LCO 1 of 15 General Assembly Substitute Bill No. 5228 February Session, 2024 AN ACT CONCERNING THE PURCHASE OF CERTAIN LANDS AT AGRICULTURAL VALUE. Be it enacted by the Senate and House of Representatives in General Assembly convened: Section 1. Section 22-26bb of the 2024 supplement to the general 1 statutes is repealed and the following is substituted in lieu thereof 2 (Effective October 1, 2024): 3 As used in sections 22-26aa to 22-26nn, inclusive, as amended by this 4 act: 5 (a) "Agricultural land" means any land in the state suitable by 6 reference to soil types, existing and past use of such land for agricultural 7 purposes and other relevant factors for the cultivation of plants for 8 production of human food and fiber or production of other useful and 9 valuable plant products and for the production of animals, livestock and 10 poultry useful to man and the environment, and land capable of 11 providing economically profitable farm units, and may include adjacent 12 pastures, wooded land, natural drainage areas and other adjacent open 13 areas; 14 (b) "Commissioner" means the Commissioner of Agriculture; 15 (c) "Department" means the Department of Agriculture; 16 Substitute Bill No. 5228 LCO 2 of 15 (d) "Development rights" means the rights of the fee simple owner of 17 agricultural land to develop, construct on, sell, lease or otherwise 18 improve the agricultural land for uses that result in rendering such land 19 no longer agricultural land, but shall not be construed to include: (1) The 20 uses defined in subsection (q) of section 1-1, (2) the rights of the fee 21 owner of agricultural land to develop, construct on, sell, give or transfer 22 in any way the property in its entirety, or a portion thereof, provided 23 any such sale, gift or transfer of a portion of the property is of a property 24 that was first subject to a sale, transfer or gift of development rights on 25 or after June 28, 2023, lease the property in its entirety, or a portion 26 thereof, for a term of less than twenty-five years or otherwise improve 27 the agricultural land to preserve, maintain, operate or continue such 28 land as agricultural land, including but not limited to construction 29 thereon of residences for persons directly incidental to farm operation 30 and buildings for animals, roadside stands and farm markets for sale to 31 the consumer of food products and ornamental plants, facilities for the 32 storing of equipment and products or processing thereof or such other 33 improvements, activities and uses thereon as may be directly or 34 incidentally related to the operation of the agricultural enterprise, as 35 long as the acreage and productivity of arable land for crops is not 36 materially decreased and due consideration is given to the impact of any 37 decrease in acreage or productivity of such arable land upon the total 38 farm operation, provided any portion of land that is sold, given or 39 transferred, shall be determined in accordance with regulations adopted 40 pursuant to this chapter, except that new construction or modification 41 of an existing farm building necessary to the operation of a farm on 42 prime farmland, as defined by the United States Department of 43 Agriculture, of which the state has purchased development rights shall 44 be limited to not more than five per cent of the total of such prime 45 farmland, (3) the rights of the fee owner to provide for the extraction of 46 gravel or like natural elements to be used on the farm for purposes 47 directly or incidentally related to the operation of the agricultural 48 enterprise or (4) the existing water and mineral rights, exclusive of 49 gravel, of the fee owner; 50 Substitute Bill No. 5228 LCO 3 of 15 (e) "Owner" means any person, corporation, limited liability 51 company, partnership, trust, municipal corporation, public utility or 52 any other private or public entity that shall be the fee simple owner of 53 agricultural land or who shall by operation of law have the power to 54 exercise the rights of a fee simple owner; 55 (f) "Municipality" means any city, town, borough, district, or 56 association with municipal powers; 57 (g) "Prime farmland" means soils defined by the United States 58 Department of Agriculture as the best suited to producing food, feed, 59 forage, fiber and oilseed crops; 60 (h) "Restricted agricultural land" means land and the improvements 61 thereon for which development rights are held by the state of 62 Connecticut; 63 (i) "Restriction" means the encumbrance on development uses placed 64 on restricted lands as a result of the acquisition of development rights 65 by the state of Connecticut and may include a provision that provides 66 that a municipality or a nonprofit organization authorized to hold land 67 for conservation and preservation purposes, may acquire, at such 68 municipality's or