HomeMy WebLinkAbout024 17C( __ Mc,�4 &JI'll
STATE OF WASHINGTON
County of Jefferson
Dedication of Conservation Futures Funds to the }
Serendipity Farm project as Authorized by and in }
Accordance with Jefferson County Code } RESOLUTION NO. 2 G -1 7
Section 3.08.030(7) to Provide a System of Public }
Open Spaces }
WHEREAS, conservation futures tax levy collections, authorized under RCW 84.34.230
are an important means of retaining community character and accomplishing the open space policies
and objectives of the Jefferson County Comprehensive Plan that encourage the coordinated acquisition
of key open space lands for long-term protection; and
WHEREAS, Jefferson County is authorized by RCW 84.34.210 and 84.3 4.220 to
acquire open space land, agricultural and timber lands as defined in RCW 84.34.220; and
WHEREAS, the Conservation Futures Citizen Oversight Committee has reviewed
project applications for 2017 and made its funding recommendations to the Board of County
Commissioners in accordance with Jefferson County Code Chapter 3.08; and
WHEREAS, under the provisions of the Jefferson County Conservation Futures
Program, the Jefferson Land Trust, as project sponsor, requests funding towards the acquisition of a
conservation easement on four parcels of agricultural land in Sec. 14 T. 27N, R. 2W with Assessor's
Parcel Numbers 702144001, 702144020, 702144021, and 702133027; and
WHEREAS, the County retains enough developable land to accommodate the
Serendipity Farm project as well as the housing and employment growth that it is expected to receive,
thus satisfying the requirements of Chapter 449, Laws of 2005; and
WHEREAS, Jefferson County considers it in the best public interest to contribute
financially to this open space project.
NOW, THEREFORE BE IT RESOLVED that:
Jefferson County hereby dedicates up to $106,600 in conservation futures funds in the
2017 funding cycle for acquisition expenses contingent on a matching contribution of at
least fifty percent (50%) of the total project cost.
Resolution No. 24-17 re: Dedication of Conservation Futures Funds to Serendipity Farm project
2. This dedication of funding may be nullified if a submittal for reimbursement,
accompanied by documentation of matching funds sufficient to complete the
acquisition, is not received from the sponsor within three years of the signing of this
resolution.
APPRaQYE AND ADOPTED this 1 day of �� - , 2017 in Port Townsend, Washington.
I 17
Sl �. ti • - O �� , JEFFERSON COUNTY
,7u ' i ;' BOARD OF COMMISSIONERS
w' Kathleen r,
ATTEST:
Caroly+Aery
Deputy Clerk of the Board
DaviV
t4
Kate DE
Page 2 of 2
Member
61,
e V _ Regular Agenda
615 Sheridan Street
Port Townsend, WA 98368
O`www.JeffersonCountyPublicHealth.org
Public 1-legalit
June 13, 2017
JEFFERSON COUNTY
BOARD OF COUNTY COMMISSIONERS
AGENDA REQUEST
TO: Board of County Commissioners
Philip Morley, County Administrator
FROM: Tami Pokorny, Environmental Health Specialist II
DATE: June 19, 2017
SUBJECT: Agenda Request: Public Hearing and Possible Decision
Regarding Applications for Conservation Futures Funding in
2017
STATEMENT OF ISSUE:
On June 5h, the BoCC approved a Public Hearing Notice to hold a public hearing on the Conservation
Futures Program project applications received in 2017 on July 19, 2017 at 10:30 AM. The notice was
published in the Port Townsend & Jefferson County Leader on June 7 and June 14, 2017. The
Conservation Futures Program (JCC 3.08) requires a duly noticed public hearing to be held as part of the
public process of allocating conservation futures funding to worthy projects that protect public open
spaces. After the hearing, the BoCC may decide which project(s) to fund by passing resolution(s) to
include a factual finding as to whether each project would reduce the county's capacity to accommodate
growth.
ANALYSIS/STRATEGIC GOALS:
The four applications for conservation futures funding are:
1. Ialitzin Farm, $110,000 towards the purchase of a conservation easement on three parcels of
agriculture, riparian, and forested lands currently used as a performing arts venue totaling 53 acres in the
upper Tarboo Creek watershed. The proposed match of $110,000 includes a partial donation of the
conservation easement's value and cash from private sources for operations and maintenance activities.
Jefferson Land Trust is the project sponsor. Northwest Watershed Institute is the project applicant. Project
location: Sec.17, T.28N, RAW.
W.
2. Lower Duckabush River Estuaj)� Open Space, $55,800 towards the fee simple acquisition of 0.80 acres
of floodplain along Pierce Creek in proximity to the lower Duckabush River south of Brinnon, and
$16,200 to reimburse operations and maintenance expenses. The site is currently used by the Brinnon Fire
Department. The proposed match is $57,400 from a pending Recreation and Conservation Office Salmon
Community Health Environmental Health
Developmental Disabilities Water Quality
360-385-9400 360-385-9444
360-385-9401 (f) Always working for a safer and healthier community (f) 360-379-4487
Recovery Funding Board grant. Jefferson County Environmental Health is the project sponsor. Hood
Canal Salmon Enhancement Group is the project applicant. Project location: Sec. 16, T25N, R.2W.
3. Serendipity Farm, $106,600 towards the acquisition of a conservation easement on four parcels of
actively used agricultural land totaling approximately 45 acres located along Cemetary Drain in the Little
Quilcene River watershed just north of Quilcene. The proposed match of $106,600 is a pending WA State
Conservation Commission State Farmland Preservation grant. Jefferson Land Trust is the project sponsor
and applicant. Project location: Sec. 14, T.27N, R.2W.
4. Snow Creek Uncas Preserve Taylor, $9,434 towards the fee -simple acquisition of approximately 2.5
acres of forested and riparian land along Snow Creek and $4,000 to reimburse operations and
maintenance expenses. The proposed match is $53,461 from a Recreation and Conservation Office
Salmon Recovery Funding Board grant secured in 2015. Jefferson Land Trust is the project sponsor and
applicant. Project location: Sec.36, T.29N, R.IW.
At its May 3, 2017 meeting, the Conservation Futures Citizen Oversight Committee voted to
recommend three of the four projects (Iglitzin Farm, Serendipity Farm, and Snow Creek Uncas
Preserve Taylor) as worthy of funding at the full requested amounts.
This briefing packet contains:
• Four conservation futures project applications and the relevant sponsor information:
1). Iglitzin Farm
2). Lower Duckabush River Estuary Open Space
3). Serendipity Farm
4). Snow Creek Uncas Preserve Taylor
5). Sponsor Information - Jefferson Land Trust
• Map of conservation futures projects 2003-2016
• Matrix of conservation futures applications 2003-2016
• Findings from Joel Peterson, Jefferson County Department of Community Development
associate planner regarding the four projects, all of which are located in the County.
• Draft resolutions to award funding to each of the three projects recommended by the CF
Committee at the recommended award levels (three at full funding and one at no funding).
The purpose of the CF Program is to address the "general and increasing need to provide a system of
public open spaces... for the health, welfare, benefit and safety of the residents of Jefferson County," and
to maintain "Jefferson County as a desirable place to live, visit and locate businesses." Conservation
futures tax levy collections, authorized under RCW 84.34.230 are an important means of retaining
community character and accomplishing open space policies and objectives of the Jefferson County
Comprehensive Plan. The goal of the program is to preserve and protect the county's open space
resources from development, and from being "negatively and permanently affected."
On January 3, 2006, the BOCC approved Ordinance No. 01-0103-06 in response to Chapter 449 of that
year which allowed up to 15% of the conservation future levy monies raised in the preceding year to be
used for operations and maintenance needs. Fifteen percent of the revenue for in 2016 ($244,237.48) is
$36,636, well in excess of the $20,200 for operations and maintenance requested this year for all four
projects. Chapter 449 also states that local governments must consider and analyze whether new CF
projects would reduce capacity to accommodate planned growth.
Community Health Environmental Health
Developmental Disabilities Water Quality
360-385-9400 360-385-9444
360-385-9401 (t) Always working for a safer and healthier community (f) 360-379-4487
Grant agreements for approved projects between Jefferson Land Trust and the county will be developed
by Environmental Health and submitted to the BoCC for approval.
FISCAL IMPACT:
The explicit purpose of the Conservation Futures Program is to fund acquisition projects to support a
system of public open spaces. There is no impact to the General Fund for this effort. The balance for
Conservation Futures Fund #308 at the end of May was $761,674.25. The total request for funding equals
$302,304. The three projects recommended for funding by the CF Committee total $226,034 for
acquisition and $4,000 for reimbursement of O & M expenses for the Snow Creek Uncas Preserve Taylor.
Up to $297,000 is available to award from the Conservation Futures Fund in this cycle including, as
stated above, up to $36,636 to reimburse O & M expenses.
The following projects are anticipated to close during the remainder of 2017:
Midori Farm: $94,626 Resolution No. 22-15
Big Quilcene River - Moon Valley Reach: $5,000 Resolution No. 28-16
Snow Creek (remaining funds): $25,924 Resolution No's 29-14 and 05-15
Irondale Beach County Park Additions: $22,000 Resolution No. 29-16
Tarboo Creek, Farm, and Forest: $97,100 Resolution No. 30-16
The following project is anticipated to close after 2017:
Bishop Dairy Preservation: $56,225 Resolution No. 20-15
A third quarter Supplemental Budget Appropriation request is anticipated this year for any projects
approved in 2017.
RECOMMENDATION:
1) Review the four project proposals brought forth by the Oversight Committee.
2) Hold a public hearing on June 19, 2017, at 10:30 AM. Consider the written and oral testimony from
the CF Committee Chair and hearing and adopt any of the enclosed funding resolutions (with or
without revisions) for project proposals and funding amounts that the Commissioners may wish to
approve.
REVIEWED BY:
Philip Morley, Cou ty min4s�Date
Community Health
Developmental Disabilities
360-385-9400
360-385-9401 (f)
Always working for a safer and healthier community
Environmental Health
Water Quality
360-385-9444
(f) 360-379-4487
SON 2017 Jefferson County Conservation Futures Program
Property Acquisition and/or
�9SzIN "o Operations and Maintenance Project Application
Please complete the following application in its entirety. Be sure to answer "N/A" for questions that don't apply
to the project. Incomplete applications will not be accepted for consideration.
Unless directed otherwise, use as much space as needed to answer each question.
Contact program staff at 379-4498 or tpokorny@co.iefferson.wa.us with questions.
Background and Eligibility Information
1. Project Title: Serendipity Farm
2. Conservation Futures Acquisition Request: $106,600
Conservation Futures O&M Request: None at this time
3. Total Conservation Futures Request: $106,600
4. Please indicate the type of interest contemplated in the acquisition process.
_ Warranty Deed X Easement _ Other (Please describe below.)
