KLT final ayo report

Memorandum To: Board, Kingston Land Trust From: Samuel N. Stokes, 8000 Park Crest Drive, Silver Spring, MD 20910; [email protected]; 301-585-2270 Date: May 14, 2012 Subject: Assessment Report It has been a pleasure working with you and learning about all you have been doing to protect Kingston’s cultural, natural, and recreational resources. On the following pages, I have listed the Land Trust Alliance’s 12 standards and 88 practices—to which you and other member organizations of the Alliance subscribe—together with your comments (underlined) and ratings from our February 16th and April 19th meetings. My own thoughts are confined to the “Consultant’s Comments” sections, following each of the 12 standards. I have also given you my recommendations after each standard. If a recommendation reflected consensus you came to during our meetings, I have noted it as a “board recommendation.” Fundamentally, I believe the Kingston Land Trust is in good shape. You have conserved important community resources and created potentially outstanding recreational opportunities. Probably the most important sign of a healthy organization is dedicated board members and staff, all of whom work well together. It is obvious, from our discussions and from your responses to the survey, that you are indeed committed to KLT’s mission, and work well together.

As we have discussed, there are a number of KLT policies that need be developed. You noted that many of your procedures are ad hoc. Given the scrutiny that land trusts across the country are currently facing and the litigious nature of our society, it has become increasingly urgent for all land trusts to make sure they have sound policies in place. This should not be viewed as a daunting task. There is plenty of help available. The Alliance’s two volume “The Land Trust Standards and Practices Guidebook: An Operating Manual for Land Trusts” has a full discussion of each practice, as well as examples of policies developed by other land trusts. The entire text of the “Guidebook,” together with additional examples not available in the printed version, is available on the Alliance’s Learning Center website: http://learningcenter.lta.org/objects/browse-objects.acs?object_type_id=107. (Access to the Alliance’s online resources is available to all of you as board members of an Alliance member organization. Back in January the Alliance sent each of you a temporary password. If you have not already done so, I would urge you to sign up for a free account.)

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The Alliance has prepared a number of other helpful publications. For a complete list, go to: http://www.landtrustalliance.org/training/publications/publications-1. In the “Consultant’s Comments” sections below, I have referred to several Alliance publications relating to the implementation of specific practices. These Standards and Practices “curriculum” publications are available for purchase from the Alliance, but can also be downloaded for free, as a benefit of your membership. For a list of the available publications relating to specific Standards and Practices, go to: http://www.landtrustalliance.org/training/publications/curriculum. They are also available as online courses: http://learningcenter.lta.org/ltalrn/?page_num=1&portal_id=1003. Another approach would be to use the Alliance’s "Pathways" program, which provides templates for developing some of the policies that are required for accreditation (4A, 6F, 9G, 11B, 11C, 11E, and 11I). Here is a link: http://pathways.lta.org/tasks/35184. I have also referred you to examples from other land trusts for policies that you should consider developing. The electronic version of this report has hyperlinks to those examples. There are additional examples on the Learning Center website. If you use these examples, they must, of course, be adapted to KLT’s particular circumstances. You should also make sure they are in conformance with the latest guidance from the Land Trust Accreditation Commission: http://www.landtrustaccreditation.org/tips-and-tools/guidance-documents.

You should not be concerned that a number of recommended policies, procedures, and documents have yet to be developed. In the early stages of KLT’s history, it has been important to devote your energies to establishing a track record and getting key properties protected. However, as your holdings grow and the issues you will inevitably confront multiply, it will be important to make sure you have appropriate policies in place. Conserving land can be a complex business and there are many potential pitfalls. In the long run, it will save you a great deal of time and potential aggravation to have routine policies and written SOPs in place. Many policies can be short and many, particularly for standards one through seven, are the good business practices that should be expected of any nonprofit organization. Kevin McEvoy has already prepared drafts for many of them. I would recommend implementing your policies gradually. Perhaps at each board meeting over the course of a couple of years you could consider and adopt one or two. For ready reference, I recommend that a copy of all of your policies and SOPs be kept in one loose-leaf, tabbed notebook, organized in the order that they are listed in in the Alliance’s Standards and Practices. The following seven recommendations are the ones that I would consider to be of the highest priority:

• 1B: Prepare a strategic plan

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• 2B: Consider bylaw revisions • 2D & 9G: Finalize records policy • 4A: Update conflict-of-interest policy • 7C: Approve a job description for the Executive Director • 8B: Adopt acquisition criteria • 12C: Draft property management plans

The last step in the assessment process is the preparation of a work plan that describes how you intend to go about implementing the recommendations that we developed. I have given you one possible template for your work plan, and I will be pleased to provide comments, once you have a draft. Once you have appropriate policies in place and in use, you should consider applying for accreditation. As we discussed, accreditation will give potential donors and supporters increased assurance that KLT will provide long-term protection to the properties it stewards. Information on the application process and what the Alliance’s Accreditation Commission will be looking for in reviewing “indicator practices” can be found on the Commission’s website: http://www.landtrustaccreditation.org/home. Finally, the Land Trust Alliance has asked that the following reminder be included in all consultant reports: Assessing Your Organization is a tool to help land trusts evaluate their progress in implementing Land Trust Standards and Practices. Completing a guided organizational assessment with an Alliance staff member or a consultant will not guarantee accreditation. Please consult the materials on the Land Trust Accreditation Commission website, including the application, applicant handbook and guidance documents, for accreditation requirements. I predict a bright future for the Kingston Land Trust and look forward to learning of your future successes.

Organizational Strength: Kingston Land Trust, 2012 Assessment

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A. Mission. The board adopts, and periodically reviews, a mission statement that specifies the public interest(s) served 3

by the organization. • Protect open space, historic sites, scenic resources, and natural areas—through property acquisition,

maintenance, education, research, and advocacy. Connect people to their natural resources. Work to create a more livable community.

• Responsive to public interest. Strong community involvement. • We have a good statement on our website, but it could be tightened. We haven’t reviewed it.

B. Planning and Evaluation. The land trust regularly establishes strategic goals for implementing its mission and 2

routinely evaluates programs, goals and activities to be sure they are consistent with the mission. • Each committee is responsible for creating its own mission/vision/goal statement with the help and/or approval of

the KLT board. • We need a somewhat more formal planning process. The time is now right to do a strategic plan. • As a new member, I’m not aware how goals are established. • There is no systematic evaluation of goals and programs, or annual work plans.

C. Outreach. The land trust communicates its mission, goals and/or programs to members, donors, landowners, the 4 general public, community leaders, conservation organizations and others in its service area as appropriate to carry out its mission.

• Through website, Facebook, newsletters, attendance a public meetings, KLT committee meetings, events, and press releases.

• Communication is one of our strengths. Our outreach to the community has been exemplary. • We could do more and outreach should be addressed through our strategic plan.

D. Ethics. The land trust upholds high standards of ethics in implementing its mission and in its governance 4 and operations.

• Covered by the conflict-of-interest policy. See practice 4A.

Consultant’s Comments: Practice 1D is currently an indicator practice for accreditation.

STANDARD

1 Mission The land trust has a clear mission that serves a public interest, and all programs support that mission.

How well does this describe the land trust? 1 = not true 4 = always true ? = don’t know


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1B: Developing a strategic plan should be a high priority. Strategic planning should be about making choices. If the end result is a plan that simply summarizes everything KLT is already doing, it may help in explaining your mission to the public, but it will not help you make sure your financial, staff, and volunteer resources are deployed to maximum advantage.

