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HomeMy WebLinkAboutAgenda - 06-27-2002 - 8o i. 1 ORANGE COUNTY BOARD OF COUNTY COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: June 27, 2002 Action Age.Moa Item No. . SUBJECT: Authorization to Submit Grant to USDA Farmland Protection Program DEPARTMENT: Environment and Resource PUBLIC HEARING: (YIN) No Conservation ATTACHMENT(S): INFORMATION CONTACT: FPP Guidelines and Summary Sheet David Stancil, 245-2598 TELEPHONE NUMBERS: Hillsborough 732-8181 Chapel Hill 968-4501 Durham 688-7331 Mebane 336-227-2031 PURPOSE: To authorize staff to submit grant applications to the USDA Farmland Protection Program, BACKGROUND: In May of this year, Congress adopted and the President signed the new Farm Bill. Contained as part of the Farm Bill were appropriations to the Farmland Protection Program, which channels funds to the states for assistance in the acquisition of conservation easements. The Farmland Protection Program (FPP) provides a 50% match for the acquisition of farmland conservation easements, based on appraised value of the easement. Because of the Federal government timetable requires obligation of funds by the end of the Federal fiscal year on September 30, a short window of opportunity exists—with applications due July 15. The County has been working with several farmers on potential easement acquisitions over the past several months, and may wish to apply for FPP funding to augment and leverage County funds for easement purchases. FINANCIAL IMPACT: Applications to the Farmland Protection Program require a 50% match toward the easement purchase, over the next three County fiscal years. Proposed grant applications totaling $1 million would require a like amount of County funds over three years (between FY 2002-03 and FY 2004-05). County matching funds would come from the existing and future appropriations to the Lands Legacy Fund and future appropriations for conservation easements from alternative financing, as proposed in the Manager's Recommended CIP. `x 2 RECOMMENDATION(S): The Manager recommends that the Board: 1. Authorize staff to submit grant applications to the USDA/NRCS Farmland Protection Program, not to exceed a total amount of$1,025,000, prior to the July 15 deadline, with County matching funds to come from a combination of alternative financing for conservation easements and the Lands Legacy Fund, and 2. That staff be authorized to develop and craft the applications, as needed based on appraisals, consistent with the above maximum grant application amount during this timeframe. 3 o N RCS Farm Bill 2002 Naanl aaowRS[emervadon Scala Yelled Saks aepammm olA*Waaa Program Description Farmland Protection MWM Program Overview States,units of local government,and non- The Farmland Protection Program(FPP)is a governmental organizations to cooperate in the voluntary program that helps farmers and acquisition of conservation easements or other ranchers keep their land in agriculture and interests on farms and ranches.Once an entity Prevents conversion of agricultural land to is selected,the NRCS State conservationist non-agricultural uses.The program provides enters into a cooperative agreement with,and matching funds to State,Tribal,and local obligates money to,the entity.The entity governments and non-governmental works with the landowner,processes the organizations with existing farmland easement acquisition,and holds,manages,and protection programs to purchase conservation enforces the easement.The Federal share of easements.These entities purchase easements any easement acquisition is limited to a from landowners in exchange for a lump sum maximum of 50 percent of the appraised fair payment,not to exceed the appraised fair market value of the conservation easement.A market value of the land's development rights. contingent right interest in the property must The easements are for a minimum of 30 years, be incorporated in each easement deed for the To date,all easements accepted into the protection of the Federal investment. program have been for perpetuity. Eligibility Authority Land.Entire farms or ranches may be enrolled FPP is authorized by the Food Security Act of in FPP.The farmland or ranch land must 1985,as amended.FPP is reauthorized in the contain at least 50 percent of prime,unique, Farm Security and Rural Investment Act of Statewide, or locally important soil or contain 2002(Farm Bill).The Secretary of Agriculture historic or archaeological sites.These lands delegated the authority for FPP to the Chief of must also be subject to a pending offer from an the Natural Resources Conservation Service eligible entity for the purpose of limiting (MRCS),who is a vice president of the conversion of the land to non-agricultural uses. Commodity Credit Corporation(CCC). Eligible land includes cropland,rangeland, grassland,pasture land,and forest land that is Scope part of an agricultural operation.Incidental FPP is available in all 50 States,the Caribbean land that would not otherwise be eligible may Area(Puerto Rico and the Virgin Islands),and be considered eligible as part of a pending the Pacific Basin Area(Guam,American offer,if inclusion would significantly augment Samoa, and the Commonwealth of the protection of the associated eligible farm or Northern