HomeMy WebLinkAbout02/16/1999, C4 - AUTHORIZATION OF APPLICATION FOR GRANT FUNDS FROM THE STATE AGRICULTURAL LAND STEWARDSHIP PROGRAM council °°�
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CITY OF SAN LUIS O B I S P O
FROM: Ken Hampian,Assistant City Administrative Officer
Prepared By: Neil HavWi,Natural Resources Manager`�'1 1
SUBJECT: AUTHORIZATION OF APPLICATION FOR GRANT FUNDS FROM THE
STATE AGRICULTURAL LAND STEWARDSHIP PROGRAM
CAO RECOMMENDATION
Adopt a resolution authorizing submittal of a grant application to the California Department of
Conservation in the amount of$300,000 in support of the acquisition of conservation easements on
agricultural properties south of the Airport Area
DISCUSSION
In 1996 the State Legislature established the Agricultural Land Stewardship Program(ALSP)as the
State's primary farmland protection program. This program makes State funds available to local
governments and nonprofit organizations to acquire conservation easements on prime, unique or
other important agricultural soils for the purpose of limiting or preventing the conversion of such
sites.to nonagricultural uses.
The City of San Luis Obispo has been in communication with a number of landowners within the
Greenbelt area, as part of its Greenbelt program. One of the most challenging parts of the
Greenbelt is south of the Airport Area This is due to the high property value expectations of
landowners, and the perception that the area will ultimately be developed for urban uses. City staff
have,however,had discussions with several landowners in the area south of the Airport which lead
staff to believe that offers to purchase development rights on farming lands in that area may be
favorably received. The ALSP recognizes that there are difficulties associated with the concept of
purchasing development rights and therefore allows applications for general areas without a
specific commitment by a given landowner to a purchase arrangement. Therefore, staff is
recommending approval of this grant application without identification of a specific property. The
grant, if successful, would provide funding support for City efforts in this area, which would serve
to preserve prime farmland in agricultural use.
ALSP regulations require that a proposal provide for acquisition of an easement or other interest in
land in perpetuity. Higher priority will also be given to proposals which help to create or to buffer
large tracts of viable agricultural land, and on proposals which link to other programs or efforts that
complement farmland protection objectives. Staff feels that these criteria will give a proposal for
conservation of this area a high priority,due to its location,and to the existence of City actions such
as the Guidetti Ranch easement,which complements the ALSP.
The ALSP has a five percent matching requirement. The City currently has monies available in
special funds which will more than meet the match and would have the effect of making the
proposal more competitive. The application deadline is March 1, 1999, with notification to
successful proposers expected to be made by April 30, 1999.
As a land purchase for conservation purposes,this project is exempt from both CEQA and NEPA.
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FISCAL IMPACT
The grant,if successK will have a beneficial fiscal effect by providing outside finding support for
this project. Special fund monies are available to add to any grant amounts received,and the project
can be sized to accommodate differing levels of grant awards. Staff estimates that $350,000 would
be sufficient to purchase the development rights over about 70 acres of prime farmland in the area.
No General Fund monies are expected to be needed for the project.
ALTERNATIVE
The Council could decide to not authorize the application. This is not recommended as the
application itself does not constitute a commitment on the part of the City or of any landowners.
Assuming that discussions with one or more landowners are successful, the grant funds will
significantly assist in obtaining the fiords necessary for the project.
Attachments
Resolution
Grant Program Summary
Project Location Map
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RESOLUTION NO. .
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN LUIS OBISPO
AUTHORIZING APPLICATION FOR GRANT FUNDS FROM THE
CALIFORNIA DEPARTMENT OF CONSERVATION'S
AGRICULTURAL LAND STEWARDSHIP PROGRAM FOR THE
SOUTH AIRPORT AREA AGRICULTURAL CONSERVATION PROJECT
WHEREAS, the Legislature of the State of California has established the
Agricultural Land Stewardship Program within the Department of Conservation, and
through said program is providing assistance to conserve important agricultural land
resources that are subject to conversion pressures; and
WHEREAS, the City of San Luis Obispo intends to acquire agricultural
conservation easements on one or more of the properties within the project area in
concert with cooperating landowners for the purpose of conserving priority agricultural
land resources; and
WHEREAS, the City Council certifies that any easements obtained will meet the
eligibility requirements set forth in Public Resources Code Section 10251 and
incorporated herein by reference;
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of San
Luis Obispo hereby:
1. Authorizes the filing of an application for grant assistance from the Agricultural
Land Stewardship Program for the above project; and
2. Appoints the City Administrative Officer as agent of the City to conduct all
negotiations, execute and submit all documents, including, but not limited to, applications,
agreements, amendments, payment requests and so on, which may be necessary for the
completion of the aforementioned project
Approved and adopted this 16th day of February, 1999.
