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Recent Changes to Farmland and Open Space Act (PA 116 Agreements)

Oct 4, 2016
“On June 27, 2016 the Governor signed a change to the Farmland and Open Space Act, (PA 116) law that impacts the way our office will process PA 116 Agreements and the way you may participate in that process.  These changes, listed below, will take effect for any requests received by our office on and after September 26, 2016:
  1. The $25 fee for the processing of transfers and splits of PA 116 Agreements is no longer required for requests submitted on and after September 26, 2016.
  2. All future requests for splits and transfers mailed on and after September 26, 2016 should be mailed to:
    MDARD-Farmland
    PO Box 30449
    Lansing MI  48909
  3. The landowner will be responsible for recording PA 116 Agreements and Relinquishments at the County Register of Deeds office for any requests that are received by our offices on and after September 26, 2016.  This change will reduce the time you would typically wait for a recorded version of your Agreement or Relinquishment by approximately 6 or more weeks. Detailed instructions will be provided with your document.
  4. MDARD will record PA 116 Agreements and Relinquishments for requests that have been received prior to September 26, 2016.
  5. MDARD will continue to be responsible for recording Liens and Discharge of Liens.”

(Editor’s Note: Because the landowner is obligated to provide the MDARD with evidence of the recording in order to get any tax benefits, there appears to be no title risk insuring a subsequent buyer or lender, if the landowner has failed to record the PA 116 and provide the MDARD with the recording information.)

If you have any questions, please contact:
Richard A. Harlow, Program Manager
Farmland & Open Space Preservation Program (PA 116)
Michigan Department of Agriculture and Rural Development
Phone:  517-284-5663
Fax:  517-335-3131

www.michigan.gov/MDARD-PA116

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