PRIOR PRINTER'S NO. 4295 PRINTER'S NO. 4554
No. 2801 Session of 2004
INTRODUCED BY HERSHEY, ROSS, DALEY, BUNT, NICKOL, GODSHALL,
BAKER, BALDWIN, BARD, BARRAR, BASTIAN, CALTAGIRONE, CIVERA,
CLYMER, S. E. CORNELL, COY, CRAHALLA, DAILEY, DiGIROLAMO,
FICHTER, FLEAGLE, FLICK, GABIG, GILLESPIE, HARHART, HARPER,
HENNESSEY, KILLION, LEH, MACKERETH, MAITLAND, MAJOR,
McILHINNEY, MELIO, MICOZZIE, R. MILLER, NAILOR, O'NEILL,
PICKETT, REICHLEY, SANTONI, SAYLOR, SCHRODER, SEMMEL, STAIRS,
STEIL, TANGRETTI, E. Z. TAYLOR, VITALI AND WATSON,
JULY 3, 2004
AS REPORTED FROM COMMITTEE ON AGRICULTURE AND RURAL AFFAIRS,
HOUSE OF REPRESENTATIVES, AS AMENDED, OCTOBER 19, 2004
AN ACT
1 Amending the act of June 30, 1981 (P.L.128, No.43), entitled "An
2 act authorizing the creation of agricultural areas," further
3 providing for definitions, for limitation on local <--
4 regulations AGRICULTURAL SECURITY AREAS, FOR EVALUATION <--
5 CRITERIA and for the purchase of agricultural conservation
6 easements.
7 The General Assembly of the Commonwealth of Pennsylvania
8 hereby enacts as follows:
9 Section 1. The definitions of "agricultural conservation <--
10 easement," "agricultural security area," "farmland value" and
11 "viable agricultural land" in section 3 of the act of June 30,
12 1981 (P.L.128, No.43), known as the Agricultural Area Security
13 Law, amended December 14, 1988 (P.L.1202, No.149), November 23,
14 1994 (P.L.648, No.100) and May 30, 2001 (P.L.103, No.14), are
15 amended and the section is amended by adding a definition to
16 read:
1 SECTION 1. SECTION 3 OF THE ACT OF JUNE 30, 1981 (P.L.128, <--
2 NO.43), KNOWN AS THE AGRICULTURAL AREA SECURITY LAW, IS AMENDED
3 BY ADDING A DEFINITION TO READ:
4 Section 3. Definitions.
5 The following words and phrases when used in this act shall
6 have the meanings given to them in this section unless the
7 context clearly indicates otherwise:
8 * * *
9 "Agricultural conservation easement." An interest in land, <--
10 less than fee simple, which interest represents the right to
11 prevent the development or improvement of a parcel for any
12 purpose other than agricultural production or a commercial
13 equine activity. The easement may be granted by the owner of the
14 fee simple to any third party or to the Commonwealth, to a
15 county governing body or to a unit of local government. It shall
16 be granted in perpetuity as the equivalent of covenants running
17 with the land. The exercise or failure to exercise any right
18 granted by the easement shall not be deemed to be management or
19 control of activities at the site for purposes of enforcement of
20 the act of October 18, 1988 (P.L.756, No.108), known as the
21 "Hazardous Sites Cleanup Act."
22 * * *
23 "Agricultural security area." A unit of 250 or more acres of
24 land used for the agricultural production of crops, livestock
25 and livestock products or a commercial equine activity under the
26 ownership of one or more persons and designated as such by the
27 procedures set forth in this act or designated as such pursuant
28 to the act of January 19, 1968 (1967 P.L.992, No.442), entitled
29 "An act authorizing the Commonwealth of Pennsylvania and the
30 counties thereof to preserve, acquire or hold land for open
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1 space uses," prior to the effective date of this amendatory act,
2 by the governing body of the county or governing body of the
3 municipality in which such agricultural land is located on the
4 basis of criteria and procedures which predate the effective
5 date of this amendatory act: Provided, That an owner of land
6 designated as such under the authority of the act of January 19,
7 1968 (1967 P.L.992, No.442) may withdraw such land from an
8 agricultural security area by providing written notice of
9 withdrawal to the county governing body or governing body of the
10 municipality in which such land is located within 180 days of
11 the effective date of this amendatory act.