nonprofit organization's own expense, an option to 69 purchase such restricted lands at agricultural value; 70 (j) "Residences" means single-family residential dwellings and any 71 associated on-site septic disposal system or potable well; 72 (k) "Building" means (1) any permanent structure used for holding 73 animals, (2) roadside stands and farm markets for sale to the consumer 74 of food products and ornamental plants, (3) facilities for the storing of 75 equipment and products or the processing of products, and (4) animal 76 waste storage facilities; 77 (l) "Arable land" means land currently used for the production of 78 crops or pasture and land considered prime and important farmland 79 soil by the United States Department of Agriculture; 80 Substitute Bill No. 5228 LCO 4 of 15 (m) "Gravel or like natural elements" means rounded or angular 81 fragments of rock and associated soil material; 82 (n) "Economically profitable farm unit" means an acreage of arable 83 land capable of producing a sustained annual gross income of 84 significant value as determined by the commissioner; 85 (o) "The property in its entirety" means the entire acreage of restricted 86 land without division or subdivision; 87 (p) "Persons directly incidental to the farm operation" means any 88 person who participates in the farm operation on the restricted land on 89 a full-time basis and any owner of the restricted land regardless of 90 whether or not he participates in the farm operation on a full-time basis; 91 (q) "Option to purchase at agricultural value" means a preemptive, 92 perpetual option for a municipality or nonprofit organization 93 authorized to hold land for conservation and preservation purposes to 94 purchase restricted agricultural land at its agricultural use value; 95 (r) "Agricultural use value" means the appraised fair market value of 96 restricted agricultural land. 97 Sec. 2. Section 22-26cc of the general statutes is repealed and the 98 following is substituted in lieu thereof (Effective October 1, 2024): 99 (a) There is established within the Department of Agriculture a 100 program to solicit, from owners of agricultural land, offers to sell the 101 development rights to such land and to inform the public of the 102 purposes, goals and provisions of this chapter. The commissioner, with 103 the approval of the State Properties Review Board, shall have the power 104 to acquire or accept as a gift, on behalf of the state, the development 105 rights of any agricultural land, if offered by the owner. Notice of the 106 offer shall be filed in the land records wherein the agricultural land is 107 situated. If ownership of any land for which development rights have 108 been offered is transferred, the offer shall be effective until the 109 subsequent owner revokes the offer in writing. The state conservation 110 Substitute Bill No. 5228 LCO 5 of 15 and development plan established pursuant to section 16a-24 shall be 111 applied as an advisory document to the acquisition of development 112 rights of any agricultural lands. The factors to be considered by the 113 commissioner in deciding whether or not to acquire such rights shall 114 include, but not be limited to, the following: (1) The probability that the 115 land will be sold for nonagricultural purposes; (2) the current 116 productivity of such land and the likelihood of continued productivity; 117 (3) the suitability of the land as to soil classification and other criteria for 118 agricultural use; (4) the degree to which such acquisition would 119 contribute to the preservation of the agricultural potential of the state; 120 (5) any encumbrances on such land; (6) the cost of acquiring such rights; 121 and (7) the degree to which such acquisition would mitigate damage 122 due to flood hazards. Ownership by a nonprofit organization 123 authorized to hold land for conservation and preservation purposes of 124 land which prior to such ownership qualified for the program 125 established pursuant to this section shall not be deemed to diminish the 126 probability that the land will be sold for nonagricultural purposes. After 127 a preliminary evaluation of such factors by the Commissioner of 128 Agriculture, [he] the commissioner shall obtain and review one or more 129 fee appraisals of the property selected in order to determine the value 130 of the development rights of such property, which may be based, in part, 131 on any option to purchase such property at agricultural value. The 132 commissioner shall notify the Department of Transportation, the 133 Department of Economic and Community Development, the 134 Department of Energy and Environmental Protection and the Office of 135 Policy and Management that such property is being appraised. Any 136 appraisal of the value of such land obtained by the owner and 137 performed in a manner approved