The Land Trust Alliance: Land Conservation in America

The mission of the Land Trust Alliance is "to promote voluntary land conservation and strengthen the land trust movement by providing the leadership, information, skills and resources land trusts need to conserve land for the benefit of communities and natural systems." With more than 1,600 land trusts looking for guidance, the LTA is well positioned to achieve it goal.

Conservation easements are one of the greatest tools available to landowners and organizations. It allows for flexibility and provides a means of conserving lands without the high costs of buying property outright. The benefits and limitations of these easements are worth exploring.

The government participates in the conservation movement through tax policy. Owners can receive benefits when granting easements and gifts of land. However, it can be demonstrated that those policies are not secure and are generally filled with qualifiers and quantifiers that make taking advantage of them cumbersome at best.

It's hard to believe that the land trust movement began just over 200 years ago. It's estimated that these groups have conserved 37 million acres at the national, state and local levels. From the original two or three land trusts, which are still in existence today, to more than 1,600 (not including the smaller land trusts not affiliated with the Land Trust Alliance and international land trusts), the conservation movement has quietly spread across the country doing good deeds. Like the elves that took cobbled shoes for the shoemaker in the middle of the night, these stewards are quietly garnering commitments in little corners of the earth, nurturing and caring for the land so that generations can benefit for years to come.

Imagine fields of green, running streams with cold crisp water, a small spring bubbling from a clearing in a forest filled with pines, oaks and cedar. If you listen hard enough you can hear the laughter of children as they fill their buckets with wild blackberries. There was a time when there was plenty of room to roam. Today, development appears to be rampant. Open spaces are in decline as the population grows. No land is safe. The most pristine landscapes can be sold and developed at any time. There are organizations in the United States that answer the call for land preservation. One organization represents them all, The Land Trust Alliance.

The Land Trust Alliance represents over 1,600 land trusts already in existence in the United States. The Alliance advocates voluntary private land conservation through conservation easements. Conservation easements were established through the Land Trust Alliance in its effort to protect all types of land, from the coastal areas to the mountains.

The foundation of the Land Trust Alliance is the land trust. Organized as a private non-profit corporation, the ultimate goal of a Land Trust is to preserve and protect land. Its tax-exempt status allows for donations of private lands, which may qualify the donors for tax benefits.

Land trusts were first formed in the late 1800's in the northeastern urban areas (Brenneman & Bates, 1984, pg. 17). The Trustees of Reservations was formed in 1891 in Massachusetts followed by New Hampshire's Society for Protection of New Hampshire Forests in 1901. The Massachusetts Trustees of Reservations is the oldest land trust in the nation and now has over 24,000 acres under its protection. The brainchild of Charles Eliot, the organization was envisioned as a non-profit corporation that would hold land tax-free much the same as a library or museum that holds books and art (Historical Origins, n.d.). Eliot's dedication and concern for conservation against the backdrop of industrialization positioned him as the father of the Land trust movement.

New Hampshire's Society for Protection of New Hampshire Forests, now owns over 40,000 acres of protected land throughout the state. More than 154,190 acres are protected through direct ownership, conservation easements or deed restrictions. As a private, non-profit 501c3 organization, it assists federal and state agencies, other land trusts and conservation organizations in its efforts to protect land in the state (About SPNHF, n.d.).

Land trusts throughout the country achieve their goals through public and private partnerships. Local, state and the national governments can provide assistance when goals are shared and mutual. As one of the older land trusts, the Society for Protection of New Hampshire Forests suggests that municipalities, private conservation organizations or even the state and local governments can hold land or easements as good stewards of natural resources (SPNHF, 2001, pg. 10). However, it's important to note that land trusts are not government bodies and do not benefit from the ability to levy taxes or generate public funds to complete their mission.

Funding is imperative to the successful land trust organization. Most are membership organizations, but memberships alone can't provide the funding necessary to purchase land that may need protection. Many sources of funding are available. The Land Trust Alliance provides assistance to local and regional organizations through grant programs. These grants are typically specific and limited to areas of interest for the organization providing funding. National and regional grant programs are accessible through the Alliance website and include funding for coastal areas, fellowship programs, and state specific grants. Sources aren't limited to those available through the Land Trust Alliance. Federal agencies and statewide philanthropic organizations have funding opportunities and resources to further the cause of conservation.

One of the major tools the Land trust has to further conservation goals is the conservation easement. A conservation easement is a legally binding agreement between a landowner and a land trust or government entity that prohibits development. Conservation easements can prevent landowners from timbering their land, using pesticides, or any number of other practices normally associated with the full bundle of rights inherent in ownership. The restrictions placed through the easement run with the land in perpetuity unless a time frame is established. In return, the owner receives tax benefits through the tax policies established by the IRS.