12 "Commercial equine activity." The term includes the
13 following activities where a fee is collected:
14 (1) The boarding of equines.
15 (2) The training of equines.
16 (3) The instruction of people in handling or riding
17 equines.
18 (4) The use of equines for recreational riding purposes. <--
19 * * *
20 "Farmland value." The price as of the valuation date for <--
21 property used for normal farming operations or a commercial
22 equine activity which a willing and informed seller who is not
23 obligated to sell would accept for the property, and which a
24 willing and informed buyer who is not obligated to buy would pay
25 for the property.
26 * * *
27 "Viable agricultural land." Land suitable for agricultural
28 production or a commercial equine activity and which will
29 continue to be economically feasible for such use if real estate
30 taxes, farm use restrictions, and speculative activities are
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1 limited to levels approximating those in commercial agricultural
2 areas not influenced by the proximity of urban and related
3 nonagricultural development.
4 Section 2. Section 11 of the act, amended December 14, 1988
5 (P.L.1202, No.149), is amended to read:
6 Section 11. Limitation on local regulations.
7 (a) General rule.--Every municipality or political
8 subdivision within which an agricultural security area is
9 created shall encourage the continuity, development and
10 viability of agriculture within such an area by not enacting
11 local laws or ordinances which would unreasonably restrict farm
12 structures or farm practices or a commercial equine activity
13 within the area in contravention of the purposes of this act
14 unless such restrictions or regulations bear a direct
15 relationship to the public health or safety.
16 (b) Public nuisance.--Any municipal or political subdivision
17 law or ordinance defining or prohibiting a public nuisance shall
18 exclude from the definition of such nuisance any agricultural
19 activity or operation conducted using normal farming operations
20 or a commercial equine activity within an agricultural security
21 area as permitted by this act if such agricultural activity or
22 operation does not bear a direct relationship to the public
23 health and safety.
24 Section 3. Section 14.1(c) and (i), amended November 23,
25 1994 (P.L.621, No.96) and December 21, 1998 (P.L.1056,
26 No.138),are amended to read:
27 SECTION 2. SECTION 5(A) OF THE ACT, AMENDED OCTOBER 16, 1996 <--
28 (P.L.703, NO.121), IS AMENDED TO READ:
29 SECTION 5. AGRICULTURAL SECURITY AREAS.
30 (A) PROPOSALS FOR CREATION.--ANY OWNER OR OWNERS OF LAND
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1 USED FOR AGRICULTURAL PRODUCTION MAY SUBMIT A PROPOSAL TO THE
2 GOVERNING BODY FOR THE CREATION OF AN AGRICULTURAL SECURITY AREA
3 WITHIN SUCH LOCAL GOVERNMENT UNIT, PROVIDED THAT SUCH OWNER OR
4 OWNERS OWN AT LEAST 250 ACRES OF VIABLE AGRICULTURAL LAND
5 PROPOSED TO BE INCLUDED IN THE AREA. THIS LAND SHALL INCLUDE
6 VIABLE AGRICULTURAL LAND USED FOR COMMERCIAL EQUINE ACTIVITY.
7 THE PROPOSED AREA MAY ALSO CONSIST OF ANY NUMBER OF
8 NONCONTIGUOUS TAX PARCELS OR ACCOUNTS: PROVIDED, THAT EACH TAX
9 PARCEL OR ACCOUNT IS AT LEAST TEN ACRES OR HAS AN ANTICIPATED
10 YEARLY GROSS INCOME OF AT LEAST $2,000 FROM THE AGRICULTURAL
11 PRODUCTION OF CROPS, LIVESTOCK AND LIVESTOCK PRODUCTS ON SUCH
12 PARCEL OR ACCOUNT.
13 * * *
14 SECTION 3. SECTION 7(A) OF THE ACT, AMENDED NOVEMBER 23,
15 1994 (P.L.648, NO.100), IS AMENDED TO READ:
