Protect Your Land

Landowner FAQ & Myths

Common landowner questions

Tap any question to expand it. For anything specific to your property, please talk to our lands team — and consult your own tax attorney on tax questions.

Why should I grant a conservation easement?

Conservation easements protect private land from development or other uses incompatible with the preservation goals. By granting an easement, you are assured that the conservation values of the property will be protected in perpetuity — landowners play a vital role in preserving America’s natural heritage for future generations. Easements can be purchased or donated, or a combination of the two. Landowners who donate easements to a “qualified” charitable conservation organization can receive substantial tax deductions if the transferred rights provide a significant public benefit. Sutter Buttes Land Trust meets the criteria of a qualified charitable organization under Internal Revenue Code Section 501(c)(3).

If there is an easement on my property, does the Land Trust control my property?

No. The land trust does not have ownership of any part of the property on which it holds an easement. You may mortgage, sell, or otherwise transfer the property. Land trusts do, however, have a responsibility to make sure the terms of the easement are being honored, through periodic onsite monitoring and other means.

Does the agreement allow flexibility in how the land is used?

Yes. The reserved rights for each property are intended to allow agricultural, residential, and recreational uses, as well as economic uses, while protecting the conservation values of the land. A conservation easement should not be so restrictive — should not remove so many opportunities to generate revenue from the land — that it could make the land a financial burden on present or future owners.

Can the family continue to use the property and existing buildings?

Yes. The easement will limit both subdivision and the construction of new structures or impermeable surfaces, but existing buildings and agricultural operations can continue to be used without restrictions. You retain all rights in the property other than those specifically removed or restricted by the easement — generally including the rights to privacy, to convey ownership, to continued agricultural or recreational activities, and to generate income from traditional and sustainable uses of the land.

Does the size of the property affect eligibility?

Our minimum acreage requirement is 50 acres. Larger parcels typically get priority over smaller easement acreage projects.

How long does the easement process take?

Most projects typically take about 2.5 years to complete, which includes completing the grant applications needed to fund the purchase of the easement.

How can donating an easement reduce income tax?

The donation of a conservation easement is a tax-deductible charitable gift, provided the easement is perpetual and donated exclusively for conservation purposes to a qualified organization or public agency. The amount saved depends on the value of the property: it is appraised both at fair market value without easement restrictions and with them, and the difference is the easement value. Potential easement donors should seek legal counsel from their own tax attorney.

Can donating an easement reduce property tax?

Property tax assessment is usually based on market value, which reflects development potential. If a conservation easement reduces the development potential of the property, it may reduce the level of assessment and the amount of property taxes owed. The actual reduction, if any, depends on many factors, including state law and the decisions of local officials and assessors. Landowners should contact the Sutter County Assessor’s office with further questions.

How can granting an easement reduce estate tax?

Federal estate tax is levied not on the value of a property for its existing use but on its fair market value — often what a developer would pay — which can force heirs to sell in order to pay the taxes. If the property has been restricted by a perpetual conservation easement before the owner’s death, it must be valued in the estate at its restricted value, lowering the estate tax. An owner can also specify in a will that a charitable gift of an easement be made upon death. We recommend contacting your estate tax attorney for clarification based on your situation.

What is a stewardship endowment, and how much is required?

Each easement must include a non-wasting stewardship endowment that funds land trust stewardship tasks in perpetuity — annual monitoring visits, monitoring reports, and sign maintenance, plus allocations for landowner relations, easement defense, transfer of ownership, exercised reserved rights, and amendments. These costs typically average $4,000–$5,000 per year depending on property size and complexity, so an endowment of roughly $140,000 is needed to generate about a $5,000 annual return.

How does the Land Trust legally protect the property?

Annual monitoring visits ensure the terms of the easement are being adhered to. If we discover a violation, we document it and attempt to resolve the issue with the landowner. If resolution requires legal action, Sutter Buttes Land Trust is a member of Terrafirma, which insures its members against the legal costs of defending conservation and provides access to a collective fund and a national team of experts.

How do I get started?

We typically start by having the landowner complete a landowner questionnaire and provide a current preliminary title report, which help us understand the property and its existing and potential future uses. We follow up with a site visit and a meeting. Once we have compiled basic property information and completed an internal project review, it goes to our board for approval — which allows us to formally engage and pursue funding, and is the point at which we would require a monetary retainer to cover staff time.