Mich. Comp. Laws § 324.36206 — MI Code / Chapter 324 / Act Act-451-of-1994 / Section 324.36206
Distribution of grants to local units of government; condition; reviewing permitted uses; contribution of development rights; purchase by local unit of government through installment purchase agreement; joint holding by state and local unit of government; delegation of enforcement authority; transfer to property owner; tax credits under MCL 324.36109.
Status: in_force

Sec. 36206.

(1) After the board determines which grants should be awarded, and the amount of the grants, the department shall distribute the grants to the local units of government awarded the grants. The department shall condition the receipt of a grant upon the department's approval of the agricultural conservation easements being acquired.

(2) In reviewing permitted uses in an agricultural conservation easement under subsection (1), the department shall consider whether the permitted uses do the following:

(a) Adversely affect the productivity of farmland.

(b) Materially alter or negatively affect the existing conditions or use of the land.

(c) Result in a material alteration of an existing structure to a nonagricultural use.

(d) Conform with all applicable federal and state laws and local ordinances.

(3) The department may accept contributions of all the development rights to 1 or more parcels of land, including a conservation easement or a historic preservation easement as defined in section 2140. This subsection does not require the department to be added as a coholder of an existing conservation easement as defined in section 2140.

(4) A local unit of government that purchases an agricultural conservation easement with money from a grant may purchase the agricultural conservation easement through an installment purchase agreement under terms negotiated by the local unit of government.

(5) An agricultural conservation easement acquired under this part may be held jointly by this state and the local unit of government in which the land subject to the agricultural conservation easement is located. However, this state may delegate enforcement authority of 1 or more agricultural conservation easements to the local units of government in which the agricultural conservation easements are located. Alternatively, upon request by the local unit of government and approval by the board, the agricultural conservation easement may be held solely by the local unit of government if the easement instrument includes the following language:

"Pursuant to part 362 of the natural resources and environmental protection act, 1994 PA 451, the state of Michigan is granted a third party right of enforcement. This right may be exercised if the primary easement holder fails to enforce any of the terms of this easement, as determined in the sole discretion of the state. The state may enter the protected property, with reasonable notice, for the purpose of inspection and enforcement, and may pursue all available legal and equitable remedies to uphold the purposes of the easement. Such entry shall not unreasonably interfere with the landowner's quiet use and enjoyment of the property."

(6) An agricultural conservation easement acquired under this part may be transferred to the owner of the property subject to the agricultural conservation easement if this state and the local unit of government holding the agricultural conservation easement agree to the transfer and the terms of the transfer.

(7) Section 36109 provides for tax credits for an owner of farmland subject to an agricultural conservation easement under this section.

History: Add. 2000, Act 262, Imd. Eff. June. 29, 2000; Am. 2002, Act 75, Imd. Eff. Mar. 15, 2002; Am. 2025, Act 70, Imd. Eff. Dec. 23, 2025