Mariana Islands).To participate in ranch land. Farms or ranches with historical or FPP,NRCS State offices must submit a State archaeological resources must meet the FPP per• following criteria: • Be listed in the National Register of Historic Haw FPP Works Places(established under the National The CCC,through NRCS,requests proposals Historic Preservation Act(NHPA), 16 USC. from Federally recognized Indian Tribes, 470,et seq.); or mrr NaWgl Resources Consavadon sm-lea provides leaderamp in apaAnaahip aBat to help people consewa,maimairc arid'anp we ow natreal resources and environment. An Egral Oppaturdty Provider and Employer 4 • Be formally determined eligible for listing in least 25 percent of the value when the National Register of Historic Places by accompanied by a landowner's donation of the State Historic Preservation Officer up to 25 percent of the appraised fair market (SHPO)or Tribal Historic Preservation value. Officer and the Keeper of the National Register in accordance with Section 106 of Defining a Pending Offer the NHPA); or A pending offer is a written bid,contract, • Be formally listed in the State or Tribal commitment,or option extended to a Register of Historic Places of the SHPO or landowner by an eligible entity to acquire a the Tribal Register of Historic Places. conservation easement or other interest in land to limit non-agricultural uses of the land Entity.An eligible entity must be a Federally before the legal title to these rights has been recognized Indian Tribe, State or local agency conveyed. Pending offers must be for the (including farmland protection boards or land primary purpose of protecting topsoil by resource councils established under State law), limiting conversion to non-agricultural uses. or a non-governmental organization that- Pending offers with signed appraisals by state • Is organized principally for the preservation certified appraisers shall receive higher funding priority by the NRCS State of land for recreation,open space,historical conservationist. preservation,and natural habitat; • Is operated exclusively for charitable, Applications Process religious,or educational purposes,with no The FPP application process consists of the part of its net earnings paid to any private following steps: shareholder or individual and no substantial part of its activities influencing legislation or 1.A landowner submits an application to an intervening in any political campaign for or eligible non-governmental organization or against a candidate for public office; and State,Tribal,or local government that has • Normally receives more than one-third of its an existing farmland protection progranL support in each tax year from an combination of gifts,grants,contributions, 2.When funds are available,NRCS publishes or membership fees,and normally receives rece' a Request for Proposals(RFP)in the Federal Register to solicit Ainding proposals from not more than one-third of its support in each tax year from the sum of gross eligible entities with existing farmland investment income. protection programs. In addition to demonstrating land and entity 3.Eligible entities submit proposals to work eligibility,entities wishing to receive FPP with NRCS to acquire conservation fiords must demonstrate: easements or other interests in land on productive farm and ranch land. • A commitment to longterm conservation of agricultural lands; 4.The NRCS State conservationist receives • The capability to acquire,manage, and proposals by the date specified in the RFP. enforce easements and other interest in land; 5.The NRCS State conservationist determines • Staff capacity that would be dedicated to entity and land eligibility. monitoring easement stewardship; and • The availability of funds for at least 50 6.The NRCS State conservationist may percent of the appraised fair market value of consult with the State Technical Committee the conservation easement; or Rinds for at to rank the parcels based on the State FPP FPP Program DesoripUon pop 2 5 plan,Land Evaluation Site Assessment • Number or acreage of historic and (LESA) system, or similar land evaluation archaeological sites estimated to be system used to evaluate parcels. protected on farm or ranch lands; 7.The NRCS State conservationist makes • Degree of development pressure; awards to eligible entities based on the funds • Degree of leveraging guaranteed by Provided by the NRCS National office. cooperating entities; NRCS enters into cooperative agreements • History of cooperating entities' _ with the selected entities. commitments to conservation; S.Following cooperative agreement signature • Participating entities'histories of acquiring„ by NRCS and the selected entity,funds may managing,holding,and enforcing easements. be obligated to the entity,and the entity may . (including annual farmland protection d accomplishments,expenditures, p ,an s , begin to purchase conservation easements or other interests in land. a Amount of FPP dollar;requested; and • Participating entities' estimated unfunded Determining National FPPAllocations conservation easements on prime,unique, FPP is available in those States,the Caribbean and important farmland acres. Area,and Pacific Basin Area that submit an NRCS State FPP plan to the NRCS National The State FPP plan includes ranking