by the commissioner shall be 138 considered by the commissioner in making such determination. The 139 value of development rights for all purposes of this section shall be the 140 difference between the value of the property for its highest and best use 141 and its value for agricultural purposes as determined by the 142 commissioner. The use or presence of pollutants or chemicals in the soil 143 shall not be deemed to diminish the agricultural value of the land or to 144 prohibit the commissioner from acquiring the development rights to 145 Substitute Bill No. 5228 LCO 6 of 15 such land. The commissioner may purchase development rights for a 146 lesser amount provided he complies with all factors for acquisition 147 specified in this subsection and in any implementing regulations. In 148 determining the value of the property for its highest and best use, 149 consideration shall be given but not limited to sales of comparable 150 properties in the general area, use of which was unrestricted at the time 151 of sale. 152 (b) Upon the acquisition by the commissioner of the development 153 rights of agricultural land, the commissioner shall cause to be filed in 154 the appropriate land records and in the office of the Secretary of the 155 State a notice of such acquisition which shall set forth a description of 156 the agricultural land as will be sufficient to give any prospective 157 purchaser of such agricultural land or creditor of the owner thereof 158 notice of such restriction. Upon such filing, the owner of such 159 agricultural land shall not be permitted to exercise development rights 160 with respect to such land, and such development rights shall be 161 considered and deemed dedicated to the state in perpetuity, except as 162 hereinafter provided. If restricted land is to be sold, the owner shall 163 notify, in writing, the commissioner of such impending sale not [more] 164 less than ninety days before transfer of title to the land and shall provide 165 the commissioner with the name and address of the new owner. 166 (c) The commissioner shall have no power to release such land from 167 its agricultural restriction, except as set forth in this subsection. The 168 commissioner, in consultation with the Commissioner of Energy and 169 Environmental Protection and such advisory groups as the 170 Commissioner of Agriculture may appoint, may approve (1) a petition 171 by the owner of the restricted agricultural land to remove such 172 restriction provided such petition is approved by resolution of the 173 legislative body of the town, or (2) a petition by the legislative body of 174 the town in which such land is situated to remove such restriction 175 provided such petition is approved in writing by said owner. Upon 176 approval of such a petition by the commissioner, the legislative body of 177 the town shall submit to the qualified voters of such town the question 178 of removing the agricultural restriction from such land or a part thereof, 179 Substitute Bill No. 5228 LCO 7 of 15 at a referendum held at a regular election or a special election warned 180 and called for that purpose. In the event a majority of those voting at 181 such referendum are in favor of such removal, the restriction shall be 182 removed from the agricultural land upon filing of the certified results of 183 such referendum in the land records and the office of the Secretary of 184 the State, and the commissioner shall convey the development rights to 185 such owner provided such owner shall pay the commissioner an 186 amount equal to the value of such rights. Such petition shall set forth the 187 facts and circumstances upon which the commissioner shall consider 188 approval, and said commissioner shall deny such approval unless he 189 determines that the public interest is such that there is an overriding 190 necessity to relinquish control of the development rights. The 191 commissioner shall hold at least one public hearing prior to the 192 initiation of any proceedings hereunder. The expenses, if any, of the 193 hearing and the referendum shall be borne by the petitioner. In the event 194 that the state sells any development rights under the procedure 195 provided in this subsection, it shall receive the value of such rights. 196 (d) Whenever the commissioner acquires the development rights of 197 any agricultural land and the purchase price of such development rights 198 is ten thousand dollars or more, said commissioner and the owner of 199 such land may enter into a written agreement which provides for the 200 payment of the purchase price in two or three annual installments, but 201 no interest shall be paid on any unpaid balance of such purchase price. 