On motion of . seconded by and
on the following roll call vote:
AYES:
NOES:
ABSENT:
The foregoing resolution was adopted this day of , 1999.
Allen K. Settle, Mayor
ATTEST: APPROVED AS TO FORM:
Lee Price, City Clerk /Jeffn6y G. Jo nsen, City AttomN-3
Department of conservation Agricultural Land Stewardship Program
Grant Application Manual Fiscal Year 199!1-99
Chapter 1: THE ALSP GRANT PROGRAM
The Department of Conservation's Agricultural Land Stewardship Program (ALSP) provides
grants to local governments and qualified non-profit organizations for
• voluntary acquisition of conservation easements on agricultural lands that are under
pressure of being converted to non-agricultural uses;
• temporary acquisition of agricultural lands as a phase in the process of placing an
agricultural conservation easement;
• restoration of and improvements to agricultural land already under easement; and
• agricultural land conservation planning and policy projects.
The ALSP is designed to work in concert with local planning and zoning strategies to conserve
agricultural land. The Program was created by the Agricultural Land Stewardship Program Act
of 1995, contained within Division 102 of the Public Resources Code (Sections 10200 to
10277) and the Revenue and Taxation Code(Sections 421.5 and 422.5).'
This Grant Application Manual is intended to serve as a reference in understanding the
provisions of the ALSP, and includes instructions for the submission of applications for grant
funding.
ALSP Jurisdiction
The ALSP's enabling legislation provides the Department of Conservation with statewide
jurisdicfion to work with local governments and non-profit organizations to conserve agricultural
land resources through the use of agricultural conservation easements. In addition, the State
Coastal Conservancy is vested with responsibilities for carrying out agricultural projects in the
coastal zone (as defined in Section 30103 of the Public Resources Code), including the
acquisition of agricultural conservation easements. The ALSP does not after the Conservancy's
responsibilities for the administration of state or federal funds that are allocated for the purpose
Of preserving coastal agricultural lands. For ALSP projects within the coastal zone, the
Department of Conservation will consult with the Conservancy in developing the Department's
policies, priorities, and procedures for the allocation of funds (Public Resources Code Section
10225).
'The Codes are available on the intemet at httpJ/www.leginfo.ca.govlcalaw.html, or upon request to the
Department of Conservation.
Chapter 1: Introduction C44
Department of Conservation Agricultural Land Stewardship Program
Grant Application Manual Fiscal Year 199899
Application Eligibility
Eligible Applicants
The ALSP may award grants to cities, counties, and private non-profit organizations.
Nonprofit organizations must
• have among their defined purposes the conservation of agricultural lands,
• hold a tax exemption as defined under Section 501(c)3 of the Internal Revenue Code, and
• further qualify as non profit organizations under Section 170(b)(1)(A)(w) or 170(h)(3) of the
Internal Revenue Code(Public Resources Code Section 10221).
Non-profit applicants must provide documents verifying their agricultural land conservation
purpose, and their 501(c),3 status. Non-profit applicants must also certify that ALSP finding
would present no conflict of interest on the part of the Board or its meml?rs, and provide
documentation of the organization's ability to carry out the proposed protect(see page 41).
Eligible Projects
Agricultural Conservation Easement Acquisition Projects
Agricultural conservation easement projects are considered eligible for grant funding if they
meet the following criteria(Public Resources Code Section 10251):
• The parcel proposed for conservation is expected to continue to be used for, and is large
enough to sustain, commercial agricultural production. The land is also in an arra that
possesses the necessary market, infrastructure, and agricultural support services, and
the surrounding parcel sizes and land uses will support long-term commercial
agricultural production.
