SAMPLE PDR FUNDING SOURCE SHEET

Prepared by Ray Pickering of Piedmont Environmental Council

Robert Shaffer Farm – Purchase of Development Rights

Partnership:      Fauquier County
                        PEC (Cedar Run Fund)
                        USDA/NRCS Farmland Protection Program

County PDR Policy:            Purchase price capped at $20,000 per development right

Shaffer Farm:    has 24 development rights per county zoning
                        Shaffers would like to retain 2 development rights
                        22 development rights @ $20,000 each = $440,000
                        Shaffer (Ruffner) appraisal:  $650,000

Sources of PDR Funding:            County Funds            $175,000
                                                PEC (Cedar Run)          $ 50,000
                                                USDA/NRCS              $215,000
                                                                                    $440,000

Virginia Land Conservation Tax Credit Transfer:            Donation Value:            $210,000
            Tax Credit capped at 50% = $105,000 = Potential “transfer” amount
            (PEC may be able to assist in location buyer(s) of tax credits)

$440,000
$105,000
$545,000 

Federal Charitable Contribution (Deduction) based on Bargain Sale:  $210,000

(may be taken in amount up to 30% of Adjusted Gross Income in year of donation and carried forward for up to 5 additional years.