I suggest you use an outside facilitator experienced in strategic planning. An independent outsider could be particularly helpful in getting unvarnished opinions from the community: As part of the process, the facilitator should solicit the opinions of community leaders and residents through interviews and/or focus group meetings. An outside facilitator can also free you up so that you can fully participate in the discussions; ask questions that might not occur to those who are involved in the issues day to day; keep the process moving if it bogs down; and gently push if you are finding it difficult to come to consensus. An excellent Alliance primer on strategic planning is “Mission, Planning and Capacity”: http://iweb.lta.org/Purchase/ProductDetail.aspx?Product_code=CURR_MISSION. For a generic sample plan, see: http://learningcenter.lta.org/attached-files/0/96/9632/appendix_01_B_06z.pdf. Note that the goals are measurable—one indication of a good plan. Once a strategic plan is in place, you should develop annual work plans that show how you will implement the strategic plan goals. At the end of each year, you should evaluate your progress in meeting the goals.

1C: Few land trusts give themselves high marks for their outreach programs. You should be pleased with your accomplishments! Recommendations:

1. 1A: Review mission statement (and revise, if necessary) as part of your strategic planning.

2. 1B: Develop a three-to-five-year strategic plan. Review progress in meeting the plan at least once a year. (Board recommendation; priority)

3. 1B: Create annual work plans that assign responsibilities to specific board members, committees, and staff.


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A. Compliance with Laws. The land trust complies with all applicable federal, state and local laws. 4

• We have a draft whistleblower policy; it was a requirement for our 501(C)3 status. • Filed 990-N for 2010. Filing 990 for 2011.

B. Nonprofit Incorporation and Bylaws. The land trust has incorporated according to the requirements of state law 3 and maintains its corporate status. It operates under bylaws based on its corporate charter or articles of incorporation. The board periodically reviews the bylaws.

• Incorporated in 2008. Not officially a membership organization, but there is a friends’ group. • Current practices consistent with bylaws. Original bylaws are referred to, but have not been reviewed recently to

see if revisions are called for. • Do follow state nonprofit reporting requirements. Have (or can obtain) a certificate of good standing. • No related entities.

C. Tax Exemption. The land trust has qualified for federal tax-exempt status and complies with requirements for 4 retaining this status, including prohibitions on private inurement and political campaign activity, and limitations and reporting on lobbying and unrelated business income. If the land trust holds, or intends to hold, conservation easements, it also meets the Internal Revenue Code's (IRC) public support test for public charities. Where applicable, state tax-exemption requirements are met.

• Comply with all requirements. D. Records Policy. The land trust has adopted a written records policy that governs how organization and transaction 2 records are created, collected, retained, stored and disposed. (See 9G.)

• In draft. Working on revisions. E. Public Policy. The land trust may engage in public policy at the federal, state and/or local level (such as supporting 3 or opposing legislation, advocating for sound land use policy, and/or endorsing public funding of conservation) provided that it complies with federal and state lobbying limitations and reporting requirements. Land trusts may not engage in political campaigns or endorse candidates for public office.

• Have a draft policy. • Board understands prohibitions on political campaign activity and limitations on lobbying.

Consultant’s Comments: Practices 2A, B, and C are currently indicator practices for accreditation.

STANDARD

2 Compliance with Laws The land trust fulfills its legal requirements as a nonprofit tax-exempt organization and complies with all laws.



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2B: Reviewing your bylaws once a year would be a good opportunity to make sure everyone is familiar with them and, if called for, to consider revisions. Here are some technical corrections to the bylaws I suggest you consider:

• IV.5: The last sentence seems unnecessary since any change to the bylaws requires 2/3 approval according to article XI. • VI.1: Add Vice-Chairperson to the list. • VI.6: Does the Executive Director have a vote? The term “ex officio” doesn’t imply one way or the other.

See also the following bylaw comments recommendations, discussed elsewhere: • IV.6: Term limits—See comments and recommendation for practice 3C. • VI.9: Officer compensation—See comments and recommendation for practice 4B. • VII: Committees—See comments and recommendation for practice 3E.

2C: During our workshop, you asked about IRS requirements for retaining your 501(c)3 status. See the discussion for Practice 2C in volume 1 of “An Operating Manual for Land Trusts”: http://tlc.lta.org/documents/3472/file. 2D: The Alliance publication “Nonprofit Law and Recordkeeping for Land Trusts, Volume II: Recordkeeping Essentials for Land Trusts” should be useful: http://iweb.lta.org/Purchase/ProductDetail.aspx?Product_code=CURR_NONPROLAW2. You could also use the Land Trust Alliance template for developing your policy: http://pathways.lta.org/ayo/policy_builder/9G. For two examples of records policy that covers the basics, see the Vermont Land Trust”s: http://learningcenter.lta.org/attached-files/0/43/4386/appendix_02_D_05.doc). 2E: For a summary of how much lobbying the IRS allows, see the discussion for Practice 2E in volume 1 of “An Operating Manual for Land Trusts”: http://tlc.lta.org/documents/3476/file. It would appear that the lobbying you have done to date is well within the limits allowed by the IRS. Recommendations:

1. 2A: Adopt whistleblower policy. 2. 2B: Consider amendments to your bylaws (discussed above) and plan to review them once a year in the future. Note the date of the

last revisions. (Priority) 3. 2D: Complete work on a records policy that governs how critical records are stored and protected. (Priority)

4. 2D: Keep copies of all KLT policies and SOPs in one tabbed loose-leaf notebook, organized in the order that they are listed in in the Alliance’s Standards and Practices. On each policy, note the date that the board approved it, or last revised it.


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A. Board Responsibility. The board is responsible for establishing the organization’s mission, determining strategic 4 direction and setting policies to carry out the mission, and, as required by law, the oversight of the organization’s finances and operations. B. Board Composition. The board is of sufficient size to conduct its work effectively. The board is composed of 3 members with diverse skills, backgrounds and experiences who are committed to board service. There is a systematic process for recruiting, training and evaluating board members.

• 7 to 17 seats authorized. Currently 11 filled. • Board extremely competent and energized. • Nominating committee reviews and interviews candidates. Many candidates already serving on KLT committees. • Orientation and training not highly structured. New board members need to be oriented—steps being taken. • No formal evaluation of board members.

C. Board Governance. The land trust provides board members with clear expectations for their service and informs 2 them about the board’s legal and fiduciary responsibilities. The board meets regularly enough to conduct its business and fulfill its duties, with a minimum of three meetings per year. Board members are provided with adequate information to make good decisions. Board members attend a majority of meetings and stay informed about the land trust’s mission, goals, programs and achievements.

• Agenda and other materials are sent in advance. Board members don’t always receive all the information they need. There is no board policy manual.

• Some issues are not discussed sufficiently for the benefit of the new members. • Board meets regularly and frequently enough. • Executive committee takes action when there isn’t a quorum at a board meeting. • In the past, not all board member attended meetings regularly, stayed informed, and participated. • Maximum of two two-year terms. However, the bylaws allow term limits to be waived by a 2/3 vote. • The board Secretary position is currently vacant.

