What you need to know about Agriculture in Dutchess County

1. What You Need to Know About
Agricultural Acreage
and
Buyers Who Think They Want to Farm
Jennifer Fimbel
DC Ag Navigator and CCE Senior Agricultural Resource Educator
2715 Route 44, Millbrook
845-677-8223, ext. 118
845-867-3075 Cell
Cornell Cooperative Extension provides equal program and employment opportunities.
The County of Dutchess partially funds Cooperative Extension programming in Dutchess County.

2. • You don’t need to know everything about
agriculture in order to sell real estate, but
you should be better informed as to what
agricultural property buyers will need to
know when making a purchase.

3. Agriculture
ag·ri·cul·ture (ag-ri-kul-chr) n. The science,
art, and business of cultivating soil, producing
crops, and raising livestock; farming.
(http://www.thefreedictionary.com/agriculture)
The Federal Government and New York State
define "a farm" as "any agricultural operation
that produces or sells over $1,000 worth of
product."
Cornell Cooperative Extension provides equal program and employment opportunities.
The County of Dutchess partially funds Cooperative Extension programming in Dutchess County.

4. Agriculture: A part of the community
• supports the local economy, protects the environment
• preserves the aesthetic landscape and rural quality of life
• provides a source of local food
• important small businesses that provide jobs and sell product
• purchase goods and services from other local businesses
• farms pay more in taxes than they require in municipal services
• Agriculture and agricultural lands in parts of Dutchess County
cost only $0.17/$1.00 spent in services, compared to a house
which requires $1.23/$1.00 in services.
http://www.farmlandinfo.org/sites/default/files/COCS_08-2010_1.pdf
Cornell Cooperative Extension provides equal program and employment opportunities.
The County of Dutchess partially funds Cooperative Extension programming in Dutchess County.

5. • Hobby and Small “farms” or “farmettes”
– New owners may not be grandfathered in
– Suggest a variance for youth projects such 4-H and/or FFA
– Rules of thumb (Zoning aside);
• 500 pounds of animal requires 1 acre of grazing land
– ½ horse
– ½ cow
– 2-3 sheep
– 4 goats
– 2 pigs
– Zoning is an issue
– Zoning changes so keep checking with the local Zoning
Board
– Check Town and Village zoning

6. Town of Rhinebeck
The keeping of farm animals on non-
farm parcels of at least three acres in
area and up to seven acres in area shall
be permitted in accordance with the
following limitations:
• The keeping of not more than one
adult or fully grown horse, cow, hog,
beef cattle, sheep, goat or other four-
legged domestic-type farm animal or
combinations thereof per three acres
of land for the first animal one acre
for each additional animal shall be
permitted.
• In addition, the keeping of not more
than a total of any combination of
eight adult or fully grown chickens,
ducks, geese or other fowl or birds of
any type per three acres of land shall
be permitted.
In the Village of Rhinebeck,
except for farm lots, for every
two acres of land there shall not
be more than one adult or fully
grown horse, cow, hog, beef
cattle, sheep, goat or other four-
legged domestic-type farm
animal or combination thereof.
On any nonfarm lot, the keeping
of fully grown chickens, ducks,
geese or other fowl shall be
prohibited.
Village of Rhinebeck

7. A Snapshot of Dutchess County Agriculture via USDA Agriculture
2012 Agriculture Census Data and 2015 Agriculture District Data
• 30% of our total acreage
• Important employer in the county
• Part of the $438M Tourism Industry
• Nearly 700 Farms
• Most farms are between 10-180 acres in size
• 41,000 Acres of hay
• 25,000 Acres grain
• 8600 Acres corn
• 9500 horses
• 8500 sheep and goats
• 4500 cows
Cornell Cooperative Extension provides equal program and employment opportunities.
The County of Dutchess partially funds Cooperative Extension programming in Dutchess County.