202 (e) Whenever the commissioner acquires the development rights to 203 any agricultural land, and any municipality in which all or part of the 204 land is situated paid a part of the purchase price from a fund established 205 pursuant to section 7-131q, such municipality and the state may jointly 206 own the development rights. The land may be released from its 207 agricultural restriction in accordance with the provisions of subsection 208 (c) of this section. The commissioner shall adopt regulations in 209 accordance with the provisions of chapter 54 establishing procedures for 210 the joint acquisition of development rights to agricultural land. Such 211 municipality may, additionally, hold an option to purchase such 212 agricultural land at agricultural value. 213 Substitute Bill No. 5228 LCO 8 of 15 (f) The acquisition of the development rights to any agricultural land 214 by the commissioner shall not be deemed to be ownership of such land 215 and the state shall not be liable for pollution or contamination of such 216 land and no person may bring a civil action against the state for 217 damages resulting from pollution or contamination of such agricultural 218 land. 219 (g) The commissioner may issue a letter of intent requesting the 220 assistance of a nonprofit organization, as defined in Section 501(c)(3) of 221 the Internal Revenue Code of 1986, or any subsequent corresponding 222 internal revenue code of the United States, as from time to time 223 amended, in acquiring the development rights to certain agricultural 224 land. If such organization acquires such rights it may sell them to the 225 commissioner based on a purchase agreement. Such agreement may 226 include reimbursement for reasonable expenses incurred in the 227 acquisition of the rights as well as payment for the rights. The 228 commissioner may enter into joint ownership agreements to acquire the 229 development rights to any qualified agricultural land with any 230 nonprofit organization, as defined in Section 501(c)(3) of the Internal 231 Revenue Code of 1986, or any subsequent corresponding internal 232 revenue code of the United States, as from time to time amended, 233 provided the mission of such nonprofit organization is the permanent 234 protection of agricultural land for the purposes of continued 235 agricultural use. Such joint ownership agreement may include 236 provisions for the reimbursement of reasonable expenses incurred in the 237 joint acquisition of such development rights. Such nonprofit 238 organization may, additionally, hold an option to purchase such 239 agricultural land at agricultural value. 240 (h) In addition to development rights, the commissioner may acquire 241 or accept as a gift the rights of the owner to construct any residences or 242 any farm structures on agricultural land. 243 (i) The Commissioner of Agriculture, pursuant to any cooperative 244 agreement with the United States Department of Agriculture for the 245 disbursement of funds under federal law, may require that any property 246 Substitute Bill No. 5228 LCO 9 of 15 to which rights are acquired under this section with such funds shall be 247 managed in accordance with a conservation plan which utilizes the 248 standards and specifications of the Natural Resources Conservation 249 Service field office technical guide and is approved by such service. 250 Additionally, such conservation plan shall require the establishment of 251 model pollinator habitat, as described in section 22-90b. Any instrument 252 by which the commissioner acquires such rights and for which any such 253 funds are used may provide for a contingent right in the United States 254 of America in the event that the state of Connecticut fails to enforce any 255 of the terms of its rights acquired under this section which failure shall 256 be determined by the United States Secretary of Agriculture. Such 257 contingent right shall entitle the secretary to enforce any rights acquired 258 by the state under this section by any authority provided under law. 259 Such instrument may provide that such rights shall become vested in 260 the United States of America in the event that the state of Connecticut 261 attempts to terminate, transfer or otherwise divest itself of any such 262 rights without the prior consent of the United States Secretary of 263 Agriculture and payment of consideration to the United States and may 264 further provide that title to such rights may be held by the United States 265 of America at any time at the request of the United States Secretary of 266 Agriculture. In connection with such an agreement, the commissioner 267 may hold the United States harmless from any action based on 268 negligence in the procurement or management of any rights acquired 269 under this section and may assure that proper title evidence is secured, 270 that the title is insured to the amount of the federal cost paid for the 271 interest of the United States of America and that, in the event of a failure 272 of title, as determined by a court of competent jurisdiction, and payment 273 of insurance to the state, the state will reimburse the United States for 274 the amount of the federal cost paid. 275 (j) The commissioner, when acquiring the development rights of any 276 agricultural lands on behalf of the state, may incorporate deed 277 requirements in accordance with the provisions of the federal Farm and 278 Ranch Lands Protection Program, 7 CFR 1491.1, et seq., or under the 279 Agricultural Conservation Easement Program, 7 CFR 1468.1, et seq., or 280 Substitute Bill No. 5228 LCO 10 of 15 any successive federal farmland protection program. 