(a)   Agricultural land preservation easements may be purchased under this
subtitle for any land in agricultural use which meets the minimum
criteria established under § 2-509 of this subtitle if the easement
and county regulations governing the use of the land include the
following provisions:
    (1)   Any farm use of land is permitted.
    (2)   Operation at any time of any machinery used in farm production or the
primary processing of agricultural products is permitted.
    (3)   All normal agricultural operations performed in accordance with good
husbandry practices which do not cause bodily injury or directly
endanger human health are permitted including, but not limited to, sale
of farm products produced on the farm where such sales are made.
  (b)   (1)   A landowner whose land is subject to an easement may not use the land
for any commercial, industrial, or residential purpose except:
      (i)   As determined by the Foundation, for farm and forest related uses and
home occupations; or
      (ii)   As otherwise provided under this section.
    (2)   Except as provided in paragraphs (3) and (6) of this subsection, on
written application, the Foundation shall release free of easement
restrictions only for the landowner who originally sold an easement, 1
acre or less for the purpose of constructing a dwelling house for the
use only of that landowner or child of the landowner, up to a maximum
of three lots, subject to the following conditions:
      (i)   The number of lots allowed to be released under this section, except as
provided in paragraph (6) of this subsection, may not exceed:
        1.   1 lot if the size of the easement property is 20 acres or more but
fewer than 70 acres;
        2.   2 lots if the size of the easement property is 70 acres or more but
fewer than 120 acres; or
        3.   3 lots if the size of the easement property is 120 acres or more.
      (ii)   The resulting density on the property may not exceed the density
allowed under zoning of the property before the Foundation purchased
the easement.
      (iii)   The landowner shall pay the State for any acre or portion released at
the price per acre that the State paid the owner for the easement.
      (iv)   Before any conveyance or release, the landowner and the child, if there
is a conveyance to a child, shall agree not to subdivide further for
residential purposes any acreage allowed to be released. The agreement
shall be recorded among the land records where the land is located and
shall bind all future owners.
      (v)   After certifying that the landowner or child of the landowner has met
the conditions provided in subparagraphs (i) through (iv) of this
paragraph, the Foundation shall issue a preliminary release which
shall:
        1.   Become final when the Foundation receives and certifies a
nontransferable building permit in the name of the landowner or child
of the landowner for construction of a dwelling house; or
        2.   Become void upon the death of the person for whose benefit the release
was intended if the Foundation has not yet received a building permit
as provided in this subparagraph.
      (vi)   Any release or preliminary release issued under this paragraph shall
include:
        1.   A statement of the conditions under which it was issued, a
certification by the Foundation that all necessary conditions for
release or preliminary release have been met, and copies of any
pertinent documents; and
        2.   A statement that the owner's or child's lot may not be transferred
for 5 years from the date of the final release, except on:
        A.   Approval by the Foundation; or
        B.   Notwithstanding any conditions on transfers imposed under item 1 of
this subparagraph, a lender providing notice to the Foundation of a
transfer pursuant to a bona fide foreclosure of a mortgage or deed of
trust or to a deed in lieu of foreclosure.
      (vii)   Any release, preliminary release, building permit, or other document
issued or submitted in accordance with this paragraph shall be recorded
among the land records where the land is located and shall bind all
future owners.
      (viii)   The Foundation may not restrict the ability of a landowner who
originally sold an easement to acquire a release under this paragraph
beyond the requirements provided in this section.
    (3)   A landowner may reserve the right to exclude 1 unrestricted lot from an
easement in lieu of all owner's and children's lots to which the
landowner would otherwise be entitled under paragraph (2) of this
subsection, subject to the following conditions:
      (i)   The resulting density on the property shall be less than the density
allowed under zoning of the property before the Foundation purchased
the easement;
      (ii)   An unrestricted lot may be subdivided by the landowner from the
easement and sold to anyone to construct one residential dwelling;
      (iii)   The size of an unrestricted lot shall be 1 acre or less, except as
provided in paragraph (6) of this subsection;
      (iv)   The landowner shall agree not to subdivide further for residential
purposes any acreage allowed to be released, and the agreement shall be
recorded among the land records where the land is located and shall
bind all future owners;
      (v)   The right to the lot is taken into consideration in the appraisal of
fair market value and determination of easement value;
      (vi)   The lot can be subdivided at any time and the location of the lot to be
subdivided is subject to the approval of the local agricultural
advisory board and the Foundation; and
      (vii)   If the property is transferred before the right to exclude the lot has
been exercised, the right may be transferred with the property.
    (4)   (i)   Subject to the approval of the Foundation, a landowner may construct
housing for tenants fully engaged in operation of the farm.
      (ii)   Construction may not exceed 1 tenant house per 100 acres, unless the
Foundation grants an exception based on a showing of compelling need.
      (iii)   The land on which a tenant house is constructed may not be subdivided
or conveyed to any person. In addition, the tenant house may not be
conveyed separately from the original parcel.
      (iv)   The Foundation shall adopt regulations for the size and location of
tenant houses.
    (5)   Except as provided in paragraph (6) of this subsection, on request to
the Foundation, an owner may exclude from the easement restrictions 1
acre per each single dwelling, which existed at the time of the sale of
the easement, as an owner's, children's, or unrestricted lot to which
the owner is entitled under paragraph (2) of this subsection, by a land
survey and recordation provided at the expense of the owner. However,
before any exclusion is granted, an owner shall agree with the
Foundation not to subdivide further for residential purposes any
acreage allowed to be released. This agreement shall be recorded among
the land records where the land is located and shall bind all future
owners.
    (6)   (i)   The restrictions of paragraphs (2) and (5) of this subsection
concerning maximum lot sizes are altered so that the maximum lot size
is 2 acres if:
        1.   Regulations adopted by the Department of the Environment require a
minimum lot size for a dwelling house of not less than 2 acres in areas
where there is less than 4 feet of unsaturated and unconsolidated soil
material below the bottom of an on-site sewage disposal system or in
areas located within 2,500 feet of the normal water level of an
existing or proposed water supply reservoir; or
        2.   Regulations adopted by the jurisdiction in which the land is situated
require that a lot for a dwelling house be larger than 1 acre.
      (ii)   For exclusions provided under paragraph (5) of this subsection, the
landowner shall pay the State for any acre or portion released in
excess of the 1 acre per single dwelling that existed at the time of
easement.
  (c)   Purchase of an easement by the Foundation does not grant the public any
right of access or right of use of the subject property.
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