D. Preventing Minority Rule. The land trust’s governing documents contain policies and procedures (such as provisions 4 for a quorum and adequate meeting notices) that prevent a minority of board members from acting for the organization

without proper delegation of authority. • Meeting notice requirements are specified in bylaws. • Quorum is a majority of current active board members. • All board member actions are documented.

STANDARD

3 Board Accountability The land trust board acts ethically in conducting the affairs of the organization and carries out the board’s legal and financial responsibilities as required by law.



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E. Delegation of Decision-Making Authority. The board may delegate decision-making and management functions to 2 committees, provided that committees have clearly defined roles and report to the board or staff. If the land trust has staff, the board defines the job of, oversees and periodically evaluates the executive director (or chief staff person). (See 3F and 7E.)

• Most believe all members understand and agree to decision-making process. • The bylaws provide for four committees: Executive, Nominating, Compensation, and Audit. • The Land Use, Management, and Planning Committee should be a standing committee mandated by our bylaws. • The bylaws should also require a standing Finance Committee. • Other programmatic committees can be named as needed. • Executive Committee and most programmatic committees meet monthly. • Executive Director is evaluated by the Executive Committee. • We should have a more formal decision-making process for committee actions.

F. Board Approval of Land Transactions. The board reviews and approves every land and easement transaction, and 4 the land trust provides the board with timely and adequate information prior to final approval. However, the board may delegate decision-making authority on transactions if it establishes policies defining the limits to that authority, the criteria for transactions, the procedures for managing conflicts of interest, and the timely notification of the full board of any completed transactions, and if the board periodically evaluates the effectiveness of these policies.

• Full board approves every transaction. There is no delegation of this authority. • Land Use, Management, and Planning Committee, Executive Committee, and Executive Director evaluate

projects and make recommendations to board. General Comments on Standard 3:

• With a new and larger board, with some additional expertise, it is of the highest importance to ensure the board is functioning well.

• The minute-taking procedure could use significant review. At least one set of minutes is missing. Consultant’s Comments: Practices 3C and F are currently indicator practices for accreditation.

3A: For a review of board members’ legal responsibilities, see the Alliance’s discussion on the topic: http://learningcenter.lta.org/documents/3477/file. See also the New York State Attorney General’s “Right from the Start: Responsibilities of Directors and Officers of Not-For-Profit Corporations”: N.Y.State Attorney General Right from the Start. 3B: Given that recruiting board members has at times been a challenge, you might wish to consider three-year terms. The provision in your bylaws that allows you to retain members beyond two two-year terms by a 2/3 vote makes sense for now. However, once board membership stabilizes, I would recommend removing this exception.


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To assist in recruiting new board members with diverse backgrounds, you might find the Alliance’s board matrix (http://learningcenter.lta.org/attached-files/0/97/9737/appendix_03_B_01z.doc) helpful. The Alliance publication “Land Trust Boards: Preparing for Perpetuity” (http://iweb.lta.org/Purchase/ProductDetail.aspx?Product_code=CURR_BOARDS) could be a valuable component of the orientation for new board members. 3C: Responses to supplemental questions:

1. Officers and other board members understand their roles during meetings. Rating 1 2 3 4 # Responses 2 3

2. Time spent on discussion during meetings, prior to action, is appropriate. Rating 1 2 3 4

# Responses 2 3

3. All board members, including new members, are encouraged to present their opinions on both old and new business.

Rating 1 2 3 4 # Responses 3 2

4. KLT has a positive climate, enabling Board members of diverse perspectives to resolve differences and remain involved.


5. The relationships between board members and the executive director are characterized by openness, trust, and mutual respect.

Rating 1 2 3 4 # Responses 5

6. Overall, being a board member is satisfying.


Your responses to questions 3-6 are encouraging. The responses to questions 1 and 2, however, reinforce the comments for practice 3B and 3C, above, about the need for better board orientation and that more time may be needed at board meetings to discuss issues that new members are not familiar with. Recommendations:

1. 3B & 3C: Follow through on suggestions to better orient new board members. (Board recommendation)

2. 3E: Rethink which standing committees should be listed in the bylaws. (Board recommendation)

3. 3E: At least once a year, the Chairperson should review the Executive Director’s performance with that individual.


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A. Dealing with Conflicts of Interest. The land trust has a written conflict of interest policy to ensure that any conflicts 3 of interest or the appearance thereof are avoided or appropriately managed through disclosure, recusal or other means. The conflict of interest policy applies to insiders (see definitions), including board and staff members, substantial contributors, parties related to the above, those who have an ability to influence decisions of the organization and those with access to information not available to the general public. Federal and state conflict disclosure laws are followed.

• We have a policy, however it does not meet all of the Alliance’s requirements. • There could be issues with public employees on the board representing their agencies.

B. Board Compensation. Board members do not serve for personal financial interest and are not compensated except 4 for reimbursement of expenses and, in limited circumstances, for professional services that would otherwise be contracted out. Any compensation must be in compliance with charitable trust laws. The board’s presiding officer and treasurer are never compensated for professional services.

• None compensated. C. Transactions with Insiders. When engaging in land and easement transactions with insiders (see definitions), the 4 land trust: follows its conflict of interest policy; documents that the project meets the land trust’s mission; follows all transaction policies and procedures; and ensures that there is no private inurement or impermissible private benefit. For purchases and sales of property to insiders, the land trust obtains a qualified independent appraisal prepared in compliance with the Uniform Standards of Professional Appraisal Practice by a state-licensed or state-certified appraiser who has verifiable conservation easement or conservation real estate experience. When selling property to insiders, the land trust widely markets the property in a manner sufficient to ensure that the property is sold at or above fair market value and to avoid the reality or perception that the sale inappropriately benefited an insider.

• No transactions with insiders. Consultant’s Comments Practice 4A is currently an indicator practice for accreditation.

4A and 4C: Your Code of Ethical Policies and Standards includes most of the elements that the Alliance and the Land Trust Accreditation Commission are looking for. However there are some missing elements and the policy is probably longer than it needs to be. Your policy should address the potential conflicts having to do with board members who may also represent other organizations and, specifically, the City of Kingston. You could use the Alliance template for developing a conflict-of-interest policy as a cross check:

STANDARD

4 Conflicts of Interest The land trust has policies and procedures to avoid or manage real or perceived conflicts of interest.



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http://tlc.lta.org/pathways/ayo/policy_builder/4A. See also page 2 of the Land Trust Accreditation Commission’s "Guidance Document: Required Policies for Accreditation: Related to Indicator Practices 4A, 9G, 11E, 11I, and 3F," which indicates what the commission will be looking for in a conflict-of-interest policy: http://www.landtrustaccreditation.org/storage/pdf/PoliciesGuidanceDocument.pdf.

The Alliance publication “Avoiding Conflicts of Interest and Running an Ethical Land Trust” provides guidance as well: http://iweb.lta.org/Purchase/ProductDetail.aspx?Product_code=CURR_ETHICS.

Here, as an example, is the recently-accredited Minnesota Land Trust’s conflict-of-interest policy: http://learningcenter.lta.org/attached-files/0/98/9814/Appendix_04_A_01zz2.docx.

4B: Article VI.9 of your bylaws allows KLT officers to be compensated, if the board approves, although in practice this has not happened. This provision is not consistent with the Alliance’s recommended practice.