• The applicable city or county has a general plan which demonstrates a long-term
commitment to agricultural land conservation. This commitment shall be reflected in the
goals, objectives, policies, and implementation measures of the plan, as they relate to
the area of the county or city where the easement acquisition is proposed.
• The grant proposal is consistent with the city or county general plan, and the governing
body of the city or county, by resolution, approves the grant proposal.
• Without conservation,the land proposed for protection is likely to be converted to non-
agricultural use in the foreseeable future.
Chapter 1: Introduction C4-5
Department of Conservation Agricultural Land Stewardship Program
Grant Application Manual Fiscal Year 199&99
Fee Title Acquisition Projects
In addition to agricultural conservation easements, grant funds may be used in certain cases to
obtain fee title (full purchase of title)to agricultural lands. In such cases, the following
conditions must be met
• A grant recipient must agree, upon acquisition of the property, to encumber the land with
an agricultural conservation easement subject to Public Resources Code Section 10262
(Public Resources Code Section 10239(a)).
• The grant recipient must sell the fee title subject to the easement to a private landowner
within three years of the acquisition of the fee title(Public Resources Code Section
10239(b)).
• The grant recipient must reimburse the ALSP Fund by an amount equal to the fair
market value of the land less the value of the easement and associated transaction
costs within 30 days after the sale of the restricted fee title (Public Resources Code
Section 10239(c)).
Policy/Planning Projects
Policy and planning projects related to agricultural land conservation and the utilization of
agricultural conservation easements may also be considered (e.g.,the consideration of
agricultural conservation easements as a local mitigation of agricultural land conversion, the
delineation of agricultural lands with the greatest local priorities for conservation, etc). No more
than ten percent of total available grant funds may be applied toward land improvement and
policy/planning purposes combined (Public Resources Code Section 10230(c)). Before
proceeding with the application process, prospective applicants for policy/planning grants are
encouraged to contact the ALSP staff(916-324-0850, or alsp@consrv.ca.gov), to discuss the
preliminary details of the proposal.
Land Improvement Projects
Up to ten percent of total available grant funds may be applied toward land improvement and
policy/planning purposes combined (Public Resources Code Section 10230 (c)). Use of these
grants shall be limited to the improvement of lands protected by agricultural conservation
easements. If a proposed project includes the use of grant funds for land improvement,that
component shall be evaluated with respect to the extent to which it satisfies one or more of the
following (Public Resources Code Section 10246):
• The improvement will enhance the agricultural value of the land protected by the
easement, and promote its long-term sustainable agricultural use,such as water supply
development and revegetation of eroding streambanks.
• The improvement will increase the compatibility of the agricultural operations with
sensitive natural areas.
• The improvement will demonstrate new and innovative best management practices
which have the potential for wide application.
Chapter 1: Introduction C"-`
Department of Conservation Agricultural Land Stewardship Program
Grant Application Manual Fiscal Year 1998-99
• The improvement includes the financial and technical involvement of other agencies.
• The improvement is part of a coordimated watershed management plan or the
equivalent
Ineligible Projects
Projects are considered ineligible if they fail to meet all of the efigibTi dy criteria described under
Eligible Projects, and if any of the following apply:
• The local government applicant has acquired, or proposes to acquire, the
agricultural conservation easement through the use of eminent domain, unless
requested by the owner of the land (Public Resources Code Section 10232).
• The acquisition of the agricultural conservation easement would restrict husbandry
practices on the land (Public Resources Code Section 10$38).
The applicant and seller of the agricultural conservation easement do not agree to
restrict the use of the land in perpetuity, subject to review after a 25 year period
(Public Resources.Code Section 10237).
• The proposed easement is part of a local governments condition placed upon the
issuance of an entitlement to use of a specific property(Public Resources Code
Section 10237).
Chapter 1: Introduction C4-7
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800
CALIFORNIA DEPARTMENT OF CONSERVATION
AGRICULTURAL LAND STEWARDSHIP PROGRAM
SOUTH AIRPORT AREA AGRICULTURAL CONSERVATION PROJECT
Application by the City of San Luis Obispo, CA.
General Location Map
Pismo Beach Quadrangle
1"=2,000' C4-8