Conservation Reserve Program (CRP) Interim Rules

[From the Federal Register: August 27, 1996 (Volume 61, Number 167)
Rules and Regulations, Page 43943-43946]

Farm Service Agency

Commodity Credit Corporation

7 CFR Parts 704 and 1410
RIN 0560-AE84

1986-1990 Conservation Reserve Program;
1991-2002 Conservation Reserve Program

AGENCY: Farm Service Agency and Commodity Credit Corporation, USDA.

ACTION: Interim rule.

SUMMARY: This interim rule modifies provisions for the Conservation Reserve Program (CRP) which were addressed in rules published on May 8, 1995 (60 FR 22456) and March 15, 1996 (61 FR 10671) concerning the opportunity for early release of certain acreage from the CRP. The modifications reflect new provisions enacted in the Federal Agriculture Improvement and Reform Act of 1996 (1996 Act). This rule also sets out other modifications to reflect new provisions in the 1996 Act and to make technical corrections and other minor modifications to the rule. These additional modifications include: revisions of the ``contour grass strip'' and ``filterstrip'' definitions to remove size limitations; a correction of a landlord-tenant reference in the rule; a reassignment of provisions dealing with the preservation of cropland bases; and technical changes to reflect a Department of Agriculture (USDA) reorganization. Further, this rule also updates the base period for the cropping history needed to enter cropland into the CRP.

DATES: This rule is effective August 27, 1996. Comments concerning this rule should be received by October 28, 1996, to be assured consideration.

ADDRESSES: Comments and requests for additional information should be directed to Cheryl Zavodny, Conservation and Environmental Protection Division, FSA, P.O. Box 2415, STOP Box 0513, Room 4768-S, Washington, DC 20013-2415, telephone 202-720-7333.

FOR FURTHER INFORMATION CONTACT: Cheryl Zavodny, (202) 720-7333.

SUPPLEMENTARY INFORMATION:

Executive Order 12866

This interim rule has been determined to be significant and was reviewed by OMB under Executive Order 12866.

Regulatory Flexibility Act

It has been determined that the Regulatory Flexibility Act is not applicable to this interim rule because neither FSA nor the Commodity Credit Corporation (CCC) is required by 5 U.S.C. 553 or any other provision of law to publish a notice of proposed rulemaking with respect to the subject matter of this rule.

Environmental Evaluation

It has been determined by an environmental evaluation that this rule does not have a significant impact on the environmental, historical, social or economic resources of the Nation. Therefore, it has been determined that these actions will not require an Environmental Assessment or an Environmental Impact Statement.

Executive Order 12372

This program is not subject to the provisions of Executive Order 12372, which require intergovernmental consultation with State and local officials. See notice related to 7 CFR part 3015, subpart V, published at 48 FR 29115 (June 24, 1983).

Federal Domestic Assistance Program

The title and number of the Federal Domestic Assistance Program, as found in the Catalog of Federal Domestic Assistance, to which this rule applies, is the Conservation Program-10.069.

Paperwork Reduction Act

The previous information collection under OMB control number 0560-0125 has been reinstated with changes and has received emergency clearance. A regular information collection submission will be submitted pursuant to the Paperwork Reduction Act of 1995.

Executive Order 12778

This interim rule has been reviewed in accordance with Executive Order 12778. The provisions of this rule are not retroactive and preempt State and local laws to the extent such laws are inconsistent with the provisions of this rule. Before any action may be brought in a Federal court of competent jurisdiction, the administrative appeal rights afforded program participants at 7 CFR parts 11, 624, and 780 must be exhausted.

Background

Current regulations in 7 CFR part 704 and 7 CFR part 1410 implement the CRP, which was first authorized by Title XII of the Food Security Act of 1985 (1985 Act). Acreage enrolled in signups held from 1986 through 1990 are controlled by regulations in 7 CFR part 704 whereas acreage enrolled in subsequent signups is controlled under part 1410. In the CRP, the CCC pays owners and operators of highly erodible and other environmentally sensitive cropland to convert the land to a conserving use cover for a period of at least 10 years. Because of a desire to redirect CRP to more sensitive land, interim rules published May 8, 1995, and March 15, 1996, allowed for an early release of some acreage from some contracts. Subsequently, in the 1996 Act, enacted on April 4, 1996, CRP enrollments were re-authorized through 2002, and with respect to existing contracts it was provided that certain CRP participants could unilaterally obtain an early release of contracts entered into before January 1, 1995, if the contract had been in effect for at least 5 years. Under the statute, there is a 60 day waiting period before the application to terminate is effective. That termination will not relieve the participant of liability for a pre-existing contract violation. The 1996 Act provides that land which is not eligible for the early termination includes filterstrips, grass waterways, riparian areas, field windbreaks, shelterbelts, shallow water areas, acreage with an erodibility index of more than 15, and other lands of high environmental value (including wetlands), as may be determined by the Secretary. This rule implements those provisions and modifies the May 1995, and March 1996, interim rules accordingly. In addition, Title III of the 1996 Act (which covers a number of conservation issues for the CRP and other programs) allows for the Secretary to permit technical assistance in connection with the creation of new enrollments to be obtained from private sources. That provision has also been incorporated into the regulations. Other changes to reflect the new legislation include modifications in the 1996 rule which change the CRP statute to reduce from 3 to 1 the number of years which an owner or operator of cropland must have that status prior to offering land for enrollment in the CRP.

