Thoughts on Conservation Easement?

[jinjimbob]

If you need an example management plan, let us know.

 

[ultrarunner]

If you need an example management plan, let us know.

Thanks jinjimbob... very kind of you!

Are these plans about the same throughout the country or would I need a WA specific plan?

 

[MikeD74T]

I don't think much of conservation easements in general. Seems they ultimately give someone else majority control of the land (although you may be gone & not care), make the land worth less for resale thus raising the taxes on everyone elses land and equally reducing your equity. As far as any such agreement lasting forever, just ask any Indian how long forever is to any government agency. I see these agreements primarily as a means for government to eliminate private land ownership over time. MikeD74T

 

[forgeblast]

CREP

I am enrolled in this program in pa. Very user friendly program.

 

[sweettractors]

I hope so. The article in the link was very interesting regarding which government officials have strong money ties to the exchange. Course this was not widely reported in the press.

Later,
Dan

I feel strongly that the main stream media is very biased to the far left views. Ken Sweet

 

[GT2]

Land is in WA State... I did look into it a few years ago... the next step in the process as I understood was to prepare a formal management plan with the help of a forester... I was also told that the lines may have to be redrawn since part of my home shop is on the 10 acre parcel.

Property Taxes, home and land/acreage, are a real concern... went from around $7000 (Based on my Purchased Price in 2005 to $12,000 the last 3 years.

I did my research prior to purchase and decided to buy because WA had I-747 property tax limits in force... it was later overturned in the courts and taxes went up overnight.

Assessor office has been friendly but will not budge... they say land with water resources... streams, creeks, etc... is the only segment increasing in value each year.

High Taxes based on buildable land have forced several in the area to sell for development... Neighbors that built in the 1950's have also seen taxes spike on their 3 acres and home... it is a real concern for them...

Now, if I only had a crystal ball...

This, and other reasons are why I'm planing on exiting WA state.
They are in so much financial trouble.
No one will ever get a "break".
Sorry to get on the soap box, but every time we vote in some type of consesion or tax break they tie it up legally, fight it with our money and then come around thru the back door and screw us!

 

[buckeyefarmer]

conservation easements vary by state. My property came with the wooded portion in an easement, which means I can't clear cut it. This was formerly an old farm, when it was subdivided, the state forced the easement, they didn't get a choice other than not to subdivide. MD also have programs where land is put in easements where they can't be subdivided at all in the future.

 

[clemsonfor]

The only "right" you lose is the ability to build on the land. You can still clear paths, cut trees, maintain trails, hunt, etc... You just cannot build any structures on it. Also your taxes are MUCH cheaper since the land is placed "in current use".

I did this with a few small parcels and got $9k per acre for parcels under 15 acres and $6k per acre for parcels over 15 acres. The land had to be at least 50% "wetlands", this does not mean standing water either poorly drained soils are considered just as "wet" as standing water. If you have good buildable land then it's not worth it but most of these parcels are barely buildable with the wetland setbacks around here so this is a perfect deal to make money and keep your land. It includes a free land survey too! :thumbsup:

Some of the ones from the humane society of america or ASPCA, you see tv commercials about preserving land, they show wild animals etc, the WILL NOT allow you to hunt the property or anyone ever, run from them. Some will also not allow additional structures to be built others will just ask how many more homes do you want to build , ever, you better say right, i think the fewer it is the less they make you pay on the taxes each year. So if you plan to let a daughter build a house on your land in the future make sure there is a clause that will let you add structures onto the property. even for things as simple as a wood shed, if not specified it may not be allowed under certain ones.

 

[SPYDERLK]

Some of the ones from the humane society of america or ASPCA, you see tv commercials about preserving land, they show wild animals etc, the WILL NOT allow you to hunt the property or anyone ever, run from them. Some will also not allow additional structures to be built others will just ask how many more homes do you want to build , ever, you better say right, i think the fewer it is the less they make you pay on the taxes each year. So if you plan to let a daughter build a house on your land in the future make sure there is a clause that will let you add structures onto the property. even for things as simple as a wood shed, if not specified it may not be allowed under certain ones.

Sounds like there are some nitemare ones. Ours in VA isnt. You have to have 100acres [kinda]. You write the agreement conforming to guidelines. They want you to promise undisturbed buffers near steams 6' access paths are not an issue. They dont want you to clear more land. Timber harvest is OK. A main and one tenant/subsidiary house is allowed on each 100acres. Each such section can build multiple farm associated buildings of up to 4000sqft size without notification. With 270 acres we got agreement for 3 parcels. Taxes are computed as farming land use and thus are down by half. Makes having and keeping the land a lot more affordable.
larry

 

[scoutcub]

I have 86 acres in Port Angeles, WA, and was contacted by these folks regarding an easement for a creek bordering my property a few years back. They were fairly persistent at the time, touting environmental preservation. Sounded OK but I didn't like the fact of property restrictions, and they would have limitless access to the property. No money was involved in their proposal. The property is a zoned commercial forest so I'm already paying lo-lo taxes, until I build a house there. Zoning also calls for only 1 house per 80 acres.

I didn't get a warm fuzzy about it and passed.

 

[brin]

I feel strongly that the main stream media is very biased to the far left views. Ken Sweet

:thumbsup::thumbsup::thumbsup::thumbsup:

 

[ultrarunner]

I have 86 acres in Port Angeles, WA, and was contacted by these folks regarding an easement for a creek bordering my property a few years back. They were fairly persistent at the time, touting environmental preservation. Sounded OK but I didn't like the fact of property restrictions, and they would have limitless access to the property. No money was involved in their proposal. The property is a zoned commercial forest so I'm already paying lo-lo taxes, until I build a house there. Zoning also calls for only 1 house per 80 acres.

