Does Clean and Green Transfer to New Owners in PA?

Yes, Clean and Green does transfer to new owners in PA. Under Act 319, Pennsylvania’s preferential tax assessment attaches to the land rather than the landowner, so when enrolled property is sold or otherwise conveyed, the lower assessment carries forward at the same rate the previous owner held. There is no need for the buyer to reapply. The seller must notify the county assessor before the transfer, the buyer must continue a qualifying use, and any deviation from that use can trigger rollback taxes covering up to seven years plus interest.

Why the Assessment Follows the Land

Clean and Green enrollment functions as a covenant on the property. When enrolled land that continues to meet Act 319’s requirements changes hands, the county board for assessment appeals amends the original application to reflect the new deed, and the new owner steps into the same enrollment.¹ A straightforward transfer of the entire enrolled parcel triggers no rollback taxes, provided the qualifying use continues.²

For a buyer, that means inheriting a lower tax bill immediately, without waiting for the next tax year or filing a new application. It also means inheriting the obligation to keep the land in a qualifying use. Change that use, and rollback taxes fall on you, not the seller.

What the Seller Must Do

The current landowner of record is required to notify the county assessor at least 30 days before any change in ownership.¹ In practice, the seller submits a notification of conveyance form to the county assessor before closing. Counties use their own versions of the form, but the information collected is largely the same: the enrolled parcel details, the new owner’s name, and a statement about the intended continued use.³

Recording fees for the deed change are the landowner’s responsibility, but the county assessor cannot charge additional fees for amending the original application.¹

What the New Owner Should Confirm

After closing, contact the county assessment office to confirm the enrollment transferred properly and the application was amended to reflect the new deed. Before closing, verify that the property still meets Clean and Green eligibility. A parcel generally must be at least 10 acres and used for one of three purposes:

Agricultural Use: land actively used to produce crops, livestock, or other agricultural commodities. Properties under 10 acres can qualify if they generate at least $2,000 in gross annual agricultural income.
Agricultural Reserve: land available to the public for outdoor recreation or enjoyment of open space, even if not actively farmed.
Forest Reserve: land at least 10 acres in size stocked with trees capable of producing timber or other wood products.

If the acreage or use has drifted from these requirements before the sale, or if prior split-offs have reduced the parcel, the transfer could expose you to complications. Confirm the enrolled acreage, the designated use category, and any prior split-offs or separations with the county assessor before you sign.²

Rollback Tax Risk You Inherit as the Buyer

Rollback taxes are the financial penalty for breaking the Clean and Green covenant. When enrolled land changes to a non-qualifying use, the county recalculates taxes for the previous seven years as if the land had never been enrolled. The rollback tax is the difference between what was actually paid under the preferential assessment and what would have been owed at fair market value, plus 6% simple interest per year.²⁴

The interest is simple, not compound, but on a property where the annual tax difference is a few thousand dollars, seven years of rollback plus interest can still add up to a substantial bill. The person who triggers the breach is the one liable. If you purchase enrolled land and later convert part of it to a commercial parking lot, you owe the taxes, not the seller.

Before closing, make sure the title search accounts for any pending Clean and Green liability. If the seller recently changed part of the land’s use or split off a parcel, rollback taxes may already be accruing.

Buying Only Part of an Enrolled Parcel

Selling the entire enrolled parcel is simple. Selling a piece of it is where the rules get sharper. Act 319 draws a line between separations and split-offs, and each has different tax consequences.

Separations

A separation divides enrolled land into two or more tracts that all continue in a qualifying use. Each resulting tract generally must be at least 10 acres and independently meet Clean and Green requirements. Done correctly, no rollback taxes are due on any of the tracts.² If one of the separated tracts changes to a non-qualifying use within seven years, the owner of that tract can be liable for rollback taxes calculated on the entire original parcel, not just the separated piece.

Split-Offs

A split-off divides enrolled land for the purpose of building a residence. The limits are strict:

No more than two acres can be split off per year, unless the municipality requires a minimum lot size of up to three acres for residential construction.
Cumulative split-offs can never exceed 10 acres or 10% of the total originally enrolled acreage, whichever is less.
The split-off tract must be used for a qualifying purpose or for a residential dwelling occupied by the person receiving the land.

When a split-off meets these conditions, rollback taxes are owed only on the land split off, not the remainder. The remaining parcel stays enrolled as long as it still meets the 10-acre minimum and qualifying-use requirements.²

Transfers That Do Not Trigger Rollback Taxes

Several situations are exempt from rollback penalties. Knowing them can prevent unnecessary panic or poor decisions:

Transfer upon death: when enrolled land passes to beneficiaries who qualify as Class A for Pennsylvania inheritance tax purposes, no rollback taxes are owed even if the division results in tracts smaller than 10 acres. A later change in use by one beneficiary does not trigger rollback taxes on the other beneficiaries’ portions.
Condemnation: if the government takes enrolled land through eminent domain, the split-off is not treated as a voluntary action by the owner and triggers no rollback penalty.
Cemetery use: land conveyed to a nonprofit corporation for use as a cemetery avoids rollback taxes, as long as at least 10 enrolled acres remain after the transfer.
Recreational trails: a narrow strip of enrolled land no wider than 20 feet conveyed to a nonprofit for a nonmotorized public trail does not trigger rollback taxes, provided at least 10 acres remain enrolled.
Oil and gas exploration: activities related to oil, gas, or coal bed methane extraction conducted by a third party holding rights transferred before the land was enrolled, or before December 26, 2010, do not trigger rollback taxes against the landowner.

The inheritance exemption is particularly important for families planning to pass farmland to the next generation. Clean and Green enrollment can survive a generational transfer without penalty even if the land is divided among heirs.

Checks to Run Before You Close

Purchasing Clean and Green land is not the same as buying a typical residential property. A few steps prevent expensive surprises:

Request the original Clean and Green application from the seller or the county assessment office. It shows the enrolled acreage, the designated use category, and any prior split-offs.
Confirm no rollback taxes are already accruing from a recent use change or partial sale by the seller.
Understand the commitment. Buying enrolled land means agreeing to maintain the qualifying use. Building a large commercial facility or subdividing into residential lots will owe rollback taxes.
Budget for minor recording fees when the county amends the application. The preferential assessment transfers automatically, but the paperwork still generates modest costs.
Call the county assessor early. Every county handles Clean and Green paperwork slightly differently, and a quick conversation before closing can clarify what forms are expected and whether any deadlines are approaching.

1
Pennsylvania General Assembly. Pennsylvania Statutes Title 72 PS Taxation and Fiscal Affairs – 5490.4
2
Commonwealth of Pennsylvania. Clean and Green
3
Lehigh County. Notification of Conveyance of Property Enrolled in Clean and Green
4
Pennsylvania Code and Bulletin. 7 Pa Code 137b.89 – Calculation of Roll-back Taxes