HomeMy WebLinkAbout11/12/2002, C7 - AUTHORIZATION OF APPLICATION FOR GRANT FUNDS FROM THE STATE FARMLAND CONSERVANCY PROGRAM council -
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CITY OF SAN LUIS OBISPO
FROM: Wendy George,Assistant City Administrative
_'Officer U�(
Prepared By: Neil Havlik,Natural Resources Manager ► ` 4 U
SUBJECT: AUTHORIZATION OF APPLICATION FOR GRANT FUNDS FROM THE
STATE FARMLAND CONSERVANCY PROGRAM
CAO RECOMMENDATION
Adopt a resolution authorizing submittal of a grant application to the California Department of
Conservation in the amount of$275,000 in support of acquisition of an agricultural conservation
easement on a portion of the 391 acre Brughelli Ranch on Buckley Road 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 program was recently renamed the Farmland Conservancy
Program and has enjoyed increased funding in the last several years.
Among the properties identified as high priorities for land conservation in the vicinity of the City
of San Luis Obispo have been the agricultural properties south of the Airport and in the Edna
Valley. Unfortunately, landowners in the area have been unwilling to involve themselves in
conservation transactions, so the interest indicated by the Brughelli family is seen as an
important breakthrough in this regard.
The Brughelli property is one of the largest single properties south of the Airport Area. It
consists of prime soils, about 50 acres of which is currently farmed, and non-prime soils on
rolling hills used for livestock grazing. Much of the land now used for grazing was probably
dry-farmed in the past, as was the case on many properties in that area. Recently, with the
assistance of Jim Brabeck of the Farm Supply Company, the Brughellis indicated a willingness
to consider the sale of a conservation easement on 80 acres forming the northwestern portion of
their property (map). City staff, in cooperation with staff at the State of California Farmland
Conservancy Program and Federal Farmland Protection Program, are therefore studying the
potential funding sources for such a transaction.
Pursuant to Council direction, staff has initiated an appraisal of the property, and has also
initiated discussions with representatives of the State and Federal farmland easement programs.
It was agreed that now was the right time to initiate a funding request at the State level, as the
G/Havliklcoancilagendalbrughelli
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Federal program anticipates a grant cycle to begin as early as January 2003, and having the State
funds in hand would greatly improve the chances for obtaining Federal funds.
It is anticipated that it would take between six months and one year to complete the transaction.
The cost of the easement is estimated at $600,000 or $7,500 per acre. Staff anticipates the
commitment of$50,000 from the City's Airport Open Space Impact Fee fund to this project; the
balance would come from the State and Federal programs. The $50,000 will fulfill the State
program requirement for a minimum five percent match.
As an easement purchase for conservation purposes, this project is exempt from both CEQA and
NEPA.
FISCAL IWACT
The grant, if successful, will have a beneficial fiscal effect by providing outside funding support for
this City-initiated project. No General Fund monies are 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,
and this would constitute a reversal of previous direction from the Council.
Attachments
1. Project Location Map
2. Grant Program Summary
3. Resolution
G/Havlik/counci[agenda/hrughelli
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CITY OF SAN LUIS OBISPO
GREENBELT PROTECTION PROGRAM
Brughelli Property Conservation Easement Acquisition
Scale 1 '=2,000'
ATTACHMENT 2
Chapter 1: The CFCP Grant Program
"14 Chapter 1 : Grants
Program Purpose and Authority
The Department of Conservation's The CFCP is authorized to work throughout
California Farmland Conservancy Program California. Within the coastal zone (as
provides grants to local governments and defined in Section 30103 of the Public
qualified nonprofit organizations for: Resources Code) the CFCP works in
consultation with the State Coastal
• voluntary acquisition of conservation Conservancy (Public Resources Code
easements on agricultural lands that are Section 10225).
under pressure of being converted to
non-agricultural uses;
• temporary purchase of agricultural lands This Request for Grant Applications details
that are under pressure of being requirements and guidelines for grant
converted to non-agricultural uses, as a application submission.All applications for
phase in the process of placing an funding submitted as of the date of this
agricultural conservation easement; publication should conform to the format of
• restoration of and improvements to this edition of the Request for Grant
agricultural land already under Applications until a subsequent edition of
easement; and the Request for Grant Applications is
• agricultural land conservation planning published.
and policy projects.
