Field Notes: Spring 2009
To Preserve and Protect: Farmland Preservation in Oklahoma
–Wylie Harris and Mary Penick
Facts about Conservation Easements
Just as mineral rights and water rights have long been severed,
bought, and sold, a willing landowner can sell or donate
the development rights to a public agency or a qualified
conservation entity through a deed of conservation easement.
The landowner retains full possession and use of the property
for purposes other than those restricted by the easement.
Conservation easements are voluntary, compensatory tools
to protect land from development pressure at prices that
are more affordable for public agencies and conservation
organizations than outright purchases.
A conservation easement is an economical way to protect
scenic views and other open spaces that are important to
the community.
Conservation easements may be perpetual or term (set to
expire after a predetermined number of years). Donations
of easements are only tax deductible, however, if they are
perpetual.
Just as importantly, easements leave private lands in private
ownership, and keep the land productive, providing essential
landowner stewardship and contributing to the local tax base.
Easements provide an economically viable alternative to
subdivision and development, by compensating landowners for
the development rights they would forego by keeping the bulk
of their property as open space, rather than converting it,
for example, to a strip mall or a housing subdivision.
Conservation easements are flexible documents; they can
be tailored to meet the needs of individual landowners. They
can also be tailored to suit unique properties. The specific
development rights that a landowner will forgo or restrict
are fully negotiable between the landowner and the qualified
conservation entity. For example, while restricting a subdivision,
landowners may want to reserve the right to develop a limited
number of home sites.
Many open space uses are generally permissible including
farming, ranching, hunting, fishing, and other activities
that do not damage the property's conservation values.
Like other property rights, development rights can be appraised
and assessed a value. Depending on proximity to urban areas
and other factors, the development rights can comprise over
80% of a property's appraised fair market value.
Donations of conservation easements to eligible entities
are normally tax-deductible at their appraised fair market
value.
Voluntary conservation easements can be valuable estate
planning tools for landowners. By reducing estate taxes,
conservation easements can help landowners pass on their
land to their children and grandchildren.
Excerpted from Protecting Farm and Ranch Lands through
Conservation Easements
Robert Gregory and Terence Bidwell
OSU Cooperative Extension Service Fact Sheet F-2879
Throughout the United States, farmers and ranchers wage an
uphill battle against the increasing size of cities and suburbs.
This growth and expansion eats away at some of America’s
most valuable agricultural land, while driving land prices
and taxes beyond the reach of most farmers and ranchers.

Oklahoma
is not immune to this phenomenon (See box). While the Sooner
State ranks lower in the amount of agricultural land lost to
development than some surrounding states, it still places in
the top half of states losing their farming and ranching capabilities
to unfettered development.
The map of Oklahoma agricultural land loss (right) shows
where high quality (also known as prime) farmland is being
lost to urban development. Farmland in or near the Oklahoma
City and Tulsa metropolitan areas is in particular danger.
Protecting farmland maintains the necessary land base for
growing a local food supply. However, farmland preservation
also benefits local communities in many other ways, including
lower costs of public services, increased tax revenues, improved
flood control, and higher water and air quality.
Land Legacy
Land Legacy, a nonprofit land trust that works to preserve
Oklahoma farmland, has put over 14,000 acres under conservation
easements in 45 completed projects in 13 Oklahoma counties
during its five years of existence.
A conservation easement is a legal agreement that lets landowners
donate, or sell, the rights to develop their land. Land placed
under an easement is protected from development in perpetuity.
“The good thing is that easements are a completely voluntary program,” says
Kerr Center President Jim Horne, who also serves on the Land Legacy board. “The
government isn’t telling you what to do, and the landowner has complete
freedom of choice in setting up the terms of the easement to suit his or her
wishes.”
Such arrangements allow landowners to receive economic benefits
from the rising value of their land. In addition to the
proceeds from any development rights sold, these can include
tax deductions and reduced property taxes.
A bill proposed in the 2008 Oklahoma legislative session
would, if passed, have added tax credits to this list. At the
same time, conservation easements preserve open space and agricultural
productivity. (See sidebar for more on easements.)
The areas that Land Legacy protects include working farm
and ranch lands, former rail lines now being converted to trails,
greenbelts at urban edges, and parks and other open spaces
in the hearts of the state’s largest cities.
Trust in the Future
Headquartered in Tulsa, Land Legacy is the only statewide land
trust in Oklahoma. Its mission is “to conserve and
enhance rural and urban landscapes,” preserving open
space while allowing agricultural production to continue
in areas under high development pressure. The organization
serves both Oklahoma and other areas of the south central
United States.
Land Legacy works cooperatively with public agencies, other
conservation organizations, and landowners to establish long-term
conservation goals and programs, to identify specific parcels
of land whose conservation is consistent with those goals,
and to determine which specific tools are best suited to each
individual project.
Land Legacy began as the Oklahoma state office of the Trust
for Public Land (TPL), a national, nonprofit land conservation
organization. During a nationwide layoff, TPL was forced to
close its Oklahoma office.
Jim Horne, who had served for three or four years on the
TPL board, began asking the staff of the closing office, “Could
we make it on our own?” Ultimately, Horne says, “We
chose to go it alone and keep the work going.”
