ADOPTED - OCTOBER 27, 2009
Agenda Item No. 8
Introduced by the County Services Committee of the:
INGHAM COUNTY BOARD OF COMMISSIONERS
RESOLUTION ADOPTING THE INGHAM COUNTY OPEN SPACE PURCHASE OF DEVELOPMENT RIGHTS ORDINANCE
RESOLUTION #09-354
WHEREAS, Ingham County’s non-agricultural, open space land is an important natural resource; and
WHEREAS, Ingham County’s open space land contributes significantly to the open space and natural resource benefits of the County, including rural character, scenic beauty, hunting and other recreational opportunities, and to the environmental benefits of the County, including watershed protection and wildlife habitat, all of which increase the overall quality of life and makes the County an attractive place to live and work; and
WHEREAS, because open space land is an invaluable natural, environmental and aesthetic resource, the County should make an effort to maintain open space land in an undeveloped state to ensure the long-term viability of the environment and the overall quality of life in the County; and
WHEREAS, because open space land has the potential for a greater market value when available for development than when kept as open space land, this encourages the conversion of open space land to developed land thereby removing it from its natural condition; and
WHEREAS, it is the policy of the State of Michigan and Ingham County to protect and preserve open space land as evidenced by township master plans, Part 361, Farmland and Open Space Preservation, of the Natural Resources and Environmental Protection Act (NREPA), PA 451 of 1994, as amended, MCL 324.36101 et seq., the State Agricultural Preservation Fund, being Part 362 of NREPA, MCL 324.36201 et seq., PA 262 of 2000, Part 21, Subpart 11, Conservation and Historic Preservation, of NREPA, MCL 324.2140 et seq., the Michigan Zoning Enabling Act, PA 110 of 2006, MCL 125.3506, the Ingham County Farmland Purchase of Development Rights Ordinance (#04-01), and other state and local statutes and policies; and
WHEREAS, Ingham County desires to provide for the effective long-term protection and preservation of open space land in Ingham County from the pressures of residential, commercial and industrial sprawl development; and
WHEREAS, the purchase of the development rights of open space land by the County and the placement of conservation easements on the land is a mechanism for the protection and preservation of open space land and will maintain the natural environment in Ingham County, preserve the rural character and scenic quality of the County, and maintain the quality of life for the County residents; and
WHEREAS, the placement of a conservation easement will not require the owner to grant public access to the land; and
WHEREAS, the Natural Resources and Environmental Protection Act and the Michigan Zoning Enabling Act authorize a county to enact an ordinance for the purchase of development rights and the placement of conservation easements;
ADOPTED - OCTOBER 27, 2009
Agenda Item No. 8
RESOLUTION #09-354
THEREFORE BE IT RESOLVED, that Ingham County adopts the Ingham County Open Space Purchase of Development Rights Ordinance, a copy of which is attached as Exhibit 1 and is incorporated by reference, which creates the Ingham County Open Space Preservation Program, and authorizes the purchase of development rights and the placement of conservation easements on open space land by the County.
BE IT FURTHER RESOLVED, that the ordinance shall become effective when a notice of its adoption is published in a newspaper of general circulation in the County.
COUNTY SERVICES: Yeas: Celentino, Koenig, Holman, Copedge, Grebner, Vickers
Nays: None Absent: None Approved 10/20/09
Ingham County Open Space Purchase of Development Rights Ordinance
Adopted by the Ingham County Board of Commissioners on October 27, 2009
Ordinance No. 09-02
AN ORDINANCE creating the Ingham County Open Space Preservation Program, which permanently protects open space lands by acquiring the development rights voluntarily offered by property owners; authorizes the cash purchase or installment purchase, or both, of such development rights; and provides the standards and procedures for the acquisition of the development rights and the placement of conservation easements on the properties.
THE PEOPLE OF THE COUNTY OF INGHAM, MICHIGAN, DO ORDAIN:
Section 1. Declaration of Purpose
A. Purpose of the program. It is the purpose of the Ingham County Open Space Preservation Program and this Open Space Purchase of Development Rights Ordinance to protect open space land in order to preserve the rural character and scenic attributes of Ingham County, to maintain and enhance environmental benefits, and to maintain the quality of life of Ingham County residents.