16 SECTION 7. EVALUATION CRITERIA.
17 (A) FACTORS TO BE CONSIDERED.--THE FOLLOWING FACTORS SHALL
18 BE CONSIDERED BY THE PLANNING COMMISSION, ADVISORY COMMITTEE,
19 AND AT ANY PUBLIC HEARING:
20 (1) LAND PROPOSED FOR INCLUSION IN AN AGRICULTURAL
21 SECURITY AREA SHALL HAVE SOILS WHICH ARE CONDUCIVE TO
22 AGRICULTURE. THIS FACTOR WILL HAVE BEEN SATISFIED WITHOUT
23 FURTHER CONSIDERATION IF AT LEAST 50% IN THE AGGREGATE OF THE
24 LAND TO BE INCLUDED IN AN AGRICULTURAL SECURITY AREA FALLS
25 INTO ONE OF THE FOLLOWING CATEGORIES: LAND WHOSE SOILS ARE
26 CLASSIFIED IN SOIL CONSERVATION SERVICE CAPABILITY CLASSES I
27 THROUGH IV, EXCEPTING IV(E); LAND WHICH FALLS WITHIN THE SOIL
28 CONSERVATION SERVICE CLASSIFICATION OF "UNIQUE FARM LAND"; OR
29 LAND WHOSE SOILS DO NOT MEET CAPABILITY CLASSES I THROUGH IV
30 BUT WHICH IS CURRENTLY IN ACTIVE FARM USE AND IS BEING
20040H2801B4554 - 5 -
1 MAINTAINED IN ACCORDANCE WITH THE SOIL EROSION AND
2 SEDIMENTATION PLAN APPLICABLE TO SUCH LAND.
3 (2) USE OF LAND PROPOSED FOR INCLUSION IN AN
4 AGRICULTURAL SECURITY AREA SHALL BE COMPATIBLE WITH LOCAL
5 GOVERNMENT UNIT COMPREHENSIVE PLANS. ANY ZONING SHALL PERMIT
6 AGRICULTURAL USE BUT NEED NOT EXCLUDE OTHER USES.
7 (3) THE LANDOWNER MAY PROPOSE TO INCLUDE ALL OF HIS
8 LAND, REGARDLESS OF ZONING, IN AN AGRICULTURAL SECURITY AREA.
9 (4) THE LAND PROPOSED FOR INCLUSION IN THE AGRICULTURAL
10 SECURITY AREA, AND ANY ADDITIONS WHICH ARE PROPOSED
11 SUBSEQUENTLY, SHALL BE VIABLE AGRICULTURAL LAND, INCLUDING
12 VIABLE AGRICULTURAL LAND USED FOR COMMERCIAL EQUINE ACTIVITY.
13 (5) ADDITIONAL FACTORS TO BE CONSIDERED ARE THE EXTENT
14 AND NATURE OF FARM IMPROVEMENTS, ANTICIPATED TRENDS IN
15 AGRICULTURAL ECONOMIC AND TECHNOLOGICAL CONDITIONS AND ANY
16 OTHER MATTER WHICH MAY BE RELEVANT.
17 * * *
18 SECTION 4. SECTION 14.1(C) OF THE ACT, AMENDED NOVEMBER 23,
19 1994 (P.L.621, NO.96) AND DECEMBER 21, 1988 (P.L.1056, NO.138),
20 IS AMENDED TO READ:
21 Section 14.1. Purchase of agricultural conservation easements.
22 * * *
23 (c) Restrictions and limitations.--An agricultural
24 conservation easement shall be subject to the following terms,
25 conditions, restrictions and limitations:
26 (1) The term of an agricultural conservation easement
27 shall be perpetual.
28 (2) Unless otherwise authorized in accordance with
29 subsection (i), an agricultural conservation easement shall
30 not be sold, conveyed, extinguished, leased, encumbered or
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1 restricted in whole or in part for a period of 25 years
2 beginning on the date of purchase of the easement.