In whose name will the property title be held after acquisition?
Christine Llewellyn, Francesco Bertucci and Arianne Bertucci (formerly Arianne Llewellyn)
owners of 702144020, and with a conservation easement held by Jefferson Land Trust
5. Applicant Information
Name of Applicant or Organization: Jefferson Land Trust
Contact: Sarah Spaeth
Title: Director, Conservation and Strategic Partnerships
Address: 1033 Lawrence Street, Port Townsend, WA 98368
Phone: (360) 379-9501, ext. 101 Fax: (360) 379-9897
Email: sspaeth0saveland.org
6. Sponsor Information: (if different than applicant)
Organization Name:
Contact:
Title:
Address:
Phone: ( ) - ext. Fax: ( ) - ext.
Email:
This application was approved by the sponsor's legally responsible body (e.g., board, council, etc.) on
March 21, 2017.
Serendipity Farm CFF 2017 1
7. Site Location
Street Address or Description of Location:
141 Cemetery Road, Quilcene, WA 98376
Driving Directions from Port Townsend:
Head South on Highway 101 from the head of Discovery Bay for about 11.4 miles. Turn right
onto Cemetery Road. Serendipity Farm is up on the left about 0.1 mile past Old State
Highway.
Section: 14 Township: 27 North Range: 2 West
Assessor's Parcel Number(s): 702144001, 702144020, 702144021, 702133027.
Please differentiate current and proposed ownership of each APN and indicate if the parcel is to be
acquired with CF funds or used as match. All parcels are to be protected with a conservation
easement held by Jefferson Land Trust.
Please list the assessed values for each property or APN, as applicable.
702144001 -
$132,136.00
702144020 -
$206,735.00
702144021 -
$ 34,642.00
702133027 -
$ 41,000.00
8. EXISTING CONDITIONS
New Site: No - Adjacent to Midori Farm
Addition to Existing Site: Yes No
Total Project Acreage (if different):
Number of Parcels: 4
Acres to Be Acquired: -45
Current Zoning: RR 1/5 and AL 1:20
Existing Structures/Facilities: Serendipity Farm has a barn and several outbuildings, drip
irrigation systems, covered equestrian arena, composter, workshop, and 5 hoop -houses.
The Farm also has a historic farmhouse and a second residence occupied by family
members. A new vehicle and livestock crossing bridge has been built over the Cemetery
Drainage ditch
Any current covenants, easements or restrictions on land use: None that we are aware of.
Current Use: Agriculture, Riparian habitat, Equestrian Boarding
Waterfront (name of body of water):
Shoreline (linearfeet): Approximately 3000ft of Cemetery Drain
Owner Tidelands/Shorelands: NA
9. Current Property Owner X is _is not a willing seller.
Serendipity Farm CFF 2017 2
Project Description
10. In 1,000 words or less, provide a summary description of the project, the match, overarching goal, and
three top objectives. Include information about the physical characteristics of the site that is proposed for
acquisition with Conservation Futures Program funds including: vegetation, topography, surrounding land
use, and relationship to parks, trails, and open space. Describe the use planned for the site, any
development plans after acquisition (including passive development), characteristics of the site which
demonstrate that it is well-suited to the proposed use, and plans for any structures currently on the site. If
applicable, describe how the site relates to the larger project, and whether the project has a plan, schedule
and funding dedicated to its completion. Please also list any important milestones for the project or critical
dates, e.g. grant deadlines. List the dates and explain their importance. Please attach a spreadsheet of the
budget.
Jefferson Land Trust seeks funding for purchase of a conservation easement on Serendipity
Farm, located approximately 1/4 mile north of downtown Quilcene, off of Scenic Highway 101
on Cemetery Road. Serendipity Farm is comprised of approximately 45 acres that fringe on the
foothills of the Olympic Mountains. The relatively level property consists of approximately 30
acres of usable pastureland of prime soils, 8 acres in organic cultivation of vegetables, berries,
fruit trees and flowers, and more than five acres in dedicated riparian area as well as two
residential areas. Serendipity Farm provides fresh organic produce and flowers to the Port
Townsend Saturday Farmers' Market, and they deliver to CSA customers in Poulsbo and
Bainbridge Island. The farm also provides sustainable full-service boarding and care for horses
including arenas, stable, pastures, riding lessons, and trail riding including nearby access to
miles of trail riding into the Olympic National Forest and foothills. Surrounding land use
includes additional agricultural operations, residential uses and nearby commercial timberland.
Cemetery Drain runs through the property from north to south, and enters Little Quilcene River
to the southeast. Little Quilcene River has been the focus of restoration and preservation
efforts on the part of several organizations. Farm owners Chris Llewellyn, daughter and son-in-
law Arianne and Francesco Bertucci are interested in permanently protecting the farm from
further development, reinvesting in the farm infrastructure and potentially purchasing additional
adjacent lands that once were part of this historic farm.
Parcels 702144001 and 702144020 (31.25 acres) are zoned AL 1:20, and parcels 702144021
and 702133027 (13.92 acres) are zoned RR 1:5. Easement funding will protect the important
agricultural soils and habitat values by reducing the development potential from four home -
sites to two, on Serendipity farm.
Serendipity Farm is south of and adjacent to Midori Farm. Midori Farm is bordered on its north
by Little Quilcene Farm, and Wildwood Farm is another neighbor. Together this "Quilcene
Farm Center" comprises approximately 100 acres of prime agricultural land and the largest
hub of commercial agricultural activity in the area. Midori Farm received Conservation Futures
Funding in 2015 and is in the process of preserving their farm through the sale of a
conservation easement to the Land Trust. Little Quilcene Farm may be interested in the sale of
Serendipity Farm CFF 2017 3
a conservation easement on their land in the future. This year we are focusing our efforts on
Serendipity Farm.
Jefferson Land Trust seeks grant support for Serendipity Farm in the amount of $106,600 from
the Conservation Futures Fund Program. This amount is 50% of the estimated project cost for
the easement value and land acquisition related costs. Jefferson Land Trust applied to the
State Farmland Preservation Program in 2016 and the project application ranked # 8 for
funding. The funding announcement will be made in June of 2017 after the state legislative
budget process. The relatively high ranking gives us confidence that the project will be funded
at the state level and this funding will provide the necessary match for the Conservation
Futures Fund grant.
The overarching goal of this project is to preserve the Serendipity Farm agricultural and habitat
values for future generations. Purchase of the conservation easement will reduce the
development potential from four possible total home -sites to two home -sites and one
agricultural building site, and provide the farmer(s) much needed income to reinvest in, and
continue to build the viability of their farm.
The three top objectives for this project are:
1) Acquire high priority conservation easement from the willing seller
2) Utilize State Farmland Preservation Program grant funding as match
3) Preserve the Serendipity Farm as the second phase of the Quilcene Farm Center protection
effort.
Milestones:
1) Funding from State Farmland Preservation Program Funding and Conservation Futures
Fund in summer of 2017
2) Negotiate terms of conservation easement
3) Appraisal to determine CE value
4) Purchase conservation easement in spring/summer of 2018
11. Estimate costs below, including the estimated or appraised value of the propert(ies) or property right(s)
to be acquired, even if Conservation Futures funds will only cover a portion of the total project cost. In the
case of projects involving multiple acquisitions, please break out appraisals and estimated acquisition costs
by parcel.
Estimated or Appraised Value of Propert(ies) to be Acquired: $175,000
Total Estimated Acquisition -related Cost (see Conservation Futures Manual for eligible costs): $38,200
Total Operation and Maintenance Cost: No Conservation futures O&M requested at this time.
Total Project Cost: $213,200.
Basis for Estimates (include information about how the property value(s) was determined, anticipated
acquisition -related costs, general description of operation and maintenance work to be performed, task list
with itemized budget, and anticipated schedule for completion of work):
Serendipity Farm CFF 2017 4
The basis for cost estimate is based on the value of nearby conservation easement purchases
made within the last several years. This was the estimated project cost total submitted to the
State Farmland Preservation program in 2016. A full appraisal to grant agency requirements
will be conducted before acquisition is finalized. Anticipated acquisition related costs include;
appraisal and appraisal review, survey, baseline documentation and stewardship plan, title
insurance and closing costs, excise tax and recording fees, legal costs, project management
and administration. Jefferson Land Trust may seek O &M funding at a later date.
Serendipity Project related costs
Timelline
Est. Cost
Conservation easement
Winter 2017/18
$175,000
Land acquisition related costs: appraisal and review,
title, baseline, survey, Phase I, closing taxes, etc
Winter 2017/18
$28,100
Project Management, Admin and legal fees
Winter 2017/18
$10,100
otal
213,200
Scored Questions
1 a. Sponsor or other organizations X will _will not contribute to acquisition of proposed site and/or
operation and maintenance activities.
1 b. If applicable, please describe below how contributions from groups or agencies will reduce the need to
use Conservation Futures program funds.
1 c. Matching Fund Estimate Acquisition O&M %
Conservation Futures Funds Requested $106,600 50%
Matching Funds/Resources* $106,600 50%
Total Project Acquisition Cost $213,200 100%
* If a prior acquisition is being proposed as match, please describe and provide documentation of value, location,
date of acquisition and other information that would directly link the match to the property being considered for
acquisition.
1 d. Source of matching Amount of Contribution
funds/resources contribution approved?
State Farmland Preservation $106,600 Yes No
$ Yes No
$ Yes No
$ Yes No
If not, Contribution
If not,
when? available now?
when?
June 2017 Yes No
Sept 2017
Yes No
Yes No
Yes No
Serendipity Farm CFF 2017 5
NOTE: Matching funds are strongly recommended and a higher rating will be assigned to those projects that
guarantee additional resources for acquisition. Donation of property or a property right will be considered as
a matching resource. Donation of resources for on-going maintenance or stewardship ("in-kind"
contributions) are not eligible as a match.
2 a. Sponsoring agency X is _is not prepared to provide long-term stewardship (easement monitoring,
maintenance, up -keep, etc.) for the proposed project site.
2 b. Describe any existing programs or future plans for stewardship of the property, including the nature
and extent of the commitment of resources to carry out the stewardship plan.
Jefferson Land Trust will conduct stewardship, monitoring and maintenance including at least
annual monitoring of the property by professional staff and trained volunteers, extensive data
collection and management, help with stewardship, enhancement and restoration goals and
legal defense of the conservation easements should it become necessary. Jefferson Land
Trust has a legal defense fund of nearly $575,000, and continues to build this fund with each
new easement acquisition, recognizing the legal obligation and responsibility of protecting
conservation values in perpetuity. In addition, Jefferson Land Trust carries legal defense
insurance for conservation easements through a program called Terrafirma, developed
through the national Land Trust Alliance (the national umbrella organization for land trusts).
This program covers up to $500,000 in legal enforcement costs per conservation easement
that Jefferson Land Trust holds and stewards.