8. Cornell Cooperative Extension provides equal program and employment opportunities.
The County of Dutchess partially funds Cooperative Extension programming in Dutchess County.
• $44.8 Million in Specialty or Value – Added Products

9. Benefits for Production Agriculture
• Agricultural Value Assessment (AVA)
– Minimum of 7 acres in production, excluding the house
– Gross an average of $10,000 in sales of agricultural products for
2 years
– Less than 7 acres and gross an average of $50,000 for 2 years
– AVA is based on the underlying quality of the soils (Soils of
Statewide importance and Prime Agricultural Soils will garner the
most value in reductions).
• Farmers’ School Tax Credit
– “Qualified farmers may obtain a state income tax credit for
school taxes through the Farmers’ School Tax Credit. The credit
is not a real property tax exemption and does not diminish local
school district revenue.”*

10. • Farm Building Exemptions
– “Section 483 of the NYS Ag and Markets Law exempts new or
reconstructed agricultural buildings, such as barns or farm
worker housing, from any increase in assessed value that results
from the improvement. Application to the local assessor must be
made within a year following the completion of construction
work. The exemption continues automatically for 10 years, as
long as the building continues to be used for farming.
– Sections 483-a, 483-c, and 483-d permanently exempt from
taxation certain agricultural structures, such as silos, grain
storage facilities, bulk tanks, manure facilities, temporary
greenhouses, and farm worker housing or commissaries/food
preparation facilities. Structures must be located on parcels of at
least 5 acres used for profitable agricultural production.
Structures used for processing, retail merchandising, personal
use or residences of applicants and their immediate families do
not qualify for the exemption.”

11. • Historic Barns Rehabilitation Tax Credit
– “Available to individuals and corporations who have restored a
barn built before 1936. The income tax credit may equal up to 25
percent of the cost of rehabilitating the barn. To be eligible, the
barn must be built to house farm equipment, livestock or
agricultural products (buildings built for or converted to
residential use are not eligible). In addition, the barn must meet
the tax definition of income producing (farming, rental, office,
commercial). Use tax Form IT-212-ATT.”*
• Replanted or Expanded Orchards and Vineyards
Exemption
– “For owners of orchards or vineyards, a partial tax exemption
exists that applies to newly replanted or expanded orchard and
vineyard land. Land eligible for agricultural assessment and used
solely for the replanting or expansion of an orchard or vineyard is
exempt from taxation for up to six successive years.”*

12. • Sales Tax Exemptions
– “New York tax law exempts certain items used in farm production from
state and local sales and use taxes. Items must be used
“predominantly” (more than 50 percent) for farm production in order to
qualify. Exempt items include personal property used for
production/operation; building materials used for farm buildings or
structures; services to install, maintain or repair farm buildings or
structures; motor vehicles used predominantly for
production/operation; and fuel, gas, electricity, refrigeration or steam
used for production/operation.”

13. • Forested Land
– “"Farm woodland" means land used for the production for sale of
woodland products, including but not limited to logs, lumber, posts and
firewood. Farm woodland shall not include land used to produce
Christmas trees or land used for the processing or retail
merchandising of woodland products.
– Farm woodland which is part of land which is qualified for an
agricultural assessment, provided, however, that such farm woodland
attributable to any separately described and assessed parcel shall not
exceed fifty acres.
– To encourage the long-term ownership of woodlands, Section 480-a
of the Real Property Tax Law allows eligible owners of forestland to
receive reductions in their tax assessment. Landowners must own a
minimum of 50 acres of contiguous forestland and be willing to commit
the land to forest crop production. Landowners must follow forest
management plans prepared by qualified foresters and approved by
the NYS Department of Environmental Conservation (DEC)”*

14. Agricultural Districts
– “New York’s Agricultural Districts Law was enacted in 1971 to help
keep farmland in agricultural production. A county legislative body
must approve and forward the petition to the Commissioner of
Agriculture for formal review and designation. As of December
2008, the state had 251 agricultural districts that represent about
8.5 million acres of land.
• What is an Ag District?
- A geographic area which consists predominantly of viable
agricultural land. Agricultural operations within the district are the
priority land use and afforded benefits and protections to promote the
continuation of farming and the preservation of agricultural land. In
practice, districts may include land that is actively farmed, idle,
forested, as well as residential and commercial.

15. Identify specific parcels and determine
whether the disclosure would be required.
The state Department of Agriculture and
Markets has provided a website that
includes maps of each county showing
agricultural districts as well as the name
of the individual from each county where
questions may be directed. The website
can be found here:
https://cugir.library.cornell.edu/catalog/cu
gir-007960
It should be noted that the agricultural
districts are the shaded areas on the
maps and not all of the land within
each respective municipality is part of
the district.
Explain and clarify the conflict and confusion in the term
Agriculture District as used in Article 25-aa and Duchess
County designated Agriculture District?

