any construction or reconstruction not permitted below is prohibited. Before undertaking any construction or reconstruction that requires advance permission, the Grantors shall notify Grantee and obtain written permission. All construction or reconstruction is subject to Orange County zoning regulations and must be consistent with permits required by and issued by Orange County under its laws and ordinances for such construction activities. • Page 5 of 18 20070411000124050 DEED Bk:RB4256 Pg:450 04/11/2007 04:34:35PM 6/19 (a) Fences -Existing fences maybe repaired and replaced, and new fences maybe • built on the Property for purposes of reasonable and customary management of livestock and wildlife or to fence off the perimeter of the Property without any further permission of Grantee. (b) Structures & Improvements -Structures, improvements, roads as described in Paragraph 12, and other impervious surfaces located on the Property, including those existing on the date of this Conservation Easement, shall not exceed 2 percent of the total area of the Property. Existing structures, including agricultural structures and existing improvements, maybe repaired, reasonably enlarged, and replaced at their current locations within the "Farmstead Area," as shown on Exhibit B, without further permission finm the Grantee. New buildings, including barns, sheds, and other structures and improvements to be used primarily for agricultural purposes (including the processing or sale of farm products predominantly grown or raised on the Property) may be built on the Property without any further permission of Grantee provided they aze located in the "Farmstead Area." Structures, improvements, and other impervious surfaces located in the "Farmstead Area," including those existing on the date of this Agricultural Conservation Easement, shall not exceed 15 percent of the total azea of the "Farmstead Area" or result in exceeding the 2 percent total impervious surface limit on the Property. Impervious surface shall be defined as any material which covers land and inhibits the percolation of water directly into the soil, including, but not limited to, buildings, roofing, the area covered by permanent or nonpermanent structures, macadam and pavement, concrete, paved and stone driveways, roads, and pazking azeas, including proposed structures that are either permanent or temporary. Any new buildings, structures or improvements proposed for locations outside the "Farmstead Area" shall be for agricultural purposes only and may be built only with the advance written permission of the Grantee. The Grantee shall give such permission within a reasonable time if it determines that the proposed building, structure, or improvement would not diminish or impair the conservation values of the Property or otherwise be inconsistent with this Conservation Easement. (c) Farm Support Housing - No more than one (1) single - ormulti-family -dwelling to house farm tenants, employees or others engaged in agricultural production on the Property maybe built on the Property without any further permission of the Grantee, provided the dwelling is less than 1,000 squaze feet in floor size and it is located within that area identified and marked as the "Farmstead Area" identified on Exhibit B. At the time that construction of such structure is to commence, Grantee shall be notified so that its records can be updated. (d) Single-Family Residential Dwellings -One residential dwelling exists on the Property within the Farmstead Area, and is depicted as "Existing Residence" on Exhibit B. All appurtenant structures (garage, sheds) shall be contained within the "Farmstead Area." No other residential dwelling maybe built on the Property except for that which is authorized in Paragraph • 7 (c) of this Conservation Easement. Page 6 of 18 20070411000124050 DEED Bk:R64256 Pg:451 04!11!2007 04:34:35PM 7119 e Recreational Im rovements -Grantors ex ressl reserve the ri t to en a e in () P P Y ~ g g low impact, non-developed recreational activities requiring no surface alteration of the land and posing no threat to the conservation values set herein such as hunting, fishing, hiking, and bird watching, and to control access of all persons for these purposes; provided that these activities do not impact the protection and conservation of any animal habitat or other conservation values of the Property. However, under no circumstances shall golf courses, golf ranges, airstrips, or helicopter pads be constructed, placed, or permitted to remain on the Property. (~ Utility Services and Septic Systems -Installation, maintenance, repair, replacement, removal, and relocation of electric, gas, and water facilities, sewer lines and/or other public or private utilities, including telephone or other communication services over or under the Property for the purpose of providing electrical, gas, water, sewer, or other utilities to serve improvements on the Property permitted