Foothills Land Conservancy

“The organization maintains a written policy regarding the monitoring, inspecting, handling of violations, and enforcement of conservation easements.”

“Easements acquired through donation and easements established by reservation of rights are not recorded in the consolidated financial statements as they do not provide a future economic benefit to the organization. A conservation easement is a legal mechanism to assure that the property will be retained in perpetuity in accordance with terms of the easement. An easement prevents use of the property that would significantly impair or interfere with the conservation values of the property. The property itself is retained by the owners; however, the conservation easement is in perpetuity and maintained intact in the event the land is sold. Conservation easements are transferrable, but the conservancy may assign the easements only to a qualified organization at the time of transfer under section 170(h) of the internal revenue code. Foothills land conservancy receives easement contributions; however none represent value to the conservancy. Accordingly, the conservancy does not record revenue in its records with respect to these easement donations. Foothills land conservancy is, however, responsible for monitoring and enforcing the terms of the easement in perpetuity.”

“The organization is exempt from federal income taxes under the provisions of internal revenue code section 501(c)(3), and, accordingly, no provision for income taxes is included in the consolidated financial statements. The internal revenue service ("irs") does not classify the organization as a private foundation. An uncertain tax position is recognized as a benefit only if it is "more likely than not" that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the "more likely than not" test, no tax benefit is recorded. The organization has no material uncertain tax positions that qualify for either recognition or disclosure in the consolidated financial statements. As of december 31, 2023, the organization has accrued no interest and no penalties related to uncertain tax positions. It is the organization's policy to recognize interest and/or penalties related to income tax matters in income tax expense. The organization files a u.s. Federal information tax return annually.”