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Land Resources / News / New Jersey
Farm owner, county lock horns Subdividing large Washington Township farm at issue
Source: zwire.com, by BOB THOMAS
WASHINGTON TWP. – The owner of the largest preserved farm in Morris County has taken the county to court to win approval to divide two large farm parcels into four for easier sale.
March 02, 2007 A complaint filed in Superior Court on Wednesday, Feb. 14, charges that the county was “arbitrary and capricious” when it turned down the original subdivision request by the estate of the late Jack Borgenicht to subdivide their 385-acre Scott Farm. The property is the largest preserved farm in the county and falls under the jurisdiction of the Morris County Agriculture Development Board (MCADB), which initially approved its preservation. MCADB Executive Director Frank Pinto said he could not comment on the case while it was in litigation. The lawsuit seeks to overturn a Jan. 11 decision by the county board, which rejected the request to divide the farm on numerous grounds. Among the reasons cited was lack of evidence that owner-operators would be more likely to purchase the smaller parcels. The board also said the division of the farm was not proposed for agricultural purposes, but rather, for the convenience of the owners. The board decision also questioned the sincerity of the request based upon the sole auction for the farm. On Sept, 30, 2005, a top bid of $5.5 million for the preserved 697 acres and adjacent parcels was rejected by the owners. One of the property owners, Fran Borgenicht, widow of the former owner, told the county that she earned more annual rental income from current farm applications than the high bid. The legal challenge in Superior Court, seeks reversal of the county decision and legal fees and costs. Complicated Will The will of Jack Borgenicht has complicated any decision. After his death on Aug. 8, 2005, a portion of his farm passed to the Borgenicht estate and the remainder to a charitable trust. The estate portion lies in between parcels of land deeded to the charitable trust. The trust is obligated to gift away a certain percentage of its total assets yearly, until the assets are depleted. Court documents said ease of liquidating its assets was one reason the trust sought to sell its parcels and wished to subdivide its land into three smaller farms, two on one side of the estate property and the third on the other side. Fran Borgenicht is one of six trustees of the charitable foundation and is also a recipient of the estate. The MCADB decision, was initially discussed at the board’s Dec. 14 meeting, when members toured the Scott Farm. Critics of the subdivision had questioned why the farms weren’t originally auctioned as two smaller farms, along the lines of the initial preservations. Much of Scott Farm is leased to Daniel Farrand, who actively harvests crops on the land. Farrand said he will be able to keep farming until his lease expires, even if the farm or portions are sold. He said the farm has other tenants, including rental of one barn to stable horses. Asked what the benefits of smaller farms might be, Farrand said it was likely that horse farms would be more easily attracted. “It seems like a lot of the land in the area is going that way,” Farrand said. Max Spann Real Estate and Auction Co. of Clinton handled the initial attempt to auction the property. Spann characterized the farm as one of the finest in the area. He said a number of bidders were involved until the figure topped out at $5.5 million. Spann said the property was not “active” at the present time. According to Spann, it would undoubtedly be easier to find four purchasers of small farms than one person or business willing to buy the entire farm. The MCADB first preserved 312 acres of Scott Farm on West Mill Road on Oct. 7, 1996. Preservation rights to the property cost $3.123 million. The county paid $1.249 million and state funds provided the remainder of the purchase price. According to the provisions of the farmland grant, the land may only be used for farming purposes in perpetuity. When the second Scott Farm parcel was preserved a year later, its 385 acres were the largest single property to fall under protection in Morris County. Purchase price for the second parcel of the farm was $4.045 million, with $1.625 million coming from county funds. The initial purchase by Washington Township in 1995 used $10.36 million in municipal funds, the first time in the county program in which municipal funds had been allocated prior to the approval of county and state grant monies. The complaint filed by attorney James Knox of Clifton alleges that Borgenicht was assured he could subdivide his farm for future sale when the original preservations were made. It characterizes the MCADB refusal to allow the subdisivion as “unsupported by the record” and “in violation of the plaintiff’s rights.” Washington Township farms have led the way in county preservation efforts, and comprise more than two-thirds of all land dedicated to farming in the county. KelMar Acres, a 14-acre nursery on West Mill Road, was the first property preserved for farm use in late 1987. Another 17 township farms followed suit before landowners in any other municipality won a single preservation. At present, 59 of 94 parcels preserved in Morris County are located here, with another eight township applicants awaiting final approval. In all, Washington Township hosts 4,223 acres of preserved farmland, approximate 6.6 square miles. No court date has been set for the case which will be heard in the Law Division of Superior Court. Read the complete article from zwire.com » |