herein, and the right to grant easements over and under the Property for such purposes, is permitted. Installation of cellulaz communication infrastructure on one or more of the existing power line support structures located within the existing 150-foot-wide power line right-of--way, as shown on Exhibit B, is permitted. Grantors shall not permit or grant easements for utility transmission or distribution facilities or systems without the written consent of the Grantee. Maintenance, repair or improvement of a septic system(s) or other underground sanitary system that exists on the Property at the time of this Conservation Easement, or the construction of a septic or other underground sanitary system, for • the benefit of any of the improvements permitted herein, is permitted. All other utilities aze prohibited on the Property including, but not limited to, cellulaz communication towers or structures. 8. Subdivision The Property currently consists of a single tract of land. The subdivision of the Property, including its partition, is prohibited except as may be required by Orange County to enable the construction of the farm support dwelling provided for in Paragraph 7(c). In the event a farm support dwelling is constructed that requires Orange County subdivision approval, the subdivided lot shall, so long as this Conservation Easement is applicable to the Property, remain in the same ownership as the pazent pazcel from which the farm support dwelling lot is divided so that if conveyed the tenant housing, farmstead azea, and pazent parcel remain together as one pazcel. This prohibition applies regazdless of how many sepazately described pazcels aze contained in the legal description attached as Exhibit A. In any event, all terms, restrictions, and conditions of this Conservation Easement shall apply to any subdivided parcel permitted by the terms of this Conservation Easement, including but not limited to the requirements of agricultural viability of the Property, the restrictions on future development, the impervious surface limits on the Property as described in Paragraph 7(b) of this Conservation Easement, the necessity of a Conservation Plan, and the prohibition on activities that aze described in this Conservation Easement. It is understood that notice of this Conservation Easement will be included in any instrument recorded that subdivides, partitions or otherwise divides parcels. • Page 7 of 18 26k RB4256 Pg 52 04/1112007 04:34:35PM 9119 9. Conservation Practices . As required by Section 1238 I of the Food Security Act of 1985, as amended, the Grantors, their heirs, successors, or assigns, shall conduct all agricultural operations on the Property in a manner consistent with a Conservation Plan prepazed in consultation with NRCS and approved by the Orange County Soil and Water Conservation District. This Conservation Plan shall be developed using the most recent standazds and specifications of the NRCS Field Office Technical Guide and 7 CFR Part 12 that are in effect on the date of execution of this Conservation Easement. The Grantors may, however, develop and implement a Conservation Plan that proposes a higher level of conservation and is consistent with the NRCS Field Office Technical Guide standazds and specifications, such as innovative management practices associated with "whole farm planning," holistic resource management, and sustainable agriculture and which Conservation Plan is approved by the Orange County Soil and Water Conservation District. MRCS shall have the right to enter upon the Property, with advance notice to the Grantors, in order to monitor compliance with the Conservation Plan. In the event of noncompliance with the Conservation Plan, NRCS shall work with the Grantors to explore methods of compliance and give the Grantors a reasonable amount of time, not to exceed twelve months, to take corrective action. If the Grantors do not comply with the Conservation Plan, MRCS will inform Grantee of the Grantors' non-compliance. Grantee shall take all reasonable steps (including efforts at securing voluntary compliance and, if necessary, appropriate legal action) to secure compliance with the Conservation Plan following written • notification from NRCS that (a) there is a substantial, ongoing event or circumstance of non- compliance with the Conservation Plan, (b) NRCS has worked with the Grantors to correct such noncompliance, and (c) Grantors have exhausted their appeal rights under applicable NRCS regulations. If the NRCS standazds and specifications for highly erodible land are revised after the date of this Grant based on an Act of Congress, NRCS will work cooperatively with the Grantors to develop and implement a revised Conservation Plan. The provisions of this section apply to the highly erodible land conservation requirements of the Farm and Ranch Lands Protection Program and aze not intended to affect any other natural resources conservation requirements to which the Grantors maybe or may become subject. 10. Forest Management Trees maybe removed, cut, and otherwise managed to control insects and disease, to prevent personal injury and property damage, to remove non-native species, for pasture restoration, for firewood, and for other non-commercial uses, including construction of permitted improvements and fences on the Property, so long as done in accordance with the Conservation Plan referenced in Paragraph 9 of this Conservation Easement and in accordance with a forest management plan prepared by a professional licensed forester approved by Grantee, such approval to not be unreasonably withheld, that is consistent with the above referenced Conservation Plan. • Page 8 of 18 20070411000124050 DEED Bk:RB4256 Pg:453 04/11/2007 04:34:35PM 9/19 . Any other cutting, removal, or harvesting of trees, including any commercial harvesting of trees, maybe undertaken only if a) the purpose is for clearing land for cultivation or use by livestock, and b) it occurs outside of the stream buffer described in Paragraph 4 of this Conservation Easement, and c) it is in accordance with the Conservation Plan and forest management plan referred to in this Paragraph 10. Trees may be planted, harvested and removed within the azea identified and mazked as "Farmstead Area" on Exhibit B without the advance written percussion of the Grantee, so long as done in accordance with the Conservation Plan and forest management plan referred to in this Pazagraph 10. 11. Mining There shall be no filling, excavation, dredging, mining or drilling, removal of topsoil, sand, gravel, rock, peat, minerals or other materials; and no change in the topography of the land in any manner except as necessary for the purpose of combating erosion or flooding in accordance with the Conservation Plan and as reasonably necessary for any permitted maintenance, construction or reconstruction on the Property. Disturbed azeas for the purpose of removing soil, gravel, rock, peat, minerals, or other materials necessary for permitted customary agricultural uses on the Property will be limited to one acre in total surface area and will be restored as soon as practicable after the disturbance. Under no circumstances is the drilling for or • exploration for hydrocarbons permitted in, on, or to the Property. 12. Road Construction Construction and maintenance of farm roads that maybe reasonably necessary and incidental to carrying out the improvements and uses permitted on the Property by this Conservation Easement aze permitted. No roads constructed on the Property shall be paved or otherwise covered with concrete, asphalt, rock, gravel, or any other impervious material, without the advance written permission of Grantee. Grantee shall not give such permission unless Grantee determines that the proposed paving, or covering of the soil, or the location of any such road, will not diminish or impair the conservation values of the Property. Any such road covered by any impervious material including rock or gravel is subject to impervious surface requirements in Paragraph 7. 13. Dumping and Trash Dumping or storage of soil, trash, refuse, debris, ashes, gazbage, waste, abandoned vehicles or parts, appliances, machinery, or hazardous substances, or toxic or hazazdous waste, or any placement of underground or above ground storage tanks or other materials is prohibited. Provided, however, that the storage of agricultural products, byproducts (including the composting of biodegradable material for on-farm use) and agricultural equipment used on the Property is allowable, so long as such storage is done in accordance with all applicable government laws and regulations and in such a manner so as to not impair the conservation • values of the Property. Page 9 of 18 20070411000124050 DEED Bk:RB4256 Pg:454 04!11!2007 04:34:35PM 10119 f omestic s tic effluent • The land apphcahon, storage, and placement on the Property o d ep and municipal sewage sludge or liquid generated from such sources for agricultural purposes may be undertaken only if in accordance with all applicable federal, state, and local laws and regulations. 14. Water Rights Grantors shall retain and reserve the right to use any appurtenant water rights sufficient to maintain the agricultural productivity of the Property. Grantors shall not transfer, encumber, lease, sell, or otherwise separate such water rights from title to the Property itself. 1 S. Natural Resource Restoration and Enhancement Activities Notwithstanding any terms contained within this Conservation Easement, Grantors may engage or contract others to engage in any activity designed to repair, restore, or otherwise enhance the natural resources found or once present on the Property, that aze consistent with the conservation values of this Conservation Easement and subject to the written approval of Grantee and the Natural Resources Conservation Service. 