Recommendations:

1. 4A and 4C: Consider updates to conflict-of-interest policy. (Priority) 2. 4B: Eliminate the provision in your bylaws (article VI.9) that allows for the compensation of officers.


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A. Legal and Ethical Practices. The land trust complies with all charitable solicitation laws, does not engage in 4 commission-based fundraising, and limits fundraising costs to a reasonable percentage of overall expenses.

• Only solicit in New York State. • No commissions paid.

B. Accountability to Donors. The land trust is accountable to its donors and provides written acknowledgement of gifts 4 as required by law, ensures that donor funds are used as specified, keeps accurate records, honors donor privacy concerns and advises donors to seek independent legal and financial advice for substantial gifts.

• KLT provides timely acknowledgements; materials conform to legal requirements; funds are spent for the purposes stated; and donor privacy is honored.

C. Accurate Representations. All representations made in promotional, fundraising, and other public information 4 materials are accurate and not misleading with respect to the organization's accomplishments, activities and intended use of funds. All funds are spent for the purpose(s) identified in the solicitation or as directed in writing by the donor. D. Marketing Agreements. Prior to entering into an agreement to allow commercial entities to use the land trust’s logo, N/A name or properties, the land trust determines that these agreements will not impair the credibility of the land trust. The land trust and commercial entity publicly disclose how the land trust benefits from the sale of the commercial entity’s products or services.

• KLT does not allow commercial use. Consultant’s Comments: Practice 5A is currently an indicator practice for accreditation. Your draft Fundraising policy looks fine.

STANDARD

5 Fundraising The land trust conducts fundraising activities in an ethical and responsible manner.



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A. Annual Budget. The land trust prepares an annual budget that is reviewed and approved by the board, or is 2 consistent with board policy. The budget is based on programs planned for the year. Annual revenue is greater than or equal to expenses, unless reserves are deliberately drawn upon.

• In the past, there hasn’t been a board-approved annual budget. There will be one this year. • Revenues generally exceed expenses. • KLT does not prepare an annual fundraising plan. • One significant donor; 30 or more smaller donors. • We need a financial plan. We need to build up working capital.

B. Financial Records. The land trust keeps accurate financial records, in a form appropriate to its scale of operations 3 and in accordance with Generally Accepted Accounting Principles (GAAP) or alternative reporting method acceptable to a qualified financial advisor.

• KLT follows GAAP. We use QuickBooks, which is adequate but not ideal for our purposes. • Written accounting procedures are being developed. • Restricted funds are properly recorded and expended.

C. Financial Reports and Statements. The board receives and reviews financial reports and statements in a form and 2 with a frequency appropriate for the scale of the land trust's financial activity.

• Developing a format so that the board will have more complete and useful information. • Treasurer, Executive Director, and Executive Committee create reports. • Treasurer presents a report at each board meeting, but budget isn’t evaluated at each meeting.

D. Financial Review or Audit. The land trust has an annual financial review or audit, by a qualified financial advisor, in 1 a manner appropriate for the scale of the organization and consistent with state law.

• No independent, external review or audit. We have chosen an accountant and a financial review is in preparation. E. Internal System for Handling Money. The land trust has established a sound system of internal controls and 2 procedures for handling money, in a form appropriate for the scale of the organization.

• Being developed. F. Investment and Management of Financial Assets and Dedicated Funds. The land trust has a system for the 4 responsible and prudent investment and management of its financial assets, and has established policies on allowable uses of dedicated funds and investment of funds.

• There are no endowments or dedicated funds.

STANDARD

6 Financial and Asset Management The land trust manages its finances and assets in a responsible and accountable way.



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G. Funds for Stewardship and Enforcement. The land trust has a secure and lasting source of dedicated or operating 1 funds sufficient to cover the costs of stewarding its land and easements over the long term and enforcing its easements, tracks stewardship and enforcement costs, and periodically evaluates the adequacy of its funds. In the event that full funding for these costs is not secure, the board has adopted a policy committing the organization to raising the necessary funds. (See 6F,11A and 12A.)

• We do not track stewardship and enforcement costs. Do not systematically evaluate adequacy of funds. • There is no commitment to raise needed funds.

H. Sale or Transfer of Assets (Including Land and Easements). The land trust has established policies or procedures 4 on the transfer or sale of assets, including real property. (See 4C, 9K and 9L.)

• There is a dissolution clause in the articles of incorporation. I. Risk Management and Insurance. The land trust assesses and manages its risks and carries liability, property, and 4 other insurance appropriate to its risk exposure and state law. The land trust exercises caution before using its land to secure debt and in these circumstances takes into account any legal or implied donor restrictions on the land, the land trust's mission and protection criteria, and public relations impact.

• KLT has liability and D&O insurance. • KLT does not use land to secure debt.

General Comments on Standard 6:

• Although KLT does not have all these policies in place, for an organization of its size and age, a great deal of effort is going toward laying the foundation for best practices and long term financial stability.

• Written financial policies and procedures are in draft. We make every effort to follow generally accepted procedures. Consultant’s Comments Practices 6B and D are currently indicator practices for accreditation.

6A, 6B, & 6D: The Alliance publication “Financial Management of Land Trusts” provides good guidance: http://iweb.lta.org/Purchase/ProductDetail.aspx?Product_code=CURR_FINANCIAL.

6E: See the Alliance for Nonprofit Management’s recommendations: http://learningcenter.lta.org/attached-files/0/85/8543/appendix_06_E_03.pdf. For an example of a financial management policy, see the one prepared by the Hudson Highlands: http://learningcenter.lta.org/attached-files/0/81/8179/appendix_06_E_04.doc. 6G: The Alliance’s publication “Determining Stewardship Costs and Managing Dedicated Funds” provides good guidance: http://iweb.lta.org/Purchase/ProductDetail.aspx?Product_code=CURR_DETSTEW.


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Recommendations: 1. 6D: Have an outside accountant do an annual financial review or audit. 2. 6E: Develop a written SOP on how funds are handled. (Underway)

3. 6G: Develop a plan to raise the funds necessary for long-term stewardship.


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A. Capacity. The land trust regularly evaluates its programs, activities and long-term responsibilities and has sufficient 4 volunteers, staff and/or consultants to carry out its work, particularly when managing an active program of easements

• One fulltime staff member. • Executive Committee, board, and program committees evaluate needs informally. • Workloads are manageable. KLT takes measures to avoid burnout. • No plans to add staff or increase stewardship capacity. KLT is in the fortunate position of having untapped capacity.

B. Volunteers. If the land trust uses volunteers, it has a program to attract, screen, train, supervise and recognize 4 its volunteers.

• 20-30 volunteers. Mostly recruited by program committees and through personal networks. • Volunteers sign liability waivers. • Committee chairs and executive director supervise volunteers. Formal training isn’t generally necessary. • We should have a more formal volunteer program. There is a draft volunteer policy.

C. Staff. If the land trust uses staff, each staff member has written goals or job descriptions and periodic performance 3 reviews. Job duties or work procedures for key positions are documented to help provide continuity in the event of staff turnover.

• There is a draft written job description for the Executive Director. It has not been approved by the board. • There are no written annual goals.

D. Availability of Training and Expertise. Volunteers and staff have appropriate training and experience for their 3 responsibilities and/or opportunities to gain the necessary knowledge and skills.

