§3839aa–2. Establishment and administration of environmental quality incentives program
(a) Establishment
(1) In general
During each of the 2002 through 2010 fiscal years, the Secretary shall provide cost-share payments and incentive payments to producers that enter into contracts with the Secretary under the program.
(2) Eligible practices
With respect to practices implemented under this part-
(A) a producer that implements a structural practice in accordance with this part shall be eligible to receive cost-share payments; and
(B) a producer that implements a land management practice, or develops a comprehensive nutrient management plan, in accordance with this part shall be eligible to receive incentive payments.
(b) Practices and term
(1) Practices
A contract under this part may apply to 1 or more structural practices, land management practices, and comprehensive nutrient management practices.
(2) Term
A contract under this part shall have a term that-
(A) at a minimum, is equal to the period beginning on the date on which the contract is entered into and ending on the date that is 1 year after the date on which all practices under the contract have been implemented; but
(B) not to exceed 10 years.
(c) Bidding down
If the Secretary determines that the environmental values of 2 or more applications for cost-share payments or incentive payments are comparable, the Secretary shall not assign a higher priority to the application only because it would present the least cost to the program established under the program.
(d) Cost-share payments
(1) In general
Except as provided in paragraph (2), the cost-share payments provided to a producer proposing to implement 1 or more practices under the program shall be not more than 75 percent of the cost of the practice, as determined by the Secretary.
(2) Exceptions
(A) Limited resource and beginning farmers
The Secretary may increase the amount provided to a producer under paragraph (1) to not more than 90 percent if the producer is a limited resource or beginning farmer or rancher, as determined by the Secretary.
(B) Cost-share assistance from other sources
Except as provided in paragraph (3), any cost-share payments received by a producer from a State or private organization or person for the implementation of 1 or more practices on eligible land of the producer shall be in addition to the payments provided to the producer under paragraph (1).
(3) Other payments
A producer shall not be eligible for cost-share payments for practices on eligible land under the program if the producer receives cost-share payments or other benefits for the same practice on the same land under part I of this subchapter and the program.
(e) Incentive payments
(1) In general
The Secretary shall make incentive payments in an amount and at a rate determined by the Secretary to be necessary to encourage a producer to perform 1 or more land management practices.
(2) Special rule
In determining the amount and rate of incentive payments, the Secretary may accord great significance to a practice that promotes residue, nutrient, pest, invasive species, or air quality management.
(f) Modification or termination of contracts
(1) Voluntary modification or termination
The Secretary may modify or terminate a contract entered into with a producer under this part if-
(A) the producer agrees to the modification or termination; and
(B) the Secretary determines that the modification or termination is in the public interest.
(2) Involuntary termination
The Secretary may terminate a contract under this part if the Secretary determines that the producer violated the contract.
(g) Allocation of funding
For each of fiscal years 2002 through 2007, 60 percent of the funds made available for cost-share payments and incentive payments under this part shall be targeted at practices relating to livestock production.
(h) Funding for federally recognized Native American Indian Tribes and Alaska Native Corporations
The Secretary may enter into alternative funding arrangements with federally recognized Native American Indian Tribes and Alaska Native Corporations (including their affiliated membership organizations) if the Secretary determines that the goals and objectives of the program will be met by such arrangements, and that statutory limitations regarding contracts with individual producers as defined under this subchapter will not be exceeded by any Tribal or Native Corporation member.
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Prior Provisions
A prior section 3839aa–2,
Amendments
2006-Subsec. (a)(1).
2004-Subsec. (h).