If FLP funds are granted for a proposed project, the state will receive grant funds and acquire land or easements. The state or local government must hold any land or conservation easements acquired by state FLP grant funds. The state’s FLP grant funds are targeted for the specific proposed project.
Whenever FLP funds are used to acquire a tract, federal acquisition procedures must be followed. The most significant of these are:
Federal appraisal standards must be met, the landowner must be informed of the fair market value of the easement or title, and the sale of the property must be voluntary;
Title must be free and unencumbered or title insurance must be secured; and,
No more than fair market value may be paid for a purchase. Fair market value is determined by an appraisal conducted according to the Uniform Appraisal Standards for Federal Land Acquisitions.
For every acquisition, the state must also determine whether mineral rights need to be acquired to protect the conservation values at stake. Where a landowner retains the right to harvest timber under a conservation easement, the landowner must enter into a forest management agreement with the appropriate state or local government agency before the easement is finalized. Future modifications to such plans may be approved by the responsible state agency.