A California county cancels a Williamson Act contract at the landowner's request. Under the Williamson Act, what cancellation penalty must the landowner pay?
Correct Answer
A) 12.5% of the unrestricted fair market value of the property
Under California Government Code §51283, when a Williamson Act contract is cancelled (as opposed to non-renewed), the landowner must pay a cancellation fee equal to 12.5% of the unrestricted fair market value of the property. This penalty is designed to recapture the tax benefits enjoyed during the contract period and discourage premature cancellation.
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Related Topics & Key Terms
Key Terms:
Related Concepts
Eminent domain is the government's constitutional right to take private property for public use, provided the owner receives just compensation. It is also known as condemnation.
An encroachment occurs when a building, structure, or improvement illegally extends onto another person's property or beyond a setback line. It is a physical intrusion, not a right to use the land.
An environmental impact statement (EIS) is a detailed report required for major federal projects or actions that may significantly affect the environment. It is mandated by the National Environmental Policy Act (NEPA).
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