PRINTER'S NO. 1412
No. 1193 Session of 1993
INTRODUCED BY STAPLETON, JUNE 3, 1993
REFERRED TO AGRICULTURE AND RURAL AFFAIRS, JUNE 3, 1993
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," defining 3 "eligible counties"; further providing for allocation of 4 State moneys, for average realty transfer tax revenues and 5 for weighted transfer tax revenues. 6 The General Assembly of the Commonwealth of Pennsylvania 7 hereby enacts as follows: 8 Section 1. Section 3 of the act of June 30, 1981 (P.L.128, 9 No.43), known as the Agricultural Area Security Law, is amended 10 by adding a definition to read: 11 Section 3. Definitions. 12 The following words and phrases when used in this act shall 13 have the meanings given to them in this section, unless the 14 context clearly indicates otherwise: 15 * * * 16 "Eligible counties." Counties whose easement purchase 17 programs have been approved by the State Agricultural Land 18 Preservation Board. For the purpose of annual allocations, an 19 eligible county must have its easement purchase program approved
1 by the State board by January 1 of the year in which the annual 2 allocation is made. Counties of the first class are not eligible 3 under any circumstances. 4 * * * 5 Section 2. Section 14.1(c)(6)(iv) and (h) of the act, 6 amended June 22, 1990 (P.L.242, No.57) and April 13, 1992 7 (P.L.100, No.23), are amended to read: 8 Section 14.1. Purchase of agricultural conservation easements. 9 * * * 10 (c) Restrictions and limitations.--An agricultural 11 conservation easement shall be subject to the following terms, 12 conditions, restrictions and limitations: 13 * * * 14 (6) An agricultural conservation easement shall not 15 prevent: 16 * * * 17 (iv) Construction and use of structures on the 18 subject land for the purpose of providing the landowner's 19 principal residence or for providing necessary housing 20 for seasonal or full-time employees: Provided, That only 21 one such structure may be constructed on no more than two 22 acres of the subject land during the term of the 23 agricultural conservation easement. 24 * * * 25 (h) Allocation of State moneys.--The State board shall make 26 an annual allocation among counties, except counties of the 27 first class, for the purchase of agricultural conservation 28 easements, except for counties that do not have an easement 29 purchase program approved by the State board by January 1 of the 30 year in which the annual allocation is made. 19930S1193B1412 - 2 -
1 (1) As used in this subsection, the following words and 2 phrases shall have the meanings given to them in this 3 paragraph unless the context clearly indicates otherwise: 4 (i) "Adjusted weighted transfer tax revenues." An 5 amount equal to the weighted transfer tax revenues of a 6 county divided by the sum of the weighted transfer tax 7 revenues of all counties except counties of the first 8 class. 9 (ii) "Annual agricultural production." The total 10 dollar volume of sales of livestock, crops and 11 agricultural products according to the most recent Annual 12 Crop and Livestock Summary published by the Pennsylvania 13 Agricultural Statistics Service. 14 (iii) "Annual easement purchase threshold." An 15 amount annually determined by the State board which 16 equals at least $10,000,000. 17 (iv) "Average realty transfer tax revenues." The 18 total annual realty transfer tax revenues collected in 19 [all counties, except counties of the first class, 20 divided by 66] those counties with an easement purchase 21 program approved by the State board by January 1 of the 22 year in which the annual allocation is made, divided by 23 the number of counties with approved easement programs by 24 January 1. 25 (v) "Realty transfer tax revenues." The tax imposed 26 and collected under section 1102-C of the act of March 4, 27 1971 (P.L.6, No.2), known as the "Tax Reform Code of 28 1971." 29 (vi) "Weighted transfer tax revenues." An amount 30 equal to the total annual realty transfer tax revenues 19930S1193B1412 - 3 -
1 collected in [a] an eligible county divided by the sum of 2 the total annual realty transfer tax revenues collected 3 in all eligible counties [except counties of the first 4 class] which does not exceed three times the average 5 realty transfer tax revenues. 6 (2) An annual allocation shall be made to each eligible 7 county[, except counties of the first class,] for the 8 purchase of agricultural conservation easements by the 9 Commonwealth at the beginning of the county fiscal year which 10 equals 50% of the annual easement purchase threshold 11 multiplied by the adjusted weighted transfer tax revenues of 12 the county for the preceding calendar year. 13 (3) If the aggregate annual allocation under this 14 paragraph to all eligible counties does not exceed 50% of the 15 annual easement purchase threshold, an additional annual 16 allocation from 50% of the annual easement purchase threshold 17 shall be made to [a] an eligible county[, except a county of 18 the first class,] at the beginning of the county fiscal year 19 for the joint purchase of agricultural conservation easements 20 by the Commonwealth and a county. The additional annual 21 allocation under this paragraph shall equal the sum of: 22 (i) The annual appropriation of local moneys by [a] 23 an eligible county for the purchase of agricultural 24 conservation easements which does not exceed the average 25 annual allocation under paragraph (2) multiplied by four. 26 (ii) The annual appropriation of local moneys by [a] 27 an eligible county for the purchase of agricultural 28 conservation easements which does not exceed the average 29 annual allocation under paragraph (2) multiplied by four, 30 if the county has an annual agricultural production which 19930S1193B1412 - 4 -