• Volunteers and staff are provided with some training. There is no training budget. E. Board/Staff Lines of Authority. If the land trust has staff, the lines of authority, communication and responsibility 4 between board and staff are clearly understood and documented. If the board hires an executive director (or chief staff person), the board delegates supervisory authority over all other staff to the executive director. (See 3E.)

• Board members understand their roles when they assist staff. Lines of authority are clear. F. Personnel Policies. If the land trust has staff, it has written personnel policies that conform to federal and state law 2 and has appropriate accompanying procedures or guidelines.

• No written personnel policies, except that a sexual harassment policy has been drafted. • KLT adheres to all laws and regulations.

STANDARD

7 Volunteers, Staff and Consultants The land trust has volunteers, staff and/or consultants with appropriate skills and in sufficient numbers to carry out its programs.



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G. Compensation and Benefits. If the land trust has staff, it provides fair and equitable compensation and benefits, 3 appropriate to the scale of the organization.

• On occasion, board reviews salaries and benefits offered by similar organizations. H. Working with Consultants. Consultant and contractor relationships are clearly defined, are consistent with federal 4 and state law, and, if appropriate, are documented in a written contract. Consultants and contractors are familiar with sections of Land Trust Standards and Practices that are relevant to their work.

• Use a standard form for small contracts. Consultant’s Comments

7A: This is currently an indicator practice for accreditation. It’s a rare land trust that believes it has the capacity to fulfill its mission. This indicates good planning on KLT’s part.

7D: You should take advantage of Alliance training opportunities—both on line (http://learningcenter.lta.org/ltalrn/?page_num=1&portal_id=1003) and at conferences (http://www.landtrustalliance.org/training). If funds allow, consider rewarding volunteers by paying their ways to attend Alliance conferences and training sessions. In addition to building skills, they provide excellent networking opportunities. There are also discussion forums on particular topics of interest to land trust board members on the Alliance’s Learning Center website: http://learningcenter.lta.org/ltalrn/?page_num=2&portal_id=1003.

Recommendations: 1. 7C: Board to approve the Executive Director’s job description.

2. 7D: Establish a training budget for staff and board members to attend conferences and training sessions. 3. 7F: Develop personnel policies. (Priority)


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Setting Priorities In light of what you have discovered about your land trust’s implementation of Standards 1-7… Right now, the land trust’s organizational strengths are…

• Mission and programs position KLT well to play a significant role in making Kingston model liveable city. • Have attracted individuals with a wide and deep set of skills, along with a passion for the work. • Have established key partnerships with Cornell Cooperative Extension, Scenic Hudson, the City of Kingston, the Land Trust Alliance,

Parks & Trails New York, the Greenway Conservancy for the Hudson River Valley, the National Park Service Rivers, Trails, and Conservation Assistance Program, and others that will prove instrumental in building capacity for the mission.

• The basic structure for the KLT is strong (paid staff, office, board, connection with community, website etc.) and will allow the organization to grow.

• We understand our responsibilities with regards to government compliance and have set in place the groundwork for a solid organizational structure.

Right now, the greatest organizational challenges are…

• A more proactive approach to fundraising. (2 responses) • Strategic planning. Until a strategic plan is in place, it will be difficult to know when to say "no" to new programs and to set priorities for

existing programmatic thrusts. (2 responses) • As a young organization, many policies and practices are not yet established. (2 responses) • With increasing activity, efficient administrative functions will be critical.

Some specific steps the land trust will take over the next one to three years toward overcoming the challenges are…

• Establish all necessary policies and practices to ensure sound governance. • Establish the standing committees of the Board. • Identify a strategic planning/capacity building process; initiate as soon as practical. • Build strategic partnerships to move programmatic initiatives forward and build capacity.

Land Transactions: Kingston Land Trust, 2012 Assessment

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A. Identifying Focus Areas. The land trust has identified specific natural resources or geographic areas where it will 4 focus its work.

• The focus area is the City of Kingston and the surrounding region, including the Towns of Ulster and Kingston. • KLT partners with other conservation organizations.

B. Project Selection and Criteria. The land trust has a defined process for selecting land and easement projects, 2 including written selection criteria that are consistent with its mission. For each project, the land trust evaluates its capacity to perform any perpetual stewardship responsibilities.

• There are written criteria, but no checklist. • Projects are declined when they do not meet KLT’s criteria.

C. Federal and State Requirements. For land and easement projects that may involve federal or state tax incentives, 4 the land trust determines that the project meets the applicable federal or state requirements, especially the conservation purposes test of IRC Section 170(h). D. Public Benefit of Transactions. The land trust evaluates and clearly documents the public benefit of every land and 2 easement transaction and how the benefits are consistent with the mission of the organization. All projects conform to applicable federal and state charitable trust laws. If the transaction involves public purchase or tax incentive programs, the land trust satisfies any federal, state or local requirements for public benefit.

• Board members review and make a determination. • The Land Use, Management, and Planning Committee largely ensures that these requirements are met. This

process needs to be more formally developed and inclusive of the whole organization. E. Site Inspection. The land trust inspects properties before buying or accepting donations of land or easements to be 2 sure they meet the organization's criteria, to identify the important conservation values on the property and to reveal any potential threats to those values.

• All factors are considered. • There is no standard site evaluation form.

F. Documenting Conservation Values. The land trust documents the condition of the important conservation values 2 and public benefit of each property, in a manner appropriate to the individual property and the method of protection. G. Project Planning. All land and easement projects are individually planned so that the property's important 2 conservation values are identified and protected, the project furthers the land trust’s mission and goals, and the

STANDARD

8 Evaluating and Selecting Conservation Projects The land trust carefully evaluates and selects its conservation projects.



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project reflects the capacity of the organization to meet future stewardship obligations. • There is a draft process.

H. Evaluating the Best Conservation Tool. The land trust works with the landowner to evaluate and select the best N/A conservation tool for the property and takes care that the chosen method can reasonably protect the property’s important conservation values over time. This evaluation may include informing the landowner of appropriate conservation tools and partnership opportunities, even those that may not involve the land trust. I. Evaluating Partnerships. The land trust evaluates whether it has the skills and resources to protect the important 4 conservation values on the property effectively, or whether it should refer the project to, or engage in a partnership with, another qualified conservation organization. J. Partnership Documentation. If engaging in a partnership on a joint acquisition or long-term stewardship project, 4 agreements are documented in writing to clarify, as appropriate, the goals of the project, roles and responsibilities of each party, legal and financial arrangements, communications to the public and between parties, and public acknowledgement of each partner’s role in the project.

• Partnerships are under discussion, but none has actually been established. K. Evaluating Risks. The land trust examines the project for risks to the protection of important conservation values 3 (such as surrounding land uses, extraction leases or other encumbrances, water rights, potential credibility issues or other threats) and evaluates whether it can reduce the risks. The land trust modifies the project or turns it down if the

risks outweigh the benefits. • Our checklist should include evaluation of risks

L. Nonconservation Lands. A land trust may receive land that does not meet its project selection criteria (see 8B) with N/A the intent of using the proceeds from the sale of the property to advance its mission. If the land trust intends to sell the land, it provides clear documentation to the donor of its intent before accepting the property. Practices 4C, 9K and 9L are followed. M. Public Issues. A land trust engaging in projects beyond direct land protection (such as public policy, regulatory 3 matters or education programs) has criteria or other standard evaluation methods to guide its selection of and engagement in these projects. The criteria or evaluation methods consider mission, capacity and credibility.

