USDAFARM BILL

CONSERVATION PROVISIONS

USDA – NRCS

August, 2007

http://www.mn.nrcs.usda.gov

NRCS MISSION

The mission of NRCS is to provide USDA technical leadership, working in partnership with local, state, and other federal conservation agencies and organizations, to help people conserve, improve and sustain our natural resources.

The Natural Resources Conservation Service (NRCS), a part of the USDA, is the primary federal agency that works with private landowners to help them protect their natural resources.

NRCS focuses on private working lands

NRCS Organization

… exist at the request of, and provide technical assistance through, local Soil and Water Conservation Districts (SWCD).

Generally co-located with SWCD’s and Farm Service Agency (FSA) at county ag. service centers.

NRCS Organization

Seven Area Offices provide technical and administrative support.

State Office - St.Paul. Three national regional offices-administrative National Technical Institutes and Centers:

– Wildlife Habitat Management

– Wetland Science

– Watershed Science

NRCS emphasizes:– Voluntary– Science based– Incentive based conservation technical

and financial assistance– Locally led

Locally Led Conservation

– In conjunction with SWCD’s and other partners

– Landowner involvement in all phases

– Decisions at the lowest level possible

– This model has existed for 70 years and has been very successful – it works!!!

How Does NRCS Provide Assistance –– In cooperation with SWCD’s and other partners

– Technical Assistance (TA) – landowner requests assistance at the county field office

– Financial Assistance (FA) – landowner may also request funding to implement conservation practices

• Cost sharing

• Incentive payments

• Easement payments

NRCS Administered Programs –– Conservation Operations

• Technical Assistance

• Soil Survey

– Watershed Surveys and Planning – Watershed Operations – Watershed Rehabilitation

Conservation Operations – Technical Assistance (CO-01)

– Assistance to landowners to identify problems, propose solutions and complete a conservation plan

– Direct support to local SWCD’s

Farm Bill Programs

– The 2002 Farm Bill has brought a tremendous amount of financial assistance (FA) and technical assistance (TA) to producers in the state

– In 2007 MN received the 3rd largest allocation in the USA!

– Through the vast array of programs and locally led conservation all natural resource concerns and ALL parts of the state have benefited.

NRCS Administered Programs (cont.)

– Environmental Quality Incentives Program (EQIP)

– Conservation Security Program (CSP)– Wetlands Reserve Program (WRP)– Wildlife Habitat Incentives Program (WHIP)– Grassland Reserve Program (GRP)

Farm Bill Programs

– Open to all who are eligible– Locally led process – local work groups– State Technical Committee

• Landowners, agencies, groups, non-profits

• Provide input and recommendations to NRCS

• Meet quarterly

Farm Bill Programs (cont.)

– Cooperate with federal and state agencies

– NRCS works with our sister agency - the Farm Service Agency (FSA) - on all aspects of the Conservation Reserve Program (CRP) and the Conservation Reserve Enhancement Program (CREP)

• NRCS provides technical assistance

• FSA provides program management and handling of the funds

Environmental Quality Incentives Program (EQIP)– The flagship Farm Bill program of NRCS

• Provides technical and financial assistance to implement conservation practices

• Focused on at least one of the four National priorities –

– Water Quality– Air Quality– Soil Quality– Wildlife Habitat

Environmental Quality Incentives Program (EQIP)

– FY-07 allocation $ 25M

– Estimated 1500 +/- contracts

– Preliminary

• 60% Livestock concerns

• 40% Other national concerns

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2002 2003 2004 2005 2006 2007

Year

Minnesota Environmental Quality Incentives Program (EQIP) Funding

Projected

Conservation Security Program (CSP)– New program in 2004

– Provides payments to producers for maintaining and increasing their conservation practices

– 2004 – Blue Earth River Watershed. 281contracts @ 103K ac.

– 2005 – Red Lake, Redeye, Redwood, Root, and Sauk River Watersheds as well as a continuation of the Blue Earth River Watershed. 590 contracts @ 159K

Conservation Security Program (CSP)– 2006 – National 8500 applications received

• 4396 funded @ $50M for 2006.

– Minnesota - Red Lakes Watershed

• 400 eligible producers

• 54 eligible applications

• 14 funded contracts @ $120,558 for 2006

($1.4M projected for contract duration)

Wetlands Reserve Program (WRP)– Provides technical and financial assistance to restore

previously drained wetlands and associated uplands

– Easement payments and restoration cost share

– Perpetual and 30 year contracts

Wetlands Reserve Program (cont.)– MN Cumulative 76,000 acres of easements with 547

producers

– FY-05 $15.8M, 43 easements 6185 ac.

– FY-06 $16.8M, 47 easements offered for 8,750 ac.

– FY-07 $16M ????

