Adopt resolution approving the purchase of two agricultural conservation easements in the amount of $1,566,193 pursuant to agreements with the Yolo Land Trust and Cache Creek 243, LLC to satisfy mitigation requirements for the Landfill's Soil Borrow Site Project and authorizing the Director of the Integrated Waste Management Division to execute the agreement(s) and take other actions necessary to complete acquisition of the conservation easements. (No general fund impact) (Echiburu/Yazdani)

County staff have identified two properties on which conversation easements would provide necessary mitigation for the loss of agricultural land as identified in the Final Environmental Impact Report for the Yolo County Central Landfill (YCCL) Soil Borrow Site Project and Conditions of Approval (Mitigation Measures AG-1a and AG-1b). Easement valuations were prepared by California Agricultural Properties, Inc., County staff worked with the Yolo Land Trust and property owner (Cache Creek 243, LLC) to come to a mutually acceptable agreement and easement terms.
 
Background
The YCCL soil borrow site is a 243.4 acres portion of a 323-acre property directly west of the YCCL. The property was acquired in 2013 to provide a potential source for soil for landfill construction, landfill closure, intermediate and daily cover soil needed for operation. These activities are required to ensure continued compliance with State requirements.

As part of required mitigation measures identified in the EIR, certified by the Board on June 9, 2015, and the Project's Conditions of Approval, the County may purchase and dedicate conservation easements or pay an in-lieu fee for Swainson’s Hawk and agricultural mitigation at a ratio of 1:1 (1 acre conserved for each acre lost).
 
In accordance with the mitigation measures, the Division of Integrated Waste Management proposes the purchase and dedication of two agricultural conservation easements on a portion of a 242.9 acre property owned by the Cache Creek 243, LLC: (1) South Parcel, 99.88 acres on a portion of APN 048-210-008 with a closing date of June 30, 2022; and (2) North Parcel, 140.516 acres on a portion of APN 048-190-016, closing in August 2022. The agricultural conservation easement for the North and South Parcels will encompass a total of 240.396 acres in perpetuity and will be monitored and held by the Yolo Land Trust. 

Any small differences in mitigation acreage needed will be completed by in-lieu fees or using a Department of Community Services easement. Conservation Easements will be recorded, monitored and held by the Yolo Land Trust. County staff anticipate returning to the Board at the July 26, 2022 meeting for approval of a conservation easement for the Swainson's Hawk foraging habitat mitigation.

California Agricultural Properties, Inc. prepared valuations for both the North and South Parcels and determined that $6,000 per acre is a fair and reasonable price for both agricultural conservation easements. Farmland or agricultural conservation easements are calculated using a percentage of unencumbered fee value of a parcel using an appraisal process. Different types of agricultural properties have different values, but for the most part, the percentage of easement value is between 23-30% of the fee value. In addition to the property information provided, there is comparable sales information on seven different similar properties sold in the area over the last 16 months that support the reasonableness of the $6,000 per acre price. 

The purchase price for the South Parcel conservation easement, as reflected in the Conveyance Agreement, is $599,280 (99.88-acres x $6,000) and there are sufficient funds budgeted in the Landfill enterprise fund for the purchase. The purchase price for the North Parcel conservation easement is $831,096 (140.516-acres x $6,000) and staff anticipates returning on July 26, 2022 with a budget resolution for the purchase of this easement along with the purchase price for the Swainson's Hawk habitat conservation easement. The Conveyance Agreement (Attachment C) requires the County to pay the purchase price, in addition to a stewardship contribution, sustainability contribution (2.0% of the purchase price), broker's commission ($100 per acre), and closing costs. These additional costs are within the scope of the agreement the County previously entered into with the Yolo Land Trust (Agreement No. 2021-3955) for various services related to the acquisition and monitoring of these conservation easements, which has a not-to-exceed budget of $300,000.