3 a. Describe the sponsoring agency's previous or on-going stewardship experience.
Jefferson Land Trust, formed in 1989 and accredited in 2009, will hold the conservation
easement on Serendipity Farm. The Land Trust has been stewarding conservation easements
since 1991 and currently holds and monitors 57 conservation easements in Jefferson County,
in addition to conducting monitoring and stewardship activities on the 517 acres it owns in fee.
Stewardship activities are carried out by professional staff with the assistance of volunteer
Preserve Stewards. The Hoh River Trust and Washington State Parks contract with Jefferson
Land Trust to monitor and steward nearly 7400 acres of land under their control. In addition,
Jefferson Land Trust stewards land owned by Jefferson County, the City of Port Townsend
and Department of Natural Resources. Jefferson Land Trust stewardship and monitoring
protocols were developed with the guidance of the Land Trust Alliance and adherence to those
protocols is one of the requirements for our national accreditation.
3 b. Has the sponsor and/or applicant of this project been involved in other projects previously approved
for Conservation Futures funding?
No, neither the sponsor nor applicant has been involved in a project previously approved for
Conservation Futures funds.
X Yes, the sponsor and/or applicant for this project has been involved in a project previously approved
for Conservation Futures funds. Please provide details:
Serendipity Farm CFF 2017 6
Jefferson Land Trust has sponsored numerous applications that have received Conservation
Futures funds. These projects include: Sunfield Farm, 2003; Quimper Wildlife Corridor, 2004;
East Tarboo Creek Conservation Project, 2005; Tamanowas Rock Phase 1, 2006; the Winona
Buffer Project, 2006; Glendale Farm, 2007; Finnriver Farm, 2008; Quimper Wildlife Corridor,
2009; Brown Dairy, 2009; Salmon Creek Ruck 2010, Quimper Wildlife Corridor 2010;
Tamanowas Rock 2010; Chimacum Creek Carleson 2011; Winona Basin - Bloedel 2011; L.
Brown 2012, Boulton Farm 2012; Quimper Wildlife Corridor and Short Family Farm 2013;
Quimper Wildlife Corridor and Snow Creek Irvin and Jenks, 2014; Midori Farm, 2015; QWC
2016 Addition: Tarboo Creek, Farm and Forest 2016.
4 a. Property X can _cannot feasibly be acquired in a timely fashion with available resources.
4 b. Necessary commitments and agreements are X are not in place.
4 c. All parties _are X are not in agreement on the cost of acquisition.
If "not" to any of the above, please explain below.
Jefferson Land Trust will negotiate the specific terms of the easement and will engage an
appraiser to determine the value of the conservation easement prior to making an offer to the
Serendipity farmers.
5. The proposed acquisition _is specifically identified in an adopted open space, conservation, or resource
preservation program or plan, or community conservation effort. Please describe below, including the
site's importance to the plan. Please reference the website of the plan if available or include the plan with
this application.
X complements an adopted open space or conservation plan, but is not specifically identified. Please
describe below, and describe how the proposed acquisition is consistent with the plan.
_is a stand-alone project.
The Little Quilcene River valley where Serendipity Farm is located has been identified as
having local and regional agricultural and habitat significance in the Jefferson Land Trust
Conservation Plan. The plan is located on the Land Trust's website, www.saveland.org.
The Puget Sound Action Agenda states that protection of intact ecosystem processes,
structures and functions, including the protection and conservation of freshwater resources to
increase and sustain water availability for instream flow and human uses is important. It also
specifically supports long term protection and stewardship of working farms, particularly in East
Jefferson County in the Hood Canal Action Area (A3).
http://www.psp.wa.gov/downloads/AA2011/1 20911 /AA -draft -1 20911 -a8.pdf
http://www.psp.wa.gov/downloads/AA2011/1 20911 /AA-draft-120911-al-a4.pdf
The Nature Conservancy's 2015 analysis of Pacific NW terrestrial landscapes that offer
significant resilience to climate change identifies this area as having above average resilience.
Serendipity Farm CFF 2017 7
6. Conservation Opportunity or Threat:
a. The proposed acquisition site X does _does not provide a conservation or preservation opportunity
which would otherwise be lost or threatened.
b. If applicable, please carefully describe the nature and immediacy of the opportunity or threat, and any
unique qualities about the site.
The Quilcene area is undergoing resurgence and is becoming even more desirable for second
homes and residences. As a case in point, an adjacent property to the farm was slated for
subdivision and residential development. Thankfully, a buyer supportive of the agricultural
potential of the property purchased it and is leasing the property to nearby Midori farmers.
Serendipity, Midori and Little Quil Farms are current priorities for protection on the part of the
Land Trust and partner agencies and organizations. The Land Trust has recognized the
conservation values of this farmland area for years and tried to work with the previous owners
of the Midori and Little Quilcene Farm properties. We are fortunate now to have willing
landowners, and have been negotiating with all three current landowners for over 2 years to
secure the protection of these contiguous operating farms. The prime soils, size, sub -irrigation,
warmer summer micro -climate, presence of infrastructure, scenic qualities, and riparian habitat
values contribute to its conservation values. Serendipity Farm landowners are very eager to
have funding to re -invest in the farm infrastructure and to make the farm more affordable for
the next generation of family members.
7. The proposed acquisition:
X provides habitat for State of Washington Priority Habitat and/or State or Federal Threatened,
Endangered or Sensitive species.
X provides habitat for a variety of native flora or fauna species.
contributes to an existing or future wildlife corridor or migration route.
If affirmative in any of the above, please describe and list the Priority Habitat(s) and Threatened, Endangered,
or Sensitive species below, and cite or provide documentation of species' use.'
Salmon species utilize the restored stream and drainage ditches on the farm, including coho
and cutthroat trout. WDFW Priority Habitat and Species information identifies this as Priority
Freshwater Emergent Aquatic Habitat and indicates that spotted owl are in the area.
(http://wdfw wa.aov/conservation/phs/maps data/) Other species seen include many native
birds, hawks, eagles, trumpeter swans, small mammals, as well as coyote, deer, cougar,
bobcat, bear, and elk.
7 d. Does the current owner participate in conservation programs that enhance wildlife habitat? If so,
please provide details.
1 See, for example, http://www dnr wa gov/researchscience/topics/naturalheritag_e/ a e,� s/amp nh.asyx
http://www.wdfw.wa.jzov/conservation/phsAist/
http://wwwI.dnr.wa.2ov/nhp/refdeskiplants.html
http://wwwl.dnr.wa.gov/nhp/refdesk/pubs/wa ecological systems.pdf
Serendipity Form CFF 2017 8
Serendipity Farm has been working with the Jefferson County Conservation District on
restoration of a wetland portion of the farm that resolves drainage issues, enhances salmon
habitat and the downstream water quality of Quilcene Bay, and increases available
pastureland. A seasonal stream that runs through a pasture area was re -meandered and re-
directed to connect to the Cemetery Drain channel. To reduce the likelihood of contamination
with fecal coliform from manure, or by vehicular pollutants, a vehicle and livestock crossing
bridge and three culvert crossings were installed, and riparian areas were fenced to prevent
livestock and vehicle access to the stream. A CREP forested hedgerow of over 4,000 native
trees and shrubs, averaging 67 feet wide and involving 5.3 acres, was planted in 2015 to buffer
the water drainages, cool the water for fish, and to create habitat for birds and other wildlife.
The project also included the placement of wood in the re -meandered stream for salmon, and
the installation of three raptor perch poles, for habitat improvement. The broader result of the
project is its contribution to the restoration of a healthy watershed for the Little Quilcene River
Valley area for local farmers, recreational users, and businesses, including shellfish growers in
Quilcene Bay. It is of ongoing interest to the Serendipity Farmers to contribute to the
continuing beauty, sustainability, and quality of life in the area.
8 a. Describe the extent and nature of current and planned agricultural use of the proposed acquisition,
including any anticipated changes to that use once the property, or property right, is acquired with
Conservation Futures funds.
The soils and microclimate on the Serendipity property are very well suited to agricultural
production. Current use of Serendipity Farm includes organic cultivation of approximately 8
acres of vegetables, berries, fruit trees and flowers, and about 30 acres of usable pastureland
which is rotated sustainably for multi -species grazing. There are 14 horses currently being
boarded which they plan to bring up to their facility's maximum capacity of 17 horses. They
also raise goats and chickens for milk and eggs for their own consumption, and to help ensure
farm fertility and sustainable production. Farm products are delivered locally to 50 CSA
customers in Kitsap and Jefferson Counties. They are also sold at their farm stand and at the
Port Townsend farmer's market. Chris Llewellyn and family members plan to add to the
productivity of her farm by installing a commercial kitchen for on-site preparation of her value-
added farm products which at this time include organic salad dressings, pestos, and cookies.
She often includes these products in her CSA packages and plans to sell them at local
farmer's markets as she increases production to meet the growing demand. Easement funding
would help her to achieve these goals, as well as permanently preserve the agricultural values
of the land.
8 b. Describe any current or future management practices that promote the preservation of soil and water
quality and good watershed function on the farm.
Serendipity Farm has implemented extensive Best Management Practices to address soil
preservation and water quality on the farm. They have worked closely with the Jefferson
County Conservation District and the Natural Resource Conservation Service through the
federal Conservation Reserve Enhancement Program and Environmental Quality Incentives
Program. These programs provided funding and assistance to Serendipity for the activities
Serendipity Form CFF 2017 9
mentioned above. In addition, Serendipity has installed curtain drains around hoop houses and
gutters on barns; built a compost facility with cement floors and created animal paths with
appropriate surfaces in heavy use areas. Serendipity uses drip irrigation to reduce water
consumption and run-off, and does not pasture the animals in wet conditions.
8 c. Describe how the owner employs agricultural management practices that will protect or enhance
wildlife habitat.
The CREP restoration project with the Jefferson County Conservation District has benefited
salmon and other wildlife habitat on Serendipity Farm and will continue to provide even better
habitat as the trees and shrubs along the seasonal stream and Cemetery Drain channels
mature. The conservation easement will make permanent the current restrictions on use of the
CREP buffer areas. See 7 d for a more detailed description of restoration work completed in
2015
9 a. Describe the extent and nature of current and planned silvicultural use of the proposed acquisition.
Please cite or provide documentation of existing or planned silvicultural activities including forest
management plan(s) or forest ecosystem restoration. NA
9 b. Describe the silvicultural management practices that promote the preservation of soil and water
quality and good watershed function on the property. NA
9 c. Describe the owner's timber harvest plan and harvest methods that will protect or enhance wildlife
habitat on the property. NA
10. a. Describe how the proposed acquisition benefits primarily a _local area X broad county area
including the area served, the nature of the benefit, the jurisdictions involved, and the populations served.
