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The Arizona
Preserve Initiative (API) was passed by the Arizona State
Legislature as HB 2555 and signed into law by the Governor in the
spring of 1996. It is designed to encourage the preservation of
select parcels of state Trust land in and around urban areas for
open space to benefit future generations. The law lays out a process
by which Trust land can be leased for up to 50 years or sold for
conservation purposes. Leases and sales must both occur at a public
auction.
Conservation is defined in the law
as “protection of the natural assets of state Trust land for the
long-term benefit of the land, the beneficiaries, lessees, the
public, and unique resources such as open space, scenic beauty,
protected plants, wildlife, archaeology, and multiple use values.”
Under the original legislation, only Trust land within incorporated
cities and towns, within one mile of incorporated municipalities of
less than 10,000 persons, or within three miles of municipalities
equal to or greater than 10,000 persons may be reclassified for
conservation purposes.
In 1997, 1998, and 1999 amendments
to the API were passed and signed into law. The revisions expanded
the applicable area in Maricopa County and Pima County up to an
additional ten miles beyond the 1996 boundaries and made specific
Pinal and Coconino County lands adjacent to the Superstition
Mountains and the San Tan Mountains near Metro Phoenix, within the
Tortolita Mountains near Tucson, and southwest of Flagstaff eligible
for conservation consideration. Among other provisions, a
public-private matching grant program was created under the auspices
of the State Parks Board for acquisition or lease of state Trust
lands for conservation. Proposition 303, passed by voters in
November, 1998, funds the grant program for 11 years beginning in
July, 2000. Also clarified was the establishment of a lower bond for
sale or lease applications and changes in the appraisal process.
A state or local government, business, state land lessee
or a group of citizens may petition the State Land Commissioner to have
certain Trust land nominated and reclassified for conservation purposes.
After all appropriate notifications, public hearings, consideration of
physical and economic impacts to lessees and the Trust, the Commissioner
may reclassify the subject land as suitable for conservation purposes. The
Commissioner must consider recommendations from a five-member Conservation
Advisory Committee that was established by law, as well as consult with
local and regional planning authorities. Existing leases on any land
reclassified for conservation purposes may not be canceled or impaired in
any way.
Once the land is reclassified, the
Commissioner may adopt a coordination plan, prepared by the interested
parties, for the property to protect conservation values. The Commissioner
may also withdraw land from sale or lease for three
to five years (with the possible extension for up to three more years) to
allow prospective lessees or purchasers time to prepare the plan for the
property and to raise funds.
With one independent appraisal and an
independent review appraisal of the fair market value and required legal
notice, a conservation lease or sale may be auctioned. The land value
cannot be reduced because of the conservation purpose.
If an existing lease is not renewed
because a conservation lease is issued, the former lessee must
receive compensation for the loss of lease and reimbursable improvements.
If the land is sold for conservation purposes, the lease must be
allowed to continue to the end of its term. If that lease were to be
modified or canceled by the new owner, the law provides for compensation
by the new owner to the lessee.
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