In 2003, the use of conservation easements had increased by double digits from the previous 20 years. One of the more recognized land trusts, The Nature Conservancy, held approximately 22 percent of its land through easements in 1984. In 2003, this grew to 42 percent. Land Trust Alliance trusts held 33 percent of their acres in easements in 1984. By 2003, this percentage increased to 78 percent, a change of 57 percent (Parker, 2005, pg. 6).

The major benefit of acquiring land through easement is the ability to eliminate management and excessive acquisition costs. Through easement, the owner is allowed to maintain their property and manage the upkeep. Many times owners are unwilling to sell their land outright, but are willing to commit to open space requirements, especially if there is a reward. The reward can be financial with cash in hand or through tax incentives.

Tax incentives for conservation easements were first authorized in the mid 70's as tax deductions at the Federal level. In 1997, these incentives were expanded to include estates. Some states have followed suit, which provides an even greater incentive for owners to consider conservation as a viable alternative to development. At the local level, incentives can be in the form of assessment reductions measured at less than market value. A combination of tax incentives and sufficient income that maximizes any deductions can provide considerable benefits for landowners (Pg. 8).

Improper large deductions and non-compliance with use has caused the IRS to review tax policies as they relate to these easements in recent years. In August 2007, President Bush signed into law new legislation that added percentage limitations to "qualified conservation contributions" by individuals (Notice 2007-50, Pg. 1). The new rules limit the percentage allowable to 50 percent as long as it doesn't exceed all other charitable donations made by the individual. A 100 percent limitation is granted to farmers and ranchers as long as at least 50 percent of their gross income is derived through farming. In addition, the restriction of conservation must include that the property continue to be available for agriculture or livestock production (Pg. 4). The new rules are complicated and run the risk of the unintended consequence of fewer properties being offered for conservation.

The negative impact of a conservation easement begins with the landowner's restrictions as to the use of the property. The easement can severely impact the property for later resale and future value. Heirs and subsequent owners may not be interested in honoring or maintaining the easement, which poses a threat to the original intent. Land trusts have the added burden of monitoring and ensuring compliance with the terms of any agreement.

Conservation easements are used to preserve and protect many types of property. Agricultural land, historical places, coastal areas and scenic lands are just a few of the areas land trusts have preserved through fee simple acquisition or easements. In 2003, Jay Espey, past President of the Maine Coast Heritage Trust, made the comment that "Conservation easements are the best tool we have to protect the scenic, natural and recreation values of the land and still retain some of its economic value." (Byers & Ponte, 2005, Pg.10) Considering the types of easements that can be acquired, the intrinsic value to humankind can far outweigh the economic value to the individual landowner. The land trust movement exhibits that belief and passion by acquiring and preserving our greatest and most valuable resources.

The Land Trust Alliance is a beacon for the many land trusts in this country and for government and private industry guidance. By providing access to funding through grants, the Alliance helps smaller land trusts begin the search for partners and matching funds at local, regional and national levels.

A number of land trusts have national recognition through their visible attempts to conserve and restore habitats and pristine areas. The Nature Conservancy works in all fifty states and in thirty countries protecting all types of ecosystems, from coral reefs to rainforests. The American Land Conservancy protects land and ecosystems within the United States through public and private partnerships. Conservation easements, direct purchases and acquisition of surface and subsurface rights allow the ALC to complete its mission of conserving landscapes. The Natural Lands Trust is an example of a regional organization that concentrates its efforts in the Delaware Valley. Smaller land trust, such as Branford Land Trust in Connecticut, exist to serve a local community.

The various resources available through the Land Trust Alliance promise to hold organizations that are entrusted to preserve and conserve land to a higher standard. Educational programs, standards and practices, and ethics are at the core of their mission. It has become imperative that land trusts be able to operate legally and ethically under sound principals in order to provide long-term stewardship. The Land Trust Alliance has positioned itself as the leader in this endeavor.

REFERENCES

Byers, E., Ponte, K., (2005) The Conservation Easement Handbook, 2^nd Edition, Land Trust Alliance

Brenneman, R. L., Bates, S. M. (1984) Land Saving Action: A Written Symposium by 29 Experts on Private Land Conservation in the 1980's, Island Press

Historical Origins of the Trustees of Reservations, (n.d.) retrieved 4/30/2008 from http://www.thetrustees.org/pages/89_historical_origins.cfm

New Hampshire Society for Protection of New Hampshire Forests, (n.d.) retrieved 4/30/2008 from http://www.spnhf.org/aboutus/

Parker, D. (2005), Conservation Easements, A Closer Look at Federal Tax Policy, PERC Policy Series, Issue No. PS-34, Dufresne Foundation

Society for Protection of New Hampshire Forests (2001) New Hampshire Everlasting, An Initiative to Conserve Our Quality-of-Life, SPNHF Working Proposal

Wei, A, Zweibel, P. (2007), Guidance Regarding Deductions of Individuals for Qualified Conservation Contributions, Notice 2007-50, retrieved 5/1/2008 from http://www.irs.gov/charities/article/0,,id=161145,00.html