B. Importance of open space land. Ingham County’s open space land contributes significantly to the open space and natural resource benefits of the county, including rural character, scenic beauty, cultural heritage, hunting and other recreational opportunities, and the environmental benefits including protection of water quality and watersheds, protection of wildlife habitat, protection of natural ecosystems, and prevention of soil erosion. In this way Ingham County’s open space land increases the overall quality of life and makes the County an attractive place to live and work for all County residents.
C. Development and loss of open space land. The natural resources, productive farmland, and rural character of Ingham County make it a desirable place to live and work. As people continue to move into the countryside, open space land is converted to residential and other developed uses, resulting in a permanent loss of open space land.
D. The impact of the loss of open space land. Open space land is an irreplaceable resource. When open space land is converted to residential or other developed uses, a critical community resource is permanently lost to the citizens of Ingham County. Since open space land has water and air quality, recreational, ecological, habitat, and aesthetic value, Ingham County should make an effort to protect such land to ensure the long-term viability of our environment and our quality of life.
E. State and local policies. It is the policy of the State of Michigan and Ingham County to protect, preserve and enhance open space land as evidenced by township master plans, Part 361, Farmland and Open Space Preservation, of the Natural Resources and Environmental Protection Act (NREPA), PA 451 of 1994, as amended, MCL 324.36101 et seq., the State Agricultural Preservation Fund, being Part 362 of NREPA, MCL 324.36201 et seq., PA 262 of 2000, Part 21, Subpart 11, Conservation and Historic Preservation, of NREPA, MCL 324.2140 et seq., the Michigan Zoning Enabling Act, PA 110 of 2006, MCL 125.3506-125.3509, the Ingham County Farmland Purchase of Development Rights Ordinance (#04-01), and other state and local statutes and policies.
F. Value of development rights. Open space land may have a greater market value for future development than for remaining in a natural state. The open space views and natural surroundings are features desired for residential home sites. This fact encourages the purchase of open space land for future residential development, regardless of the current zoning of such lands.
G. Mechanism to achieve purpose. The purchase of development rights and the placement of conservation easements on open space land through the Ingham County Open Space Preservation Program as provided for in this Ordinance is a public purpose of Ingham County. Acquisition of development rights requires that Ingham County enter into agreements with property owners to obtain such development rights. Open space lands on which Ingham County has purchased development rights and entered into conservation easements shall remain undeveloped and in a natural state.
H. Intent of Ordinance. The intent of this Ordinance is to provide a mechanism for the preservation of open space land in Ingham County through the purchase of conservation easements. The actual number of acres that will be protected through the purchasing of their development rights will remain the prerogative of the Ingham County Board of Commissioners.
Section 2. Definitions. As used in this Ordinance:
A. “Conservation easement” means a conveyance, by a written instrument, in which, subject to permitted uses, the owner relinquishes to the public in perpetuity his or her development rights and makes a covenant running with the land not to undertake development.
B. “Conservation values” means all natural and agricultural values of land.
C. “Development” means an activity that materially alters or affects the existing conditions or use of land.
D. “Development rights” means an interest in land that includes the right to construct a building or structure, to improve land for development, to divide a parcel for development, or to extract minerals incidental to a permitted use or as is set forth in a conservation easement.
E. “Natural land” means undeveloped, uncultivated, non-agricultural land, including the water over such land.
F. “Open space land” means natural land or farmland or a combination of these.
G. “Owner” means a person or party having a freehold estate in land coupled with possession and enjoyment.
H. “Permitted use” means any use authorized within a conservation easement that does not adversely affect the conservation values of the land.
I. “Prohibited use” means any use not authorized within a conservation easement or that adversely affects the conservation values of the land.
J. “Property” means a quantity of land in the possession of a single owner.
K. “Purchase of development rights (PDR) program” means a program in which a qualified organization purchases the development rights of property and a permanent conservation easement is placed on the property.
Section 3. Authorization
A. Part 21, Subpart 11 of the Natural Resource and Environmental Protection Act, PA 451 of 1994, as amended, (MCL 324.2140-324.2144), authorizes the creation of permanent conservation easements as non-possessory interests in land or water and permits such easements to be held by charitable and other entities. The Michigan Zoning Enabling Act, PA 110 of 2006 (MCL 125.3506-3509), authorizes county governments to acquire conservation easements on land in their counties.
