Purpose....
Harford County's agricultural land preservation
program offers many volunteer programs to land owners of productive farm land. This
allows land owners to preserve productive agricultural farmland for future generations
through the use of conservation easements. This deed of easement is recorded with
the deed restricting further residential subdivision and potential non-agricultural uses
on the easement property.
Frequently
Asked Questions....
Harford
County's Mission....Harford County's mission is to permanently preserve large amounts of farmland for
future generations of farming. This allows for the production of food and fiber for
Harford County and neighboring Maryland counties.
County
Districts.... The County district program
was established in 1993. Fifty (50) acres is required for the County program, with
at least 50% in Class I, II, and III soil types. Property owners who have land in
the district program receive a 50% credit towards the County portion of the real estate
taxes while remaining in the district. If the property owner(s)
discontinue participation in the District Program, it will be necessary
for the property owner(s) to repay tax credits to Harford County
Government.
County
Easements.... The County easement program
established in 1993, is recognized throughout the United States. This is due to the
use of innovative funding sources, payment options, and a timely manner of settlement.
To participate in the County easement
program, the landowner does not have to form a district as required by the State
program. There is also no minimum acreage requirement for participation as long as
the farm has operated for the past ten years and/or is located in a predominantly farming
area and has development potential.
Payment options are limited cash
settlements, and (tax free income interest payments) Installment Purchase Agreements
(IPA). Which are used in 70% of settlements.
Applications are submitted and ranked
according to a 300 point ranking system which assigns more favorable points to size, soil
quality, percent of crop land, development potential, conservation practices and
connection to preserved properties. After the farm is ranked landowners are notified
of their score, and they are placed on an open waiting list along with their easement
price offering.
Easement price is determined by a one page
easement valuation sheet which multiples the ranking items previously used on the ranking
system and develops them into an easement value. There is a cap of $15,000 per acre
set on the easement payment, the average payment to date is $11,000 per acre. The
County is able to leverage these payments through the 1/2 percent real estate transfer tax
funding source. Also, for participation in the easement program, the landowner
receives a 100% County property tax credit with a $35 per acre cap.
Maryland Agricultural (MDA) Land Preservation Districts.... The district program
established in 1979 is a minimum commitment of five years on the applicant's part not to
develop the land and keep in agricultural use. The property must be greater than
one-hundred acres in size and contain at least 50% Class I, II, or III soils. Two or
more properties may be combined to form a one-hundred acre tract, or a property may adjoin
a property with an existing district and/or an existing easement. Participants in
the District Program receive a 50% tax credit from the County portion of the real estate
property tax while remaining a district.
Maryland Agricultural (MDA) Land Preservation Easements.... The conservation easement is
a permanent easement attached to the land restricting further subdivision and leaving it
in agriculture production. The easement allows
the owner at the time of settlement the creation of two (2) acre lots for the owner, the
owner's children, and existing dwellings.
The easement value is determined through a
formula using real estate appraisals, agricultural land value, the owner(s) asking price,
and a tabulated discounting ratio. The farms are than ranked against each other,
competing for funding allocated that granting cycle.
Maryland
Rural Legacy Program.... The Rural Legacy
Program is a unique approach to land conservation created to protect Maryland's best
remaining landscapes and natural areas. Through this program, greenbelts and
greenways dominated by farms and forests are conserved though the voluntary purchase of
conservation easements or fee estate interests in land preservation.
Donated
Easement Program.... Harford County does
have the ability to except donated conservation easement with the similar provision as the
County easement program except without payment. This allows the landowner to save in
perpetuity the farm and at the same time have a County property tax credit and donated
conservation easement for income and or inheritance planning for federal and state taxes.
Financial
& Estate Planning.... There
are many incentives to protect farms and to allow farms to pass to future
generations. The combination of estate and income tax planning with land
preservation funds, and property tax credits, allows the farm owner to maintain income,
without having to give up land for development.
Frequently Asked Questions
& Answers
What
is the Agricultural Land Preservation Program?
The Harford County Agricultural Land Preservation Program
protects productive agricultural land and woodland providing for the continued production
of food and fiber. This supports the vital role of agriculture in our economy.
How many acres and what requirements
do I need to be eligible for the Agricultural Preservation Program?
In the County program, a landowner must have a minimum of 50 acres,
or must have farmed the property for the last 10 or more years, or the
property must adjoin an easement property.
In the State program, a landowner must have a minimum of 50 acres,
or the property must adjoin an easement property.
To be eligible, properties must also have additional development
rights or family conveyances.
What
are some of the benefits of putting a farm in the Agricultural Preservation Program?
A land owner will receive payment for selling their
development rights and / or a tax credit.
What
is the difference between a Agricultural District and a Agricultural Easement?
A District is a commitment by the landowner not to develop
their land for a minimum of 5 years and allows for a property owner to be qualified for up
to a 50% tax credit from County Real Property Taxes. Following purchase of development
rights from the land owner by the State or the County, the farm is subject to an easement
which prohibits development in the future.
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