1 equals at least 2% of the total annual agricultural 2 production of the Commonwealth for the same year. 3 (4) If the aggregate annual allocation under paragraph 4 (3) to all eligible counties would exceed 50% of the annual 5 easement purchase threshold, paragraph (3) shall not apply, 6 and an additional annual allocation shall be made under this 7 paragraph at the beginning of the county fiscal year for the 8 joint purchase of agricultural conservation easements by the 9 Commonwealth and [a county, except a county of the first 10 class] an eligible county. The additional annual allocation 11 to [a] an eligible county under this paragraph shall equal 12 50% of the annual easement purchase threshold multiplied by a 13 percentage equal to the annual appropriation of local moneys 14 appropriated by the county for the purchase of agricultural 15 conservation easements divided by the aggregate of local 16 moneys appropriated by all eligible counties for the purchase 17 of agricultural conservation easements and in all cases shall 18 not exceed the average annual allocation under paragraph (2) 19 multiplied by four. 20 (5) An additional annual allocation shall be made to [a] 21 an eligible county, except a county of the first class, from 22 the amount by which 50% of the annual easement purchase 23 threshold exceeds the total allocations made under paragraph 24 (3) or (4), as the case may be, as follows: 25 (i) An additional annual allocation shall be made 26 for the joint purchase of agricultural conservation 27 easements by the Commonwealth and a county which equals 28 six-tenths of the amount by which 50% of the annual 29 easement purchase threshold exceeds the total allocations 30 made under paragraph (3) or (4), as the case may be, 19930S1193B1412 - 5 -
1 multiplied by a percentage equal to the annual 2 appropriation of local moneys appropriated by the county 3 for the purchase of agricultural conservation easements 4 divided by the aggregate of local moneys appropriated by 5 all eligible counties for the purchase of agricultural 6 conservation easements. 7 (ii) An additional annual allocation shall be made 8 for the purchase of agricultural conservation easements 9 by the Commonwealth which equals four-tenths of the 10 amount by which 50% of the annual easement purchase 11 threshold exceeds the total allocations made under 12 paragraph (3) or (4), as the case may be, multiplied by 13 the adjusted weighted transfer tax revenues of the county 14 for the preceding calendar year. 15 (6) The allocation of a county shall be adjusted for 16 purchases of agricultural conservation easements made with 17 moneys from the county's allocation, for all costs, except 18 administrative costs, incurred by the Commonwealth or a 19 county incident to the purchase of agricultural conservation 20 easements and for the costs of reimbursing nonprofit land 21 conservation organizations for expenses incurred in acquiring 22 and transferring agricultural conservation easements to the 23 Commonwealth or county. No purchase of an agricultural 24 conservation easement shall be made with State moneys 25 allocated to a county unless the amount of the purchase price 26 is equal to or less than the adjusted allocation or the 27 county pays the portion of the purchase price which 28 represents the difference between the purchase price and the 29 adjusted allocation. 30 (7) The first annual allocation to a county under 19930S1193B1412 - 6 -
1 paragraphs (3), (4) and (5)(i) shall continue for three 2 county fiscal years occurring after the effective date of 3 this act, and the second and third such annual allocations 4 shall each continue for two county fiscal years occurring 5 after the effective date of this act. Thereafter each such 6 annual allocation shall be for one county fiscal year. Such 7 annual allocations which have not been expended or encumbered 8 at the end of the period for which they were allocated shall 9 be reallocated in the subsequent county fiscal year to a 10 county which used at least 90% of the allocation made to the 11 county at the start of the period. The reallocation to a 12 county under this paragraph shall be the total amount of the 13 annual allocation available for reallocation under this 14 paragraph multiplied by a percentage equal to the annual 15 appropriation of local moneys appropriated by the county for 16 the purchase of agricultural conservation easements at the 17 start of the county fiscal year in which the annual 18 allocation was made divided by the aggregate of local moneys 19 appropriated by all eligible counties for the purchase of 20 agricultural conservation easements at the start of the 21 county fiscal year in which the annual allocation was made. 22 Money reallocated to a county under this paragraph shall be 23 available for one county fiscal year. Money reallocated to a 24 county under this paragraph that has not been spent or 25 encumbered at the conclusion of one county fiscal year shall 26 be restored to the fund. 27 (8) Initial allocations to counties under paragraphs (2) 28 and (5)(ii) shall continue until the end of the fourth county 29 fiscal year occurring after the effective date of this act. 30 The sum of the total annual allocations of all counties under 19930S1193B1412 - 7 -
1 paragraphs (2) and (5)(ii) which have not been expended or 2 encumbered by the end of the fourth county fiscal year, and 3 every county fiscal year thereafter, occurring after the 4 effective date of this act shall be reallocated in the 5 subsequent county fiscal year to a county which used at least 6 90% of the allocation made to the county at the start of the 7 period. For purposes of determining eligibility for 8 reallocation of funds and the amounts of reallocation, funds 9 allocated to counties will be segregated and accounted for on 10 a county fiscal year basis. Fifty percent of the amount 11 available for allocation under this paragraph shall be 12 reallocated in the manner set forth in paragraph (2), and 50% 13 of the amount available for allocation under this paragraph 14 shall be reallocated in the manner set forth in paragraphs 15 (3), (4) and (5). For purposes of reallocating funds in the 16 manner set forth in paragraph (2), realty transfer tax 17 revenues used to calculate weighted transfer tax revenues 18 shall correspond to the year for which funds are being 19 reallocated and weighted transfer tax revenues shall be 20 calculated only for counties eligible under this paragraph. 21 Money reallocated to a county under this paragraph shall be 22 available for one county fiscal year. Money reallocated to a 23 county under this paragraph that has not been spent or 24 encumbered at the conclusion of one county fiscal year shall 25 be restored to the fund. 26 (9) The allocation made to a county under this 27 subsection shall be used for the purchase of agricultural 28 conservation easements in perpetuity: Provided, That no more 29 than 30% of such allocation may be used at the option of a 30 county for the purchase of agricultural conservation 19930S1193B1412 - 8 -
1 easements for a term of 25 years in the manner provided for 2 in this act. 3 Section 3. This act shall take effect in 60 days. E28L03JLW/19930S1193B1412 - 9 -