B. Based on state law and this ordinance the Ingham County Board of Commissioners is authorized:
i. to acquire the development rights of open space land throughout Ingham County. Such acquisitions may be by purchase, gift, grant, bequest, devise, covenant or contract. Ingham County shall only acquire development rights on open space land that is voluntarily offered for sale by a property owner;
ii. to enter into installment purchase contracts, options, and agreements, or take receipt of donations of easements, consistent with applicable law. In such contracts, Ingham County is authorized to pay interest on the unpaid principal at a legal rate of interest consistent with prevailing market conditions at the time of execution of the contracts;
iii. to contract with recognized and legally established nonprofit land trusts or other experienced and qualified individuals, parties or entities that would assist Ingham County in the process of negotiating conservation easements and purchase contracts, preparing baseline documents, and monitoring the conservation easements acquired under this Ordinance;
iv. to seek grants from state and federal governments and private foundations, organizations and individuals for funding expenditures incurred in carrying out this Ordinance; and
v. to borrow money and issue bonds for any purpose within the scope of this Ordinance.
Section 4. Ingham County Farmland and Open Space Preservation Board
A. The Ingham County Farmland and Open Space Preservation Program shall consist of a Farmland Preservation Program (Ingham County Ordinance #04-01) and an Open Space Preservation Program (this Ordinance).
B. The name of the Ingham County Agricultural Preservation Board (created by Ingham County Ordinance #04-01) is changed by this Ordinance to the Ingham County Farmland and Open Space Preservation Board. All references to the Ingham County Agricultural Preservation Board in any Ordinance or Resolution shall mean the Ingham County Farmland and Open Space Preservation Board. The Ingham County Farmland and Open Space Preservation Board shall oversee and serve as the administrative body of both the Farmland Preservation Program and the Open Space Preservation Program. Members of the Board shall be appointed as described in Section 4.A. of Ingham County Ordinance #04-01.
C. Members of the Ingham County Farmland and Open Space Preservation Board shall serve three-year staggered terms. Members may be re-appointed to successive three-year terms by the Ingham County Board of Commissioners. Membership on the Board shall be subject to the conditions described in Section 4.B. of Ingham County Ordinance #04-01.
D. The Ingham County Farmland and Open Space Preservation Board shall oversee the Ingham County Open Space Preservation Program and shall be responsible for the items listed in Section 4.C. of Ingham County Ordinance #04-01, except that the Selection Criteria for Protection of Open Space Land and any other documents specific for the Open Space Preservation Program shall be used. The Board will inform the Ingham County Board of Commissioners of any violation of the provisions of any conservation easement.
E. The Ingham County Farmland and Open Space Preservation Board shall comply with the provisions of Sections 4.D. through 4.G. of Ingham County Ordinance #04-01 in connection with the Ingham County Farmland and Open Space Preservation Program.
Section 5. Eligibility for Application
Any property owner may submit an application to the Open Space Preservation Program of the Ingham County Farmland and Open Space Preservation Program, provided the property owner has signed the application and the property is open space land. Ingham County shall not purchase development rights under a development rights ordinance from land subject to a city, village, or township zoning ordinance, unless all of the following requirements are met:
i) The development rights ordinance provisions for the Open Space Preservation Program are consistent with the plan upon which the city, village, or township zoning is based.
ii) The legislative body of the city, village, or township adopts a resolution authorizing the Open Space Preservation Program to apply in the city, village or township.
iii) The city, village or township provides Ingham County with written approval of the purchase.
Section 6. Criteria for Reviewing and Ranking Applications
The Ingham County Farmland and Open Space Preservation Board shall establish and use selection criteria for ranking all parcels submitted to the Ingham County Open Space Preservation Program, which criteria shall be subject to the approval of the Ingham County Board of Commissioners.
Section 7. Application, Selection, Approval and Monitoring Process
In connection with the application, selection, approval, and monitoring process for the Ingham County Open Space Preservation Program, the Ingham County Farmland and Open Space Preservation Board shall follow the provisions of Section 7 of Ingham County Ordinance #04-01, except the Selection Criteria for Protection of Open Space Land will be used, and a conservation easement (rather than an agricultural conservation easement) will be prepared. The Ingham County Board of Commissioners shall have the responsibility of enforcing the provisions of conservation easements.