3 (3) Unless otherwise authorized in accordance with
4 subsection (i), if the land subject to the agricultural
5 conservation easement is no longer viable agricultural land,
6 the Commonwealth, subject to the approval of the State board,
7 and the county, subject to the approval of the county board,
8 may sell, convey, extinguish, lease, encumber or restrict an
9 agricultural conservation easement to the current owner of
10 record of the farmland subject to the easement after the
11 expiration of 25 years from the date of purchase of the
12 easement for a purchase price equal to the value at the time
13 of resale determined pursuant to subsection (f) at the time
14 of conveyance. A conveyance by the Commonwealth pursuant to
15 this subsection shall not be subject to the requirements of
16 Article XXIV-A of the act of April 9, 1929 (P.L.177, No.175),
17 known as "The Administrative Code of 1929." The purchase
18 price shall be payable to the Commonwealth and the county as
19 their respective legal interests in the agricultural
20 conservation easement appear, and a separate payment shall be
21 made to the Commonwealth and the county accordingly at the
22 time of settlement. Any payment received by the Commonwealth
23 pursuant to this provision shall be paid into the fund.
24 (4) Instruments and documents for the purchase, sale and
25 conveyance of agricultural conservation easements shall be
26 approved by the State board or the county board, as the case
27 may be, prior to execution and delivery. Proper releases from
28 mortgage holders and lienholders must be obtained and
29 executed to insure that all agricultural conservation
30 easements are purchased free and clear of all encumbrances.
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1 (5) Whenever any public entity, authority or political
2 subdivision exercises the power of eminent domain and
3 condemns land subject to an agricultural conservation
4 easement, the condemnor shall provide just compensation to
5 the owner of the land in fee and to the owner of the easement
6 as follows:
7 (i) The owner of the land in fee shall be paid the
8 full value which would have been payable to the owner but
9 for the existence of an agricultural conservation
10 easement less the value of the agricultural conservation
11 easement at the time of condemnation.
12 (ii) The owner of the easement shall be paid the
13 value of the easement at the time of condemnation.
14 (iii) For easements owned jointly by the
15 Commonwealth and an eligible county, if the eligible
16 county commits its share of funds received under this
17 paragraph toward the purchase of agricultural
18 conservation easements, the condemnor shall provide the
19 Commonwealth's share of funds to the eligible county for
20 use in purchasing agricultural conservation easements in
21 accordance with this act.
22 (iv) For easements owned by the Commonwealth, the
23 condemnor shall provide the Commonwealth's share of funds
24 received under this paragraph to the eligible county for
25 use in purchasing agricultural conservation easements in
26 accordance with this act.
27 (v) Funds received by an eligible county under this
28 paragraph shall not be considered matching funds under
29 subsection (h).
30 (vi) If an eligible county which receives funds
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1 under this paragraph fails to spend the Commonwealth's
2 share of funds within two years of receipt of the funds,
3 the eligible county shall pay the Commonwealth the
4 Commonwealth's share of funds received under this
5 paragraph plus 6% simple interest. These funds shall be
6 deposited into the Agricultural Conservation Easement
7 Purchase Fund.
8 (6) An agricultural conservation easement shall not
9 prevent:
10 (i) The granting of leases, assignments or other
11 conveyances or the issuing of permits, licenses or other
12 authorization for the exploration, development, storage
13 or removal of coal by underground mining methods, oil and
14 gas by the owner of the subject land or the owner of the
15 underlying coal by underground mining methods, oil and
16 gas or the owner of the rights to develop the underlying
17 coal by underground mining methods, oil and gas, or the
18 development of appurtenant facilities related to the
19 removal of coal by underground mining methods, oil or gas
20 development or activities incident to the removal or
21 development of such minerals.
22 (ii) The granting of rights-of-way by the owner of
23 the subject land in and through the land for the
24 installation of, transportation of, or use of water,
25 sewage, electric, telephone, coal by underground mining
26 methods, gas, oil or oil products lines.
27 (iii) Construction and use of structures on the
28 subject land necessary for agricultural production or a
29 commercial equine activity.