• Public issues are addressed primarily by the program committees. General Comments on Standard 8:

• We have rejected properties that have failed in one or more acquisition criteria, or had negative criteria. Regarding project planning, our baseline documentation policy should cover most issues. However, we have not always followed it, since we have purchased properties that do not meet IRS-stipulated baseline documentation requirements.

• Regarding properties with partners, we have extensive documentation for such projects.


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• We are working to develop policies. We make every effort to follow generally accepted procedures. • Board members take part in many of these activities, but do not always communicate information in a single document for all to see.

Consultant’s Comments Practices 8B and D are currently indicator practices for accreditation.

Two documents that you have prepared (“Fee Simple Interest Guidelines for Kingston Land Trust Inc.” and “Conservation Easement Guidelines for Kingston Land Trust Inc.”) provide good overall guidance for many of the practices under standards 8 through 12. They will now need to be fleshed out with more specific policies. 8B, 8D, 8E, and 8G: The Alliance publication “Evaluating and Selecting Conservation Projects” provides overall guidance: http://iweb.lta.org/Purchase/ProductDetail.aspx?Product_code=CURR_EVALSEL. You could use it to crosscheck the criteria you have already developed.

8B: For an example of selection criteria checklists, see the “Ausbon Sargent Land Preservation Trust Land Protection Policy” (http://learningcenter.lta.org/attached-files/0/44/4494/appendix_08_B_01.doc).

8E: For an example of a site inspection form, see the “Green Mountain Conservation Group Land Visit Checklist“ (http://learningcenter.lta.org/attached-files/0/45/4527/appendix_08_E_01.doc).

8F: For examples of checklists used to document conservation values, see those prepared by the Vermont Land Trust for different types of resources (http://learningcenter.lta.org/objects/view.acs?object_id=15132). These may be more detailed than what KLT needs, but they can be abridged. 8G: For an example of a project planning form, see the Upper Valley Land Trust Worksheet (http://learningcenter.lta.org/attached-files/0/45/4540/appendix_08_G_06.doc). Recommendations:

1. 8B & 8D: Crosscheck draft project selection criteria with those recommended by the Alliance and revise as appropriate. (Underway; priority)

2. 8E, 8F, & 8G: Develop a site inspection form, a checklist to document conservation values, and a project planning form.

3. 8M: Consider the appropriate lobbying role for KLT as part of your strategic planning exercise.


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A. Legal Review and Technical Expertise. The land trust obtains a legal review of every land and easement 1 transaction, appropriate to its complexity, by an attorney experienced with real estate law. As dictated by the project, the land trust secures appropriate expertise in financial, real estate, tax, scientific, and land and water management matters.

• Not a major concern for the parcels acquired to date, since the funds involved are minimal. B. Independent Legal Advice. The land trust refrains from giving specific legal, financial and tax advice and N/A recommends in writing that each party to a land or easement transaction obtain independent legal advice.

• N/A for now but could in the future be covered by a form letter. C. Environmental Due Diligence for Hazardous Materials. The land trust takes steps, as appropriate to the project, to 2 identify and document whether there are hazardous or toxic materials on or near the property that could create future liabilities for the land trust.

• To date, all of our properties have been acquired from the City or County and they have been responsible for the due diligence.

• In the future, we should include in our project selection criteria. D. Determining Property Boundaries. The land trust determines the boundaries of every protected property through 2 legal property descriptions, accurately marked boundary corners or, if appropriate, a survey. If an easement contains restrictions that are specific to certain zones or areas within the property, the locations of these areas are clearly described in the easement and supporting materials and can be identified in the field.

• So far, KLT has not conducted its own surveys and boundaries are not checked prior to acquisition. • Surplus fee properties acquired by KLT have proper boundary descriptions and usually visible boundary markers

without dispute. We obtain available surveys and descriptions. • We should survey properties that don’t have them as there could be some encroachment issues.

E. Easement Drafting. Every easement is tailored for the property according to project planning (see 8G) and: identifies N/A the important conservation values protected and public benefit served; allows only permitted uses and/or reserved rights that will not significantly impair the important conservation values; contains only restrictions that the land trust is capable of monitoring; and is enforceable.

• None acquired to date. • Plan to use a model provided by the Westchester Land Trust

STANDARD

9 Ensuring Sound Transactions The land trust works diligently to see that every land and easement transaction is legally, ethically and technically sound.



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F. Documentation of Purposes and Responsibilities. The land trust documents the intended purposes of each land 2 and easement transaction, the intended uses of the property and the roles, rights and responsibilities of all parties involved in the acquisition and future management of the land or easement. G. Recordkeeping. Pursuant to its records policy (see 2D), the land trust keeps originals of all irreplaceable documents 1 essential to the defense of each transaction (such as legal agreements, critical correspondence and appraisals) in one location, and copies in a separate location. Original documents are protected from daily use and are secure from fire, floods and other damage.

• Originals in KLT office not in a secure location. • Have backup digitized copies.

H. Title Investigation and Subordination. The land trust investigates title to each property for which it intends to N/A acquire title or an easement to be sure that it is negotiating with the legal owner(s) and to uncover liens, mortgages, mineral or other leases, water rights and/or other encumbrances or matters of record that may affect the transaction. Mortgages, liens and other encumbrances that could result in extinguishment of the easement or significantly undermine the important conservation values on the property are discharged or properly subordinated to the easement.

• N/A so far, since all properties acquired at minimal prices from local governments that have done the due diligence. I. Recording. All land and easement transactions are legally recorded at the appropriate records office according to 4 local and state law. J. Purchasing Land. If the land trust buys land, easements or other real property, it obtains a qualified independent 4 appraisal to justify the purchase price. However, the land trust may choose to obtain a letter of opinion (see definitions) from a qualified real estate professional in the limited circumstances when a property has a very low economic value or a full appraisal is not feasible before a public auction. In limited circumstances where acquiring above the appraised value is warranted, the land trust documents the justification for the purchase price and that there is no private inurement or impermissible private benefit. If negotiating for a purchase below the appraised value, the land trust ensures that its communications with the landowner are honest and forthright.

• All properties purchased from local government far below assessed valuations. • Appraisals unnecessary.

K. Selling Land or Easements. If the land trust sells land or easements, it first documents the important conservation N/A values, plans the project according to practice 8G, and drafts protection agreements as appropriate to the property. The land trust obtains a qualified independent appraisal that reflects the plans for the project and protection agreements and justifies the selling price. (The land trust may choose to obtain a letter of opinion from a qualified real estate professional in the limited circumstance when a property has a very low economic value.) The land trust markets the property and selects buyers in a manner that avoids any appearance of impropriety and preserves the public’s confidence in the land trust, and in the case of selling to an insider (see definitions) follows practice 4C. (See 6H for sales of other assets.)


