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                                                        PRINTER'S NO. 85

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 101 Session of 2001


        INTRODUCED BY S. MILLER, ARGALL, ARMSTRONG, BARD, BASTIAN, BUNT,
           CALTAGIRONE, CLYMER, COY, DeWEESE, FEESE, GEIST, GEORGE,
           GRUCELA, HENNESSEY, HERSHEY, HESS, JOSEPHS, KREBS, LEH,
           MAJOR, MARSICO, R. MILLER, NICKOL, PETRARCA, SCHRODER,
           SHANER, B. SMITH, SOLOBAY, STABACK, STERN, E. Z. TAYLOR,
           VANCE, WANSACZ, C. WILLIAMS, WILT AND ZUG, JANUARY 23, 2001

        REFERRED TO COMMITTEE ON AGRICULTURE AND RURAL AFFAIRS,
           JANUARY 23, 2001

                                     AN ACT

     1  Amending the act of June 30, 1981 (P.L.128, No.43), entitled "An
     2     act authorizing the creation of agricultural areas," further
     3     defining "agricultural conservation easement"; defining
     4     "parcel"; and further providing for purchase of agricultural
     5     conservation easements.

     6     The General Assembly of the Commonwealth of Pennsylvania
     7  hereby enacts as follows:
     8     Section 1.  The definition of "agricultural conservation
     9  easement" in section 3 of the act of June 30, 1981 (P.L.128,
    10  No.43), known as the Agricultural Area Security Law, amended
    11  November 23, 1994 (P.L.621, No.96), is amended and the section
    12  is amended by adding a definition to read:
    13  Section 3.  Definitions.
    14     The following words and phrases when used in this act shall
    15  have the meanings given to them in this section, unless the
    16  context clearly indicates otherwise:
    17     * * *

     1     "Agricultural conservation easement."  An interest in land,
     2  less than fee simple, which interest represents the right to
     3  prevent the development or improvement of [the land] a parcel
     4  for any purpose other than agricultural production. The easement
     5  may be granted by the owner of the fee simple to any third party
     6  or to the Commonwealth, to a county governing body or to a unit
     7  of local government. It shall be granted in perpetuity as the
     8  equivalent of covenants running with the land. The exercise or
     9  failure to exercise any right granted by the easement shall not
    10  be deemed to be management or control of activities at the site
    11  for purposes of enforcement of the act of October 18, 1988
    12  (P.L.756, No.108), known as the "Hazardous Sites Cleanup Act."
    13     * * *
    14     "Parcel."  A tract of land in its entirety which is assessed
    15  for tax purposes by one county, including any portion of that
    16  tract that may be located in a neighboring county. The county
    17  responsible for assessing an entire tract, on its own or in
    18  conjunction with either the Commonwealth or a local government
    19  unit, or both, shall be eligible to purchase agricultural
    20  conservation easements covering the entire tract.
    21     * * *
    22     Section 2.  Sections 14.1(b) introductory paragraph and (2),
    23  (b.1)(4), (d)(1) and (e)(1) of the act, amended or added
    24  November 23, 1994 (P.L.621, No.96), November 23, 1994 (P.L.648,
    25  No.100) and December 21, 1998 (P.L.1056, No.138), are amended to
    26  read:
    27  Section 14.1.  Purchase of agricultural conservation easements.
    28     * * *
    29     (b)  County programs.--After the establishment of an
    30  agricultural security area by the governing body, the county
    20010H0101B0085                  - 2 -

     1  governing body may authorize a program to be administered by the
     2  county board for purchasing agricultural conservation easements
     3  from landowners whose land is either within an agricultural
     4  security area or in compliance with the criteria set forth in
     5  paragraph (2)(i).
     6         * * *
     7         (2)  It shall be the duty and responsibility of the
     8     county board to exercise the following powers:
     9                 (i)  (A)  To adopt rules and regulations for the
    10             administration of a [countywide] county program for
    11             the purchase of agricultural conservation easements
    12             [within agricultural security areas] in accordance
    13             with the provisions of this act, including, but not
    14             limited to, rules and regulations governing the
    15             submission of applications by landowners,
    16             establishing standards and procedures for the
    17             appraisal of property eligible for purchase as an
    18             agricultural conservation easement and establishing
    19             standards and procedures for the selection or
    20             purchase of agricultural conservation easements.
    21                 (B)  To include in such rules and regulations,
    22             standards and procedures for the selection or
    23             purchase of agricultural conservation easements, by
    24             the county solely or jointly with either the
    25             Commonwealth or a local government unit, or both, on
    26             that portion of a parcel which is not within an
    27             agricultural security area if all of the following
    28             criteria are complied with:
    29                     (I)  The land is part of a parcel of farm
    30                 land which is bisected by the dividing line
    20010H0101B0085                  - 3 -

