Agricultural Conservation Easements And Fee Title - - CA Public Resources

Section § 10260

This section outlines how funding for agricultural conservation easements or property acquisitions should be managed. It ensures the purchase price does not exceed fair market value by requiring an independent appraisal of the property. The department reviews these appraisals and can request additional ones. The easement value is determined by the gap between the fair market value and the property's restricted value. Grants can be conditionally approved before final appraisals, but funds are only disbursed once all requirements are met. Ultimately, the department decides if an appraisal is acceptable.

(a) In determining the amount of funding to be provided for an agricultural conservation easement or fee acquisition grant, the department shall take reasonable steps to ensure that the total purchase price of the agricultural conservation easement or, in the case of a fee title acquisition, the total purchase price of the subject property does not exceed fair market value, taking into consideration the funding from all sources. The determination of fair market value shall be accomplished, as follows:

(1) An applicant shall select and retain an independent real estate appraiser to determine the value of the subject property, including any proposed agricultural conservation easement.

(2) The department shall review and consider an applicant’s appraisal and may, at its sole discretion, require or obtain an additional appraisal.

(3) The easement value shall be calculated by determining the difference between the fair market value and the restricted value of the property.

(b) The department may conditionally approve grant applications prior to completion of final appraisals, provided an acceptable appraisal and all other requirements of this division are met before any disbursement of grant funds.

agricultural conservation easement fee acquisition grant funding determination fair market value independent real estate appraiser property appraisal easement value calculation grant application approval conditional grant approval restricted property value disbursement of grant funds appraisal acceptability final authority property acquisition process Department’s discretion

(Amended by Stats. 2002, Ch. 616, Sec. 21. Effective January 1, 2003.)

Section § 10260.5

If you're creating, assigning, or transferring a conservation easement or any related land agreement, you need to record this with the county recorder where the land is located. This applies to the entire property or just part of it. The same rule applies if you make changes to these agreements; they must also be recorded in the same way.

For purposes of this division, any instrument creating, assigning, or otherwise transferring a conservation easement, fee title, and any associate deed restrictions shall be recorded in the office of the county recorder of the county where the land is situated, in whole or in part, and those instruments shall be subject in all respects to the recording laws. Any amendment to any of these instruments shall be recorded in the office of the county recorder of the county where the land is situated, in whole or in part, and shall be subject in all respects to the recording laws.

conservation easement fee title transfer county recorder deed restrictions recording laws land agreements land transfer instrument amendments property recording legal recording requirements

(Repealed and added by Stats. 2022, Ch. 502, Sec. 33. (AB 2964) Effective January 1, 2023.)

Section § 10261

This law explains how compensation should be handled when land subject to an agricultural conservation easement is acquired through eminent domain. If a government or entity takes such land, they must pay the landowner what the land would have been worth without the easement, minus the easement's value. The program or any parties involved in the easement get the value of the easement at that time.

The director may establish rules for compensation when a federal agency is involved, requiring them to agree to compensation as outlined or pay the fair market value of the land with the easement. The director is also responsible for distributing the proceeds from a sale of such land.

(a) Whenever any entity exercises the power of eminent domain to acquire land subject to an agricultural conservation easement under this program, the condemnor shall pay just compensation to the owner of the land in fee and to the owner of the easement as follows:

(1) The owner of the land in fee shall be paid the full value that would have been payable to the owner but for the existence of the easement less the fair market value of the easement, as determined by an independent appraisal, at the time of condemnation.

(2) The program, and any other contributing parties if so provided in the easement, shall be paid the value of the easement at the time of condemnation.

(b) The director may provide, by regulation, or, pursuant to the terms of the easement, that in the case of acquisition of the easement by a federal agency, that the agency shall agree to the amount of compensation paid for the easement that is determined pursuant to subdivision (a), or pay the current fair market value of the land subject to an agricultural easement. The director shall distribute the proceeds of a land sale that is made in accordance with the conditions set forth in subdivision (a).

eminent domain compensation agricultural conservation easement landowner rights fair market value independent appraisal program compensation federal agency acquisition condemnation process land sale proceeds easement value determination

(Amended by Stats. 2002, Ch. 616, Sec. 24. Effective January 1, 2003.)