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L. Transfers and Exchanges of Land. If the land trust transfers or exchanges conservation land or easements, the N/A land trust considers whether the new holder can fulfill the long-term stewardship and enforcement responsibilities, ensures that the transaction does not result in a net loss of important conservation values and, for donated properties, ensures that the transfer is in keeping with the donor's intent. If transferring to a party other than another nonprofit organization or public agency, the consideration is based on a qualified independent appraisal (or letter of opinion when the property has a very low economic value) in order to prevent private inurement or impermissible private benefit. Consultant’s Comments: Practices 9E, G, H, and J are currently indicator practices for accreditation. 9B: You have drafted a form letter that addresses this issue.

9C: For an example of a policy and checklist, see those of the Society for the Protection of New Hampshire Forests: http://library.lta.org/documents/5903/file and http://library.lta.org/documents/5907/file.

9E: See model easement from the Pennsylvania Land Trust Association: http://conserveland.org/modelconservationeasements. 9G: See comments for practice 2D and the Land Trust Accreditation Commission’s Guidance Document entitled “Indicator Practice 9G. Recordkeeping”: http://www.landtrustaccreditation.org/storage/pdf/9GGuidanceDocument.pdf. Recommendations:

1. 9D: Survey properties that have not already been surveyed. (Board recommendation)

2. 9G: Original, signed documents should be kept in a secure off-site location. (See recommendation for practice 2D; priority)


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A. Tax Code Requirements. The land trust notifies (preferably in writing) potential land or easement donors who may N/A claim a federal or state income tax deduction, or state tax credit, that the project must meet the requirements of IRC Section 170 and the accompanying Treasury Department regulations and/or any other federal or state requirements. The land trust on its own behalf reviews each transaction for consistency with these requirements. B. Appraisals. The land trust informs potential land or easement donors (preferably in writing) of the following: IRC N/A appraisal requirements for a qualified appraisal prepared by a qualified appraiser for gifts of property valued at more than $5,000, including information on the timing of the appraisal; that the donor is responsible for any determination of the value of the donation; that the donor should use a qualified appraiser who follows Uniform Standards of Professional Appraisal Practice; that the land trust will request a copy of the completed appraisal; and that the land trust will not knowingly participate in projects where it has significant concerns about the tax deduction. C. No Assurances on Deductibility or Tax Benefits. The land trust does not make assurances as to whether a N/A particular land or easement donation will be deductible, what monetary value of the gift the Internal Revenue Service (IRS) and/or state will accept, what the resulting tax benefits of the deduction will be, or whether the donor’s appraisal is accurate. D. Donee Responsibilities – IRS Forms 8282 and 8283. The land trust understands and complies with its N/A responsibilities to sign the donor’s Appraisal Summary Form 8283 and to file Form 8282 regarding resale of donated property when applicable. The land trust signs Form 8283 only if the information in Section B, Part 1, “Information on Donated Property,” and Part 3, “Declaration of Appraiser,” is complete. If the land trust believes no gift has been made or the property has not been accurately described, it refuses to the sign the form. If the land trust has significant reservations about the value of the gift, particularly as it may impact the credibility of the land trust, it may seek additional substantiation of value or may disclose its reservations to the donor. (See 5B for other gift substantiation requirements.)

Consultant’s Comments: 10B: This is currently an indicator practice for accreditation.

10A & 10B: You have drafted a form letter that addresses these issues. Recommendation:

1. 10A-10D: Be aware of the requirements so that you will be ready to act once you start accepting land or easement donations.

STANDARD

10 Tax Benefits The land trust works diligently to see that every charitable gift of land or easements meets federal and state tax law requirements.



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KLT currently holds no easements. However there are several potential deals in the works. A. Funding Easement Stewardship. The land trust determines the long-term stewardship and enforcement expenses 3 of each easement transaction and secures the dedicated or operating funds to cover current and future expenses. If funds are not secured at or before the completion of the transaction, the land trust has a plan to secure these funds and has a policy committing the funds to this purpose. (See 6G.)

• Would come from unrestricted operating funds. • A suggested contribution table is in development.

B. Baseline Documentation Report. For every easement, the land trust has a baseline documentation report (that 4 includes a baseline map) prepared prior to closing and signed by the landowner at closing. The report documents the important conservation values protected by the easement and the relevant conditions of the property as necessary to monitor and enforce the easement. In the event that seasonal conditions prevent the completion of a full baseline documentation report by closing, a schedule for finalizing the full report and an acknowledgement of interim data [that for donations and bargain sales meets Treasury Regulations Section 1.170A-14(g)(5)(i)] are signed by the landowner at closing.

• We have a model; it was required by the IRS for our 501(c)3 application. C. Easement Monitoring. The land trust monitors its easement properties regularly, at least annually, in a manner N/A appropriate to the size and restrictions of each property, and keeps documentation (such as reports, updated photographs and maps) of each monitoring activity. D. Landowner Relationships. The land trust maintains regular contact with owners of easement properties. When N/A possible, it provides landowners with information on property management and/or referrals to resource managers. The land trust strives to promptly build a positive working relationship with new owners of easement property and informs them about the easement's existence and restrictions and the land trust’s stewardship policies and procedures. The land trust establishes and implements systems to track changes in land ownership. E. Enforcement of Easements. The land trust has a written policy and/or procedure detailing how it will respond to a N/A potential violation of an easement, including the role of all parties involved (such as board members, volunteers, staff and partners) in any enforcement action. The land trust takes necessary and consistent steps to see that violations are resolved and has available, or has a strategy to secure, the financial and legal resources for enforcement and defense. (See 6G and 11A.).

STANDARD

11 Conservation Easement Stewardship The land trust has a program of responsible stewardship for its easements.



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F. Reserved and Permitted Rights and Approvals. The land trust has an established procedure for responding to N/A landowner required notices or requests for approvals in a timely and consistent manner, and has a system to track notices, approvals and the exercise of any significant reserved or permitted rights. G. Contingency Plans/Backups. The land trust has a contingency plan for all of its easements in the event the land N/A trust ceases to exist or can no longer steward and administer them. If a backup grantee is listed in the easement, the land trust secures prior consent of the backup grantee to accept the easement. To ensure that a backup or contingency holder will accept an easement, the land trust has complete and accurate files and stewardship and enforcement funds available for transfer. (See 11H.) H. Contingency Plans for Backup Holder. If a land trust regularly consents to being named as a backup or N/A contingency holder, it has a policy or procedure for accepting easements from other land trusts and has a plan for how it will obtain the financial resources and organizational capacity for easements it may receive at a future date. (See 11G.) I. Amendments. The land trust recognizes that amendments are not routine, but can serve to strengthen an easement N/A or improve its enforceability. The land trust has a written policy or procedure guiding amendment requests that: includes a prohibition against private inurement and impermissible private benefit; requires compliance with the land trust’s conflict of interest policy; requires compliance with any funding requirements; addresses the role of the board; and contains a requirement that all amendments result in either a positive or not less than neutral conservation outcome and are consistent with the organization’s mission. J. Condemnation. The land trust is aware of the potential for condemnation, understands its rights and obligations N/A under condemnation and the IRC, and has appropriate documentation of the important conservation values and of the percentage of the full value of the property represented by the easement. The land trust works diligently to prevent a net loss of conservation values. K. Extinguishment. In rare cases, it may be necessary to extinguish, or a court may order the extinguishment of, an N/A easement in whole or in part. In these cases, the land trust notifies any project partners and works diligently to see that the extinguishment will not result in private inurement or impermissible private benefit and to prevent a net loss of important conservation values or impairment of public confidence in the land trust or in easements. Consultant’s Comments Practices 11A, B, C, E and I are currently indicator practices for accreditation. For a discussion of what the Land Trust Accreditation Commission is looking for, see its Guidance Documents for these practices: http://www.landtrustaccreditation.org/tips-and-tools/guidance-documents.


