,i  #aac? ,,congress  #a/ ,session  ,h4 
,r4 #dh  ,,9 ,,! ,,h\se ,,(             
,,repres5tatives  ,janu>y #c1 #bjac ,mr4
 ,bi%op ( ,new ,york 7= himself & ,mr4  
,hanna7 introduc$ ! foll[+ bill2 :i* 0  
ref]r$ to ! ,committee on ,ways & ,means
  ,a ,,bill  ,to am5d ! ,int]nal ,rev5ue
 ,code ( #aihf to cl>ify t in/allm5t    
sales treatm5t %all n fail to apply to  
prop]ty acquir$ = cons]vation purposes  
by a ,/ate or local gov]nm5t or c]ta9   
tax-exempt organizations m]ely because  
pur*ase funds are held 9 a s9k+ or      
simil> fund pursuant to ,/ate law4  #a4 
,%ort title ,?is ,act may be cit$ z !   
,op5 ,space ,pres]vation ,promotion ,act
 ( #bjac4  #b4 ,f9d+s ,! ,congress f9ds 
z foll[s3  7#a7 ,l& cons]vation & f>ml& 
pres]vation is an important national    
goal t all[s f>m]s to cont9ue to f>m on 
_! l&1 & all[s communities to protect   
invaluable natural res\rces = future    
g5]ations4  7#b7 ,f>ml& 9 metropolitan &
 frequ5tly high-co/ communities is      
e/imat$ to acc\nt = "o-?ird ( all f>ms1 

& #ah p]c5t ( ?is ,nation's f>ml&4  7#c7
 ,9 _m urban fr+e areas f>ml& is rapidly
 disappe>+1 & ! ,u4,s4 ,dep>tm5t (      
,agriculture e/imates t approximately   
#ie million acres ( f>ml& w be tak5 ov] 
by sprawl & urban gr[? 9 ! com+ ye>s4   
7#d7 ,f>m]s & l&[n]s g5]ally receive a  
significantly r$uc$ paym5t = ! sale (   
developm5t rights & cons]vation easem5ts
 ?an !y w\ld receive by sell+ ! l& to ! 
private sector = developm5t4 ,9 _m      
in/ances1 h[ev]1 ^! sales are treat$ !  
same "u ! tax code4  7#e7 ,9 areas :]e  
,/ate law requires debt assum$ by a     
municipality to be /ructur$ 9 ! =m ( a  
s9k+ fund1 f>m]s & l&[n]s may be        
disc\rag$ f sell+ ! developm5t rights ( 
_! l& = cons]vation purposes4 ,s9ce     
sales to ,/ate & local gov]nm5ts w be 9 
! =m ( a s9k+ fund1 a sell] may n be    
able to pay capital ga9s taxes 9 full :5
 ! sell] w n receive ca% paym5ts until a
 future date4  7#f7 ,9 urban fr+e areas1
 _m communities h made a conc]t$ ef=t to
 pur*ase developm5t rights to l&4 ,! l& 

rema9s private1 b ! community ga9s by   
pres]v+ op5 spaces & enjoy+ environm5tal
 b5efits4 ,communities w greatly b5efit 
by ! ,f$]al ,gov]nm5t tak+ /eps to assi/
 municipalities 9 ! pur*ase ( developm5t
 rights4  #c4 ,use ( s9k+ fund by ,/ate 
or local gov]nm5t n to prev5t in/allm5t 
sales treatm5t  7a7 ,9 g5]al ,p>agraph  
7#c7 ( section #dec7;f7 ( ! ,int]nal    
,rev5ue ,code ( #aihf 7relat+ to paym5t7
 is am5d$ to read z foll[s3  7#c7       
,paym5t  7,a7 ,9 g5]al ,except z provid$
 9 p>agraph 7#d71 ! t]m paym5t does n   
include ! receipt ( evid5ces (          
indebt$ness ( ! p]son acquir+ ! prop]ty 
7:e!r or n paym5t ( su* indebt$ness is  
gu>ante$ by ano!r p]son74  7,b7         
,treatm5t ( s9k+ & simil> funds requir$ 
by ,/ate law ,no?+ 9 ?is section or !   
regulations !reund] %all be con/ru$ z   
treat+ a sell] ( prop]ty to a qualifi$  
organization 7z def9$ 9 section         
#agj7;h77#c77 z receiv+ a paym5t by     
reason ( ! fact t "s or all ( ! funds = 
su* pur*ase are made 7z requir$ by ,/ate

 law7 to a s9k+ or simil> fund if !     
prop]ty is be+ acquir$ by su*           
organization exclusively = cons]vation  
purposes 7z def9$ 9 section             
#agj7;h77#d774  4  7b7 ,effective date  
,! am5dm5t made by ?is section %all take
 effect on ! date ( ! enactm5t ( ?is    
,act4