16. Signs No new signs shall be permitted on the Property except interpretive signs describing • activities and conservation values of the Property, signs identifying the owner of the Property and the holder of the Conservation Easement, and signs giving directions or proscribing rules and regulations for the use of the Property. All signs permitted on the Property shall conform to applicable Orange County zoning, subdivision, and building code regulations. 17. Ongoing Responsibilities of Grantors and Grantee Other than as specified herein, this Conservation Easement is not intended to impose any legal or other responsibility on Grantee or the United States, or in any way to affect any existing obligation of the Grantors as owners of the Property. Among other things, this shall apply to: (a) Tazes -- The Grantors shall continue to be solely responsible for payment of all taxes and assessments levied against the Property. If Grantee is ever required to pay any taxes or assessments on its interest in the Property, the Grantors will reimburse Grantee for the same. (h) Upkeep and Maintenance -- The Grantors retain all responsibilities and shall bear all costs and liability of any kind related to the ownership, operation, and upkeep and maintenance of the Property, including the maintenance of adequate comprehensive general liability insurance coverage. Grantee and the United States shall have no obligation for the upkeep or maintenance of the Property. Grantors will remain responsible for upkeep, maintenance, and repairs to any impoundments located on the Property. • Page 10 of 18 26k R64256 Pg 455 04!1112007 04:34:35PM 11119 • (c) Liability and Indemnification -Grantors agree to indemnify and hold Grantee and the United States harmless from any and all costs, claims or liability, including but not limited to reasonable attorneys' fees arising from any personal injury, accidents, negligence or damage relating to the Property, or any claim thereof, unless due to the negligence of Grantee or agents of Grantee, in which case liability shall be as provided by law. In addition, Grantors agree to maintain liability insurance covering the Property with the limits as follows: (i) $300,000 per person for personal injury or death, up to $300,000 per occurrence, and (ii) $300,000 per occurrence for property damage; and warrant that Grantee is and will remain a named insured on Grantors' Property insurance policies covering the Property. Grantors shall provide Grantee with a certificate of insurance coverage on the effective date of this Conservation Easement and within 10 days of each insurance renewal date. 18. Enforcement With reasonable advance notice to the Grantors or with the Grantors' prior verbal consent, Grantee shall have the right to enter the Property for the purpose of inspecting for compliance with the terms of this Conservation Easement. Grantee shall have the right to prevent violations and remedy violations of the terms of this Conservation Easement through judicial action, which shall include, without limitation, the right to bring proceedings in law or in equity against any party or parties attempting to violate the terms of this Conservation Easement. Except when an ongoing, or imminent violation could irreversibly diminish or impair the • conservation values of the Property, Grantee shall give the Grantors written notice of the violation and thirty (30) days to cure the violation, before commencing any legal proceedings. Grantee may obtain an injunction to stop a violation or a threatened violation, temporarily or permanently. The parties agree that a court may issue an injunction or order requiring the Grantors to restore the Property to its condition prior to the violation, as restoration of the property maybe the only appropriate remedy. In any case where a court finds that a violation has occurred, the Grantors shall reimburse Grantee for all its expenses incurred in stopping and correcting the violation, including but not limited to reasonable attorneys' fees. The failure of Grantee to discover a violation or to take immediate legal action shall not bar it from doing so at a later time for that violation or any subsequent violations. In any case where a court finds no such violation has occurred, each party shall beaz its own costs. In any case where the court finds that there was a complete absence of a justiciable issue of either law or fact raised by the losing party, the court may awazd a reasonable attorney's fee to the prevailing party as provided by applicable law. To the extent permitted by law, the preceding sentence does not apply to the United States should the United States become the grantee under this easement. In the event that Grantee fails to enforce any of the terms of this Conservation Easement as determined in the sole discretion of the Secretary of the United States Department of Agriculture, the said Secretary of Agriculture and his or her successors and assigns shall have the right to enforce the terms of the Conservation Easement through any and all authorities available under federal or State law. In the event that Grantee attempts to terminate, transfer, or otherwise divest itself of any rights, title, or interests of this Conservation Easement without the prior consent of the Secretary of the United States Department of Agriculture and payment of • consideration to the United States, then, at the option of such Secretary, all right, title, and Page 11 of 18 20070411000124050 DEED Bk:RB4256 Pg:456 04111!2007 04:34:35PM 12119 interest in this Conservation Easement shall become vested in the iJNITED STATES OF • AMERICA. 