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11E: See Alliance template for an enforcement policy in the LTA Learning Center: http://pathways.lta.org/ayo/policy_builder/11E. For an example of an easement enforcement policy, see the one prepared by the Connemara Conservancy Foundation: http://learningcenter.lta.org/attached-files/0/46/4650/appendix_11_E_02.doc.

11F: For an example of a policy on responding to requests for approvals, see the Jo Daviess Conservation Foundation’s “Reserved Rights Policy”: http://learningcenter.lta.org/attached-files/0/46/4660/appendix_11_F_02.doc.

11I: See Alliance template for an amendments policy in the LTA Learning Center: http://pathways.lta.org/ayo/policy_builder/11I. For an example of an amendments policy, see the Ausbon Sargent Land Preservation Trust’s “Policy on Amending Conservation Easements”: http://learningcenter.lta.org/attached-files/0/46/4663/appendix_11_I_01.doc.

Recommendations: 1. 11E: Prepare an easement enforcement policy.

2. 11F: Develop procedures to respond to landowner requests for approvals in a timely manner. 3. 11I: Draft a written policy on amendments.


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KLT owns two properties totaling 2.5 acres and has contracts on eight others. One property will be left to KLT as a bequest. A. Funding Land Stewardship. The land trust determines the immediate and long-term financial and management 2 implications of each land transaction and secures the dedicated and/or operating funds needed to manage the property, including funds for liability insurance, maintenance, improvements, monitoring, enforcement and other costs. If funds are not secured at or before the completion of the transaction, the land trust has a plan to secure these funds and has a policy committing the funds to this purpose. (See 6G.)

• Anticipate spending under $2,000 unrestricted operating funds this year. No policies in place. • These are small sites with minimal maintenance issues and expenses. Current expenses can be met. • KLT does not have the necessary funds for long-term management. There is no plan to raise the funds. • A suggested contribution table is in development.

B. Stewardship Principles. The land trust establishes general principles to guide the stewardship of its fee-owned 1 properties, including determining what uses are and are not appropriate on its properties, the types of improvements it might make and any land management practices it will follow. C. Land Management. The land trust inventories the natural and cultural features of each property prior to developing a 1 management plan that identifies its conservation goals for the property and how it plans to achieve them. Permitted activities are compatible with the conservation goals, stewardship principles and public benefit mission of the organization. Permitted activities occur only when the activity poses no significant threat to the important conservation values, reduces threats or restores ecological processes, and/or advances learning and demonstration opportunities. D. Monitoring Land Trust Properties. The land trust marks its boundaries and regularly monitors its properties for 1 potential management problems (such as trespass, misuse or overuse, vandalism or safety hazards) and takes action to rectify such problems.

• Inspection is frequent, but ad hoc and not documented. • Boundaries are not marked and need to be. • Rubbish and a fallen fence have been issues.

E. Land Stewardship Administration. The land trust performs administrative duties in a timely and responsible manner. 3 This includes establishing policies and procedures, keeping essential records, filing forms, paying insurance, paying any taxes and/or securing appropriate tax exemptions, budgeting, and maintaining files.

• We need SOPs.

STANDARD

12 Fee Land Stewardship The land trust has a program of responsible stewardship for the land it holds in fee for conservation purposes.



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F. Community Outreach. The land trust keeps neighbors and community leaders informed about its ownership and 3 management of conservation properties.

• There is an active program to involve the community in stewardship. • Neighbors are notified about ownership and management activities.

G. Contingency Backup. The land trust has a contingency plan for all of its conservation land in the event the land trust 1 ceases to exist or can no longer manage the property. To ensure that a contingency holder will accept the land, the land trust has complete and accurate files and stewardship funds available for transfer. H. Nonpermanent Holdings. When a land trust holds fee land with the intention to sell or transfer the land, the land N/A trust is open about its plans with the public and manages and maintains the property in a manner that retains the land trust’s public credibility. (See 8L.) I. Condemnation. The land trust is aware of the potential for condemnation, understands its rights and obligations N/A under condemnation, and works diligently to prevent a net loss in conservation values. Consultant’s Comments Practices 12A, C, and D are currently indicator practices for accreditation.

12A: The Alliance’s publication “Determining Stewardship Costs & Raising and Managing Dedicated Funds” provides good guidance: http://iweb.lta.org/Purchase/ProductDetail.aspx?Product_code=CURR_DETSTEW.

12B: For an example of stewardship principles, see the Southwest Michigan Land Conservancy’s stewardship principles: http://learningcenter.lta.org/attached-files/0/88/8802/appendix_12_B_03.doc.

12C: For a discussion of what the Land Trust Accreditation Commission is looking for in a management plan, see http://www.landtrustaccreditation.org/storage/pdf/12CGuidanceDocument.pdf.

Small contiguous and or similar properties could be covered by a single management plan. 12C, 12D, & 12E: The Alliance’s publication “Caring for Land Trust Properties” provides good guidance: http://iweb.lta.org/Purchase/ProductDetail.aspx?Product_code=CURR_CARING. 12D: For an example of a format for annual monitoring report, see the Nature Conservancy Connecticut Chapter’s “Annual Monitoring Report” form: http://learningcenter.lta.org/attached-files/0/46/4690/appendix_12_D_02.doc. Recommendations:

• 12A: For future land acquisitions, ascertain stewardship costs and develop a plan to obtain the necessary funds. (Board recommendation)


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• 12B: Develop stewardship principles.

• 12C: Develop one or more management plans, as appropriate. (Priority) • 12D: Develop a format for monitoring reports and formally inspect all properties at least annually.

• 12G: Develop a contingency plan in case should KLT no longer be able to manage its property. Setting Priorities In light of what you have discovered about your land trust’s implementation of Standards 8-12… Right now, the land trust’s land transaction strengths are…

• Significant knowledge in this area within the land trust • Existing relationships with municipalities in our operating area and the county. • Ability to work in partnership on complex projects with other organizations utilizing the strengths of each partner • Ability to move rapidly on acquiring lands in fee simple that have come available in the Esopus Creek floodplain with access to the creek. • Synergy between the acquisitions and the programmatic thrusts natural for an urban land trust.

Right now, the land transaction challenges are…

• Things are happening too fast and not all necessary policies and practices are in place. • Management plans and funding to support such plans are not in place. • More opportunities are on the way but will the KLT be able to handle additional opportunities? • Larger land opportunities are in the planning process. They involve partnerships with other groups, which may provide significant support so

as to not drain organizational capacity. These properties have draft management plans written by experienced partners. • KLT’s fee-owned properties without management plans are small so that drafting plans for these properties may be less challenging.

Some specific steps the land trust will take over the next one to three years toward overcoming the challenges are…

• Fully establish policies and best practices. • Focus on financing the stewardship of the lands that are in fee simple ownership. • Articulate our goals for land conservation and match these with programs such as rail trails, gardens, historic preservation, waterfront

access, etc.

KLT final ayo report

Documents

Transcript of KLT final ayo report