Local residents and those in the broader Seattle region benefit from having access to the fresh
products from Serendipity Farm and the surrounding farms. The farms that make up the
Quilcene Farm Center are all recognized in the agricultural community of Jefferson County and
contribute significantly to the agricultural economy through their thriving businesses. The
naturally -irrigated prime soils, scenic qualities and easy access have made this area appealing
to the newer generation of farmers trying to make their way in Jefferson County. Because of its
conservation values and the history of the current farmers, the Quilcene Farm Center
preservation effort is also one of the top priorities of the LandWorks Collaborative (LWC). The
LWC is a unique partnership with the focus of "keeping working lands working" in our county -
not only by protecting the important farmland and forest land and keeping it affordable for
successive generations, but also by supporting the producers with the tools necessary to
succeed, such as business planning, reinvestment in farm infrastructure and through
strengthening consumer demand and markets for locally grown food. Jefferson Land Trust
received letters of support for our State Farmland Preservation Program application for
Quilcene Farm Center from Jefferson County, Washington State University, Jefferson County
Conservation District, and The Food Coop.
Streams and wetlands on Serendipity Farm feed into the Little Quilcene River via the Quilcene
Irrigation Ditch which also runs through Midori and Little Quil Farms. These well-managed
Serendipity Farm CFF 2017 10
farms are doing their part to ensure excellent water quality downstream in the largest oyster -
producing region in the state. The drainage infrastructure within this ancient alluvial floodplain
area helps control flooding. The nearby Quilcene Rivers and head of Quilcene Bay have
undergone extensive protection and restoration efforts by Federal, State, Jefferson County and
local entities, including land protection by Jefferson County and Jefferson Land Trust.
10 b. Is the project located in an area that is under -represented by CF funded Projects? Areas that
Conservation Futures has not been able to support to date include Marrowstone Island, Toandos Peninsula,
Dosewallips Valley, Bolton Peninsula, and the West End.
NO
11. Describe the educational or interpretive opportunities that exist for providing public access, educational
or interpretive displays (signage, kiosks, etc.) on the proposed site, including any plans to provide those
improvements and any plans for public accessibility.Z
Serendipity Farm is dedicated to recreation, education, conservation and sustainable
agriculture and is eager to provide educational opportunities and demonstrations on the farm in
concert with other partners in the agricultural community. To that end, they have hosted an
annual writer's conference for Evergreen State College students for the last 8 years, and
conduct regular riding lessons as well as special riding workshops on natural equestrian skills
and trail riding. They have created a trail system through the farm that locals use to transit
through the property. Serendipity Farm participates annually in the Jefferson County Farm
Tour. If the easement is secured, the farm will also likely be one of many properties included in
property tours coordinated by Jefferson Land Trust. Its location on a major Olympic Peninsula
Washington Scenic Byway and tourist route provides opportunities for both retail sales at a
farm stand, and demonstration of sustainable farming and animal husbandry practices to both
tourists and residents.
12. The proposed acquisition _ includes historic or culturally significant resources3 and
is registered with the National Register of Historic Places, or an equivalent program.
X is recognized locally has having historic or cultural resources.
is adjacent to and provides a buffer for a historic or cultural site.
If affirmative in any of the above, please describe below, and cite or provide documentation of the historical or
cultural resources.
Serendipity farm is part of what was an early 1800's 300 -acre farmstead, and it was operated
as a dairy until the 1970's.
2 The words "education" and "interpretation" are interpreted broadly by the CF Committee.
3 Cultural resources means archeological and historic sites and artifacts, and traditional religious ceremonial and
social uses and activities of affected Indian Tribes and mandatory protections of resources under chapters 27.44
and 27.53 RCW.
Serendipity Farm CFF 2017 11
Verification
13. Sponsors of applications that are approved for funding by the Board of County Commissioners are required to
submit a brief progress report by October 30 every year for three years after the award is approved, or three years
after the acquisition funds are disbursed to the applicant, whichever is later. The progress report must address any
changes in the project focus or purpose, progress in obtaining matching funding, and stewardship and
maintenance. Sponsors receiving O&M funds will also submit an annual report for each year that O&M funds are
expended. The Committee will use the information to develop a project "report card" that will be submitted
annually to the Board of County Commissioners.
If this application is approved for funding, I understand the sponsor is required to submit progress reports for
three years and for any year in which O&M funds are expended. Initials Date
14. If, three years after the date funding is approved by the Board of County Commissioners, the applicants have
not obtained the required matching funds, the Committee may request the Board of County Commissioners to
nullify their approval of funds, and may require the project to re -apply.
If this application is approved for funding, I understand that we may be required to re -submit the application if the
project sponsor does not obtain the necessary matching funding within three years. Initials Date
Serendipity Farm CFF 2017 12
Landowner
Acknowledgement Form'
Landowner Information
Name of Landowner: Christine Llewellyn
Landowner Contact Information.-
❑ Mr. E Ms. Title: Owner
First Name: Christine Last Name: Llewellyn
Contact Mailing Address: 14 Cemetery Road, Quilcene, WA 98376
Contact E -Mail Address: infoPserendipityfarm.org
Property Address or Location: Same as above
1. Landowner is the legal owner of property described in this grant application.
2. I am aware that the project is being proposed on my property.
3. If the grant is successfully awarded, I will be contacted and asked to engage in
negotiations.
4. My signature does not represent authorization of project implementation.
5. If I am affiliated with the project sponsor, I will recuse myself from decisions made by the
project sponsor to work on or purchase my property.
Landowner Signature Date
Project Sponsor Information
Project Name: Serendipity Farm
Project Applicant Contact Information: Jefferson Land Trust
Mr. 0 Ms. Title: Director, Conservation and Strategic Partnerships
First Name: Sarah Last Name: Spaeth
Mailing Address: 1033 Lawrence Street, PT, WA 98368 E -Mail Address: sspaeth@saveland.org
Landowner
Acknowledgement Form'
er intormation
Name of Landowner: Arianne and Francesco Bertucci
Landowner Contact Information:
0 Mr. Q Ms. Title: Owner
First Name: Arianne and Francesco Last Name: Bertucci
Contact Mailing Address: SO4 Columbia Street, Quilcene, WA 98376
Contact E -Mail Address: awkwardguy@gmaii.com
Property Address or Location: Same as above
1. Landowner is the legal owner of property described in this grant application.
2. I am aware that the project is being proposed on my property.
3. If the grant is successfully awarded, I will be contacted and asked to engage in
negotiations.
4. My signature does not represent authorization of project implementation.
S. If I am affiliated with the project sponsor, I will recuse myself from decisions made by the
project sponsor to work on or purchase my property.
Landowner Signature Date
Landowner Signature Date
Project Sponsor Information
Project Name: Serendipity Farm
Project Applicant Contact Information: Jefferson Land Trust
Mr. ❑ Ms. Title: Director, Conservation and Strategic Partnerships
First Name: Sarah Last Name: Spaeth
Mailing Address: 1033 Lawrence Street, PT, WA 98368 E -Mail Address: sspaeth@saveland.org
Landowner
Acknowledgement Form'
Landowner Information
Name of Landowner: Arianne and Francesco Bertucci
Landowner Contact Information:
U Mr. IN Ms. Title: Owner
First Name: Arianne and Francesco Last Name: Bertucci
Contact Mailing Address: 504 Columbia Street, Quilcene, WA 98376
Contact E -Mail Address:
Property Address or Location.- Same as above
1. Landowner is the legal owner of property described in this grant application.
2. 1 am aware that the project is being proposed on my property.
3. If the grant is successfully awarded, I will be contacted and asked to engage in
negotiations.
4. My signature does not represent authorization of project implementation.
5. If I am affiliated with the project sponsor, I will recuse myself from decisions made by the
project sponsor to work on or purchase my property.
Zel
2-
LandoWner Signature d Date /
Project Sponsor Information
Project Name: Serendipity Farm
Project Applicant Contact Information: Jefferson Land Trust
❑ Mr. ❑ Ms. Title: Director, Conservation and Strategic Partnerships
First Name: Sarah Last Name: Spaeth
Mailing Address: 1033 Lawrence Street, PT, WA 98368 E -Mail Address: sspaeth@saveland.org
Project Area
Farmland project in progress
Protected Farmland
Jefferson Land Trust Nature Preserve
Conservation Easement
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Service Layer Credits: Sources: Esr� DeLorme, HERE, TomTom,
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China (Hong Kong l, swisstopo, and the GIS User Community
Location For informational purposes only. All
Map created in March, 2016 data represented are from varying N
sources and approximate.
SERENDIPITY FARM PROJECT
CONSERVATION FUTURES FUNDS ILLUSTRATIONS — 2017
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113
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Jefferson Land Trust
RESOLUTION
March 21, 2017
WHEREAS, Jefferson Land Trust is an applicant or sponsor for more than one Conservation
Futures Funding application, and Conservation Futures Funding Application process requires
that Jefferson Land Trust prioritize its projects, and
WHEREAS, Jefferson Land Trust has been working since 2006 in partnership with Jefferson
LandWorks Collaborative whose mission is to keep the farms and forests of Jefferson County,
Washington, working, productive and profitable, and
WHEREAS, the Serendipity Farm is indicated as priority agricultural and habitat land in several
local and regional plans, and the landowner is eager to complete the project, and
WHEREAS, approximately 45 acres of prime agricultural land on Serendipity Farm, will be
protected for prime agricultural soils, riparian habitat of Cemetery Creek and some associated
wetlands on the agriculturally zoned acreage by an agricultural conservation easement, and
WHEREAS, this important community asset will require stewardship in perpetuity, to include
annual monitoring, maintenance, and management, AND
WHEREAS, Jefferson Land Trust has been working since 2001 in partnership with Jefferson
County Conservation District, Jefferson County, Washington Department of Fish and Wildlife,
North Olympic Salmon Coalition, the Hood Canal Coordinating Council, the Jamestown
S'Klallam Tribe and WSU Cooperative Extension to acquire and restore critical salmon
spawning, rearing and migratory habitat in the Salmon/Snow Creek riparian area and estuary,
and
WHEREAS, these professional naturalists and scientists have recommended that Snow Creek
habitat protection be expanded to provide further benefits for migrating salmonids and other
species, and
WHEREAS, acquisition of high-priority identified parcels on Snow Creek from willing sellers
would provide such habitat protection, the Taylor parcel has been identified as such, AND
WHEREAS, Jefferson Land Trust has been working since 2004 in partnership with Northwest
Watershed Institute to acquire and restore critical forested watershed, riparian, estuarine and
nearshore habitat in the TarbooCreekl Dabob Bay watershed area, and
Jefferson Land Trust
Page 1 of 2
W
2
WHEREAS, Northwest Watershed Institute has requested that Jefferson Land Trust sponsor their
Conservation Futures Funding application for acquisition of a conservation easement to be held
by Jefferson Land Trust,
BE IT HEREBY RESOLVED that Jefferson Land Trust agreed at its March 21, 2017 Board of
Directors meeting to sponsor several applications to the Jefferson County Conservation Futures
Program. The Board agreed that Serendipity Farm application for purchase of a conservation
easement is the highest project priority for 2017 Conservation Futures Funding due to the
agricultural and economic values, and landowner willingness. The second highest priority is
funding for acquisition of the Taylor parcel east of Wycoff Road and adjacent to Jefferson Land
Trust's Snow Creek Uncas Preserve. The property for sale in the Snow Creek watershed is a
high priority for protection due to the salmon habitat, floodplain and recreational qualities. The
third highest priority is funding for the acquisition of a conservation easement on the — 53 acre
Iglitzen property to support our project partner Northwest Watershed Institute in preserving
critical watershed and riparian habitat in the Tarboo Creek project area.
