NB_300_23_26 - NB 300-23-26 LTP – Change to National Appraisal Review Threshold for Agricultural Conservation Easement Program – Agricultural Land Easements
NB 300-23-26 LTP – Change to National Appraisal Review Threshold for Agricultural Conservation Easement Program – Agricultural Land Easements
National
Bulletin:
300-23-26
Date:
April 28, 2023
Subject:
LTP – Change to National Appraisal Review Threshold for Agricultural Conservation Easement Program – Agricultural Land Easements
Purpose. This national bulletin provides updated guidance related to the national appraisal review threshold for Agricultural Conservation Easement Program – Agricultural Land Easement (ACEP-ALE), including the 2014 Farm Bill Regional Conservation Partnership Program (RCPP) ACEP-ALE.
Expiration Date. September 30, 2024
Background. The Easement Programs Division (EPD) is updating policy to streamline program implementation. The updates provided below adjust the appraisal review requirements to reflect increased land values, the role of NRCS in ACEP-ALE transactions, and our experience using minimum deed terms for ACEP-ALE implementation.
Explanation. This guidance is effective as of the date of publication and applies to all unclosed ACEP-ALE, including the 2014 Farm Bill RCPP-ACEP-ALE.
Effective immediately, the threshold for ACEP-ALE and RCPP-ACEP-ALE national appraiser reviews is raised from $1 million to $3 million. This change will streamline processes and shorten review times. Title 440 Conservation Programs Manual, Part 527 “Easement Common Provisions,” Subpart E “Appraisal,” and Subpart F “Appraisal Review,” will be revised to reflect this change and provide other policy updates.
Moving forward for ACEP-ALE and RCPP-ACEP-ALE, after EPD receives an approved technical review from the state, the NRCS national appraiser must review the appraisal report and the technical review report when the easement value exceeds $3 million. This requirement applies regardless of the NRCS share. The $1 million threshold of easement value remains in effect for all other NRCS easement enrollments.
The requirements for obtaining a technical appraisal review and for submitting all appraisals, regardless of value, to the national appraiser for tracking and quality assurance remain in place. States must continue to submit all appraisals to the national appraiser through the Program Activity Management System by submitting a general request and selecting the request type “appraisal review” and the applicable subtype.
Contact.
Direct questions regarding this bulletin to Danielle Balduff, Implementation & Stewardship Branch Chief, at Danielle.Balduff@usda.gov and to the Easement Policy Branch at EasementSupport@usda.gov.