Section 8. Conservation Easement Provisions
The conservation easement that is executed between the property owner and the Ingham County Board of Commissioners will permanently protect the property’s conservation values and prevent any use that would significantly impair or interfere with the conservation values of the open space land. The conservation easement shall state that the conservation easement is permanent and runs with the land, and that it may not be terminated except as provided for in the conservation easement.
Section 9. Duration of the Conservation Easement
The duration of a conservation easement obtained under this Ordinance shall follow the provisions of Section 9 of Ingham County Ordinance #04-01, except the name of the fund for depositing proceeds is changed by this Ordinance to the Ingham County Farmland and Open Space Preservation Fund. All references to the Farmland Preservation Fund in any Ordinance or Resolution shall mean the Ingham County Farmland and Open Space Preservation Fund.
Section 10. Determining the Value of Conservation Easements on Open Space Land
A. The Ingham County Farmland and Open Space Preservation Board shall utilize a state certified appraiser to determine the value of the development rights, or shall establish a points-based appraisal method and formula for determining the value of the development rights. The appraisal may calculate the value of the development rights as the difference between the fair market value of the property with all development rights intact, and the value of the property with a conservation easement in place. The Ingham County Farmland and Open Space Preservation Board may establish guidelines, consistent with state standards, for the state certified appraiser to use in determining these values. The points-based appraisal method may be used and is authorized under PA 262 of 2000. The Ingham County Farmland and Open Space Preservation Board shall review the points-based appraisal method at the end of each application cycle and compare values relative to actual fair market sales in Ingham County and make any appropriate adjustments.
B. The property owner may obtain, within a reasonable time frame, an appraisal of the development rights from a state certified appraiser at the property owner’s expense. The appraisal may calculate the value of the development rights as the difference between the fair market value of the property with all development rights intact and the value of the property with a conservation easement in place. The Ingham County Farmland and Open Space Preservation Board may establish guidelines, consistent with state standards, for the state certified appraiser to use in determining these values.
C. The Ingham County Farmland and Open Space Preservation Board shall approve the price to be offered and paid for each purchase of development rights and placement of a conservation easement. If the property owner obtains an independent appraisal, the Ingham County Farmland and Open Space Preservation Board may elect to renegotiate the initial offer based on additional information.
D. The property owner may be paid a cash payment or offered an installment purchase contract, or a combination of both.
Section 11. Related Costs
The costs of services ordered by the Ingham County Farmland and Open Space Preservation Board in relation to the Ingham County Open Space Preservation Program shall follow the provisions of Section 11 of Ingham County Ordinance #04-01, except that the costs shall be paid from all available Farmland and Open Space Preservation Program funding sources.
Section 12. Funding of Program
A. Available funding for the Ingham County Open Space Preservation Program shall be deposited in a special Farmland and Open Space Preservation Fund. Money in the Farmland and Open Space Preservation Fund may be temporarily deposited in such institutions or invested in such obligations as may be lawful for the investment of Ingham County money. The revenues in the Farmland and Open Space Preservation Fund, both from deposit and investment, shall be applied and used solely for the purpose of purchasing development rights and placing conservation easements under this Ordinance, making payments obligated under installment purchase contracts, promoting open space preservation programs, or paying for the costs of administering or enforcing the Ingham County Farmland and Open Space Preservation Program.
B. Supplemental or matching funds from private sources or other governmental agencies, including local municipalities, the State, or the Federal Government, may become available to pay a portion of the cost of acquiring development rights or conservation easements, or to supplement or enlarge such acquisitions.
C. The Ingham County Open Space Preservation Program may be financed through one or more of the following sources: (i) county assessments as permitted by law, (ii) other governmental funds, (iii) donations, (iv) bonds or notes as permitted by law, (v) grants, (vi) revenue from funds, (vii) general appropriations by Ingham County, (viii) proceeds from the sale of development rights by Ingham County under this Ordinance, and (ix) other sources approved by the Ingham County Board of Commissioners and permitted by law.
Section 13. Amendments
This Ordinance may be amended by a majority vote of the Ingham County Board of Commissioners.
Section 14. Severability
Any provision of this Ordinance that is found by a court of competent jurisdiction to be invalid, void or illegal shall in no way affect, impair or invalidate any other provision contained in this Ordinance and such other provisions shall remain in full force and effect.
Section 15. Effective Date
This Ordinance shall become effective on the date that notice of its adoption is published in a newspaper of general circulation in Ingham County.