Signed this 21 th day of March, 2017.
Robin Fitch, President, Board of Directors
Jefferson Land Trust
Jefferson Land Trust Page 2 of 2
JEFFERSON LAND TRUST AND SUBSIDIARY
Consolidated Financial Statements
For the Years Ended December 31, 2015 and 2014
Aiken 0 0sanders, Inc PS
CERTIFIED PUBLIC ACCOUNTANTS
& MANAGEMENT CONSULTANTS
TABLE OF CONTENTS
IndependentAuditor's Report ........................................................................................................... 1
Consolidated Financial Statements:
Consolidated Statement of Financial Position...................................................................... 3
Consolidated Statement of Activities and Changes in Net Assets -2015 .............................. 5
Consolidated Statement of Activities and Changes in Net Assets -2014 .............................. 6
Consolidated Statement of Functional Expenses -2015 ......................................................... 7
Consolidated Statement of Functional Expenses -2014 ......................................................... 8
Consolidated Statement of Cash Flows................................................................................ 9
Notes to the Consolidated Financial Statements................................................................... 11
Aken
68and(:1,rs, Inc Ps
CERTIFIED PUBLIC ACCOUNTANTS
& MANAGEMENT CONSULTANTS
To the Board of Directors
Jefferson Land Trust & Subsidiary
Port Townsend, WA
Report on the Financial Statements
343 West Wishkah Street
Telephone (360) 533-3370
Independent Auditor's Report
Kington 98520-6130
Fax (360) 532-7123
We have audited the accompanying consolidated financial statements of Jefferson Land Trust and Subsidiary
(collectively, JLT, a nonprofit organization), which comprise the consolidated statement of financial position as of
December 31, 2015, and the related consolidated statements of activities and changes in net assets, functional
expenses, and cash flows for the year then ended, and the related notes to the consolidated financial statements.
Management's Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in accordance with
accounting principles generally accepted in the United States of America; this includes the design, implementation,
and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are
free from material misstatement, whether due to fraud or error.
Auditor's Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit
in accordance with auditing standards generally accepted in the United States of America. Those standards require
that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from
material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial
statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of
material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the
auditor considers internal control relevant to the entity's preparation and fair presentation of the financial statements
in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an
opinion on the effectiveness of the entity's internal control. Accordingly, we express no such opinion. An audit also
includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting
estimates made by management, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit
opinion.
MEMBER AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS AND WASHINGTON SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS
Opinion
In our opinion, the financial statements referred to above present fairly, in all material respects, the financial position
of the JLT as of December 31, 2015, and changes in net assets and its cash flows for the year then ended in
accordance with accounting principles generally accepted in the United States of America.
Prior Period Financial Statements
The financial statements of JLT as of December 31, 2014, were audited by other auditors whose report dated June 11,
2015, expressed an unmodified opinion on those statements.
Aiken & Sanders, Inc., PS
Certified Public Accountants
& Management Consultants
June 9, 2016
2
Jefferson Land Trust and Subsidiary
A Washington Not For Profit Organization
Consolidated Statement of Financial Position
As of December 31, 2015 and December 31, 2014
Assets
2015
2014
Current Assets:
Cash and cash equivalents
$ 477,335 $
624,624
Accounts receivable
49,645
35,174
Current pledges receivable
97,724
132,953
Note receivable -current portion
4,167
3,955
Prepaid expenses
5,306
4,555
Total Current Assets
634,177
801,261
Land and Conservation Easements:
Habitat land 2,490,598 1,451,717
Working land 97,728 25,048
Open space land 332,771 268,512
Conservation easements 54 54
Total Land and Conservation Easements 2,921,151 1,745,331
Fixed Assets:
Furniture, equipment, and improvements
Less: Accumulated depreciation
Fixed assets, net
Other Assets:
Long term pledges receivable
Long term note receivable
Land hold fee -net
Investments
Total Other Assets
Total Assets
68,530
(28,314)
40,216
213,374
62,877
75,000
553,243
904,494
28,286
(21,154;
7,132
318,170
67,053
378,051
763.274
$ 4,500,038 $ 3,316,998
The accompanying notes are an integral part of these financial statements
t_1
Jefferson Land Trust and Subsidiary
A Washington Not For Profit Organization
Consolidated Statement of Financial Position
As of December 31, 2015 and December 31, 2014
Liabilities & Net Assets
2015 2014
Current Liabilities:
Accounts payable $ 17,589 $ 18,251
Accrued liabilities and deferred revenue 42,198 35,074
Total Current Liabilities 59,787 53,325
Long -Term Liabilities:
Total Long -Term Liabilities
Net Assets:
Unrestricted
Undesignated
Board designated
Temporarily restricted
Permanently restricted
Total Net Assets
Total Liabilities & Net Assets
339,559
303,965
2,926,151
1,745,331
3,265,710
2,049,296
1,121,942
1,169,898
52,599
44,479
4,440,251
3,263,673
$ 4,500,038 $ 3,316,998
The accompanying notes are an integral part of these financial statements
4
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00
Jefferson Land Trust and Subsidiary
A Washington Not For Profit Organization
Consolidated Statement of Cash Flows
For the Years Ended December 31, 2015 and December 31, 2014
Cash flows from operating activities:
Cash received from grantors, donors and customers
Cash paid to suppliers and employees
Cash received from interest
Net cash provided (used) by operating activities
Cash flows from investing activities:
Cash paid for equipment and improvements
Cash paid for investments
Cash received from investments
Proceeds from notes receivable
Cash paid for land
Cash paid for land hold fee
Cash received from sale of land
Net cash provided (used) by investing activities
Cash flows from financing activities:
Net cash provided (used) by financing activities
Net increase (decrease) in cash & cash equivalents
Cash & cash equivalents at beginning of year
Cash & cash equivalents at end of year
2015 2014
$ 2,019,107 $ 1,001,650
(845,159) (793,496)
10,575 10,589
1,184,523 218,743
(40,244)
(1,369)
(450,832)
(4,909)
273,100
39,251
3,964
3,838
(1,017,800)
(129,983)
100 000
2,277
(1,331,812) (90,895)
(147,289)
127,848
624,624 496,776
$ 477,335 $ 624,624
The accompanying notes are an integral part of these financial statements
9
Jefferson Land Trust and Subsidiary
A Washington Not For Profit Organization
Consolidated Statement of Cash Flows
For the Years Ended December 31, 2015 and December 31, 2014
2015 2014
Reconciliation of increase (decrease) in net assets to net cash
provided (used) by operating activities:
Increase (decrease) in net assets: $ 1,176,578 $ 196,957
Adjustments:
Depreciation
7,160
2,760
Land hold fee amortization
25,000
-
Realized and unrealized losses (gains) on investments
2,540
1,282
Donated land and easements
(158,020)
(8,000)
Changes in assets and liabilities:
(Increase) decrease in accounts receivable
(14,471)
22,986
(Increase) decrease in pledges receivable
140,025
(19,544)
(Increase) decrease in prepaid expense
(751)
(1,866)
Increase (decrease) in accounts payable
(662)
16,375
Increase (decrease) in accrued expenses and deferred revenue
7,124
7,793
Net cash provided (used) by operating activities $
1,184,523 $
218,743
The accompanying notes are an integral part of these financial statements
10
Jefferson Land Trust and Subsidiary
Notes to Consolidated Financial Statements
December 31, 2015 and 2014
A. ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:
Oraanization—
Jefferson Land Trust (The Land Trust) is a Washington not-for-profit corporation formed on April 7, 1989. The
Land Trust's purpose is to acquire, preserve and manage open space lands and easements for land conservation
purposes benefitting the public. The Land Trust also provides information and materials to the public on land
conservation issues. The Land Trust serves Jefferson County on the Olympic Peninsula in Washington State. The
Land Trust has been accredited by the national Land Trust Alliance since August 5, 2009.
On September 5, 2007, JLT Resources, LLC was formed with the Land Trust as its only member. JLT Resources,
LLC was formed for the purpose of purchasing and holding land for conservation purposes.
Principles of Consolidation --
These financial statements consolidate the statements of Jefferson Land Trust and JLT Resources, LLC
(collectively, "JLT"). Inter -organization balances and transactions have been eliminated in consolidation.
Basis of accounting --
The consolidated financial statements of JLT have been prepared on the accrual basis of accounting.
Basis of presentation—
Net assets, revenues, gains and losses are classified based on the existence or absence of donor -imposed
restrictions. Accordingly, the net assets of JLT and changes therein are classified and reported as follows:
Unrestricted Net Assets- Include all net assets on which there are no donor -imposed restrictions for use, or for
which donor -imposed restrictions were temporary and have expired or been fulfilled.
Temporarily Restricted Net Assets- Include all net assets subject to donor imposed restrictions that will be met
by actions of JLT and/or passage of time.
Permanently Restricted Net Assets- Include all net assets received by donations wherein the donors impose a
permanent restriction on the use of the gift. The donors require the gift to be invested and only the income
from such investments may be used to support the intended cause.
All donor -restricted support is reported as increases in temporarily or permanently restricted net assets, depending
on the nature of the restriction. When restrictions expire (that is, when a stipulated time restriction ends and/or
purpose restriction is accomplished), temporarily restricted net assets are reclassified to unrestricted net assets and
reported in the consolidated statement of activities as net assets released from restriction. Gifts of equipment are
reported as unrestricted support unless explicit restrictions that specify how the assets are to be used and gifts of
cash and other assets that must be used to acquire long-lived assets are reported as restricted support. Absent
explicit donor stipulations about how long those long-lived assets must be maintained, expirations of donor
restrictions are reported when the donated or acquired long-lived assets are placed in service.
11
Jefferson Land Trust and Subsidiary
Notes to Consolidated Financial Statements
December 31, 2015 and 2014
Property and Fixed Assets --
Improvements, furniture and equipment are capitalized at cost if purchased, or, if donated, at the approximate fair
value at the date of donation. When retired or otherwise disposed of, the related carrying value and accumulated
depreciation are removed from the respective accounts and the net difference, less any amount realized from
disposition, is reflected in earnings. Maintenance and repairs are charged to expense as incurred. Costs of
significant improvements are capitalized. JLT provides for depreciation using the straight-line method over the
estimated useful lives of the assets of five to ten years.