In addition, this rule makes certain technical changes to the rule. These include: (1) Affording more flexibility in enrollments by removing size limits in the definitions of filterstrip and contour grass strip; (2) correcting the reference to the general regulations governing landlord-tenant matters and assignments and moving the reference concerning the preservation of cropland bases from its former position in part 719, and; (3) changing references from SCS to Natural Resources Conservation Service.

Further, the rule is amended to change the 1986-1990 base period previously used to determine whether land qualifies as cropland for CRP purposes. The new base period will be a 1992-1996 base period. This is to insure that the limitations of the program to cropland are applied as fully as possible consistent with the goals of the program.

The Department seeks public comment regarding the acreage determined ineligible for early release. The Secretary determined, in addition to the acreage excluded by statute, acreage enrolled under wetland criteria during signup periods 8 and 9 and acreage on which a CRP useful life easement is filed will not be eligible. A cost/benefit analysis was conducted to evaluate two options concerning the types of enrolled acreage that would not be eligible for early release under this rule. The first (selected) option included the acreage and cover types listed in sections 704.20 and 1410.116. The second option added wetland not enrolled in the eighth and ninth signups, buffer acreage for all wetland, wellhead protection acres, and acres affected by scour erosion to the list. About 1.7 million fewer acres would be eligible for early release under the second option and almost 110,000 fewer acres would have been released early. The increased plantings from the higher amount of early release acreage under the first option would have minimal impacts on farm prices and income. CRP payments would be $6 million lower under the second option, if none of the withdrawn acres are replaced with new enrollments until after they would have normally expired. The loss of environmental benefits under the first option would be only slightly larger than under the second option. For additional information or to obtain a copy of the cost/benefit analysis, contact Tom Browning, USDA/FSA/EPAS, P.O. Box 2415 STOP 0519, Washington, D.C. 20013-2415.

This interim rule had a statutory requirement to be issued within 90 days following enactment of the Federal Agriculture Improvement and Reform Act of 1996 on April 4, 1996, as required by Section 1243(c) of the 1985 Act, as amended by the 1996 Act. Because the modifications in this rule are required by law, technical in nature, do not limit any entitlement, and/or involve the provisions of immediate benefits provided for in the 1996 Act, it has been determined that the delay of this rule pending comment would be contrary to both the law and the public interest.

List of Subjects

7 CFR Part 704

Administrative practices and procedures, Base protection, Conservation plan, Contracts, Environmental indicators, Natural resources, and Technical assistance.

7 CFR Part 1410

Administrative practices and procedures, Base protection, Conservation plan, Contracts, Environmental indicators, Natural resources, and Technical assistance.

Accordingly, 7 CFR parts 704 and 1410 are amended as follows:

PART 704--1986-1990 CONSERVATION RESERVE PROGRAM

1. The authority citation for 7 CFR Part 704 continues to read as follows:

Authority: 15 U.S.C. 714b and 714c; 16 U.S.C. 3801-3847.

Sec. 704.1 [Amended]

2. Section 704.1 is amended by adding ``, as amended'' after ``(Pub. L. 99-198).''

Sec. 704.2 [Amended]

3. Section 704.2(a)(23) is amended by adding the words ``or as otherwise authorized by the Secretary'' after the word ``Department.''

Sec. 704.3 [Amended]

4. Section 704.3 is amended in paragraph (a) by removing the words ``State ASC Committees (STC) and County ASC Committees (COC)'' and adding in their place the words ``State FSA committees (STC) and county FSA committees (COC)''; in paragraph (b) by removing the words ``Soil Conservation Service (SCS)'' and adding in their place the words ``Natural Resources Conservation Service (NRCS)''; in paragraph (d) by removing the words ``Extension Service (ES)'' and adding in their place ``Cooperative State Research, Education and Extension Service''.