     1                 between two local government units.
     2                     (II)  The majority of the farm's viable
     3                 agricultural land is located within an existing
     4                 agricultural security area. Upon purchase of an
     5                 easement covering the portion of the parcel which
     6                 is not located within an agricultural security
     7                 area, that portion of the parcel shall
     8                 immediately become part of the previously
     9                 established agricultural security area which
    10                 contains a majority of the farm's viable
    11                 agricultural land. The governing body which
    12                 created the agricultural security area which
    13                 contains a majority of the farm's viable
    14                 agricultural land shall be responsible for the
    15                 recording, filing and notification outlined in
    16                 section 8(d) and (g) concerning land added to the
    17                 agricultural security area pursuant to this
    18                 clause.
    19                 (C)  To include in such rules and regulations,
    20             standards and procedures for the selection or
    21             purchase of agricultural conservation easements, by
    22             the county solely or jointly with either the
    23             Commonwealth or a local government unit, or both, on
    24             that portion of a parcel located in an adjoining
    25             county if all of the following criteria are complied
    26             with:
    27                     (I)  The land is part of a parcel of farm
    28                 land which is bisected by the dividing line
    29                 between the purchasing county and the adjoining
    30                 county.
    20010H0101B0085                  - 4 -

     1                     (II)  Either a mansion house is located on
     2                 that portion of the parcel which is within the
     3                 purchasing county or the dividing line between
     4                 the counties bisects the mansion house and the
     5                 owner of the parcel has chosen the purchasing
     6                 county as the situs of assessment for tax
     7                 purposes, or, if there is no mansion house on the
     8                 parcel, the majority of the farm's viable
     9                 agricultural land is located in the purchasing
    10                 county.
    11                     (III)  The portion of the parcel located in
    12                 the purchasing county is within an agricultural
    13                 security area. Upon purchase of an easement by
    14                 the purchasing county covering that portion of
    15                 the parcel located in the adjoining county, the
    16                 portion of the parcel located in the adjoining
    17                 county shall immediately become part of the
    18                 agricultural security area previously established
    19                 in the purchasing county. The governing body
    20                 which created the agricultural security area in
    21                 the purchasing county shall be responsible for
    22                 the recording, filing and notification outlined
    23                 in section 8(d) and (g) concerning land added to
    24                 the agricultural security area pursuant to this
    25                 clause.
    26             (ii)  To adopt rules of procedure and bylaws
    27         governing the operation of the county board and the
    28         conduct of its meetings.
    29             (iii)  To execute agreements to purchase agricultural
    30         conservation easements in the name of the county.
    20010H0101B0085                  - 5 -

     1             (iv)  To purchase in the name of the county
     2         agricultural conservation easements either within
     3         agricultural security areas or pursuant to the criteria
     4         set forth in subparagraph (i).
     5             (v)  To use moneys appropriated by the county
     6         governing body from the county general fund to hire staff
     7         and administer the [countywide] county program.
     8             (vi)  To use moneys appropriated by the county
     9         governing body from the county general fund or the
    10         proceeds of indebtedness incurred by the county and
    11         approved by the county governing body for the purchase of
    12         agricultural conservation easements either within
    13         agricultural security areas or pursuant to the criteria
    14         set forth in subparagraph (i).
    15             (vii)  To establish and maintain a repository of
    16         records of farm lands which are subject to agricultural
    17         conservation easements purchased by the county [and which
    18         are located within the county].
    19             (viii)  To record agricultural conservation easements
    20         purchased by the county in the office of the recorder of
    21         deeds of the county wherein the agricultural conservation
    22         easements are located and to submit to the State board a
    23         certified copy of agricultural conservation easements
    24         within 30 days after recording. The county board shall
    25         attach to all certified copies of the agricultural
    26         conservation easements submitted to the State board a
    27         description of the farm land subject to the agricultural
    28         conservation easements.
    29             (ix)  To submit to the State board for review the
    30         initial county program and any proposed revisions to
    20010H0101B0085                  - 6 -

     1         approved county programs for purchasing agricultural
     2         conservation easements.
     3             (x)  To recommend to the State board for purchase by
     4         the Commonwealth agricultural conservation easements
     5         within agricultural security areas located within the
     6         county.
     7             (xi)  To recommend to the State board the purchase of
     8         agricultural conservation easements by the Commonwealth
     9         and the county jointly.
    10             (xii)  To purchase agricultural conservation
    11         easements jointly with the Commonwealth.
    12             (xiii)  To exercise other powers which are necessary
    13         and appropriate for the exercise and performance of its
    14         duties, powers and responsibilities under this act.
    15             (xiv)  To submit to the State board applications for
    16         agricultural conservation easements in accordance with
    17         the guidebook authorized under subsection (a)(3)(xv).
    18         * * *
    19     (b.1)  Local government unit participation.--Any local
    20  government unit that has created an agricultural security area
    21  may participate along with an eligible county and the
    22  Commonwealth in the preservation of farmland through the
    23  purchase of agricultural conservation easements.
    24         * * *
    25         (4)  The local government unit may purchase an
    26     agricultural conservation easement, provided that all of the
    27     following apply:
    28             (i)  The agricultural conservation easement is
    29         located within an agricultural security area of at least
    30         500 acres or the easement purchase is a joint purchase
    20010H0101B0085                  - 7 -