Wetlands Reserve Program (cont.)– National numbers:

• Annual authorization cap of 250,000 acres

• Farm Bill cap of 2.2M acres

• Current national total: +/- 1.9 M acres

Wetlands Reserve Program (cont.)– Habitat Corridors Partnership (HCP) – over 5 year

period $1.1 million of State funding, as recommended by LCMR, will leverage over $40 million of

WRP $’s

– Wetlands Reserve Enhancement Program (WREP) - $1.2 million of RIM with $15 million of Wetlands Reserve Program (WRP)

Wetlands Reserve Program (cont.)– Glacial Ridge Special Project

• The largest Wetland/Prairie restoration in the US

• Located near Crookston in NW Minnesota

• 12,151 acres of easements with The Nature Conservancy

• 3329 acres of easements with 17 private landowners

• Recently designated as a new USFWS National Wildlife Refuge – Sec. Norton (USDI)

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2002 2003 2004 2005 2006 2007

Year

MinnesotaWetlands Reserve Program (WRP)

Projected

Wildlife Habitat Incentives Program (WHIP)

– Cost share assistance

– Addresses local habitat priorities

– Landowners eligible across the state

– Habitat restoration is a priority in MN, however there is potential for emphasis on management activities (burning, shearing etc)

– FY-07 stats: 76 contracts, 2000 ac, $370,000

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2002 2003 2004 2005 2006 2007

Year

MinnesotaWildlife Habitat Incentives Program (WHIP)

Projected

Grassland Reserve Program (GRP)

•Administered by NRCS

•Nationally up to 2 million acres

•Terms range from 10-year to permanent easements

•Applications accepted statewide

Grassland Reserve Program (GRP)

•Minimum contract size is 40 contiguous acres of grassland.

•Participants reserve the rights to conservation grazing, haying and harvesting.

•Priority funding has been for native vegetation in western Minnesota.

•100% rental agreements to date- Minnesota annual rental rates range from $8 to $16 per acre.

Farm Service Agency Organization

Farm Service Agency

Administrative

– through locally elected county committees

– District Directors

– State Office - St. Paul

– National office

Farm Service Agency Program Responsibility

Administrative – Administers Conservation Reserve Program,

Emergency Watershed Program.

– Issues payments for Grassland Reserve Program

Conservation Reserve Program-(CRP)

CRP is a voluntary program that offers annual rental payments, incentive payments for certain activities, and cost-share assistance to establish approved cover on eligible cropland

CRP is administered by the Farm Service Agency (FSA)

Technical assistance is provided by NRCS Authorized national acreage cap of 39 million acres

– Currently 36.8 M

Minnesota total acreage = 1.8M

Conservation Reserve Program - History

Conceived originally as a land idling, acreage reduction, and soil conservation program.

Now the nations largest, premier program for protecting natural resources and enhancing our environment.

CRP relies on positive economic incentives to entice owners, operators, and landlords to convert cropland and other environmentally sensitive lands to a conserving use.

Legislative History of CRP

Established by the Food Security Act of 1985 Re-authorized by the Food, Agriculture,

Conservation and Trade Act of 1990 Re authorized by the Federal Agriculture

Improvement And Reform Act of 1996 Re-authorized by the Farm Security and

Rural Investment Act of 2002 2007 Farm Bill ???

General CRP

Contract duration is 10-15 years Cost-sharing is available in an amount not to exceed

50% of the participants establishment cost. General CRP is only available through announced

sign-up periods. To be eligible for placement in CRP, land must be:

– Cropland that has been planted to an agricultural commodity 4 of 6 years 1996-2001.

– Certain marginal pastureland

General CRP - continued

Additional requirements:– The offered acreage must meet location and

environmental benefits criteria

– Offers are ranked according to an Environmental Benefits Index (EBI)

– Each eligible offer is ranked in comparison to all others, and selections made from that ranking.

– Contract payment is based upon rental rates of the soils within each county and the average of the past 3 years of local dryland cash rent.

Continuous Conservation Reserve Program-(CCRP)

Continuous CRP began in September, 1996.

Eligible acreage devoted to certain special conservation practices may be enrolled at any time, and not subject to competitive bidding

CCRP - continued

To be eligible, land must first meet the basic CRP eligibility requirements as outlined under “General CRP”

Contract length, cost-share and rental payments are the same as the “General CRP”

Additional financial incentives of up to 20% of the rental rate for field windbreaks, grassed waterways, filter strips, and riparian buffers

CCRP - continued The following practices are eligible:

– Riparian Buffers

– Filter Strips

– Grassed Waterways

– Shelterbelts/Field Windbreaks

– Living Snow fences

– Contour Grass Strips

– Salt Tolerant Vegetation

– Wetland Restoration

– Riparian Buffers

Conservation Reserve Enhancement Program (CREP)

CRP regulations authorize USDA to enter into agreements with States to use CRP in conjunction with State objectives.

The MN River Watershed CREP will placed 100,000 acres of flood prone lands, riparian buffers, wetland restorations and upland buffers under voluntary easements, thus removing them from agricultural production.

Conservation Reserve Enhancement Program (CREP)

Responsibilities include:

Federal FSA (administrative) NRCS (technical)

State BWSR (administrative) SWCD (technical) MDNR (technical)

Conservation Reserve Enhancement Program (CREP)

Landowners agree to execute a consecutively run 15 year CRP contract and State Reinvest In Minnesota (RIM) easement.

In addition to the 15 year annual CRP rental payment, the landowner receives a RIM one time upfront payment based upon a percentage of the CRP payment calculation.

Conservation Reserve Enhancement Program (CREP)

Eligible practices include: Wetland Restoration Forest Riparian Buffers Grass Filter Strips Tallgrass Prairie/Oak Savanna Restoration Shallow Water Areas for Wildlife

Conservation Reserve Enhancement Program (CREP)

The MN River CREP has reached the target of 100,000 acres under application in 2002. Much work to do in planning and application.

A new CREP has been approved by FSA:

– Red River Valley (flooding, water quality, wildlife)

– SE Minnesota (water quality, wildlife)

– SW Minnesota (water quality, wildlife)

QUESTIONS ?????

For more information check out the NRCS MN website at:

http://www.mn.nrcs.usda.gov

Once at this site click on Programs under the Select Topic heading and click on the program of interest