JLT records acquisitions of land at cost if purchased. Land acquired through donation is recorded at fair value,
with fair values generally based on independent professional appraisals. These assets fall into two primary
categories:
Conservation Lands- Real property with significant ecological value for habitat, open space, or working lands.
Stewardship programs of JLT manage these properties to protect the natural biological diversity of the property.
JLT manages its working timberland as a Forest Stewardship Council -Certified, managed forest.
Conservation Easements- Voluntary legal agreements between a landowner and a land trust or government agency
to permanently protect the identified natural features and conservation values of the property. These easements
may be sold or transferred to others so long as the assignee agrees to carry out, in perpetuity, the conservation
purposes intended by the original grantor. Conservation easements owned by JLT protect habitat, open space and
working lands, such as family farms, through its stewardship programs. Easements acquired represent numerous
restrictions over the use and development of land not owned by JLT. Since the benefits of such easements accrue
to the public upon acquisition, the fair market value of easements acquired is shown in the year of acquisition as
an addition to net assets to record the donation of the easement, and unless conveyed to a public agency for
consideration, shown as a reduction in net assets to record the value of the public's benefit and to recognize that
these easements have no marketable value once severed from the land and held by JLT. Easements held by JLT
are carried on the consolidated statement of financial position at $1 each for tracking and accounting purposes.
Two easements valued at $1,297,250 in total were donated to JLT during the year ending December 31, 2014.
Accordingly, $1,297,250 of contribution revenue and $1,297,249 of related write down expense have been
reported on the consolidated statement of activities for the year end December 31, 2014.
Estimates—
The preparation of financial statements in conformity with accounting principles generally accepted in the United
States of America (U.S. GAAP) requires management to make estimates and assumptions that affect the reported
amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial
statements, and the reported amounts of revenues and expenses during the reporting period. Accordingly, actual
results could differ from those estimates.
Expense Allocation—
The costs of providing various programs and other activities have been summarized on a functional basis in the
consolidated statement of functional expense. Accordingly, certain costs have been allocated among the programs
and supporting services in line with benefits received.
Cash and Cash Equivalents—
For reporting purposes, JLT considers all unrestricted highly liquid investments with a purchased maturity of
three months or less to be cash and cash equivalents.
12
Jefferson Land Trust and Subsidiary
Notes to Consolidated Financial Statements
December 31, 2015 and 2014
Concentrations—
JLT maintains its cash in bank deposit accounts with three financial institutions. JLT's cash balances may, at
times, exceed federally insured limits.
At December 31, 2015, two donor's pledges represented approximately 55% of pledges receivable, and the total
of all pledges from board members represented approximately 58% of pledges receivable.
At December 31, 2014, one donor's pledge represented approximately 26% of pledges receivable, and the total of
all pledges from board members represented approximately 52% of pledges receivable.
Investments—
Investments in marketable securities with readily determinable fair values are valued at their fair values in the
consolidated statement of financial position. Certificates of deposit are carried at cost plus accrued interest in the
consolidated statement of financial position. Unrealized gains and losses are included in the change in net assts.
Grants and Contracts--
JLT receives grants and contracts from federal, state, and local agencies, as well as from private organizations, to
be used for specific programs or land purchases. The excess of grants receivable over reimbursable expenditures
to -date is recorded as deferred revenue.
Federal Income Taxes --
The Internal Revenue Service has determined Jefferson Land Trust and JLT Resources, LLC (a disregarded
entity) to be exempt from federal income taxes under Internal Revenue Code Section 501(c)(3).Contributions to
JLT are deductible as allowed under IRC Section 170(b)(I)(A)(vi).
During the year ended December 31, 2012, the Land Trust elected the provisions of Section 501(h), relating to
expenditures to influence legislation.
Subseauent Events--
JLT has evaluated subsequent events through June 9, 2016, the date on which the consolidated financial
statements were available to be issued.
13
Jefferson Land Trust and Subsidiary
Notes to Consolidated Financial Statements
December 31, 2015 and 2014
B. UNRESTRICTED NET ASSETS:
Unrestricted net assets consisted of the following at December 31, 2015 and 2014:
Designated:
Quimper Wildlife Corridor
Chimacum Creek
Duckabush Riparian Forest
Donovan Creek
Duckabush Wetlands & Oxbow
Bulis Forest Preserve
Upper Snow Creek Forest
Snow Creek Uncas Preserve
Chimacum Commons
Snow Creek Estuary
Silver Reach
Gateway
Kilham Corner
Stewardship Fund
Conservation easements
Total Designated
Undesignated
Total Unrestricted Net Assets
14
2015
417,869
284,409
492,800
205,000
530,000
125,240
340,000
100,000
90,850
86,000
125,000
85,000
38,930
4,999
54
2,926,151
339,559
$ 317,138
297,119
220,000
205,000
180,000
125,240
100,000
90,850
86,000
85,000
38,930
54
1,745,331
303,965
$ 3,265,710 $ 2,049,296
Jefferson Land Trust and Subsidiary
Notes to Consolidated Financial Statements
December 31, 2015 and 2014
C. TEMPORARILY RESTRICTED NET ASSETS:
JLT's temporarily restricted net assets consisted of the following at December 31, 2015 and 2014:
Purpose Restriction:
For stewardship of Bullis Forest Preserve
Satterberg Foundation Grant
Working Farm Fund
Consulting fees
Anonymous Agricultural Foundation Grant
Stewardship funding
Working Land & Habitat Fund
Education Outreach Fund
Other program restrictions
Time Restriction:
Outstanding pledges
Total Temporarily Restricted Net Assets
2015
2014
$ 91,410
$ 94,191
97,026
-
-
68
4,410
6,000
49,153
-
538,730
534,117
-
51,390
19,915
22,436
10,201
10,573
810,845
718,775
311,097
451,123
$ 1,121,942 $ 1,169,898
Net assets of $221,727 and $167,729, respectively, were released from donor restrictions by incurring expenses
satisfying the purpose restriction specified by the donor, and net assets of $140,025 and $175,520, respectively,
were released due to the expiration of time restrictions for the years ended December 31, 2015 and 2014.
D. PERMANENTLY RESTRICTED NET ASSETS:
E.
At December 31, 2015 and 2014, respectively, JLT had $52,599 and $44,479 of permanently restricted net assets
in a general endowment fund, the income of which is available to support general operations.
The JLT endowment consists of one fund established to support general operations. As required by U.S. GAAP,
net asset associated with endowment funds are classified and reported based on the existence or absence of donor -
imposed restrictions.
Nature of Endowments and Interpretation of Relevant Laws- JLT's Board of Directors has reviewed the
Washington State Prudent Management of Institutional Funds Act (PMIFA) and, having considered its rights and
obligations thereunder, has determined that it is desirable to preserve, on a long-term basis, the fair value of the
original gift as of the gift date of the donor -restricted endowment funds absent explicit donor stipulations to the
contrary. As a result of this determination, JLT classifies as permanently restricted nets assets (a) the original
value of gifts donated to the permanent endowment, and (b) the original value of subsequent gifts to the
permanent endowment made in accordance with the direction of the applicable donor gift instrument at the time
the accumulation is added to the fund.
15
Jefferson Land Trust and Subsidiary
Notes to Consolidated Financial Statements
December 31, 2015 and 2014
The remaining portion of the donor -restricted endowment fund that is not classified in permanently restricted net
assets is classified as temporarily restricted net assets until those amounts are appropriated for expenditure by JLT
in a manner consistent with the standard of prudence prescribed by PMIFA. However, JLT has informed donors
of its spending policy which states that no distributions will be made during the first five years of the fund's
existence or until it reaches a threshold balance of $400,000. Since these milestones have not yet been reached,
JLT adds all amounts earned to the permanently restricted balance.
In accordance with PMIFA, JLT considers the following factors in making a determination to appropriate or
accumulate donor -restricted endowment funds, (1) the duration and preservation of the various funds, (2) the
purposes of the donor -restricted endowment funds, (3) general economic conditions, (4) the possible effect of
inflation and deflation, (5) the expected total return from income and the appreciation of investments, (6) other
resources of JLT, and (7) JLT's investment policies.
Endowment net assets, all permanently restricted, totaled $52,599 and $44,479, respectively, at December 31,
2015 and 2014.
Changes in endowment net assets for the year ended December 31, 2015 are as follows:
Temporarily Permanently
Restricted Restricted Total
Endowment Net Assets 1/1/2015 $ - $ 44,479 $ 44,479
Contributions - 7,660 7,660
Investment Income - 957 957
Net Appreciation (Depreciation) - (497) (497)
Endowment Net Assets 12/31/15 $ - $ 52,599 $ 52,599
Changes in endowment net assets for the year ended December 31, 2014 are as follows:
Endowment Net Assets 1/1/2014
Contributions
Investment Income
Net Appreciation (Depreciation)
Endowment Net Assets 12/31/14
16
Temporarily
Restricted
Permanently
Restricted
Total
$ 35,910 $
35,910
7,887
7,887
831
831
(149)
(149)
$ 44,479 $
44,479
Jefferson Land Trust and Subsidiary
Notes to Consolidated Financial Statements
December 31, 2015 and 2014
Funds with Deficiencies- From time to time, the fair value of assets associated with individual donor -restricted
endowment funds may fall below the level that the donor or PMIFA requires JLT to retain as a fund of perpetual
duration. In accordance with U.S. GAAP, deficiencies of this nature are reported in unrestricted net assets. There
were no such deficiencies as of December 31, 2015 or 2014.
Return Objectives and Risk Parameters- JLT has adopted investment and spending policies for endowment
assets that attempt to provide a predictable stream of funding to programs supported by its endowment while
seeking to maintain the purchasing power of the endowment assets. Endowment assets include those assets of
donor -restricted funds that JLT must hold in perpetuity or for donor -specified periods as well as board -designated
funds. Under this policy, as approved by the Board of Directors, the endowment assets are invested in a manner
that is intended to produce results that exceed the price and yield results of a custom Policy Index made up of
various indices. The composition of the custom Policy Index is based upon the strategic asset allocation of the
investment portfolio and assumes a moderate level of investment risk. The investment objectives of the
Operations Endowment Fund include maintenance of principal, timely liquidity, and preservation of purchasing
power over time.
Strategies Employed for Achieving Objectives- To satisfy its long-term rate -of -return objective, JLT notes that
for funds earmarked for capital appreciation, appropriate investments include intermediate term bond
funds/ETF's, equity mutual funds, equity ETF's, and unconstrained bond funds.
