Experts brief fiscal committee on 'Act Four' farmland‑preservation program and fiscal tradeoffs

Speakers from county farmland‑preservation programs explained the state program commonly referred to as "Act Four" and how it operates when a county, school district and township agree to a preservation tax freeze. "Long story short, what it means is as long as the county, the school district, and the township, the three taxing bodies agree they can put a freeze on any reserve farmland," the county presenter said, explaining the millage rate on preserved land is frozen at the rate in effect when the land was preserved (the freeze generally applies to land, not buildings).

The presenters said the program is intended to be lasting: in their experience properties preserved under the statute have not been removed from the program. They emphasized practical implications for local taxing bodies — for example, one school district’s review calculated roughly a $50,000 annual property‑tax reduction from preserved parcels, while another district reported as much as about $250,000 a year but judged that loss acceptable relative to preservation goals. Presenters explained counties undertake mapping and notification, and that preserved farms are inspected (many counties use third‑party inspectors) and subject to a violation process that can lead to fines or legal action if landowners breach covenants.

Board members asked operational questions about notification responsibilities, whether any properties had been removed (speakers said none under the state farmland‑preservation statute), and how federal easements provide an extra layer of protection against condemnation. Presenters offered to supply the committee with statutory language and sample documents for the district’s counsel to review.

No action was taken; the committee received the briefing for information.