Outlook Update Newsletter from Ag & Applied Econ., Clemson University

OU 367 August 19, 2002

USDA ANNOUNCES RELEASE OF

ADDITIONAL EQIP FUNDING

P.J. Rathwell, Extension Ag Economist
H.M. Harris, Jr., Professor

On August 1, 2002 Secretary of Agriculture, Ann Venaman announced the release of $200 million in EQIP funding for fiscal year 2002, which runs through September 30, 2002. Of this total, $2,228,397 has been allocated for South Carolina.

EQIP assistance promotes agricultural production and environmental quality as compatible goals and strives to optimize environmental benefits. Through EQIP the CCC provides flexible technical, financial and educational assistance to producers to install and maintain conservation systems that enhance soil, water, air quality, related natural resources and wildlife while sustaining production of food and fiber. Under the 2002 farm bill legislation EQIP will again promote agricultural production and environmental quality as compatible goals and to optimize environmental benefits.

The 2002 farm bill legislation has made several major changes in the way this funding will be implemented:

1. The designated "priority areas" will no longer be used to prioritize and allocate funds to applicants. This will likely aid areas in South Carolina that were under- served in the last farm bill.

2. The requirement to maximize environmental benefits per dollar spent has also been eliminated. Applications will now be evaluated on cost-effective conservation practices that meet national NRCS goals.

3. If the environmental values of two or more applications are comparable, the CCC will not assign a higher priority to the application simply because it would present the least cost to the EQIP program.

4. In evaluating applications, CCC will accord a higher priority to applications that encourage the use of cost-effective conservation practices and address national conservation priorities.

5. The limitation on the size of livestock operations eligible to receive financial assistance has been removed.

6. The total amount of EQIP funding to be obligated nationally for livestock practices has been increased from 50 percent to 60 percent.

7. CCC is now authorized to make incentive payments to producers to develop comprehensive nutrient management plans for confined livestock feed operations. The applicant must develop and implement an approved comprehensive nutrient management plan to be eligible.

1. 8. Participants are now subject to different payment limitation requirements. Participants are now limited to a cap of $450,000 for all EQIP contracts during the period of fiscal years 2002-2007.

Additional information pertaining to the EQIP program relating to contracts administrative requirements and other matters can be obtained at local USDA service centers, local NRCS offices, or on the web at http://offices.usda.gov.



The Clemson University Cooperative Extension Service offers its programs to people of all ages, regardless of color, sex, religion, national origin, disability, political beliefs, sexual orientation, marital or family status and is an equal opportunity employer.

Clemson University Cooperating with U.S. Department of Agriculture, South Carolina Counties, Extension Service, Clemson, South Carolina. Issued in Furtherance of Cooperative Extension Work in Agriculture and Home Economics, Acts of May 8 and June 30, 1914.

 

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updated 8/26/02