Sec. 704.7 [Amended]

5. Section 704.7 is amended in paragraph (a)(3)(ii) by removing ``SCS'' and adding in its place ``NRCS''; in paragraph (d)(4) by removing the word ``exceeded'' and adding the word ``adjusted'' in its place and by removing ``SCS'' and adding ``NRCS'' in its place; in paragraphs (e)(1) and (e)(8) by removing ``SCS'' and adding ``NRCS'' in its place.

Sec. 704.9 [Amended]

6. Section 704.9 is amended in paragraph (a) by removing the words ``Soil Conservation Service (SCS)'' and adding the words ``NRCS or another source as approved by the NRCS, in consultation with FSA'' in its place; in paragraphs (b) and (d) by removing ``SCS'' and adding in its place ``NRCS.''

Sec. 704.18 [Amended]

7. Section 704.18 is amended by removing the words ``part 709, Assignment of Payment'' and adding in their place the words ``part 1404, Assignment of Payments.''

8. Section 704.20 is amended in paragraph (b) by removing ``SCS'' and adding in its place ``NRCS'', and paragraph (a)(4) is revised to read as follows:

Sec. 704.20 Contract modifications.

(a) * * *

(4) Terminate contracts enrolled in CRP before January 1, 1995, which have been in effect for at least 5 years as determined by CCC. Contract acreage located within an average of 100 feet of a perennial stream or other permanent waterbody, on which a CRP easement is filed, that was enrolled under the wetland eligibility criteria established in signup periods eight and nine, and contract acreage on which there exist the following practices installed or developed as a result of participation in the CRP or are otherwise required by the NRCS local Field Office Technical Guide are not eligible for termination prior to the expiration date of the contract as provided in this paragraph: grass waterways; filter strips; shallow water areas for wildlife; bottomland timber established on wetlands; field windbreaks; and, shelterbelts. In addition, for any land for which an early termination is sought, the land must have an EI of 15 or less. With respect to any terminations made under this paragraph (a)(4):

(i) The termination shall become effective 60 days from the date the participant(s) submits notification to CCC of the participant's desire to terminate the contract;

(ii) Acreage terminated under this provision is eligible to be re-offered for CRP during future signup periods providing the acreage otherwise meets the eligibility criteria established for that signup; and,

(iii) Participants shall be required to meet conservation compliance requirements of 7 CFR part 12 to the extent applicable to other land.

* * * * *

Sec. 704.24 [Amended]

9. Section 704.24 is amended by removing all references therein to ``SCS'' and adding in their place ``NRCS.''

Sec. 704.26 [Amended]

10. Section 704.26 is amended by removing ``713.109 and 713.150'' and adding in its place ``1413.150.''

Sec. 704.27 [Amended]

11. Section 704.27 is amended in paragraph (b) by removing ``SCS'' and adding in its place ``NRCS.''

12. Section 704.30 is amended by adding paragraph (c) as follows:

Sec. 704.30 Miscellaneous.

* * * * *

(c) Cropland acreage established and maintained in vegetative cover under CRP, including approved volunteer cover, shall retain its cropland classification for the period of time that the cover is maintained or as otherwise established by the Deputy Administrator.

PART 1410--1991-1995 CONSERVATION RESERVE PROGRAM

13. The authority citation for 7 CFR Part 1410 continues to read as follows:

Authority: 15 U.S.C. 714b and 714c; 16 U.S.C. 3831-3847.

14. The title of Part 1410 is amended by removing ``1991-95'' and adding ``1991-2002'' in its place.

Sec. 1410.1 [Amended]

15. Section 1410.1 is amended by adding, ``as amended'' after ``Food Security Act of 1985.''

Sec. 1410.2 [Amended]

16. Section 1410.2 is amended by: removing the words ``Soil Conservation Service (SCS)'' in paragraph (f)(2) and adding ``NRCS'' in their place; in paragraph (h) removing the words ``Extension Service (ES)'' and adding in their place the words ``Cooperative State Research, Education, and Extension Service (CSREES)''; and redesignating paragraphs (g) and (h) as (h) and (i) respectively.

17. Section 1410.2 is further amended by revising paragraphs (a) and (f)(1) and adding a new paragraph (g), to read as follows:

Sec. 1410.2 Administration.

(a) The regulations in this part will be administered under the general supervision and direction of the Executive Vice President, Commodity Credit Corporation (CCC), and the Administrator, Farm Service Agency (FSA), through the Deputy Administrator for Farm Programs, FSA. In the field, the regulations in this part will be administered by the State and county FSA committees (``State committees'' and ``county committees,'' respectively).

