Crops News

USDA announces higher payments with new CRP enrollment

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The U.S. Department of Agriculture announced open enrollment in the Conservation Reserve Program (CRP) with higher payment rates, new incentives, and a more targeted focus on the program’s role in climate change mitigation. Additionally, the USDA is announcing investments in partnerships to increase climate-smart agriculture, including $330 million in 85 Regional Conservation Partnership Program (RCPP) projects and $25 million for On-Farm Conservation Innovation Trials.

The Biden-Harris Administration is working to leverage USDA conservation programs for climate mitigation, including continuing to invest in innovation partnership programs like RCPP and On-Farm Trials as well as strengthening programs like the CRP to enhance their impacts.

Conservation Reserve Program

The USDA’s goal is to enroll up to 4 million new acres in CRP by raising rental payment rates and expanding the number of incentivized environmental practices allowed under the program. The CRP is one of the world’s largest voluntary conservation programs with a long track record of preserving topsoil, sequestering carbon, and reducing nitrogen runoff, as well providing healthy habitat for wildlife.

The CRP is a powerful tool when it comes to climate mitigation, and acres currently enrolled in the program mitigate more than 12 million metric tons of carbon dioxide equivalent (CO2e). If USDA reaches its goal of enrolling an additional 4 million acres into the program, it will mitigate an additional 3 million metric tons of CO2 equivalent and prevent 90 million pounds of nitrogen and 33 million tons of sediment from running into our waterways each year.

“We want to make sure CRP continues to be a valuable and effective conservation resource for our producers for decades to come,” said Agriculture Secretary Tom Vilsack. “USDA will continue to find new and creative ways of putting producers and landowners at the center of climate-smart practices that generate revenue and benefit our planet.”

The CRP’s long-term goal is to establish valuable land cover to help improve water quality, improve soil health and carbon sequestration, prevent soil erosion, and reduce loss of wildlife habitat. The USDA’s Farm Service Agency (FSA) offers a number of signups, including the general signup and continuous signup, which are both open now, as well as a CRP Grasslands and pilot programs focused on soil health and clean water.

New Climate-Smart Practice Incentive

To target the program on climate change mitigation, FSA is introducing a new Climate-Smart Practice Incentive for the CRP general and continuous signups that aims to increase carbon sequestration and reduce greenhouse gas emissions. Climate-Smart CRP practices include establishment of trees and permanent grasses, development of wildlife habitat, and wetland restoration. The Climate-Smart Practice Incentive is annual, and the amount is based on the benefits of each practice type.

Higher Rental Rates and New Incentives

In 2021, the CRP is capped at 25 million acres, and currently 20.8 million acres are enrolled. Furthermore, the cap will gradually increase to 27 million acres by 2023. To help increase producer interest and enrollment, FSA is:

  • Adjusting soil rental rates. This enables additional flexibility for rate adjustments, including a possible increase in rates where appropriate.
  • Increasing payments for Practice Incentives from 20% to 50%. This incentive for continuous CRP practices is based on the cost of establishment and is in addition to cost share payments.
  • Increasing payments for water quality practices. Rates are increasing from 10% to 20% for certain water quality benefiting practices available through the CRP continuous signup, such as grassed waterways, riparian buffers, and filter strips.
  • Establishing a CRP Grassland minimum rental rate. This benefits more than 1,300 counties with rates currently below the minimum.

Enhanced Natural Resource Benefits

To boost impacts for natural resources, FSA is:

  • Moving State Acres for Wildlife Enhancement (SAFE) practices to the CRP continuous signup. Unlike the general signup, producers can sign up year-round for the continuous signup and be eligible for additional incentives.
  • Establishing National Grassland Priority Zones. This aims to increase enrollment of grasslands in migratory corridors and environmentally sensitive areas.
  • Making Highly Erodible Land Initiative (HELI) practices available in both the general and continuous signups.

Expanding Prairie Pothole Soil Health and Watershed Programs

The CRP has two pilot programs — the Soil Health and Income Protection Program (SHIPP) and the Clean Lakes, Estuaries and Rivers 30-year contracts (CLEAR30).

  • For SHIPP, which is a short-term option (3, 4, or 5-year contracts) for farmers to plant cover on less productive agricultural lands, FSA will hold a 2021 signup in the Prairie Pothole states.
  • The CLEAR30 pilot, a long-term option through the CRP, will be expanded from the Great Lakes and Chesapeake Bay pilot regions to nationwide.

Increasing Technical Assistance Capacity and Impact Measurement

The USDA technical assistance through the Natural Resources Conservation Service (NRCS) is critical to enable producers to plan and implement conservation practices that are appropriate for their needs. To ensure increased enrollment and support for producers, USDA is increasing NRCS technical assistance capacity for the CRP by $140 million.

Additionally, in order to better target the program toward climate outcomes, USDA will invest $10 million in the CRP Monitoring, Assessment and Evaluation (MAE) program to measure and monitor the soil carbon and climate resilience impacts of conservation practices over the life of new CRP contracts. This will enable the agency to further refine the program and practices to provide producers tools for increased climate resilience.

To learn more about updates to the CRP, download the USDA’s “What’s New with CRP” fact sheet.

Partnership Programs Contribute to Priorities

In addition to changes to the CRP, Vilsack also announced significant investments for climate-smart policies. First, NRCS is investing $330 million in 85 locally driven, public-private partnerships under the Regional Conservation Partnership Program to address climate change and other natural resources challenges. NRCS will announce more details on the RCPP project selections on April 26.

Second, the NRCS is investing $25 million in proposals for On-Farm Trials, which are part of the Conservation Innovation Grants program. The NRCS is seeking proposals through June 21. Project priorities include climate-smart agricultural solutions and soil health practices.

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