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Farmland loss to development has been a major issue in Delaware since the early 2000s. Many factors such as being close to the Atlantic Ocean beaches, proximity to major urban areas, and low state taxes can be attributed to this issue. The Delaware Department of Agriculture has funded a farmland preservation program to purchase easements from producers who sell their development rights to the state to ensure their farmland stays agrarian in perpetuity. Most years, the program receives $10 million dollars for easement purchasing. However, for the 27th round in 2023, it was announced the Governor's office would appropriate $20 million dollars instead. Interest in the program swelled in the agricultural community.
As a response, the University of Delaware Cooperative Extension held 5 outreach programs in all three counties in 2022 and 2023 before the September 2023 selection date. Delaware Department of Agriculture discussed how the farmland preservation program worked. In addition, a commonly used farm accountant in Delaware discussed the tax implications of selling farm easements. The programs attracted a total of 130 participants. A total of 12 program attendees were selected in the 27th round and preserved their farms after attending the outreach programs. This accounted for a program impact of 1,077 preserved farmland acres and was 20% of all the total acres selected in the round. Program attendees who preserved their farms received a total of $3,999,079 in payments for their easements. This was 18% of the total amount the Delaware Department of Agriculture paid to producers for farm development rights in the round after NRCS and County contributions were added to the $20 million dollar appropriation. In addition, the discount rate determined in buying easements increased from the previous round from 44% to 47%, meaning those selected in the round received a higher payment for their easements then previous rounds. This presentation will discuss how and why the outreach program was done in Delaware, in addition to lessons learned for implementing a similar program in a different state.
Conference | 2025 Extension Risk Management Education National Conference |
Presentation Type | 30-minute Concurrent |