281 (k) When executed, an option to purchase at agricultural value may 282 be included along with the recorded document evidencing an 283 agricultural restriction on the same land and shall exist in perpetuity, 284 run with the land and bind all future owners of the restricted land. Any 285 municipality or nonprofit organization that acquires such an option to 286 purchase at agricultural value shall be solely responsible for 287 enforcement of the option to purchase at agricultural value, at such 288 municipality's or nonprofit organization's sole cost and expense. 289 (l) Notwithstanding the provisions of subsection (k) of this section, 290 the Department of Agriculture may establish and administer a grant 291 funding program for any municipality or nonprofit organization 292 authorized to hold land for conservation and preservation purposes to 293 acquire options to purchase restricted agricultural lands at agricultural 294 value. 295 Sec. 3. Section 22-26nn of the general statutes is repealed and the 296 following is substituted in lieu thereof (Effective October 1, 2024): 297 (a) The Commissioner of Agriculture may establish a community 298 farms program for the preservation of farmland that does not meet the 299 criteria of the farmland preservation program established pursuant to 300 section 22-26cc, as amended by this act, for reasons of size, soil quality 301 or location but that may contribute to local economic activity through 302 agricultural production. The commissioner may purchase up to one 303 hundred per cent of the value of development rights directly from an 304 eligible owner, or may acquire development rights on qualifying 305 farmland jointly with a municipality, subject to the appraisal and review 306 required by the regulations adopted pursuant to this section. For the 307 purposes of this section, "development rights" and "owner" have the 308 same meanings as provided in section 22-26bb, as amended by this act. 309 (b) If the Commissioner of Agriculture establishes a program in 310 accordance with subsection (a) of this subsection, the commissioner 311 shall, in consultation with the Farmland Preservation Advisory Board 312 Substitute Bill No. 5228 LCO 11 of 15 established under section 22-26ll, establish criteria for said program. 313 Such criteria shall give preference to farms that produce food or fiber, 314 and at a minimum shall consider (1) the probability that the land will be 315 sold for nonagricultural purposes, (2) the current productivity of the 316 land and the likelihood of continued productivity of such land, (3) the 317 suitability of the land for agricultural use, including whether the soil is 318 classified as locally important soils by the United States Department of 319 Agriculture, and (4) the demonstrated level of community support for 320 preservation of the parcel. The commissioner shall, in consultation with 321 said board, consider mechanisms that encourage continuation of the 322 land in agricultural production to maintain its long-term availability 323 and affordability for future generations of farmers, including, but not 324 limited to, deed restrictions or stewardship requirements. 325 (c) Upon the acquisition by the commissioner of the development 326 rights to agricultural land pursuant to this section, the commissioner 327 shall cause to be filed in the appropriate land records and in the office 328 of the Secretary of the State a notice of such acquisition which shall set 329 forth a description of the agricultural land as will be sufficient to give 330 any prospective purchaser of such agricultural land or creditor of the 331 owner thereof notice of such restriction. Upon such filing, the owner of 332 such agricultural land shall not be permitted to exercise development 333 rights with respect to such land, and such development rights shall be 334 considered and deemed dedicated to the state in perpetuity, except as 335 hereinafter provided. If restricted land is to be sold, the owner shall 336 notify the commissioner, in writing, of such impending sale not [more] 337 less than ninety days before transfer of title to the land and shall provide 338 the commissioner with the name and address of the new owner. 