A New Lease
After a meeting with TPL co-chair Don Walker, TPL Oklahoma
Director Robert Gregory, and the Kerr Center board of trustees,
Horne said, the Kerr Center put some initial seed money into
the newly formed Land Legacy to keep farmland preservation
going in Oklahoma.
In January 2003, Land Legacy was incorporated as a nonprofit
land conservation organization for Oklahoma, with Horne serving
on the board of directors.
Its new independent status also allowed Land Legacy to hold
conservation easements and other properties, in contrast to
TPL’s policy of holding properties only temporarily.
According to Gregory – now Land Legacy’s Executive
Director – the Kerr Center was instrumental in the transition,
providing not only financial support but also technical assistance,
as well as “opening doors for us with public officials,
landowners, and other key parties interested in land conservation.”
“Land Legacy is forever indebted to the Kerr Center!” he
says.
By the Bootlaces
That admiration flows both ways. “I’ve got
to give a lot of credit to Robert and the staff for staying
with it,” says Horne. “A couple of times
they even missed a paycheck or two.”
In the early going, Land Legacy acquired most of its easement
acres as donations, from landowners seeking a way to keep farming
their land while protecting it from development. Operating
funds stayed short, though.
Some early financing came through donations from large easement
holders, and a bank loan. “Small infusions of cash would
always come at just the right time,” Horne says.
“We started doing some work with some developers who
wanted to incorporate sustainability into their subdivisions,
and got some income from that,” Horne recalls.
“That funded a lot.”
Gradually, the organization’s finances eased into the
black. Still, as development continued to drive up land
prices, chasing donated easements all across the map became
less feasible. To adapt, Land Legacy shifted its focus to purchasing
more easements, and initiating contacts with landowners. It
also devised a new strategic plan.
New Approaches
“We had to prioritize areas where we could really make a difference,
not only where there was a conservation need,” says Gregory.
“Now we are focusing our resources by identifying properties
that are important to conserve and then knocking on landowners’ doors.
We have fewer projects and acres, but we have more meaningful
results.”
The new plan’s priority areas include preserving prime
agricultural land near urban areas, and protecting the Spavinaw
Creek watershed, which provides drinking water for Tulsa.
“We’re now being sought out for a number of projects,” Horne
says. “Nearly every quarter we have two to four
projects pending. The largest one is doing a border around
Fort Sill.”
The Lawton/Fort Sill area forms one of the most active fronts
in the first priority area – preserving prime farmland
near cities. As urban growth expands toward formerly isolated
military bases, training exercises can create nuisances in
nearby neighborhoods.
Joining forces with the Department of Defense, Land Legacy
is actively working to protect a 20,000-acre buffer zone around
Fort Sill. Cache rancher A.J. Ryder sold the first 300-acre
easement in July of 2006.
In total, 14 landowners signed commitments to permanently protect
their land from development in the Fort Sill Army Compatible
Use Buffer Program (ACUBP). In 2007, Land Legacy purchased
five of these easements on 426 acres as part of the ACUBP,
with funding from the USDA-NRCS Farm and Ranch Lands Protection
Program (FRPP).
Help from the Feds
The FRPP operates nationwide, providing up to 50% matching
funds for the purchase of conservation easements. In
2006, FRPP allocated over $700,000 to Oklahoma.
The following year, the program doubled its number of easements
in the state and nearly doubled its acreage as well, for a
total to date of ten easements and 991 acres in four counties.
Of these acres, 543 are prime farmland.
The new Farm Bill increased FRPP funding to $743 million over
the next five years nationwide. (See p. 13 for other
positive outcomes for sustainable agriculture in the Farm Bill.)
Additional funds for the Fort Sill project come from the
Department of Defense, the State of Oklahoma, and the Comanche
County Industrial Development Authority. That long list
of partners is mirrored in Land Legacy’s current work
in the other priority areas of its strategic plan.
In its efforts to protect the Spavinaw Creek watershed, for
example, the organization is partnering with the U.S. Fish & Wildlife
Service to preserve strips of buffer vegetation along sensitive
creeksides to reduce erosion and agricultural runoff. This
will improve water quality for human consumption while preserving
habitat for endangered species.
Branching Out
For preservation efforts, especially in high cost areas, Gregory
says that more private donations are needed to match USDA
funds. Although Land Legacy is the only statewide land trust
operating in Oklahoma, other local trusts are also taking
up the work of farmland preservation. Examples include the
Edmond Land Conservancy and the Norman Area Land Conservancy.
“As sprawl continues, we see smaller communities setting
up trusts,” Horne observes. “We see that as a positive
thing.”
Just as agriculture is finding a home in more and more cities
worldwide, so is Land Legacy finding that its efforts at preserving
agricultural land and open space have a role in Oklahoma’s
urban areas. For example, it is working with the Tulsa Development
Authority to create a string of parks downtown, beginning with
the creation of Legacy Place in summer 2004.
It also assists Oklahoma City’s “Groundworks” program,
which provides funding to clean up contaminated inner-city
sites and turn them into open space or new development. The
program is funded by the Environmental Protection Agency and
administered by the National Park Service.
Conservationist Aldo Leopold once noted that “to keep
every wheel and cog is the first rule of intelligent tinkering.” Oklahoma’s
remaining farms and farmers are essential parts of a healthy
state food system. Oklahoma would do well to preserve its farmland
as it tinkers with new approaches to using it sustainably.
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