California’s
Urban Agriculture Incentive Zones Act creates an innovative incentive for landowners to develop urban farms. As Planning magazine reports (“Urban Farming Law Breaks New Ground,” December 2013 (subscription required)), the program allows large cities and counties (those with at least 250,000 residents) to designate zones in which landowners receive a property tax break if they agree to use their land for urban agriculture for at least five years.
The program is designed for landowners of up to three acres parcels that are vacant or blighted. Landowners that commit to restricting the use of their land for urban farming may qualify to have the property assessed based on its agricultural, rather than market, value. This could result in significantly lower tax bills.
The article also notes that despite the property tax incentive, some cities may have to remove land use restrictions to make the program work. San Francisco is a step ahead, having already implemented
legislation to make it easier to install urban farms on vacant land and rooftops.
