Why did the Conservation Commission submit Article 24?           

The Sandown Conservation Commission is sponsoring an Article that will appear on the 2004 Warrant asking the town's voters to deposit an additional 50% of the “ Land Use Change Tax ” (LUCT) into the “Town of Sandown Conservation Fund ”.

Warrant Article # 24 will be debated at the “Town Meeting Deliberative Session” on Saturday February 7 2004 and will be on the ballot for the “Town Meeting Elections” on Tuesday March 9 2004 .

In 1972, the NH Legislature recognized the need to offset development with tools and resources for conservation. RSA 79:A , the “Current Use” Law was passed so landowners with large tracts of land 10 acres or greater would not be forced to sell their “Open Space” land simply to pay the rising property taxes. If the landowner decides to put their land in “Current Use”, they receive substantial tax benefits and in return, they “promise” that they will not develop their land.

If, at anytime in the future they decide to develop their land and “change” it's “use” they are subject to a “LUCT” equal to 10% of the present day “market” value of the land taken out of “Current Use”.

The Legislature also set up a system whereby individual cities and town may have the ability to protect or purchase “Open Space” to preserve the rural character of NH. Cities and Towns may deposit all or a percentage of the (LUCT) collected into a “Conservation Fund” pursuant to RSA 79-A:25 II .

This issue can be confusing so the Sandown Conservation Commission wanted to answer some frequently asked questions:

Q. Where does the LUCT money collected go now?

A. 50% of the money collected goes into the Town's Conservation Fund and the remaining 50% goes into the General Fund to offset property taxes.

The Town started depositing 25% of the collected money into the Conservation Fund in 1997. The voters then approved to raise that amount deposited to 50% in 2002.

Q. How much money is in the Town's Conservation Fund now?

A. At the end of December 2003, there is just under $200,000.00 in the Town's Conservation Fund. This may sound like a lot of money but remember that a single “build-able” lot in Sandown costs about $130,000.00. THAT'S ONE LOT !

Q. How much money does the Town get in LUCT money each year?

A. It depends on how much land is taken out of its “Current Use” and subject to the penalty as well as what the market value is of the land. It could very well be $0.

If the Town Collects, $100,000.00 in LUCT penalties and all of that money went to the General Fund to “offset taxes” it would amount to roughly $50.00 per home per year.

If the Town had no land use changes in a given year and collected no penalties as a result, there would be no tax relief anyway. Therefore, we cannot budget for this money when calculating the tax rates.

One the other hand, by keeping some tracts of land open and undeveloped, that land poses no expense to the Town or the School District which leads to overall lower taxation. Less developed space means lower taxes.

Q. Why should any of this money go into the Town's Conservation Fund?

A. Originally the “Current Use” program was intended to protect land as “Open Space” so it makes sense that any penalties collected under this option, be used to protect other open lands.

If it is the wish of the people of Sandown to maintain the rural character of the town then we'll need to keep some type of pace with the developments.

This investment of money will allow the Conservation Commission the ability to protect “open space” in several ways including but not limited to land purchases, conservation easement purchases or developer set-a-sides.

Furthermore, having such funds available for open space purchases will makes it possible for the Town to compete for Federal and State matching grant money. If Sandown puts up $500,000.00, we could qualify an additional $500,000.00.

Q. Besides open space purchases what other ways can the Conservation Commission spend this money?

A. The Conservation Commission can use this money for conservation purposes pursuant to RSA 36- A, however, the number one focus will be on open space protection purchases.

The Conservation Commission can also use this money for maintenance and management of the town's “Open Space”. They may hire land surveyors to accurately determine boundaries. In some case's they'll need to conduct environmental studies to determine the “Best Uses” for certain parcels. The Commission may need to host informational seminars and or publish educational materials such as maps, booklets or building and maintaining an informational web site, which may have some costs attached.

The Conservation Commission holds two public meetings per month and we encourage input from the public to help us decide which expenditures are best for the town. Furthermore, before any land purchase, the Conservation shall hold a public hearing with notice in accordance with RSA 675:7 and must have the approval of the local governing body (The Board of Selectmen).

Q. What percentages do our neighboring towns deposit in to their “Conservation Fund”?

A. Auburn – 100% // Brentwood – 50% // Candia – 100% // Chester – 100% // Danville – 100% // Derry – 100% // Fremont – 50% // Hampstead – 35% // Newton – 35% // Plaistow – 100% // Raymond – 25% // Salem – 100% // Windham – 100%.

In total, 128 Cities and Towns contribute some amount to their Conservation Fund.

Q. What if we purchase enough “Open Space” can we reverse the amount deposited?

A. Yes, The people always have a choice to change the amounts deposited into the Conservation Fund at “Town Meeting”. The Conservation Commission welcomes that day when we can roll back these contributions.