19. Transfer of Conservation Easement Subject to the contingent rights of the United States of America as specified in Paragraph 18 and other pertinent paragraphs herein, and with timely written notice to and advanced approval of the United States Department of Agriculture, Grantee shall have the right to transfer the Easement created by this Deed to another public agency, provided the agency or organization expressly agrees to assume the responsibility imposed on the Grantee by this Deed and has the necessary authority to hold and administer conservation easements. 20. Transfer of Property The Grantors agree to incorporate by reference the terms of this Conservation Easement in any deed or other legal instrument by which they transfer or divest themselves of any interests, including leasehold interests, in all or a portion of the Property. The Grantors shall notify Grantee in writing at least thirty (30) days before conveying the Property, or any part thereof or interest therein. Failure of Grantors to incorporate by reference the terms of this Conservation Easement in an instrument of transfer or conveyance or to notify Grantee of a transfer or conveyance shall not impair the validity of this Conservation Easement or limit its enforceability in any way. • 21. Amendment of Conservation Easement This Conservation Easement maybe amended only with the written consent of Grantee, Grantors, and the United States. Any such amendment shall be consistent with the Statement of Purposes of this Conservation Easement and with Grantee's Conservation Easement amendment policies, and shall comply with Section 170(h) of the Internal Revenue Code or any regulations promulgated in accordance with that section. Any such amendment shall be duly recorded. 22. Procedure in the Event of Termination of Conservation Easement If it determines that conditions on or surrounding the Property change so much that it becomes impossible to fulfill the conservation purposes of this Conservation Easement, a court with jurisdiction may, at the joint request of both the Grantors and Grantee and with prior consent of the United States Department of Agriculture, terminate or modify the Conservation Easement created by this Deed in accordance with applicable law. If the Conservation Easement is terminated and the Property is sold then as required by Section 1.1 70A-14(8)(6) of the IRS regulations, Grantee shall be entitled to sixty-five percent (65%) of the net sale proceeds (equal to the ratio of the purchase price of this Conservation Easement to the unrestricted fair market value of the Property, as these values are determined on the date of this Conservation Easement), subject to any applicable law which expressly provides for a different disposition of the proceeds. The Grantee and the United States of America shall divide the resulting proceeds in accordance Page 12 of 18 20070411000124050 DEED Bk:R64256 Pg:457 04/11!2007 04:34:35PM 13!19 • with the percentage of the purchase price of the Conservation Easement that each party contributed. The percentages are 50% for the Grantee and 50% for the United States of America. All termination related expenses incurred by the Grantors and Grantee shall be paid out of any recovered proceeds prior to distribution of the net proceeds as described herein. 23. Procedure in the Event of Condemnation or Eminent Domain Grantors and Grantee recognize that the partial sale of this Conservation Easement gives rise to a property right, immediately vested in Grantee, with a fair market value equal to the proportionate value that the Conservation Easement bears to the value of the Property prior to the restrictions imposed by the Conservation Easement. Accordingly, if any condemnation or eminent domain action shall be taken, on all or part of the Property, by any authorized authority, said authority shall be liable to Grantee for the value of the property right vested in Grantee at the time of the signing of this Conservation Easement. Due to the federal interest in this Deed, the United States must consent to any condemnation action. If condemnation or a taking by eminent domain of a part of the Property or the entire Property by a public authority renders it impossible to fulfill any of the conservation purposes of this Conservation Easement on all or part of the Property, the