Section § 10262

This law allows certain activities on land with an agricultural conservation easement as long as they do not significantly harm the land's farming productivity or its other important uses. The allowed activities include granting rights-of-way for utilities like water and electricity, building necessary agricultural structures, and engaging in seasonal rural activities like hunting or timber harvesting. These activities are permitted because they do not interfere with the land's farming capabilities or why it was chosen for conservation.

An agricultural conservation easement shall not prevent any of the following:

(a) The granting of rights-of-way by the owner of the subject land in and through the land for the installation, transportation, or use of water, sewage, electric, telephone, gas, oil, or oil product lines, stock water development and storage, energy generation, and fencing if the agricultural productivity of the land and any multiple uses that made the acquisition a priority for selection under the program are not significantly impaired by those activities.

(b) The construction and use of structures on the subject land that are necessary for agricultural production and marketing, including, but not limited to, barns, shops, packing sheds, cooling facilities, greenhouses, roadside marketing stands, stock water development and storage, energy generation, and fencing, if the agricultural productivity of the land and any multiple uses that made the acquisition a priority for selection under the program are not significantly impaired by those activities.

(c) Customary part time or off season rural enterprises or activities, including, but not limited to, hunting and fishing, wildlife habitat improvement, predator control, timber harvesting, and firewood production, if the agricultural productivity of the land and any multiple uses that made the acquisition a priority for selection under the program are not significantly impaired by those activities.

agricultural conservation easement rights-of-way utilities installation land productivity agricultural structures rural enterprises hunting and fishing wildlife habitat improvement timber harvesting firewood production energy generation stock water development roadside marketing stands predator control agricultural marketing

(Amended by Stats. 2022, Ch. 502, Sec. 34. (AB 2964) Effective January 1, 2023.)

Section § 10262.5

If an agricultural conservation easement is granted, it does not mean the public can access the property. This easement doesn’t give anyone the right to enter the land.

The granting of an agricultural conservation easement under this division shall not be interpreted to convey any rights of public access to the subject property.

agricultural conservation easement public access rights property rights land use restrictions private property easement interpretation land access agricultural land property access limitations conservation easement granting easements property easement rights easement limitations landowner rights easement holder rights

(Added by Stats. 2002, Ch. 616, Sec. 27. Effective January 1, 2003.)

Section § 10263

This law section says that the department must make a decision on a grant application within 180 days after it's complete. If they decide not to approve it, they have to tell the applicant why in writing.

(a) The department shall act on an application for a grant within 180 days after the department determines that it is complete.

(b) The department shall notify the applicant of the department’s decision in writing. For any decision to disapprove an application, the written notice shall state the reason for the disapproval.

grant application process 180-day decision period written notice of decision grant disapproval reasons applicant notification application completeness department decision timeline grant approval process reason for disapproval applicant communication grant application review timely decision requirement grant application status completeness determination

(Amended by Stats. 2022, Ch. 502, Sec. 37. (AB 2964) Effective January 1, 2023.)

Section § 10264

The director can reject a grant application for buying an agricultural conservation easement or land if it doesn't meet eligibility rules, the title isn't clear, there's not enough funding, other projects are more important, or it doesn't meet specific fund or guideline requirements.

The director shall disapprove the application for a grant for the acquisition of an agricultural conservation easement or fee title in any of the following circumstances:

(a) The application does not satisfy the eligibility criteria set forth in Section 10251.

(b) The department has determined that clear title to the agricultural conservation easement cannot be conveyed.

(d) Other acquisitions have a higher priority.

(e) The application does not satisfy other relevant requirements provided by the fund source or in the guidelines, solicitation, application, or other relevant control documents, as determined by the department.

agricultural conservation easement grant disapproval eligibility criteria clear title insufficient funds funding priority control documents application guidelines acquisition priority grant application title issues fund source requirements relevant requirements solicitation documents guideline compliance

(Amended by Stats. 2022, Ch. 502, Sec. 38. (AB 2964) Effective January 1, 2023.)