|
|
We thought this was fair. Divide the total lime bill by 5, tenant pays 1/5 of the total bill to quarry, applicator and trucker right away, LL pays the rest. Then every year, when rent is due, add another 1/5 of the original bill to your rent payment until the tenant has paid for all of it after 5 years. This way if you keep farming it you are getting the benefit, so you pay for it each year, if the LL takes the land away from you, they will be the party benefitting from it so they will bear the rest of the cost. Which they can recover by farming it themselves or having a more valuable (fertile) farm to rent out.
This would be under a cash rent scenario only, and the number of years does not have to be 5, but that is what we have used in the past. Interest rates are higher now, so there could be some adjustment made for the time value of money. | |
|
who pays for lime?
