10.069 Conservation Reserve Program

Direct Payments for Specified Use

State

Local

Individual/Family

A--Agriculture

A-Resource Conservation, Development

       (CRP)

 

FEDERAL AGENCY: FARM SERVICE AGENCY, DEPARTMENT OF AGRICULTURE

AUTHORIZATION: Food Security Act of 1985, Title XII, Public Law 99-198, as amended; Food, Agriculture, Conservation, and Trade Act of 1990, Public Law 101-624; Federal Agriculture Improvement and Reform Act of 1996, Public Law 104-127.

OBJECTIVES: To protect the Nation's long-term capability to produce food and fiber; to reduce soil erosion and sedimentation, improve water quality, and create a better habitat for wildlife.

TYPES OF ASSISTANCE: Direct Payments for Specified Use.

USES AND USE RESTRICTIONS: Eligible owners or operators may place highly erodible or other environmentally sensitive land into a 10-15 year contract.  The participant, in return for annual payments, agrees to implement a conservation plan approved by the local conservation district for converting highly erodible cropland or other environmentally sensitive land to a long-term resource conserving cover i.e., eligible land must be planted with a vegetative cover, such as, perennial grasses, legumes, fobs, shrubs, or trees. The participant agrees to reduce the aggregate total of allotments and quotas by an amount based on the ratio of the total cropland acreage on each farm, to the total acreage on each farm subject to the CRP contract. Financial and technical assistance are available to participants to assist in the establishment of a long- term resource conserving cover.

ELIGIBILITY REQUIREMENTS:

Applicant Eligibility: An individual, partnership, association, Indian Tribal ventures corporation, estate, trust, other business enterprises or other legal entities and, whenever applicable, a State, a political subdivision of a State, or any agency thereof may submit an offer to enroll acreage.

Beneficiary Eligibility: If their offer is accepted for enrollment, an individual, partnership, association, Indian Tribal ventures, corporation, estate, trust, other business enterprises or other legal entities and, whenever applicable, a State, political subdivision of State, or any agency thereof may earn benefits.

Credentials/Documentation: The land must be owned or operated for not less than 12 months prior to the close of the signup period, unless the land was acquired by will or succession or the Department determines that ownership was not acquired for the purpose of placing the land in the CRP.  This program is excluded from coverage under OMB Circular No. A-87.

APPLICATION AND AWARD PROCESS:

Preapplication Coordination: An environmental impact assessment has been prepared for this program.  This program is excluded from coverage under OMB Circular No. A-102 and E.O. 12372.

Application Procedure: FSA has two methods for enrolling acreage in the CRP.  One method is a continuous signup process where acreage suitable for certain environmental priority practices, including but not limited to grass waterways, riparian buffers or filterstrips, and acreage within wellhead protection areas may be offered and accepted without going through a competitive offer process.  The second method is to offer acreage during a general signup period where eligible offers to enroll highly erodible and other environmentally sensitive acreage are submitted and ranked competitively based on an environmental benefits index. Regardless of the method of enrollment, the local FSA office that serves the area in which the farm or ranch is located will provide the maximum payment rate CCC will accept to enroll certain acreage in the program.  Producers may submit a rental rate per acre offered that may be equal to or less than CCC's maximum payment rate. This program is excluded from coverage under OMB Circular Nos. A-102 and A-110.

Award Procedure: The Department will notify persons whose offers are determined acceptable as soon as practicable after the close of the signup.

Deadlines: The offer must be filed at the county FSA office by the end of the announced signup period.

Range of Approval/Disapproval Time: From 7 to 120 days.

Appeals: Producers may appeal any determination to county FSA committee, State committee or National Appeals Division.  Matters that are generally applicable to all producers are not appealable.

Renewals: Not applicable.

ASSISTANCE CONSIDERATIONS:

Formula and Matching Requirements: Annual rental payments are made at the rate set in the accepted offer.  A cost-share payment not to exceed 50 percent of the eligible cost of establishment may be made when approved conservation practices are established and the applicable technical agency certifies performance.

Length and Time Phasing of Assistance: Annual rental payments in cash or generic commodity certificates will be made for 10-15 years. If the producer requested cost-share assistance, a payment will be made after the practice is established and the applicable technical agency certifies performance. CCC may provide certain incentives for restoring wetlands or other lands.

POST ASSISTANCE REQUIREMENTS:

Reports: None.

Audits: Recipients are subject to audit by the Office of Inspector General, USDA.

Records: Maintained in county FSA office and Federal Record centers for a specified number of years.

FINANCIAL INFORMATION:

Account Identification: 12-3319-0-1-302 and 12-4336-0-1-302.

Obligations: (Grants) FY 99 $1,513,849,000; FY 00 est $1,630,089,000; and FY 01 est $1,689,893,000.

Range and Average of Financial Assistance: $50 to $50,000; $4,000.

PROGRAM ACCOMPLISHMENTS: Currently, approximately 32 million acres are enrolled in the CRP.  Each contract covers an average of 97 acres with an average rental rate of $49.20 per acre.  This is based on the latest actual data which has been adjusted to reflect acres that have dropped out of the program, expired, or accepted one of the early-out offers.

REGULATIONS, GUIDELINES, AND LITERATURE: Program is announced through news media and in letters to agricultural producers in the county.  Regulations published in the Federal Register, 7 CFR Part 1410.

INFORMATION CONTACTS:

Regional or Local Office: Consult the local telephone directory for location of the county FSA office.  If no listing, contact the appropriate State FSA office listed in the FSA section of Appendix IV of the Catalog.

Headquarters Office: Department of Agriculture, Farm Service Agency, STOP 0513, Washington, DC 20250-0513.  Telephone: (202) 720- 6221.

RELATED PROGRAMS: 10.054, Emergency Conservation Program; 10.064, Forestry Incentives Program; 10.072, Wetlands Reserve Program; 10.901, Resource Conservation and Development; 10.902, Soil and Water Conservation; 10.904, Watershed Protection and Flood Prevention.

EXAMPLES OF FUNDED PROJECTS: Not applicable.

CRITERIA FOR SELECTING PROPOSALS: County FSA offices will provide producers the maximum acceptable rental rate for the acreage offered. All offers submitted under a general signup will be screened at both the local and national level to determine the suitability of the acreage and acceptability of the rental rate offered.  In addition, offers will be evaluated in terms of cost for the environmental benefits obtained. Acres accepted will be limited to the Secretary's authority to maintain 36.4 million acres or less as determined by the Secretary.