Conservation Easement maybe terminated or modified accordingly through condemnation proceedings. Grantors and Grantee • agree that the Conservation Easement is a currently vested real property right with a value equal to the proportionate value the Conservation Easement has to the unencumbered value of the fee, as of the date of this grant. If the Conservation Easement is terminated or modified and any or all of the Property is sold or taken for public use, then, as required by Section 1.170A-14(g)(6) of the IRS regulations, Grantee shall be entitled to the proportionate value of the Conservation Easement, which has been predetermined at sixty-five percent (65%) of the Property's unrestricted value, subject to any applicable law which expressly requires for a different disposition of the proceeds. If this Conservation Easement is terminated or modified by condemnation action or eminent domain, the Grantee and the United States shall share, 50% to Grantee and 50% to the United States, the Grantee's proportional value of the Conservation Easement. If, however, after the condemnation or eminent domain proceedings, a court of jurisdiction does not include, in the just compensation awarded as a result of the taking, the amount of the Conservation Easement value, then the Grantors shall not be responsible to share any proceeds awarded. All condemnation-related expenses incurred by the Grantors and Grantee shall be paid out of any recovered proceeds prior to distribution of the net proceeds as described herein. • Page 13 of 18 20070411000124050 DEED 04BlI11 /R2007204G: 34935PM 814/ 19 24. Interpretation • This Conservation Easement shall be interpreted under the laws of the State of North Carolina and the laws of the United States, resolving any ambiguities and questions of the validity of specific provisions so as to give maximum effect to its conservation purposes. 25. Perpetual Duration; Severability The Conservation Easement created by this Deed shall be a servitude running with the land in perpetuity. Every provision of this Deed that applies to the Grantors or Grantee shall also apply to their respective agents, heirs, executors, administrators, assigns, and all other successors as their interests may appear. Invalidity of any of the covenants, terms, or conditions of this Conservation Easement, or any part thereof by court order or judgment shall in no way, affect the validity of any of the other provisions hereof which shall remain in full force and effect. 26. Merger The Parties agree that the terms of this Conservation Easement shall survive any merger of the fee and easement interest in the Property. 27. Notices Any notices required by this Deed shall be in writing and shall be personally delivered or • sent by first class mail to the Grantors, Grantee, and the United States respectively at the following addresses, unless a party has been notified in writing by the other of a change of address: To the Grantors: To the Grantee: To the United States NRCS: Fickle Creek Farm Orange County ERCD State Conservationist 4122 Buckliorn Road P.O. Box 8181 4405 Bland Rd., Suite 205 Efland, NC 27243 Hillsborough, NC 27278 Raleigh, NC 27609 28. Grantor's Title Warranty The Grantors warrant that they hold fee simple title to the Property, free from all encumbrances, except for those exceptions deemed by the Grantee as acceptable and set further in Exhibit C to this Conservation Easement, and hereby promise to defend the same against all claims that maybe made against it. 29. Subsequent Liens on Property No provisions of this Conservation Easement should be construed as impairing the ability of Grantors to use the Property as collateral for subsequent borrowing. Any such liens shall be and remain subordinate to this Conservation Easement. Page 14 of 18 20070411000124050 DEED Bk:RB4256 Pg:459 04/11!2007 04:34:35PM 15/19 • 30. Subsequent Easements/Restrictions on the Property The grant of any easements or use restrictions that might diminish or impair the agricultural viability or productivity of the Property or otherwise diminish or impair the conservation values of the Property is prohibited. Any such easements or restrictions shall be subordinated to this Conservation Easement. 