The Georgia House and Senate recently passed the “Georgia Forest Land Protection Act of 2008”, championed by representative Richard Royal and signed by Governor Sonny Perdue. This act (also known as HB 1211) invites private landowners and businesses with land tracts of more than 200 acres to sign a 15- year covenant in which they agree to use their forested land for conservation purposes. The incentive to sign is a sizable tax break.

There is no maximum acreage for qualification, so long as you are an owner of forest or timberland. By signing the covenant the landowner agrees to maintain his or her land for conservation use as outlined in Section 2 of the bill:

(i) The promotion, preservation, or management of wildlife habitat;
(ii) Carbon sequestration in accordance with the Georgia Carbon Sequestration Registry;
(iii) Mitigation and conservation banking that results in restoration or conservation of wetlands and other natural resources; or
(iv) The production and maintenance of ecosystem products and services such as, but not limited to, clean air and water.  (Section 2, Line 16-22. HB 1211)

In fact, if one-half or more of this land is used for conservation and the rest is responsibly managed, then the whole tract is considered to qualify.

Owners who breach the covenant must pay at most three times their taxes back depending on how many years into the covenant the breach occurs. However, if the owners are notified that they have breached the covenant and correct their ways within 30 days, they are eligible to continue receiving tax breaks.

The bill seems to be important for at least two reasons, the first is that timber and forestland owners will not have to face the prospect of giving up their land because the taxes are too high. The second is that businesses and individuals are given an incentive to convert their land into a conservation easement.

According to the Georgia Forestry Association’s Capitol Forestry Report, the only major resistance to the bill is from the Association of County Commissioners of Georgia. The main fear there seems to be that the general population will resent the fact that large tract owners are rewarded with tax breaks for owning land they cannot afford.

We, here in the office, are pretty excited about what this bill means. We hope that people will not be afraid to buy or invest in timberland. Not only does owning large land and converting it into a conservation easement mean that the owner has great tax breaks, but it means that we all will have more sources for clean air and water and protected habitats for wildlife.

What do you think about this bill?  Let us know.

The sources for this article include:
 “Governor Perdue Signs Historic Land Conservation Legislation” Georgia Forestry Today May/ June 2008

Pearson, Chip. “Notes from the Georgia Senate: Important Initiatives Become State Law” DawsonTimes.com May 12, 2008 http://www.dawsontimes.com/news30534/notes-from-the-georgia-senate-important-initiative.shtml

“Georgia Forest Land Protection Act of 2008” Georgia Forestry Association Capitol Forestry Report. Feb. 29, 2008.  Access it here:
http://www.google.com/url?sa=t&ct=res&cd=7&url=http%3A%2F%2Fwww.gfagrow.org%2FUploadedFiles%2FCFR%252008-02-29.pdf&ei=KbxaSKDiHo7aefKguM8O&usg=AFQjCNHWIcWmB2iBH4WaB-1yMTA9wOeTJg&sig2=1nqy8ziyehTPo3hlmSxEOQ

“House Bill 1211 (AS PASSED HOUSE AND SENATE)” Georgia General Assembly.  Access it here:
http://www.legis.state.ga.us/legis/2007_08/fulltext/hb1211.htm