Summary and Questions Day 7

Class Notes
June 9, 2009

Boulder County:
Approx. 54,000 acres of Open Space
Approx. 36,000 acres of Conservation Easements

City of Boulder:
Approx. 32,000 acres of Open Space
Approx. 3,300 acres of Conservation Easements

Conservation Easement: Essentially land is owned by a government entity or a non-profit land
trust, but it is still maintained as private property.

The resident on the land maintains all necessary rights to treat the land as a commodity.

The government entity or the land-trust monitor the property to ensure that the terms of the
contract are not being violated.

"Buying in fee" is the same thing as purchasing the land outright.

Problems with purchasing land in fee:

-Expensive to purchase.
-Expensive to manage.
-The government cannot tax the land.

Thus, conservation easements are a nice option for local governments:

Land is protected, but the management is taken care of.

Positive Easement- Allows something. i.e. Driveways, Utilities.

Negative Easement. Prevents something. i.e. Conservation Easements.

Why do landowners choose the Conservation Easement option?

-State tax-breaks
-To protect the land.
-Strong commitment to ranching and agriculture.

There are a variety of organizations who also provide money for the purchasing of
Conservation Easements:

-GOCO, Great Outdoors Colorado (Funded by State Lottery)
-The Nature Conservancy

Land with a Conservation Easement can be sold.


Field Trip Notes
June 10, 2009

6 Mile Fold Property. Purchased in 1979 for $50,000.

20 acres, borders the Beach Property.

Beware of rattlesnakes.

Today, $1 for every $10 spent in the City of Boulder goes toward Open Space funding. (I think it's actually $1 for each $100--that would be 1%--EJP)

In 2006, sales tax in Boulder yielded $17,000,000 for Open Space management.


Property tax in Boulder County goes toward the General Fund; this funds Open Space
operations.
Property tax is not affected by the poor economy as much as sales taxes. Thus, operations
funding remains stable.

Acquisition of Open Space is slowing, the focus is moving to management.
Both $ and land are running out!

To date, $260,000,000 have been spent to purchase Open Space in Boulder County; 67% of the
total acreage in BOulder is protected.

The City and the County jointly own some Conservation Easements.
The City and the County each own Open Space outside of the Boulder County line.

If the City and the County collectively purchase land, Easements are drawn up to ensure that
the land will not be sold by the other party.

The County encourages agricultural activity to continue.
The County works with farmers to increase productivity.

Genetically Modified Crops
Regulated by the County; oftentimes not allowed as a result of the Conservation Easement
terms.

The County oftentimes receives the following complaint... "my neighbors aren't taking care
of their weeds."
The County must then contact the residents on the Conservation Easement to ensure that they
eradicate the weeds.
If the resident refuses to remove the weeds, a Zoning Violation can be filed against them.

Small Scale Agriculture on the rise:

-Farmers producing food specifically for Farmers Markets.
-Training Program for young farmers.
-Community Gardens.
-Community Supported Agriculture.

Boulder County is fully supportive of, and active in this field.

NUPUD (Non-Urban Planned Unit Development)
Sage Valley Conservation Easement: Example of lifting Development rights and creating
"outlots."

TDR (Transfer of Development Rights)
Development rights on land can be transferred.

1 house per 35 acres.
Subdivisions are an option. Eg. 2 houses per 35 acres.

There are 800 Conservation Easements in Boulder County, and there are only 3 staff to monitor
the land.
There are 160 large property easements.

710 of them are on private property.
The additional 90 are collaborative ownership properties.

Some Conservation Easements are on leased land.

Conservation Easements protect the following:

-Historic Sites
-Agricultural Sites
-Ecological Areas/ Habitats
-Aesthetics of Open Space

Conservation Easements come from:

-Purchasing outright.
-Donations
-Regulatory Processes

Whether an Easement comes from a purchase or from a donation, the process for acquiring the
Easement is always the same.

Detailed reports and summary of the land.
Baseline Documentation Report.

TDC (Transfer of Development Credits)
Credits needed to expand development.

Landowners sometimes sell their land without informing the buyer that an Easement is in place
on the land.

Incentives for donating an Easement include:

-Federal tax deduction.
-State tax credit.
-Preservation of land and values

100 donation properties in Boulder County.

Schemers sometimes take advantage of the state-tax program.

IRS currently auditing many properties as a result.

Water needs to stay tied with property on Easement land.
Boulder has different % interest in bodies of water.

Water can be used by farmers unless the city needs it in times of drought.
Water portfolio in Boulder was purchased for $50,000,000.


Questions:

1. What does it mean when a plot of land is bought in fee?
The land is purchased outright.

2. What are two downsides to purchasing land in fee?
Expensive to purchase, expensive to manage, property tax lost on the land.

3. What is the biggest benefit for the local government of having a Conservation Easement on
land?
The land is protected, and the government doesn't have to worry about managing the land.

4. What are two incentives for someone to donate their land for a Conservation Easement?
To protect and preserve the land, and also tax breaks.

5. If the new pipeline in Northern Colorado crosses through Open Space, amendments to
contracts will be made to allow what type of Easement for the utility?
A Positive Easement.