17. – Agricultural Impact Statements, Notice of Intent filings and Real Estate
Disclosure notices—are required for new developments and public
projects in agricultural districts.*
• When is the Agriculture Disclosure statement required?
• Agriculture and Markets § 310. “Disclosure.
1. When any purchase and sale contract is presented for the sale, purchase,
or exchange of real property located partially or wholly within an agricultural
district established pursuant to the provisions of this article, the prospective
grantor shall present to the prospective grantee a disclosure notice which
states the following:

18. "It is the policy of this state and this community to conserve, protect and
encourage the development and improvement of agricultural land
for the production of food, and other products, and also for its natural and
ecological value. This disclosure notice is to inform prospective residents that the
property they are about to acquire lies partially or wholly within an agricultural
district and that farming activities occur within the district. Such farming activities
may include, but not be limited to, activities that cause noise, dust
and odors. Prospective residents are also informed that the location of property
within an agricultural district may impact the ability to access water and/or sewer
services for such property under certain circumstances. Prospective purchasers
are urged to contact the New York State Department of Agriculture and Markets to
obtain additional information or clarification regarding their rights and obligations
under article 25-AA of the Agriculture and Markets Law."
1-a. Such disclosure notice shall be signed by the prospective grantor and
grantee prior to the sale, purchase or exchange of such real property.
2. Receipt of such disclosure notice shall be recorded on a property transfer
report form prescribed by the commissioner of taxation and finance as provided for
in section three hundred thirty-three of the real property law.”**

23. Annual Inclusion and 8 Year Review of Agricultural Districts
Districts are usually reviewed and renewed every 8 years. The County
Legislature Body, after receiving the report and recommendation of the
Agricultural and Farmland Protection Board and after a public hearing,
determines whether the district shall be continued, terminated or modified.
During the review process, land may be added or deleted from the district.
Counties are also required to designate an annual 30 -day period when
landowners may petition the county for inclusion of viable agricultural lands in
an existing agricultural district. In Dutchess County that 30-day inclusion is
April 15 – May 14 each year.

24. Purchase of Development Rights
Agricultural and Farmland Protection
The Agricultural and Farmland Protection Program was formed under Article 25-
AAA of the Agriculture and Markets law in an effort to encourage further
development of agriculture and farmland as part of the NYS Legislature’s
constitutional mandate to provide for the protection of agricultural lands. These
programs, at the initial stage, help counties and municipalities plan for the future of
agriculture in their communities. In later stages, it funds programs to implement
those plans to keep agriculture strong and farmland in production.

25. A Purchase of Development Rights (PDR) program pays the landowner to
protect their land from development and keep it open for agricultural use.
Most PDR programs are flexible and farm-friendly. When a land owner sells
their development rights under a PDR program, they get paid the difference
between the value of their land with restrictions promoting agriculture and its
value for development. A conservation easement is placed on the property
that outlines how the land is restricted. The easement is a perpetual document
that will protect the land forever.
How does it work?
Local, State and Federal have formal PDR programs which include
applications and specific grant requirements, having a land trust take the lead
on these will help secure the needed funding and they hold the easement
ensuring the perpetuity of the document.

27. https://s3.amazonaws.com/asset
s.cce.cornell.edu/attachments/86
20/2015-dutchess-county-
agricultural-and-farmland-
protection-plan-
rev.pdf?1433188359

28. (1) The Farmland Protection Planning Grants Program (FPPG), assists county and
municipal (i.e., town, village, city) governments in developing agricultural and
farmland protection plans which recommend policies and projects aimed at
maintaining the economic viability of the State's agricultural industry and its
supporting land base.
(2) The Farmland Implementation Grants Program (FPIG), assists counties,
municipalities, soil and water conservation districts, and not-for-profit conservation
organizations (“land trusts”) in implementing farmland protection plans, including
those created through FPPG.
(3) The Land Trust Grants Program awards state assistance to land trusts for
activities that will assist counties and municipalities with their agricultural and
farmland protection efforts.
NYS Funded Programs

29. Resources
* New York Agricultural Landowner Guide
http://www.ongov.net/planning/documents/NYAgLandowne
rGuide.pdf
NYS Department of Agriculture and Markets
Agricultural District Law
http://www.agriculture.ny.gov/AP/agservices/25-AA.pdf
Cornell Cooperative Extension Dutchess County
http://ccedutchess.org/agriculture

30. QUESTIONS?
Dutchess County Agriculture… It’s A Growing Thing! SM
Cornell Cooperative Extension provides equal program and employment opportunities.
The County of Dutchess partially funds Cooperative Extension programming in Dutchess County