     1         with either a county or both a county and the
     2         Commonwealth pursuant to the criteria set forth in
     3         subsection (b)(2)(i).
     4             (ii)  The deed of agricultural conservation easement
     5         is at least as restrictive as the deed of agricultural
     6         conservation easement prescribed by the State board for
     7         agricultural conservation easements purchased by the
     8         Commonwealth.
     9             (iii)  The local government unit shall participate
    10         with the county board in complying with paragraph (5) for
    11         recording any agricultural conservation easement
    12         purchased by the local government unit.
    13     * * *
    14     (d)  Program approval.--
    15         (1)  The standards, criteria and requirements established
    16     by the State board for State board approval of county
    17     programs for purchasing agricultural conservation easements
    18     shall include, but not be limited to, the extent to which the
    19     county programs consider and address the following:
    20             (i)  The quality of the farmlands subject to the
    21         proposed easements, including soil classification and
    22         soil productivity ratings. Farmland considered should
    23         include soils which do not have the highest soil
    24         classifications and soil productivity ratings but which
    25         are conducive to producing crops unique to the area.
    26             (ii)  The likelihood that the farmlands would be
    27         converted to nonagricultural use unless subject to an
    28         agricultural conservation easement. Areas in the county
    29         devoted primarily to agricultural use where development
    30         is occurring or is likely to occur in the next 20 years
    20010H0101B0085                  - 8 -

     1         should be identified. For purposes of considering the
     2         likelihood of conversion, the existence of a zoning
     3         classification of the land shall not be relevant, but the
     4         market for nonfarm use or development of farmlands shall
     5         be relevant.
     6             (ii.1)  Proximity of the farmlands subject to
     7         proposed easements to other agricultural [lands] parcels
     8         in the county which are subject to agricultural
     9         conservation easements.
    10             (iii)  The stewardship of the land and use of
    11         conservation practices and best land management
    12         practices, including, but not limited to, soil erosion
    13         and sedimentation control and nutrient management.
    14             (iv)  Fair, equitable, objective and
    15         nondiscriminatory procedures for determining purchase
    16         priorities.
    17         * * *
    18     (e)  Easement purchase.--
    19         (1)  The State board may reject the recommendation made
    20     by a county for purchase of an agricultural conservation
    21     easement whenever:
    22             (i)  The recommendation does not comply with a county
    23         program certified and approved by the State board for
    24         purchasing agricultural conservation easements.
    25             (ii)  Clear title cannot be conveyed.
    26             (iii)  The farmland which would be subject to the
    27         agricultural conservation easement is either not located
    28         within a duly established agricultural security area of
    29         500 or more acres established or recognized under this
    30         act or not in compliance with the criteria set forth in
    20010H0101B0085                  - 9 -

     1         subsection (b)(2)(i).
     2             (iv)  The allocation of a county established pursuant
     3         to subsection (h) is exhausted or is insufficient to pay
     4         the purchase price.
     5             (v)  Compensation is not provided to owners of
     6         surface-mineable coal disturbed or affected by the
     7         creation of such easement.
     8         * * *
     9     Section 3.  Notwithstanding any provisions of law to the
    10  contrary, any agricultural conservation easement purchased
    11  solely by a county prior to the effective date of this section,
    12  which easement covered that portion of a farm parcel bisected by
    13  a county border located within the purchasing county, shall be
    14  considered eligible for repurchase by the Commonwealth or by the
    15  Commonwealth in conjunction with county or local programs. The
    16  value of such an easement, for the purposes of repurchase by the
    17  Commonwealth or repurchase by the combined moneys of the
    18  Commonwealth and a county or municipality, or both, shall be
    19  calculated as the sum of the original easement purchase price
    20  plus both administrative costs incurred by the county to
    21  purchase the original easement and administrative costs incurred
    22  by the county and associated with the repurchase. Any moneys
    23  contributed by the Commonwealth for repurchase of such an
    24  easement shall be paid to the county as the current easement
    25  holder and applied to the purchase of other agricultural
    26  conservation easements.
    27     Section 4.  Within 90 days of the effective date of this
    28  section, the Department of Agriculture shall propose regulations
    29  implementing the provisions of this act.
    30     Section 5.  This act shall take effect in 30 days.
    L6L03JS/20010H0101B0085         - 10 -