339 (d) The Commissioner of Agriculture shall have no power to release 340 such land from its agricultural restriction, except as set forth in this 341 subsection. The Commissioner of Agriculture, in consultation with the 342 Commissioner of Energy and Environmental Protection and such 343 advisory groups as the Commissioner of Agriculture may appoint, may 344 approve (1) a petition by the owner of the restricted agricultural land to 345 remove such restriction provided such petition is approved by 346 Substitute Bill No. 5228 LCO 12 of 15 resolution of the legislative body of the town, or (2) a petition by the 347 legislative body of the town in which such land is situated to remove 348 such restriction provided such petition is approved in writing by said 349 owner. Upon approval of such a petition by the Commissioner of 350 Agriculture, the legislative body of the town shall submit to the 351 qualified voters of such town the question of removing the agricultural 352 restriction from such land or a part thereof, at a referendum held at a 353 regular election or a special election warned and called for that purpose. 354 In the event a majority of those voting at such referendum are in favor 355 of such removal, the restriction shall be removed from the agricultural 356 land upon filing of the certified results of such referendum in the land 357 records and the office of the Secretary of the State, and the 358 Commissioner of Agriculture shall convey the development rights to 359 such owner provided such owner shall pay the Commissioner of 360 Agriculture an amount equal to the value of such rights. Such petition 361 shall set forth the facts and circumstances upon which the 362 Commissioner of Agriculture shall consider approval, and said 363 commissioner shall deny such approval unless said commissioner 364 determines that the public interest is such that there is an overriding 365 necessity to relinquish control of the development rights. The 366 Commissioner of Agriculture shall hold at least one public hearing prior 367 to the initiation of any proceedings hereunder. The expenses, if any, of 368 the hearing and the referendum shall be borne by the petitioner. In the 369 event that the state sells any development rights under the procedure 370 provided in this subsection, it shall receive the value of such rights. 371 (e) Whenever the Commissioner of Agriculture acquires the 372 development rights of any agricultural land pursuant to this section and 373 the purchase price of such development rights is ten thousand dollars 374 or more, said commissioner and the owner of such land may enter into 375 a written agreement which provides for the payment of the purchase 376 price in two or three annual installments, but no interest shall be paid 377 on any unpaid balance of such purchase price. 378 (f) Whenever the commissioner acquires the development rights to 379 any agricultural land, and any municipality in which all or part of the 380 Substitute Bill No. 5228 LCO 13 of 15 land is situated paid a part of the purchase price from a fund established 381 pursuant to section 7-131q, such municipality and the state may jointly 382 own the development rights. The land may be released from its 383 agricultural restriction in accordance with the provisions of subsection 384 (d) of this section. The commissioner shall adopt regulations, in 385 accordance with the provisions of chapter 54, establishing procedures 386 for the joint acquisition of development rights to agricultural land. Such 387 municipality may, additionally, hold an option to purchase such 388 agricultural land at agricultural value. 389 (g) The acquisition of the development rights to any agricultural land 390 by the commissioner shall not be deemed to be ownership of such land 391 and the state shall not be liable for pollution or contamination of such 392 land and no person may bring a civil action against the state for 393 damages resulting from pollution or contamination of such agricultural 394 land. 395 (h) The commissioner may issue a letter of intent requesting the 396 assistance of a nonprofit organization, as defined in Section 501(c)(3) of 397 the Internal Revenue Code of 1986, or any subsequent corresponding 398 internal revenue code of the United States, as from time to time 399 amended, in acquiring the development rights to certain agricultural 400 land. If such organization acquires such rights it may sell them to the 401 commissioner based on a purchase agreement. Such agreement may 402 include reimbursement for reasonable expenses incurred in the 403 acquisition of the rights as well as payment for the rights. The 404 commissioner may enter into joint ownership agreements to acquire the 405 development rights to any qualified agricultural land with any 406 nonprofit organization, as defined in Section 501(c)(3) of the Internal 407 Revenue Code of 1986, or any subsequent corresponding internal 408 revenue code of the United States, as from time to time amended, 409 provided the mission of such nonprofit organization is the permanent 410 protection of agricultural land for the purposes of continued 411 agricultural use. Such joint ownership agreement may include 412 provisions for the reimbursement of reasonable expenses incurred in the 413 joint acquisition of such development rights. Such nonprofit 414 Substitute Bill No. 5228 LCO 14 of 15 organization may, additionally, hold an option to purchase such 415 agricultural land at agricultural value. 