The CFCP is designed to work in concert
with local planning and zoning strategies to
conserve agricultural land. The Program
was created by the California Farmland
Conservancy Program Act of 1995,
contained within Division 10.2 of the Public
Resources Code (Sections 10200 to 10277)
and the Revenue and Taxation Code
(Sections 421.5 and 422.5).' Related
regulations are located in the California
Code of Regulations, Title 14, Division 2,
Chapter 6, Sections 3000 through 3015 z
The Codes are available on the internet at
http://www.leginfo.ca.gov/calaw.htmi, or upon
request to the Department of Conservation.
2 Available on the CFCP website:
www.consrv.ca.gov/dlrp/cfcp
1-1 , (
Cr) `Y
ATTACHMENT 2
CFCP Request for Grant Applications
Eligible Projects
The CFCP offers four types of grants, described below. Before proceeding with the application
process, prospective applicants are encouraged to contact the CFCP staff(916-324-0850, or
cfcp@consrv.ca.gov), to discuss the preliminary details of the proposal.
1. Agricultural Conservation 2. Temporary Fee Title
Easement Acquisition Projects Acquisition Projects
Agricultural conservation easement projects In addition to agricultural conservation
are considered eligible to be considered for easements, grant funds may be used in
grant funding if they meet the following certain cases to obtain temporary fee title
criteria (Public Resources Code Section (full purchase of title) to agricultural lands. In
10251): such cases, the following conditions must
The parcel proposed for be met:
conservation is expected to continue
to be used for, and is large enough A grant recipient must agree, upon
to sustain, commercial agricultural acquisition of the property, to treat
production. The land is also in an the property as encumbered with an
area that possesses the necessary agricultural conservation easement
market, infrastructure, and subject to Public Resources Code
agricultural support services, and the Section 10262 (Public Resources
surrounding parcel sizes and land Code Section 10239(a)).
uses will support long-term
commercial agricultural production. . The grant recipient must sell the fee
title subject to an agricultural
• The applicable city or county has a conservation easement to a private
general plan which demonstrates a landowner within three years of the
long-term commitment to agricultural acquisition of the fee title (Public
land conservation. This commitment Resources Code Section 10239(b)).
shall be reflected in the goals,
objectives, policies, and The grant recipient must reimburse
implementation measures of the the CFCP Fund by an amount equal
plan, as they relate to the area of the to the fair market value of the land
county or city where the easement less the value of the easement and
acquisition is proposed. associated transaction costs within
30 days after the sale of the
• The grant proposal is consistent with restricted fee title (Public Resources
the city or county general plan, and Code Section 10239(c)).
the governing body of the city or
county, by resolution, approves the
grant proposal. (Properties within a
city's Sphere of Influence must
acquire resolutions of approval from
both the County and City.)
• Without conservation,the land
proposed for protection is likely to be
converted to non-agricultural use in
the foreseeable future.
1-2
ATTACHMENT 3
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
FARNH.AND CONSERVANCY PROGRAM FOR THE
PROJECT KNOWN AS BRUGHELLI EASEMENT ACQUISITION
WHEREAS, the Legislature of the State of California has established the Farmland Conservancy
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 areas surrounding the City in cooperation with landowners for the purpose of conserving
important agricultural 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 State Farmland Conservancy
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 12th day of November,2002.
On motion of seconded by and on the following roll
call vote:
AYES:
NOES:
ABSENT:
The foregoing resolution was adopted this day of 2002.
Allen K. Settle,Mayor
ATTEST: APPROVED AS TO FORM:
Lee Price,City Clerk ffrG.J ge Attorney