31. Grantors' Environmental Warranty "Environmental Law" or "Environmental Laws" means any and all Federal, state, local or municipal laws, rules, orders, regulations, statutes, ordinances, codes, guidelines, policies or requirements of any governmental authority regulating or imposing standards of liability or standards of conduct (including common law) concerning air, water, solid waste, hazazdous materials, worker and community right-to-know, hazazd communication, noise, radioactive material, resource protection, subdivision, inland wetlands and watercourses, health protection and similaz environmental health, safety, building and land use as may now or at any time hereafter be in effect. "Hazardous Materials" means any petroleum, petroleum products, fuel oil, waste oils, explosives, reactive materials, ignitable materials, corrosive materials, hazardous chemicals, hazazdous wastes, hazazdous substances, extremely hazazdous substances, toxic substances, toxic • chemicals, radioactive materials, infectious materials and any other element, compound, mixture, solution or substance which may pose a present or potential hazard to human health or the environment. Grantors warrants that they aze in compliance with and shall remain in compliance with, all applicable Environmental Laws. Grantors warrant that there are no notices by any governmental authority of any violation or alleged violation of, non-compliance or alleged non- compliance with or any liability under any Environmental Law relating to the operations or conditions of the Property. Grantors warrant that they have no actual knowledge of a release or threatened release of any Hazazdous Materials on, at, beneath or from the Property exceeding regulatory limits.' Moreover, Grantors hereby promise to indemnify and hold harmless Grantee and the United States against all costs, claims, demands, penalties and damages, including reasonable attorney fees, arising from or connected with the release or threatened release of any Hazazdous Materials on, at, beneath or from the Property, or arising from or connected with a violation of any Environmental Laws by Grantor or any other prior owner of the Property. Grantors' indemnification obligation shall not be affected by any authorizations provided by Grantee to Grantors with respect to the Property or any restoration activities carried out by Grantee at the Property; provided, however, that Grantee shall be responsible for any Hazazdous Materials contributed after this date to the Property by Grantee. • Page 15 of 18 ZBk RB42S6 Pg 460 04/11/2007 04:34:35PM 16/18 32. Entire Agreement • This instrument sets forth the entire agreement of the parties with respect to the Conservation Easement and supersedes all prior discussions, negotiations, and understandings or agreements relating to the said easement. 33. Recording Clause Grantee shall record this instrument and any amendment hereto in timely fashion with the Office of the Register of Deeds of Orange County, North Carolina, and may re-record it at any time as may be required to preserve its rights under this Conservation Easement. TO HAVE AND TO HOLD this Deed of Conservation Easement unto Grantee, its successors and assigns, forever. [The remainder of this page is intentionally left blank. Signature page follows.] ~~ • Page 16 of 18 20070411000124050 DEED Bk:R64236 Pg:461 04/11!2007 04:34:35PM 17/19 • IN WITNESS WHEREOF, the Grantors and Grantee, intending to legally bind themselves, have set their hands on the date first written above. GRANTORS: ~'L.o~ 'yi /2av~t~C.(a Noah N. Ranells Ben A. Bergin Accepted: GRANTEE: ORANGE COUNTY, NORTH CAROLINA By: v~'w L,w oses Carey Jr., Chair Orange County Board of ATTEST: By: Donna S. Baker, Clerk to the Board of Commissioners ACCEPTANCE OF PROPERTY INTEREST BY THE NATURAL RESOURCES CONSERVATION SERVICE The Natural Resources Conservation Service, an agency of the United States Government, hereby accepts and approves the foregoing Deed of Conservation Easement, and the rights conveyed therein, on behalf of the United States of America. Authorized Si atory for the NRCS Page 17 of 18 20070411000124050 DEED Bk:RB4256 Pg:462 04111/2007 04:34:35PM 18!19 ACkT10W1edglnentS NORTH CAROLINA COUNTY OF ORANGE I,~,Qj'1 ~ ~ , a Notary Public for said County and State do hereby certify that / and personally appeazed before me and acknowledged the due execution of the fore ent. A I My commission expires: NORTH CAROLINA COUNTY OF ORANGE ~~ ~' a 0.4 ~, 'Q~ ,•• -.,, ~N • ......• ~. ,,~~~~N3 d ",,``~~~. ~5 -Flame. I, a Notary Public of Orange County, North Cazolina do hereby certify that Do S. Baker personally appeared before me this day and acknowledged that she is Clerk to the Boazd of Commissioners for Orange County, North Carolina and that by authority duly given and as the act of Orange County, North Cazolina the foregoing instrument was signed in its name by the Chair of the Orange County Boazd of Commissioners, and attested by her as Clerk to said Board of Commissioners. Witness my hand and official stamp or seal this the g day of , 200 My commission expires: Y.:... v , ~,}. ~~ ~? ,, ~ ~ _ ~. .~ ~R~ /~~~1irrl~t~e~~ •i • • Page 18 of 18 ~ i _ . _ --i __ ~ .1 20070411000124050 DEED i ~1 i 046!l11/R20072 046: 3935PMG319 / i 9 ~ a . , __. \ .. • ~\ • ~ ^ ~ ~ ,• , ;, Exhibit B Easement area Agricultural Conservation Easement / \ /Existing farm road /~/ Streams Fickle Creek Farm ® Stream buffer (for livestock exclusion) 60,953 acres Farmstead area (3.4 acres) ® o ~ ,~ ~~ M JAMS 07f2B/07 THIS MAP IS NOT A CERTIFIED SURVEY AND HAS NOT BEEN REVIEWED BY A LOCAL GOVERNEMENT AGENCY FOR COMPLIANCE WITH ANY APPLICABLE LAND DEVELOPMENT REGULATIONS. __.. • ~~