Ch. 7: Adoption of Agricultural Land Interest Form

1. Definitions

A. AFIDA - Agricultural Foreign Investment Disclosure Act.

B. Agricultural land - any land in which is used or capable of use without substantial modification for production of agriculturally related products including, but not limited to, crops, livestock, poultry, dairy products and sod.

C. Interest in land - all forms of direct or indirect ownership of land except:

a. contingent future interests

b. noncontingent future interests which do not become possessory upon the termination of the present possessory estate

c. surface or subsurface easements and rights-of-way used for a purpose unrelated to agricultural production.

2. Report Required

A. Conditions requiring report. Any corporation or partnership which, on its own behalf or acting as a fiduciary or trustee on behalf of another, holds, acquires or transfers any interest in agricultural land shall submit an annual report to the Commissioner not later than 90 days after January 1st, or the date of that acquisition or transfer, whichever is earlier.

B. Information required by statute includes:

a. The legal name and address of the corporation or partnership filing and type of legal entity;

b. the nature of the interest in agricultural land which that corporation or partnership has acquired or transferred and the date of that activity;

c. the legal description and acreage of the agricultural land;

d. the use of the agricultural land at the date of acquisition or transfer and the use to which the land shall be put by the person acquiring it;

e. the appraised value of the agricultural land and the consideration given;

f. the name, address and type of legal entity of the person from whom acquired or to whom transferred.

C. Information required by the Commissioner of Agriculture includes:

a. the type of activity;

b. the relationship of the producer to the owner of the land,

c. (if applicable) the rental agreement; and

d

it;

e. the appraised value of the agricultural land and the consideration given;

f. the name, address and type of legal entity of the person from whom acquired or to whom transferred.

C. Information required by the Commissioner of Agriculture includes:

a. the type of activity;

b. the relationship of the producer to the owner of the land,

c. (if applicable) the rental agreement; and

d. if the producer on this tract is the same producer as when the tract was acquired or is a new person.

3. Form

A corporation or partnership shall file such report to the Commissioner on the attached form or may fulfill its requirement by filing a copy of its AFIDA report.

AGRICULTURAL LAND INTEREST ACT REPORT

Maine Department of Agriculture, Conservation and Forestry

State House Station 28

* Family farm corporations and farm partnerships as defined below are exempt from filing this report. A family farm corporation is a corporation founded for the purpose of farming and the ownership of agricultural land, the majority of the voting stock must be held by, and a majority of the shareholders must be persons or the spouses of persons related to each other within the 3rd degree of kindred and at least one of the related persons must reside on or actively operate the farm; and none of the shareholders must be a corporation. A family corporation does not cease to qualify as such by reason of any bequest of voting stock. A farm partnership is an association of 2 or more individuals formed for the purpose of farming.

A corporation or partnership owning less than 10 acres of land, which Is the subject of a single acquisition or transfer, is not obliged to comply with this reporting requirement.

COMPLIANCE: Any corporation or partnership subject to this chapter which violates this law or the regulations adopted thereunder or which submits a report which contains Information that is false or misleading shall be subject to a civil penalty, payable to the State, of not more than $50 for each day of the violation

quisition or transfer, is not obliged to comply with this reporting requirement.

COMPLIANCE: Any corporation or partnership subject to this chapter which violates this law or the regulations adopted thereunder or which submits a report which contains Information that is false or misleading shall be subject to a civil penalty, payable to the State, of not more than $50 for each day of the violation. A corporation or partnership subject to this chapter which does not comply with the law In a timely fashion shall first receive a written warning from the Department of Agriculture, Conservation and Forestry which will require presentation of the information within 30 days. After the 30-day notice period is expired, penalties described above shall be imposed.

CERTIFICATION: I certify that the Information entered above is complete and correct. I understand that violation of this law or falsification of reporting is subject to a civil penalty, payable to the State of , of not more than $50 for each day of the violation.

Signature (owner or legally authorized representative)

TITLE:

DATE: