CRP Has New Higher Soil Rental Rates

CRP Has New Higher Soil Rental Rates

FSA announces higher rates to make CRP competitive with the higher cash rents farmers are paying for cropland.

John Whitaker, state executive director for USDA's Farm Service Agency in Iowa, announced that new soil rental rates are now being used for the FSA's Conservation Reserve Program. Maximum CRP rental rates are calculated using the three predominant soil types that make up the offered area. A weighted average of the individual rates associated with each soil type determines the overall rental payment per acre. Most soil rates have increased throughout the state. 

MAKING CRP COMPETITIVE: Landowners and farmers with expiring CRP contracts or those who have environmentally sensitive land are encouraged to evaluate their options under CRP especially given the new increased rental rates USDA is paying to keep land in CRP. On September 30, 2013, contracts on an estimated 3.3 million acres of CRP nationwide are set to expire; 183,399 acres will expire in Iowa.

"These new higher rates have been increased to continue to make CRP competitive with higher cash rent prices," says Whitaker. "Producers who have inquired about CRP have been surprised at our new rates, which in most cases are significantly higher when compared to the rates used for the contacts that are expiring this fall." 

These new rates are in affect for the 45th general sign-up, which began on May 20, 2013 and continues through June 14, 2013, as well as for the continuous CRP that continues through September 30, 2013.

Producers with expiring contracts are urged to evaluate their options

CRP is a voluntary program that assists farmers, ranchers and other agricultural producers to use their environmentally sensitive land for conservation benefits. The program helps protect groundwater by reducing water runoff, sedimentation, and is a major contributor to increases in wildlife. Producers enrolling in the program plant long-term resource-conserving cover in exchange for the rental payments, cost-share and technical assistance. 

Whitaker says producers with expiring contracts or producers with environmentally sensitive land are encouraged to evaluate their options under the program especially given these new increased rates. On September 30, 2013, contracts on an estimated 3.3 million acres nationwide are set to expire; 183,399 acres will expire in Iowa. ~~~PAGE_BREAK_HERE~~~

Currently, about 27 million acres are enrolled in the program nationwide, 1.5 million acres in Iowa.  CRP is a voluntary program available to agricultural producers to help them safeguard environmentally sensitive land. Producers enrolled in CRP plant long-term, resource-conserving covers to improve the quality of water, control soil erosion and enhance wildlife habitat. For more information on the CRP and other programs administered by FSA contact your local FSA office or the website.

Landowners and producers can now enroll in continuous CRP

FSA also recently announced the restart of sign-up for continuous CRP, including the Conservation Reserve Enhancement Program, State Acres for Wildlife Enhancement Initiative, or SAFE, the Highly Erodible Land Initiative, the Westland Restoration Initiative, the Pollinator Habitat Initiative, the Upland Bird Habitat Buffer Initiative, and the Duck Nesting Habitat Initiative. Signup for continuous CRP began on May 13 and will continue through September 30, 2013.

"With our general CRP sign up which began on May 20, restarting of the continuous CRP program gives our producers more options and flexibility to enroll acreage," says Whitaker. "Continuous CRP practices are an important part of the overall conservation picture in production agriculture. Continuous practices include filter strips, grassed waterways, contour grass strips, riparian buffers, windbreaks, shelterbelts and living snow fences to name a few. 

Whitaker adds, there are three SAFE projects that specifically target wildlife concerns in Iowa. They are Gaining Ground for Wildlife, Iowa Pheasant Recovery, and the Habitat for Early Successional and Neotropical Migratory Forest Birds.

Producers can enroll eligible land on a continuous basis in to the program

Producers can begin to enroll land on a continuous basis at their local FSA county office. With the use of crop reports, soil survey and geographic information system data, local FSA staff can determine a producer's eligibility and the acres that could be enrolled. Not only can land be enrolled for the first time, producers with expiring continuous contracts should also contact their local FSA office for re-enrollment. 

On September 30, 2013, continuous contracts on an estimated 44,733 acres in Iowa will expire. Producers with expiring contracts or producers with environmentally sensitive land are encouraged to evaluate their options under the program. After these contacts have expired, these acres are no longer eligible for continuous enrollment.

Producers whose offers are accepted in the sign-up can receive cost-share assistance for planting covers and receive an annual rental payment for the length of the contract. Continuous enrollments provide additional financial incentives for many practices.  Producers are encouraged to consider enrolling land into the program in this continuous, non-competitive, sign-up.  For more information on CRP and other FSA programs, visit your local FSA county office or the FSA website.

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