416 (i) In addition to development rights, the commissioner may acquire 417 or accept as a gift the rights of the owner to construct any residences or 418 any farm structures on agricultural land. 419 (j) The Commissioner of Agriculture, pursuant to any cooperative 420 agreement with the United States Department of Agriculture for the 421 disbursement of funds under federal law, may require that any property 422 to which rights are acquired under this section with such funds shall be 423 managed in accordance with a conservation plan which utilizes the 424 standards and specifications of the Natural Resources Conservation 425 Service field office technical guide and is approved by such service. 426 Additionally, such conservation plan shall require the establishment of 427 model pollinator habitat, as described in section 22-90b. Any instrument 428 by which the commissioner acquires such rights and for which any such 429 funds are used may provide for a contingent right in the United States 430 of America in the event that the state of Connecticut fails to enforce any 431 of the terms of its rights acquired under this section which failure shall 432 be determined by the United States Secretary of Agriculture. Such 433 contingent right shall entitle the United States Secretary of Agriculture 434 to enforce any rights acquired by the state under this section by any 435 authority provided under law. Such instrument may provide that such 436 rights shall become vested in the United States of America in the event 437 that the state of Connecticut attempts to terminate, transfer or otherwise 438 divest itself of any such rights without the prior consent of the United 439 States Secretary of Agriculture and payment of consideration to the 440 United States and may further provide that title to such rights may be 441 held by the United States of America at any time at the request of the 442 United States Secretary of Agriculture. In connection with such an 443 agreement, the commissioner may hold the United States harmless from 444 any action based on negligence in the procurement or management of 445 any rights acquired under this section and may assure that proper title 446 evidence is secured, that the title is insured to the amount of the federal 447 cost paid for the interest of the United States of America and that, in the 448 Substitute Bill No. 5228 LCO 15 of 15 event of a failure of title, as determined by a court of competent 449 jurisdiction, and payment of insurance to the state, the state will 450 reimburse the United States for the amount of the federal cost paid. 451 (k) The commissioner, when acquiring the development rights of any 452 agricultural lands on behalf of the state pursuant to this section, may 453 incorporate deed requirements in accordance with the provisions of the 454 federal Farm and Ranch Lands Protection Program, 7 CFR 1491.1, et 455 seq., or under the Agricultural Conservation Easement Program, 7 CFR 456 1468.1, et seq., or any successive federal farmland protection program. 457 (l) When executed, an option to purchase at agricultural value may 458 be included along with the recorded document evidencing an 459 agricultural restriction on the same land and shall exist in perpetuity, 460 run with the land, and bind all future owners of the restricted land. Any 461 municipality or nonprofit organization that acquires such an option to 462 purchase at agricultural value shall be solely responsible for 463 enforcement of the option to purchase at agricultural value at such 464 municipality's or nonprofit organization's sole cost and expense. 465 (m) Notwithstanding the provisions of subsection (l) of this section, 466 the Department of Agriculture may establish and administer a grant 467 funding program for any municipality or nonprofit organization 468 authorized to hold land for conservation and preservation purposes, to 469 acquire options to purchase restricted agricultural lands at agricultural 470 value. 471 This act shall take effect as follows and shall amend the following sections: Section 1 October 1, 2024 22-26bb Sec. 2 October 1, 2024 22-26cc Sec. 3 October 1, 2024 22-26nn ENV Joint Favorable Subst.