I didn't get a warm fuzzy about it and passed.

So far, I would describe the Conservancy as pushy...

I would have sent out information and asked if I could follow-up with a personal phone call and provide names and numbers of my neighbors already in the program.

I have no immediate plans to do anything other than enjoy the property... Though taxes are always a concern and public access could create future problems.

 

[JeremyL]

I suggest you look up the Land Trust Alliance on the internet and see if the group that contacted you is listed as one that follows its rigorous Standards and Practices. LTA is the national umbrella group for thousands of land trusts across the U.S. Most land trusts are private, non-profit organizations, but some entities that hold conservation easements are affiliated with local, state or federal government such as the Natural Resources Conservation Service.

Although there is a lot of variation from state to state and with different land trusts within states, typically, conservation easements are voluntary, permanent agreements that are negotiated between the land trust and the land owner and can be tailored to meet the financial and conservation goals of the land owner. The land trust holds the conservation easement, but the land owner continues to own, live on and use the the land pretty much as they have been using it. CEs generally prohibit the land from being developed for commercial or industrial uses or residential subdivisions, but usually allow agricultural uses (including selling ag products), responsible forestry practices, hunting and such activities.

Depending on the size of the property, there may be discussion about reserving a limited number of additional home sites for your children or future owners of the property. Some conservation easements like the ones the NRCS does with the CRP program may be very specific about protecting wetlands or areas along streams. Others focus mainly on farmland or wildlife habitat. Some try to protect all of the above and other kinds of conservation lands. Many land trusts concentrate their work in a particular region. Most land trusts and other easement holders visit the site about once a year (they arrange a convenient time with you ahead of time) to be sure that the terms of the conservation easement are being upheld. They usually do not require public access on the land.

The land trust does not benefit financially from holding a CE; in fact each CE represents a considerable long-term responsibility for that land trust. Their job is to ensure that the CE is enforced forever. That costs them money that they generally get through private fund-raising. Consequently, most land trusts are particular about which properties they will accept easements on.

Some land trusts have money to purchase CEs, but many people donate a CE to the land trust. Under certain circumstances the IRS considers this a charitable donation and the land owner may be eligible for substantial income or estate tax benefits. A conservation easement will almost certainly lower the fair market value of a piece of land, because the land owner is giving away or selling some of the development rights to their land. For some people those tax benefits make it worthwhile financially. Some states also allow property tax reductions also. Your attorney should be able to advise you about whether you could take advantage of these.

There is a great series of three concise, well-written books geared toward landowners considering donating a CE. The author is Stephen Small and the books are available through the LTA bookstore. These books are well worth the $15-20 bucks if you are seriously considering placing a conservation easement on your land.

It is a big decision and you should not feel rushed or pressured. You should definitely have an attorney who is knowledgeable about conservation easements, and any reputable land trust will insist that you have one to represent you. Despite the potential tax benefits, most people who give or sell conservation easements simply love their land and want to know that it will be permanently protected from certain kinds of development when they die or sell the land. Good luck!

 

[IslandTractor]

Great summary and overview Jeremy.

 

[clemsonfor]

Taing what jeremy said , and asking a question about CE. As he pointed out there is a financial responsibility of the holder to ensure the agreement is upheld. Like mentioned this requires funds to pay an employee to monitor these properties that is most likely based on donations to the non-profit. What happens if someone pics a program less well known and on the fringe, not like the Nature conservancy, but say, (this is made up) North Carolinians for the conservation of Rural Farm Land, or just some local county program, and they cease to have the funds necessary to operate. What then happens to the CE i would assume it is then nullified or returns to the sole control of the property or mostlikely another agency will pick up and monitor the Easements? Just curious.

 

[IslandTractor]

. What happens if someone pics a program less well known and on the fringe, not like the Nature conservancy, but say, (this is made up) North Carolinians for the conservation of Rural Farm Land, or just some local county program, and they cease to have the funds necessary to operate. What then happens to the CE i would assume it is then nullified or returns to the sole control of the property or mostlikely another agency will pick up and monitor the Easements? Just curious.

I'm neither a lawyer nor did I sleep in a Holiday Inn last night but I do know that sometimes these organizations transfer property agreements to each other. Again, I could be off but I know where I live there have been transfers from one nature conservancy organization to another when stewardship seemed best done by the second organization.

 

[Larry Caldwell]

What then happens to the CE i would assume it is then nullified or returns to the sole control of the property or mostlikely another agency will pick up and monitor the Easements? Just curious.

The conservation easement is recorded on the deed. Nobody will be able to get clear title to subdivide the land, so it will never happen. A title search will shut it down.

As for other restrictions, it's unlikely they would be rigorously enforced.

 

[dmccarty]

So far, I would describe the Conservancy as pushy...

...

I have no immediate plans to do anything other than enjoy the property... Though taxes are always a concern and public access could create future problems.

Being pushy would push my buttons. And not positively.

I simply would not own land under a Conservation Easement that required/allowed public access. That is just asking for trouble than it is worth. It would be nothing by problems.

Later,
Dan

 

[brin]

Being pushy would push my buttons. And not positively.

I simply would not own land under a Conservation Easement that required/allowed public access. That is just asking for trouble than it is worth. It would be nothing by problems.

Later,
Dan

:thumbsup::thumbsup:

 

[beppington]

I think I'd at least listen to everything they have to say, including the $ amount they're offering. If they happen to offer you an amount that's on par with what you think you could sell it for, it might be worth doing. Anything less than that becomes less & less intriguing.

I believe locally here our county's conservation land dept pays for three appraisals on a subject property. If the folks approaching you will do that, no strings attached, I'd take them up on it. Then you can decide if their offer is worthwhile.