30 (iv) Construction and use of structures on the
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1 subject land for the landowner's principal residence or
2 for the purpose of providing necessary housing for
3 seasonal or full-time employees: Provided, That only one
4 such structure may be constructed on no more than two
5 acres of the subject land during the term of the
6 agricultural conservation easement.
7 (v) Customary part-time or off-season minor or rural
8 enterprises and activities which are provided for in the
9 county Agricultural Conservation Easement Purchase
10 Program approved by the State board under subsection (d).
11 (VI) COMMERCIAL EQUINE ACTIVITY ON THE SUBJECT LAND. <--
12 (7) Land subject to an agricultural conservation
13 easement shall not be subdivided for any purpose which may
14 harm the economic viability of the farmland for agricultural
15 production or a commercial equine activity. Land may be <--
16 subdivided prior to the granting of an agricultural
17 conservation easement, provided that subdividing will not
18 harm the economic viability for agricultural production or a <--
19 commercial equine activity of the land subject to the
20 easement.
21 (8) Nothing in this act shall prohibit a member of the
22 State board or county board or his or her family from selling
23 a conservation easement under this program, provided that all
24 decisions made regarding easement purchases be subject to the
25 provisions of section 3(j) of the act of October 4, 1978
26 (P.L.883, No.170), referred to as the Public Official and
27 Employee Ethics Law.
28 * * *
29 (i) Subdivision of land after easement purchase.-- <--
30 (1) Each county program shall specify the conditions
20040H2801B4554 - 10 -
1 under which the subdivision of land subject to an
2 agricultural conservation easement may be permitted. In no
3 case, however, shall a county program permit a subdivision
4 which will:
5 (i) harm the economic viability of the farmland for
6 agricultural production or a commercial equine activity;
7 or
8 (ii) convert land which has been devoted primarily
9 to agricultural use or a commercial equine activity to
10 another primary use, except that a county program may
11 permit one subdivision for the purpose of the
12 construction of a principal residence for the landowner
13 or an immediate family member.
14 (2) The county board may agree to permit a parcel of
15 land subject to an agricultural conservation easement to be
16 subdivided after the granting of such easement as follows:
17 (i) The landowner of record may submit an
18 application, in such form and manner as the county board
19 may prescribe, to the county board requesting that a
20 parcel of the land subject to an easement be subdivided.
21 Upon receipt of the application, the county board shall
22 cause to be forwarded written notification thereof to the
23 county zoning office, county planning office and county
24 farmland preservation office, herein referred to as the
25 reviewing agencies. Each reviewing agency shall have 60
26 days from receipt of such notification to review, comment
27 and make recommendations on the proposed application to
28 the county board.
29 (ii) After reviewing the application and the
30 comments and recommendations submitted by the reviewing
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1 agencies, the county board shall approve or reject the
2 application to subdivide within 120 days after the date
3 of its filing unless the time is extended by mutual
4 agreement of the landowner and reviewing agencies.
5 (iii) If the application to subdivide land is
6 approved by the county board, a copy of the application,
7 along with the comments and recommendations of the
8 reviewing agencies, shall be forwarded to the State board
9 for review and approval or disapproval. When reviewing an
10 application to subdivide land subject to an agricultural
11 conservation easement, the State board shall consider
12 only whether the application complies with the conditions
13 under which subdivisions are permitted by the approved
14 county program. The State board shall notify the county
15 board of its decision regarding the application.
16 (iv) If the application to subdivide is rejected by
17 the county board, the application shall be returned to
18 the landowner with a written statement of the reasons for
19 such rejection. Within 30 days after the receipt of the
20 statement of rejection, the landowner may appeal the
21 rejection in accordance with 2 Pa.C.S. Ch. 5 Subch. B
22 (relating to practice and procedure of local agencies)
23 and Ch. 7 Subch. B (relating to judicial review of local
24 agency action).
25 Section 4. This act shall take effect in 60 days.
26 SECTION 5. THIS ACT SHALL BE RETROACTIVE TO JUNE 30, 1981. <--
27 SECTION 6. THIS ACT SHALL TAKE EFFECT IN 60 DAYS.
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