* * * * *

(f)(1) The erosion index (EI), suitability of land for permanent vegetative or water cover, factors for determining the likelihood of improved water quality, and adequacy of the planned practice to achieve desired objectives, shall be determined by the Natural Resource Conservation Service (NRCS) in accordance with the local field office technical guide or other guidelines deemed appropriate by the NRCS, except that no such determination by the NRCS shall compel CCC to execute a contract which CCC does not believe will serve the purposes of the program established by this part.

* * * * *

(g) State FSA committees, with NRCS, may develop a State ranking process to evaluate acreage based on State specific goals and objectives. Such STC's may choose between developing a State ranking process or utilizing a national ranking process. States' ranking processes shall be developed based on recommendations from State Technical committees, follow national guidelines, and be approved by the Deputy Administrator.''

* * * * *

Sec. 1410.3 [Amended]

18. Section 1410.3(b) is amended by: removing the definition of ``SCS''; placing the definition of ``FSA'' in its correct alphabetical position; and in the definition of ``Highly erodible land'' removing ``SCS'' and adding ``NRCS'' in its place.

19. Section 1410.3(b) is further amended by adding, at its appropriate alphabetical location, a new definition for ``NRCS'' and by revising the definitions of ``Contour grass strip'', ``Filterstrip'', and ``FSA'', to read as follows:

* * * * *

``Contour grass strip means a vegetation area that follows the contour of the land, whose width is determined by the NRCS local office Field Office Technical Guide and whose designation is included as a contour grass strip by a conservation plan required under this part;''

* * * * *

``Filterstrip means a strip or area of vegetation of a width determined appropriate for the purpose by the NRCS local office Field Office Technical Guide;''

``FSA means the Farm Service Agency of the United States Department of Agriculture;''

* * * * *

``NRCS means the Natural Resources Conservation Service of the United States Department of Agriculture;''

* * * * *

20. Section 1410.13 is amended by adding paragraph (d) to read as follows:

Sec. 1410.13 Miscellaneous.

* * * * *

(d) Cropland acreage established and maintained in vegetative cover under CRP, including approved volunteer cover, shall retain its cropland classification for the period of time that the cover is maintained or as otherwise established by the Deputy Administrator.

Sec. 1410.102 [Amended]

21. Section 1410.102 is amended in paragraphs (a) and (b) by removing ``3 years'' and adding in its place ``1 year.''

Sec. 1410.103 [Amended]

22. Section 1410.103 is amended:

In paragraph (a)(1) by removing ``1986 through 1990'' and adding in its place ``1992 through 1996'';

In paragraph (b)(4) by removing the word ``exceeded'' and adding in its place the word ``adjusted'' and by removing ``SCS'' and adding in its place ``NRCS'';

In paragraph (c) by removing ``SCS'' wherever it appears and adding in its place ``NRCS''; and

In paragraph (f)(2) by removing ``part 703'' and adding in its place ``part 620''.

Sec. 1410.111 [Amended]

23. Section 1410.111 is amended:

In paragraph (a) by adding after the words ``conservation district,'' the words ``or another source as approved by the NRCS,'' and

In paragraph (a) removing ``SCS'' and adding in its place ``NRCS''.

24. Section 1410.116 is amended by revising paragraph (a)(5) to read as follows:

Sec. 1410.116 Contract modifications.

(a) * * *

(5) Terminate contracts enrolled in CRP before January 1, 1995, which have been in effect for at least 5 years. Contract acreage located within an average of 100 feet of a perennial stream or other permanent waterbody, on which a CRP easement is filed, that was enrolled under the wetland eligibility criteria established in signup periods 8 and 9, and contract acreage on which there exist the following practices, installed or developed as a result of participation in the CRP or as otherwise required by the NRCS local Field Office Technical Guide, are not eligible for termination prior to the expiration date of the contract as provided in this paragraph: grass waterways; filter strips; shallow water areas for wildlife; bottomland timber established on wetlands; field windbreaks; and, shelterbelts. In addition, for any land for which an early termination is sought, the land must have an EI of 15 or less. With respect to terminations under this paragraph:

(i) The termination shall become effective 60 days from the date the participant(s) submit notification to CCC of the participant's desire to terminate the contract;

(ii) Acreage terminated under this provision is eligible to be re-offered for CRP during future signup periods providing the acreage otherwise meets the eligibility criteria established for that signup; and,

(iii) Participants shall be required to meet conservation compliance requirements of 7 CFR part 12 to the extent applicable to other land.

* * * * *

Signed at Washington, DC, on August 19, 1996.

Bruce R. Weber,

Acting Administrator, Farm Service Agency and Executive Vice President, Commodity Credit Corporation.

[FR Doc. 96-21624 Filed 8-26-96; 8:45 am]