County to explore urban agriculture incentive zones

The County of San Diego will be looking into the establishment of urban agriculture incentive zones.

A 5-0 San Diego County Board of Supervisors vote Nov. 18 directed the county's chief administrative officer to create framework criteria for evaluating proposals to establish urban agriculture incentive zones both within unincorporated San Diego County and in other jurisdictions within the county and also directed the chief administrative officer to determine the feasibility of establishing an urban agriculture incentive zone in unincorporated San Diego County using the newly created framework criteria.

Although the County of San Diego has land use jurisdiction only in the county's unincorporated area, an urban agriculture incentive zone has property tax benefits so the county's tax collection and disbursement activity would create county involvement for urban agriculture incentive zones in incorporated cities.

"I'm really excited about this project," said Supervisor Dave Roberts. "I think it's our responsibility to explore it."

In 1965, the state legislature passed the Williamson Act which allows landowners to sign contracts agreeing to restrict their land to agricultural or other open space use (including recreational use or combinations of agricultural, open space, and recreation use) in exchange for having the land assessed on its restricted use rather than its market value.

The lower assessment reduces property tax liability for the owner, and the Williamson Act included a provision providing partial reimbursement by the state to the counties for the lost property tax revenue.

The State Assembly district of Phil Ting includes the western part of the City of San Francisco as well as some of San Francisco's south suburbs. In 2013, Ting authored Assembly Bill 551 to create urban agriculture incentive zones. The bill initially passed both the State Assembly and the State Senate without any votes against it, although when the Assembly approved the Senate version the vote was 69-6. Governor Brown signed AB 551 on Sept. 28, 2013.

AB 551 authorizes cities and counties to enter into contracts with landowners to restrict the use of vacant, unimproved, or otherwise blighted land for small-scale production of agricultural crops and animal husbandry. The contract must be for at least five years and the property must be at least one-tenth of an acre (approximately 4,020 square feet) but no more than three acres.

The county assessor will value property under such a contract based on the average per-acre value of irrigated cropland in California (which was $12,500 per acre in 2014) and adjustments to that per-acre value can be made for easements, environmental constraints, or other restrictions.

The Urban Agriculture Incentive Zones Act defines "urban" as an area within the boundaries of an urbanized area including at least 250,000 people, so land in a small town within an urban metropolitan area is eligible.

No dwellings may be built on the property while it is under a contract, although structures which support agriculture such as tool sheds, greenhouses, produce stands, and instructional space are allowed. Both commercial and non-commercial agriculture are permitted on land with Urban Agriculture Incentive Zone contracts. A contract can include a prohibition on the use of pesticides or fertilizers although pesticides or fertilizers allowed by the U.S. Department of Agriculture's National Organic Program would be permitted.

An urban agriculture incentive zone in an incorporated city must be approved by both the city council and the county board of supervisors, although either governing body can pass the first resolution of approval. Only approval of the county supervisors would be needed for an urban agriculture incentive zone in an unincorporated community. The local government may charge landowners a fee for the reasonable costs to implement and administer the contract.

The Urban Agriculture Incentive Zones Act is a pilot program which will expire on Jan. 1, 2019, unless it is extended, although any contract approved by the end of 2018 will continue to be valid for the duration of the contract.

"It really is about providing more opportunities for people," said Supervisor Ron Roberts.

The county's initiatives include an agriculture promotion program which is being developed and the county's Live Well San Diego healthy lifestyles program which includes healthy food.

"It will serve to provide better food choices for our residents," Dave Roberts said.

"This just fits in with everything that we're doing," Ron Roberts said.

Preservation of agricultural land is another goal of the county. "This action is similar to the county's PACE program," said Supervisor Dianne Jacob.

When the Board of Supervisors approved an update of the county's general plan in August 2011, the supervisors directed county staff to develop a pilot Purchase of Agricultural Conservation Easement program to compensate willing property owners for placing an agricultural easement on their property which would limit future uses and eliminate future development. The response of the pilot program led to a permanent PACE program.

"The programs have been very successful in preserving ag land," Jacob said.

San Diego County Farm Bureau executive director Eric Larson noted that the average age of farmers in San Diego County is 65. "We have a huge gap at the bottom end of that age spectrum," Larson said.

Larson noted that the biggest barrier for potential farmers is access to land, so urban agriculture incentive zones could allow those interested in a farming career to lease land. "It can become the incubation for new farms and new farmers," he said.

Larson added that farmers who are successful on urban agricultural incentive zone land might be able to move up to a larger farm. Larson noted that approximately 60 percent of San Diego County's farmers are part-time farmers. "It will help us continue this ongoing tradition we have in San Diego County of small part-time farmers," he said.