Spending Policy and How the Investment Objectives Relate to the Spending Policy- JLT's spending policy
intends that no distributions shall be made from the Operations Endowment Fund for the first five years of its
existence or until it reaches a threshold balance of $400,000, whichever shall first occur. After a five-year period
which ended in December of 2014, or after achieving the $400,000 threshold, distributions shall be made on an
annual basis as determined by the Board. Regular disbursements should be limited to a maximum of 5% of the
value of the portfolio at the beginning of each fiscal year, or one-half of the income generated by the fund for the
most recent fiscal year, whichever is less. At no time will the distribution of the spendable amount result in the
invasion of the original amounts donated.
F. ACCOUNTS RECEIVABLE:
Accounts receivable are stated at the amount management expects to collect from outstanding balances.
Management provides for probable uncollectible amounts through a charge to earnings and a credit to a valuation
allowance based on its assessment of the current status of individual accounts. Balances still outstanding after
management has used reasonable collection efforts are written off through a charge to the valuation allowance and
a credit to trade accounts receivable.
Historically, bad debts have been immaterial. During 2015 and 2014, there were bad debts of $0 and $0,
respectively. As of December 31, 2015, management estimated that all accounts receivable were collectible.
JLT had no material amounts past due at December 31, 2015.
17
Jefferson Land Trust and Subsidiary
Notes to Consolidated Financial Statements
December 31, 2015 and 2014
G. PLEDGES RECEIVABLE:
JLT received promises to give from a number of donors in years prior to 2015. JLT has provided an allowance for
uncollectible amounts based on its assessment of the current status of individual pledges and has discounted
pledges to current value using a rate of .6%. Pledges receivable at December 31, 2015 are to be received as
follows:
Less than one year $ 98,900
Two to five years 211,304
Thereafter 14,300
324,504
Less discount to present value (3,268)
Less allowance for uncollectible (10,138)
$ 311,098
JLT has implemented a new development strategy that will result in a significant reduction of pledge receivables
over the next 5 years. This planned reduction is in response to several changes in JLT's constituency — an
increase in foundation grants, an increase in an operating reserve that will provide emergency working cash
equivalent to 6 months of operational expenses, and a desire by our donors to not request commitments that are
relatively inflexible.
H. NOTE RECEIVABLE:
On February 15, 2008, JLT granted a loan to an individual in relation to one of the pieces of conservation land
owned by JLT. A promissory noted was received in exchange. The promissory note is for the amount of $93,750
and is to be paid in monthly installments of approximately $600. The note matures on January 15, 2028 with an
annual interest rate of 5%.
Future expected amounts to be received at December 31, 2015 are as follows:
2016 $
4,167
2017
4,380
2018
4,604
2019
4,840
2020
5,087
Thereafter
43,966
$ 67,044
18
Jefferson Land Trust and Subsidiary
Notes to Consolidated Financial Statements
December 31, 2015 and 2014
I. FURNITURE, EQUIPMENT, AND IMPROVEMENTS:
Furniture, Equipment, and Improvements consist of the following at December 31, 2015 and 2014:
Furniture & Equipment
Accumulated Depreciation
Leasehold Improvements
Accumulated Depreciation
Fixed Assets -Net
2015
$ 38,678
(25,329)
13,349
29,852
(2,985)
26,867
2014
$ 28,286
(21,154)
7,132
$ 40,216 $ 7,132
Accumulated Depreciation was $28,314 and $21,154 at December 31, 2015 and 2014, respectively.
J. LAND AND CONSERVATION EASEMENTS:
Land and conservation easements at December 31 are summarized as follows:
Quimper Wildlife Corridor
Chimacum Creek
Duckabush Riparian Forest
Donovan Creek
Duckabush Wetlands & Oxbow
Bulis Forest Preserve
Upper Snow Creek Forest
Snow Creek Uncas Preserve
Chimacum Commons
Snow Creek Estuary
Silver Reach
Gateway
Kilham Corner
Conservation easements
Total Unrestricted Net Assets
19
2015
417,869
284,410
492,800
205,000
530,000
125,240
340,000
100,000
90,850
86,000
125,000
85,000
38,930
54
2014
$ 329,847
284,410
220,000
205,000
180,000
125,240
100,000
90,850
86,000
85,000
38,930
54
$ 2,921,151 $ 1,745,331
Jefferson Land Trust and Subsidiary
Notes to Consolidated Financial Statements
December 31, 2015 and 2014
K. ECONOMIC DEPENDENCY:
For 2015 and 2014, grant funding was primarily provided by the State of Washington Recreation and
Conservation Office and Jefferson County. A reduction in this level of support, if it were to occur, could have a
significant impact on JLT's operations.
L. CONTINGENCIES:
Amounts received or receivable from federal and state government agencies are subject to audit and potential
adjustment by the contracting agencies. Any disallowed claims, including amounts already collected, would
become a liability of JLT if so determined in the future. It is management's belief that no material amounts
received or receivable will be required to be returned in the future.
M. RETIREMENT PLAN:
JLT maintains a Simplified Employee Pension — Individual Retirement Accounts Contribution Benefit Plan ("the
Plan"). Eligible employees may join the Plan after one year of service. There were no employer contributions for
2015 or 2014.
N. LEASE AGREEMENTS:
On June 21, 2012, JLT entered into an operating lease as lessee for its administrative office in Port Townsend,
Washington. The lease expired in June of 2014 and is now on a month to month basis. The agreement calls for
monthly payments of $1,563 plus utilities. JLT also rents a storage unit on a month to month basis. Rent expense
totaled $20,730 and $19,200 for the years ended December 31, 2015 and 2014, respectively.
O. SUBSEQUENT EVENTS:
No events have occurred through June 9, 2016, which is the date the financial statements were available to be
issued based on JLT facts and circumstances, for events requiring recording or disclosure in the financial
statements for the year ended December 31, 2015.
P. INCOME TAX & UNCERTAIN TAX POSITIONS:
Jefferson Land Trust and JLT Resources, LLC (a disregarded entity) are tax exempt non-profit organizations
under the Internal Revenue Code Section 501(c)(3) and are not classified as a private foundation. Accordingly,
the financial statements do not include any provision for income taxes.
JLT files income tax returns in the U.S. federal jurisdiction. The Trust is no longer subject to U.S. federal income
tax examinations by tax authorities for years before 2012. Currently, there is no examination or pending
examination with the Internal Revenue Service (IRS) or any other state or federal taxing authorities.
JLT adopted the provisions of FASB ASC 740-10, Accounting for Uncertainty in Income Taxes, on January 1,
2009. As of December 31, 2015, there are no tax positions for which the deductibility is certain but for which
there is uncertainty regarding the timing of such deductibility.
20
Jefferson Land Trust and Subsidiary
Notes to Consolidated Financial Statements
December 31, 2015 and 2014
Q. INVESTMENTS AND FAIR VALUE MEASUREMENTS:
JLT follows U.S. GAAP which establishes a framework for measuring fair value. That framework provides a fair
value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives
the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1
Measurements) and the lowest priority to unobservable inputs (Level 3 Measurements). The three levels of the
fair value hierarchy under ASC 958 are described as follows:
Level 1: Inputs to the valuation methodology are unadjusted quoted prices for identical assets or liabilities in
active markets that the Trust has the ability to access.
Level 2: Inputs to valuation methodology include: Quoted prices for similar assets or liabilities in active markets.
Quoted prices for identical or similar assets or liabilities in inactive markets. Inputs other than quoted prices that
are observable for the asset or liability. Inputs that are principally from or corroborated by observable market data
by correlation or other means.
Level 3: Inputs to the valuation methodology are unobservable and significant to the fair value measurement.
The asset or liability's fair value measurement level within the fair value hierarchy is based on the lowest level of
any input that is significant to the fair value measurement. Valuation techniques used need to maximize the use of
observable inputs and minimize the use of unobservable inputs.
Following is a description of the valuation methodologies used for assets measured at fair value. There have been
no changes in the methodologies used at December 31, 2015.
Stocks: Valued at quoted market prices in active markets for identical assets.
Mutual Funds: Valued at quoted market prices in active markets, which represent the net asset value (NAV) of
shares held by the JLT at year end.
Certificates of Deposit: Valued at original investment plus received and accrued interest.
The preceding methods described may produce a fair value calculation that may not be indicative of net realizable
value or reflective of future fair values. Furthermore, although the Trust believes its valuation methods are
appropriate and consistent with other market participants, the use of different methodologies or assumptions to
determine the fair value of certain financial instruments could result in a different fair value measurement at the
reporting date.
21
Jefferson Land Trust and Subsidiary
Notes to Consolidated Financial Statements
December 31, 2015 and 2014
The following table sets forth by level, within the fair value hierarchy, JLT's assets at fair value as of December
31, 2015:
Assets at Fair Value as of December 31, 2015
Level Level Level Total
Stocks $ - $ - $ - $ -
Mutual funds 376,376 - - 376,376
Total Assets at Fair Value: $ 376,376 $ - $ - $ 376,376
Certificates of deposit, held
at cost plus accrued interest 176,867
Total Investments $ 553,243
The following table sets forth by level, within the fair value hierarchy, JLT's assets at fair value as of December
31, 2014:
Assets at Fair Value as of December 31, 2014
Level Level Level Total
Stocks $ 98,642 $ - $ - $ 98,642
Mutual funds 44,197 - - 44,197
Total Assets at Fair Value: $ 142,839 $ - $ - $ 142,839
Certificates of deposit, held
at cost plus accrued interest 235,212
Total Investments $ 378,051
Investment return for the years ended December 31 consisted of the following:
Interest income
Realized/unrealized (loss) gain
Total
22
2015 2014
$ 10,613 $ 10,589
(2,540) (1,282)
$ 8,073 $ 9,307
Jefferson Land Trust and Subsidiary
Notes to Consolidated Financial Statements
December 31, 2015 and 2014
R. LAND PURCHASE AND HOLD FEE:
JLT signed a purchase and sale agreement with a third party during 2015 for the purchase of approximately 850
acres of forest land in Jefferson County. The terms of the agreement, dated March 17, 2015, require JLT to
purchase the property for an amount not to exceed the appraised fair market value of the property.
The terms of the agreement required the payment of a $100,000 non-refundable hold fee to the third party to
allow time for the purchase process to be completed and for JLT to raise the necessary funding to complete the
purchase. The hold fee agreement expires on March 17, 2019. If the purchase is not completed by that date, an
additional $75,000 non-refundable hold fee will be due.
JLT is amortizing the hold fee over the four year life of the agreement and recognized $25,000 in amortization
during 2015.
