ORD-2018-036 Approval of Budget Amendment #4-A

Browse Search

The planned agricultural conservation easement would be held jointly by Orange County and the Eno River Association. The easement would complement the technical assistance from the Orange Soil and Water Conservation District and will also protect stream buffers. The planned agricultural conservation easement area is depicted on the attached site map. A draft deed of conservation easement is also provided. FINANCIAL IMPACT: The easement purchase price is $249,000, which is 100 percent of the easement value as determined by an appraisal by Kirkland Appraisals, LLC. DEAPR worked with the Eno River Association to identify the following funding sources: Eno River Association $ 30,384 (12%) City of Raleigh (Upper Neuse Clean Water Initiative)$ 43,016 (15%) City of Durham (Watershed Protection Program)$ 35,550 (13%) Orange County (Lands Legacy) $170,000 (60%) $278,950 (acquisition + transaction) Funds for the easement purchase would come from Orange County ($166,000 purchase price plus $4,000 for appraisal and closing costs), Eno River Association ($19,684 purchase price plus $10,700 for survey, stewardship, and legal fees), City of Raleigh ($43,016 purchase price) and City of Durham ($20,300 purchase price plus $15,250 stewardship). The City of Durham recently established a Watershed Protection Program similar to the City of Raleigh’s Upper Neuse Clean Water Initiative (UNCWI). The program is intended to protect source waters to the Little River Reservoir and Lake Michie. This project is the first funded project in Orange County under the City of Durham’s new program. Raleigh’s UNCWI program has funded several projects in Orange County. The County’s share of funds ($170,000) would come from existing funds budgeted and approved for the Lands Legacy program (Land Legacy Fund). The Walker Farm property is enrolled in the Present Use Value taxation program, so the conservation easement would not lessen the amount of property taxes paid to the County. There would be no decrease in the property’s market value caused by the conservation easement (and extinguishing of portion of its development rights) since it would not lower the property value to a level that is less than the current present use value. With this allocation, approximately $2.59 million remains available in the Lands Legacy Capital Project. The following Budget Amendment #4-A provides for the use of the above mentioned funds, and amends the following Capital Project Ordinances: Lands Legacy Capital Project (-$170,000) - Project #20011 Revenues for this project: Current FY 2018-19 FY 2018-19 Amendment FY 2018-19 Revised Alternative Financing $3,103,972 ($170,000) $2,933,972 From General Fund $42,697 $0 $42,697 Donations $1,000 $0 $1,000 Appropriated Fund Balance $9,337 $0 $9,337 Total Project Funding $3,157,006 ($170,000) $2,987,006 2