Grassland Reserve Program

"Recently, the Grassland Reserve Program (GRP) availability was announced and applications are being taken at the USDA Service Centers until August 1, 2003." said Harold L. Klaege. "Since this is a newly developed program and farmers and ranchers will have questions, I have tried to answer some of them here."

"However, I would suggest interested producers stop in at their local USDA Service Center and visit with the USDA Natural Resources Conservation Agency (NRCS) or Farm Service Agency (FSA) staffs about the 'nuts and bolts' of the program and submit an application if it fits into their farming operation."

What is GRP?

GRP is a voluntary program that helps landowners and operators restore and protect grassland, including rangeland and pastureland, and certain other lands, while maintaining the areas as grazing lands. Agricultural producers interested in participating in GRP can apply at any time at their local NRCS or FSA office. Landowners may apply by filling out an application form and providing an aerial photograph with boundaries delineated for the land offered.

The program emphasizes support for grazing operations, plant and animal biodiversity, and grassland and land containing shrubs and forbs under the greatest threat of conversion.

What land is eligible for GRP?

Eligible land includes grasslands; land that contains forbs; shrubland (including improved rangeland and pastureland); or land that is located in an area that historically has been dominated by grassland, forbs, or shrubland when these lands have the potential to serve as wildlife habitat of significant ecological value. The emphasis for fiscal year 2003 enrollment is the preservation and improvement of existing grasslands and shrublands.

Is there a limit on the number of acres a landowner may enroll in the program?

In Kansas, offers for enrollment must contain at least 40 contiguous acres.

Who may participate in the program?

Only landowners may submit application for easement.  Both landowners and operators may participate on rental and restoration agreements.

How will my adjusted gross income affect my eligibility for GRP?

The Adjusted Gross Income provision of the 2002 Farm Bill impacts eligibility for GRP and several other 2002 Farm Bill programs. Individuals or entities that have an average adjusted gross income exceeding $2.5 million for the three tax years immediately preceding the year the contract is approved are not eligible to receive program benefits or payments. However, an exemption is provided in cases where 75 percent of the adjusted gross income is derived from farming, ranching, or forestry operations.

What are my enrollment options?

Enrollment options are 30-year and permanent easements; 10-year, 15-year, 20-year, or 30-year rental agreements; and restoration agreements that may be used in conjunction with any easement or rental agreement.

Can I graze my grassland while enrolled in GRP?

All enrollment options permit:

• Common grazing practices that maintain the viability of the grassland;
• haying, mowing, or harvesting for seed production, subject to certain restrictions during the nesting season, as determined by NRCS; and
• fire rehabilitation and the construction of fire breaks and fences.

What do GRP contracts or easements prohibit?

GRP contracts and easements prohibit the production of crops (other than hay), fruit trees, and vineyards that require breaking the soil surface and any other activity that would disturb the surface of the land, except for appropriate land management activities included in a conservation plan.

What is the application process?

To participate, interested persons submit an application to their local NRCS or FSA office in the local USDA Service Center. Applications for the program are accepted at anytime.

How is the contract or easement value determined?

The value of an easement is determined through a professional appraisal. The landowner is paid the fair market value of the land, less the grazing value of the land. For 30-year easements or an easement for the maximum duration allowed under State or Tribal law, a landowner receives 30 percent of the fair market value of the land, less the grazing value of the land.

For 10-, 15-, 20-, and 30-year rental agreements, the participant receives not more than 75 percent of the grazing value in an annual payment for the length of the agreement. Grazing values will be determined based on local prevailing rental rates.

What should eligible applicants do if their GRP application is not funded?

Once funding has been exhausted, eligible applicants will remain on file until additional funding becomes available. GRP is authorized by the Food Security Act of 1985, as amended by the Farm Security and Rural Investment Act of 2002 (2002 Farm Bill). The authorizing language provides for up to $254 million in program funding for fiscal years 2002 through 2007. In fiscal year 2003, GRP has available $49,940,000. Kansas received an allocation of $1.6 million.

Who will administer the GRP?

Both the Natural Resources Conservation Service (NRCS) and USDA Farm Service Agency (FSA) handle program implementation. Applications will be accepted by either agency on a continuous sign-up basis. The two agencies work in cooperation with the USDA Forest Service. Program funding comes through the Commodity Credit Corporation.

For More Information

If you need more information about GRP, please contact your local USDA Service Center, listed in the telephone book under U.S. Department of Agriculture, or your local conservation district. Information also is available on the national NRCS and FSA websites.