23
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INTERNAL REVENUE SERVICE
DISTRICT DIRECTOR
2 CUPANIA CIRCLE
MONTEREY PARK, CA 91755-7406
Date: MAY 0 3 1444
JEFFERSON LAND TRUST
C/O DOUG MASON PRES
PO BOX 1610
PORT TOWNSEND, WA 98368-0109
Dear Applicant:
DEPARTMENT OF THE TREASURY
Employer Identification Number:
91-1465078
Case Number:
954109002
Contact Person:
TYRONE THOMAS
Contact Telephone Number:
(213) 894-2289
Our Letter Dated:
May 08, 1990
Addendum Applies:
No
This modifies our letter of the above date in which we stated that you
would be treated as an organization that is not a private foundation until the
expiration of your advance ruling period.
Your exempt status under section 501(a) of the Internal Revenue Code as an
organization described in section 501(c)(3) is still in effect. Based on the
information you submitted, we have determined that you are not a private
foundation within the meaning of section 509(a) of the Code because you are an
organization of the type described in section 509(a)(1) and 170(b)(1)(A)(vi).
Grantors and contributors may rely on this determination unless the
Internal Revenue Service publishes notice to the contrary. However, if you
lose your section 509(a)(1) status, a grantor or contributor may not rely on
this determination if he or she was in part responsible for, or was aware of,
the act or failure to act, or the substantial or material change on the part of
the organization that resulted in your loss of such status, or if he or she
acquired knowledge that the Internal Revenue Service had given notice that you
would no longer be classified as a section 509(a)(1) organization.
If we have indicated in the heading of this letter that an addendum
applies, the addendum enclosed is an integral part of this letter.
Because this letter could help resolve any questions about your private
foundation status, please keep it in your permanent records.
If you have any questions, please contact the person whose name and
telephone number are shown above.
Sincerely- yours,
too
Richard R. Orosco
District Director
Letter 1050 (DO/CG)
4
JEFFERSON LAND TRUST
2017 OPERATING BUDGET
Board Approved December 12, 2016
I U6161 LTA I
Unrestricted Capital Funds for Programs and
$361,250
Values of Conservation Easements
Restricted Capital Funds, Grant Funds from Gov'I
$503,136
and Private Sources
$366,383
Endowment Contributions
$1,400
Operations Income
Annual Contributions
$248,700
Multi -Year Contributions (Pledges)
$1,800
Special Events
$105,000
Fee for Services
$184,152
Investment Income
$8,000
Other
$38,050
TOTAL INCOME $1,451,488
EXPENSE
Program Expenses - Advertising, Facility Rental, $55,965
Food, Travel, Postage, Supplies, Printing
Acquisition and conveyance expenses- Acquisition
$37,000
and closing expenses, due diligence expenses,
recording fees
Land/Easement Holding Expenses
$366,383
Professional services- appraisals, environmental
$182,790
assessments, legal, surveys, financial management,
land consulting
Administrative Expenses- Accounting, equipment,
$136,156
postage, shipping, rent, communications, utilities
Training $7,700
Payroll Expense $569,291
TOTAL EXPENSE $1,355,285
NET INCOME $96,203
Jefferson Land Trust Roster 01/31/2017 1 Federal Tax ID - 9'
BOARD MEMBER
MOORE, Steve - Vice -President (Gigi Callaizakis)
REID, David Jerri)
HULTMAN, Glenda Peter Geerlofs
KEISTER, Ga Susan
MACHETTE, Michael - Treasurer(Nancy)
WARDROP, Debbie Michael
AXTMAN, Bethany - Interim Secreta Dean Crowe
EVANS, Nan Fred Nussbaum
FITCH, Robin - President Daniel Brake
BRITTON, Craig Carleen Bruins
SANFORD, Tom Carrie
BOWMAN, Mark - President(Nancy)
HULTMAN, Glenda - Board member Peter Geerlofs
SCHMITT, Rodger - Assigned Member Manager
SPAETH, Sarah - Board member
BUSH, George - Board member Barbara Matter
STAFF
TUCKER, Richard - Executive Director
SPAETH, Sarah ext. 101 Director, Conservation and Strategic Partnerships Tom George)
KINGFISHER, Erik - (ext 103) Stewardship Director (Jen)
CLARK, Chris - (ext 102) Director, Communications and Development (Roy)
ROBERTSON, Caroline ext 105 Outreach Director
CLENDANIEL, Carrie ext 109 Stewardship Associate (Clayton Zimmerman
ZABLOCKI-AXLING, Sarah ext 108 Development Manager
BLACK, Samantha ext 104 Stewardship Coordinator
WACKER, Kathleen ext 106 Finance Assistant
BATTERSBY, Caitlin ext 107 Administrative and Development Assistant
CORE SUPPORT
AICKIN, Leslie - Geology Group facilitator
ALMAEE, Zhaleh - Event Coordinator
ARNN, Barbara - Former Outreach Manager & database queen
BAIER, Ann Joe
BERZUPS, Ilona - website
CANNAVARO, Shana - Skookum scanning volunteer/worker
DIEFENDERFER, Heida Nathan Land
DORN, Malcolm - Wallyworks
EISENHOUR, Heidi - Former ED & DD
FAIRBANK, Owen - CPC Chair Sarah
GILLIGAN, Victoria - Event support Jim Lamb
HUNTINGFORD, Dan - SOS PRINTING
JOHNSON, Pe - Creativity Cove contact
LAMKA, Kathryn
MACHETTE, Michael - Geology roup program director
MASON, Doug - legal support
McCLEESE, Tina - Clarity Enterprises owner
McKEE, Selden photography & writing
NEBEL, Pam - Clairty Enterprises support
POST, Fran & Dan - volunteers/auction, d'base
REED, Kitt - Geology Group program co-director
REID, Jerri - Devo Chair/ key volunteer
TYLER, Joanne Len
VAN CLEVE, Brie
WHIPPLE, Kristina
1-1465078 1 DUNS #802577361 1 UBI # 601 173 681 1 phone -379-9501 1 2nd line - 379-1'
ADDRESS
PHONE
2904 Jackman St, PT
379-6984 (H); 360 774-1160 (C); 303 475-9187
1331 E Ludlow Ride Rd, PL 98365
360 437-9977
5331 Fla ler Rd, Nordland 98358
360 531-2373 (C); 385-4224 H
PO Box 1929, PT
385-3682 (W); 385-2331 H
120 Fairbreeze Dr, PT
385-2224 (H); 360 531-2441 C
204 Seaway Place, PL 98365
360-437-7070
249 Kennedy Rd PH 98339
360 379-2408
1011 57th Street PT
503-709-5919
105 Finis Trail, Nordland 98358
360-385-3159
PO Box 583, PT
360 344-2484
602 East Front Street, Port Angeles 98363
360 417-1815
Port Hadlock. WA 96 39
2139 W 7th St, PA 98363
360 461-4131 C
5331 Fla ler Rd, Nordland 98358
360 531-2373 (C); 385-4224 H
536 Lawrence St, PT
360 316-1080 C
374 N Jacob Miller Rd, PT
385-7890 (H); 360 643-0570 C
100 McMinn Rd, PT
379-1201 H
825 W Sims Way, PT
(404) 345-2436 (C
374 N Jacob Miller Road, PT
385-7890 (H); 360 643-0570 C
1130 31st St, PT
379-5681 (H); (360) 531-2294 (C)
2910 Kimball Court Unit 2 PT
(206) 251-4136 (C)
PO Box 2032, PT
559 905-6395 C
2010 Jackman St, PT
360 461-9505 C
633 19th St, PT
206 713-9576 H
2010 Jackman St, PT
315 383-7872
267 Skidder Hill Rd, Quil 98376
765-0081 (H); 925 408-1619 C
2300 S Discover Rd, PT
352 223-9560 C
320 Meadow Rd, PT
385-9270 H
349 35th St, PT
360 821-1591
776 Landis Lane, PT
344-3163 H
PO Box 65055, PL 98365
360 437-7930; 360 302-0336 C
PO Box 16467, Seattle 98116
206 462-5518 (W); 206 225-5793 C
1524 Sheridan, PT
360 379-0210
385-2771 (W); 385-0944 (H); (360) 774-2250 (C)
PO Box 338, PH 98339
379-1072 (H); 360 643-1308 C
508 Lawrence St, PT
385-2346 H
212 920-5643 C
385-4194
360-301-2207
250 Maple Lane, PL 98365
437-2557 (H); 206 931-0227 C
120 Fairbreeze Dr, PT
385-2224 (H); 360 531-2441 C
2404 35th St, PT
385-1517 (H); 360 643-3163 C
734 Water St #203, PT
385-9963 (W); 385-5180 (H); 360 301-4438 C
379-3341
734 Water St #203, PT
385-9963 (W); 379-5131 (H); (360) 774-1628 (C)
554-0417
927 56th St, PT
385-6002
1331 E Ludlow Ride Rd, PL 98365
360 437-9977
1325 Quincy, PT
379-9255 (H); 360 774-6667 C
1117 13th St, PT
360 643-1266
541 556-7231
135 1 Fax # 379-9897 1 Charitable Trust # 29121 1 Charitable Solicitation # 26141
E-MAIL
steve.at.jlt@gmai1.com
reidiviva@yahoo.com
tuesday@olympus.net
gjkeister@gmail.com
Machettel550@gmaii.com
DWardrop@portludlowresort.com
baxtman@gmail.com
nanswaltz@earthlink.net
rbnfitch@gmail.com
frogleap@sonic.net
tom@northolympiclandtrust.org
bowman@olypen.com
tuesday@olympus.net
reschmitt@yahoo.com
ss aeth saveland.or ; ed saveland.or ; slspaeth57@gmail.com
gbush@olypen.com
rtucker saveland.or , richardmtucker@earthlink.net
ro rams saveland.or ; ed saveland.or ; slspaeth57@gmaii.com
steward@saveland.org; ekingsfisher@saveland.org
cclark@saveland.or , msmarxc@gmail.com
crobertson saveland.or ; big boatbrother@gmail.com
cclendaniel saveland.or ; cclendaniel@gmaii.com
szaxlin saveland.or , zablocki.axling@gmail.com
sblack saveland.or , sablack540@gmail.com
kwacker saveland.or ; kathleenwacker@gmailmm
cbattersby@saveland.org
leslieaickin@gmail.com
artistorganizer@gmail.com
xan o of m us.net
abaier saveland.or ; atbaier@aol.com
ilona@nxpage.com
marilynmonrofan.cannavaro5@gmail.com
heidalin@gmail.com
wallyworks@olympus.net
eisenhour of m us.net; walandtrusts@gmailmm
sofairbank@olympus.net
vic@victoriagilligan.com
sos@olympus.net
johnsonpeggyl@gmail.com
kathrynlamka@gmail.com
aleoseis mail.com
seahorse@olympus.net
tins mccleese.net; FAX: 379-5475
bodgermckee@yahoo.com
pam@clarityei.com; FAX: 379-5475
fran. ost frandan o.or , dan.post@frandango.org
thorcogw@olypen.com
reidiviva@yahoo.com
joannet@olympus.net
Brie.van.cleve@gmail.com
whipplesnapper@gmail.com