office.The State conservationist or director is considerations used by the State,including the responsible for developing a State FPP plan. National criteria(above) and other State The plan should be developed with advice ranking criteria.The criteria include,but are from the State Technical Committee or its not limited to,proximity to protected clusters farmland protection subcommittee,which is of farmland,viability of the agricultural made up of representatives from State and operations,parcel size,type of land use, local farmland protection programs,including maximum cost expended per acre,degree of non-governmental organizations. leveraging by the entity,and proof of appraisals. State ranking criteria are developed A State PPP plan is submitted to the NRCS on a State-by-State basis and are available to National office at least every three years,or interested participating entities prior to State more often if conditions change. State proposal submission. allocations may be adjusted every three years based on new state FPP plan submissions and Criteria Used to Evaluate Proposals at the discretion of the NRCS Chief. For fiscal Each State develops ranking criteria to ensure years 2002 and 2003,the NRCS State consistent and efficient FPP implementation. conservationists are to submit one-year state The ranking criteria, established in the State FPP plans to the National office,rather than FPP plan,enable the State conservationist to commit to a three-year cycle. prioritize proposals and determine parcels that merit FPP enrollment. At a minimum,the State FPP plan contains the following National criteria: The State conservationist,with advice from • Acreage of prime,unique, and important the State Technical Committee,establishes a farmland estimated to be protected; weighted ranking system.Priority is given to • Acreage of prime,unique, and important easements that protect the Nation's most farmland lost; threatened prime,unique,and important &rmland or historical and archaeological sites on farm and ranch land. In evaluation of FPP Program Description page 3 6 proposals and parcels,at least 50 percent of the easement holder fails to manage the the weight is based on the National criteria. easement; The remaining weight is based on State criteria . Contains conservation plan requirements for contained in the State FPP plan,LESA system, �ghly erodible land; and or a similar land evaluation system approved • Includes indemnification language by the State conservationist releasing NRCS from any fiscal responsibilities,such Priority also is given to: as costs,damages,claims,liabilities,and • Easements or other interests in land that judgements incurred by the landowner or provide permanent protection from cooperating entity. conversion to non-agricultural use(note: Conservation Easements conservation easements are preferable to fee In exchange for title acquisition); g payment Participating landowner,agree not to convert their land to • Easements acquired by entities that have non-agricultural uses and to develop and extensive experience in managing and implement a conservation plan for any highly enforcing easements,adequate staff to erodible land. Landowners are paid fair market manage stewardship responsibilities,and value.The fair market value of conservation -sufficient oversight requirements; easements is determined using standard real • Lands and locations that link to other property appraisal methods. Federal,Tribal, State, local,or non- governmental organizations' efforts with The conveyance document(e.g.,conservation complementary farmland protection easement deed)used by the eligible entity objectives(e.g., open space,watershed and must be reviewed and approved by the NRCS wildlife protection); National office before being recorded. Since title to the easement is held by an entity other • Lands that provide special social,economic, than the United States,the conveyance and environmental benefits to the region; document must contain a clause that all rights and conveyed by the landowner under the • Geographic regions where the enrollment of document will become vested in the United particular lands may help achieve National, States should the cooperating entity(i.e.,the State, and regional goals and objectives. grantee)abandon or attempt to terminate the conservation easement Cooperative Agreements Once selected,entities work with the For More Information appropriate NRCS State conservationist to If you need more information about FPP, finalize and sign cooperative agreements, please contact your local USDA Service incorporating all necessary FPP requirements. Center,listed in the telephone book under U.S. A cooperative agreement is the legal contract Department of Agriculture,or your local with which the Federal government establishes conservation district Information also is partnerships with the entities.The cooperative available on the World Wide Web at: agreement: http://www.nres.usda.gov/programs/farmbiU/ • Identifies the easement holder; 20021 • Includes management and enforcement responsibilities by the easement holder and NRCS; �. � Vish USDA on the Web at • Includes a reversionary clause regarding the +.,,!� http1hv w+.usda.govMarmbi 1 Federal government's rights to the land if FPP Program Desratptfon page 4'