Conservation Reserve Program (CRP)
June 20, 2018
Producers with CRP contracts expiring on September 30, 2018 may wish to contact FSA concerning the Transition Incentives Program (TIP). The TIP offers incentive payments to retiring producers that sell or lease their expiring CRP acreage to beginning farmers or ranchers. All requirements of the TIP contracting process must be finalized by September 15, 2018.
The CRP “Land Tenure” provisions authorize the early termination of CRP contracts (without penalty) when eligible lands are sold to a beginning farmer or rancher, or socially disadvantaged farmer or rancher. If the CRP acreage meets the “Land Tenure” eligibility requirements, the seller will receive a partial 2018 CRP annual rental payment, as payment will be earned through the date of sale of the property. The “Land Tenure” provisions expire on September 30, 2018
Haying or grazing of CRP acreage may be authorized after receiving written permission from FSA. The authorized grazing periods are March 16, 2018 through May 14, 2018, and July 16, 2018 through September 13, 2018. CRP haying may be authorized on certain acreage on or after July 16, 2018. The cost of authorized haying or grazing is 25 percent of the CRP payment on the acreage that is hayed or grazed.
Producers with 10 year CRP contracts are required to complete mid-contract management activities prior to the end of the 6th contract year. Producers with 15 year CRP contracts are required to complete mid-contract management activities prior to the end of the 9th contract year. Mid-contract management activities may NOT be completed during the nesting season (May 15th through July 15th). Producer’s MUST report performance of mid-contract management activities to FSA within 30 days of completion.
Early land preparation may be performed during the last year of a CRP contract, after receiving written permission from FSA. If the acreage will be planted to a fall-seeded crop, early land prep may begin as early as May 1st. If the acreage will not be planted to a fall-seeded crop, early land prep may begin as early as July 16th. No CRP payment will be earned from the date that early land prep begins through September 30, 2018.