Agenda - 06-15-2010 - 4e - Laserfiche WebLink

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for an earlier farm easement project in 2009. The agreement is needed to obligate the federal funds for use by the County. The amendment adds the additional $172,000 and new timeframe for completing this project by August 31, 2012. Both agreements need to be completed before June 30 prior to the Board returning from its summer break. Both agreements will be reviewed for approval by the County Attorney. FINANCIAL IMPACT: The proposed conservation easement would reduce the market value of the 153 -acre property by an estimated $590,000 (as determined by January 2009 appraisal). The County's proposal is to pay the landowner $472,000, or 80 percent of the easement value. The State ADFP grant would contribute $150,000 and the federal FRPP grant would contribute $172,000. The estimated County share of the purchase price is $150,000 (32 %) although that could change with an updated appraisal. The landowner has pledged to donate up to $118,000 in easement value and take advantage of federal and state tax benefits available for partial easement donations. The County would pay its share of the purchase price (approximately $150,000) and an estimated $10,000 in transaction costs for the appraisals, boundary survey, legal fees and title insurance. The total cost to the County would be no more than $180,000. The County's share of funds would come from the remaining $281,727 in alternative financing approved by the Board of Commissioners in FY 2003 -04 (total of $3.0 million). A Conservation Easement Capital Project Ordinance would be provided to the Board for consideration at a future meeting. RECOMMENDATION(S): The Manager recommends that the Board approve and authorize the Chair to sign: a) the amendment to the Cooperative Agreement between Orange County and the US Commodity Credit Corporation for the receipt of $172,000 in federal funds for the acquisition of an agricultural conservation easement on the Breeze farm prior to August 31, 2012. The terms of the final agreement are subject to final review by the County Attorney and staff; and b) the contract between Orange County and the NC Department of Agriculture and Consumer Services for the receipt of $150,000 in state funds for the acquisition of an agricultural conservation easement on the Breeze farm prior to June 30, 2012. The terms of the final agreement are subject to final review by the County Attorney and staff.