Conservation Program Improvement Act of 2017

Summary: Conservation Program Improvement Act of 2017  This bill amends the Food Security Act of 1985 to modify the Conservation Reserve Program (CRP) and conservation easement programs administered by the Department of Agriculture (USDA).  (CRP provides payments to farmers who agree to remove environmentally sensitive land from agricultural production and plant species that will improve environmental health and quality.)  The bill modifies CRP to:   reauthorize the program through FY2023, increase the annual acreage cap to 30 million acres, revise the formula for determining state target acreage enrollment,  add restrictions for land that is planted to trees, modify policies regarding grazing and the mechanical harvesting of vegetative cover, and  remove payment limitations for rural water districts or associations that use land enrolled in CRP to protect a wellhead.  The bill also modifies the Transition Incentives Program (TIP), which currently provides retired or retiring land owners or operators with additional payments for land enrolled in expiring CRP contracts in exchange for agreeing to sell or rent the land to a beginning farmer or rancher or a socially disadvantaged group. The bill revises TIP to: (1) make landowners who are at least 65 years of age and not retiring eligible for the program, (2) permit the land to be transferred to a veteran farmer or rancher, and (3) modify policies regarding the early termination and transfer of CRP contracts. In administering conservation easement programs, USDA must allow enrolled land to be: (1) modified for specified purposes; or (2) exchanged for land that has equal or greater conservation, wildlife, ecological, and economic values.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Conservation Program Improvement Act 
of 2017''.

SEC. 2. IMPROVEMENTS TO CONSERVATION RESERVE PROGRAM.

    (a) Extension.--Section 1231(a) of the Food Security Act of 1985 
(16 U.S.C. 3831(a)) is amended by striking ``2018'' and inserting 
``2023''.
    (b) Enrollment.--Section 1231(d) of the Food Security Act of 1985 
(16 U.S.C. 3831(d)) is amended--
            (1) in paragraph (1), by striking ``during--'' in the 
        matter preceding subparagraph (A) and all that follows through 
        the period at the end and inserting ``during each of fiscal 
        years 2019 through 2023 not more than 30,000,000 acres, not 
        including any land that is transferred under section 
        1235(f).''; and
            (2) by adding at the end the following:
            ``(3) State target acreage enrollment.--
                    ``(A) In general.--During each of fiscal years 2019 
                through 2023, to the maximum extent practicable, the 
                Secretary shall carry out this subchapter in such a 
                manner as to enroll and maintain acreage in the 
                conservation reserve in accordance with the target 
                acreage for each State, as determined under 
                subparagraph (B).
                    ``(B) Target acreage.--The target acreage referred 
                to in subparagraph (A) for a State shall be equal to 
                the product obtained by multiplying--
                            ``(i) the quotient (rounded to the eighth 
                        decimal point) obtained by dividing--
                                    ``(I) the average number of acres 
                                of land in the State enrolled in the 
                                conservation reserve during each of 
                                fiscal years 2007 through 2016; by
                                    ``(II) the average number of acres 
                                of land enrolled in the conservation 
                                reserve nationally during each of 
                                fiscal years 2007 through 2016; and
                            ``(ii) 30,000,000.''.
    (c) Restrictions on Land Planted to Trees.--Section 1231 of the 
Food Security Act of 1985 (16 U.S.C. 3831) is amended by adding at the 
end the following:
    ``(j) Restrictions on Land Planted to Trees.--
            ``(1) Reduction of base acres.--In a case in which, as 
        result of a contract under this subchapter, the base acres (as 
        defined in section 1111 of the Agricultural Act of 2014 (7 
        U.S.C. 9011)) on a farm that are enrolled in the conservation 
        reserve is greater than the acres of available cropland on the 
        farm, the Secretary shall permanently reduce the number of base 
        acres of the farm by the number of acres that are planted to 
        trees under the conservation plan described in section 
        1232(a)(1).
            ``(2) Renewal.--No contract under this subchapter may be 
        renewed with respect to any acreage that is planted to trees 
        under the conservation plan described in section 1232(a)(1).''.
    (d) Haying and Grazing.--Section 1233(b) of the Food Security Act 
of 1985 (16 U.S.C. 3833(b)) is amended--
            (1) in paragraph (2)--
                    (A) by redesignating subparagraphs (A) and (B) as 
                clauses (i) and (ii), respectively, and indenting 
                appropriately;
                    (B) in the matter preceding clause (i) (as so 
                designated), by striking ``in permitting those 
                activities'' and inserting the following: ``in 
                permitting--
                    ``(A) those activities'';
                    (C) in subparagraph (A)(ii) (as so designated), by 
                adding ``and'' at the end; and
                    (D) by adding at the end the following:
                    ``(B) those activities and the activities described 
                in paragraph (4), not more than \1/3\ of the acres 
                covered by the contract may be harvested during any 
                year;'';
            (2) in paragraph (3)(B), in the matter preceding clause 
        (i), by striking ``grazing,'' the first place it appears and 
        inserting ``grazing outside the normal grazing period described 
        in paragraph (5),'';
            (3) by redesignating paragraphs (4) and (5) as paragraphs 
        (6) and (7), respectively; and
            (4) by inserting after paragraph (3) the following:
            ``(4) mechanical harvesting of vegetative cover, without 
        any restriction on the use of the vegetative cover harvested 
        (except harvesting the vegetative cover for seed), subject to 
        the conditions that--
                    ``(A) the harvesting may not occur more frequently 
                than once every 3 years; and
                    ``(B) the annual rental rate for the acres 
                harvested during a year shall be reduced by 25 percent;
            ``(5) grazing during the applicable normal grazing period 
        determined under subclause (I) of section 1501(c)(3)(D)(i) of 
        the Agricultural Act of 2014 (7 U.S.C. 9081(c)(3)(D)(i)), 
        without any restriction on grazing during the primary nesting 
        period, subject to the conditions that--
                    ``(A) the grazing shall be at 25 percent of the 
                normal carrying capacity determined under that 
                subclause; and
                    ``(B) the annual rental rate for the acres 
                harvested during a year shall be reduced by 25 
                percent;''.
    (e) Wellhead Protection.--Section 1234(g) of the Food Security Act 
of 1985 (16 U.S.C. 3834(g)) is amended--
            (1) in paragraph (1), by striking ``The total'' and 
        inserting ``Except as provided in paragraphs (2) and (3), the 
        total''; and
            (2) by adding at the end the following:
            ``(3) Wellhead protection.--Paragraph (1) shall not apply 
        to rental payments received by a rural water district or 
        association for land that is enrolled under this subchapter for 
        the purpose of protecting a wellhead.''.
    (f) Transition Option for Certain Farmers or Ranchers.--Section 
1235 of the Food Security Act of 1985 (16 U.S.C. 3835) is amended--
            (1) in subsection (c)(1)(B)(iii), by striking ``a retired 
        or retiring owner or operator to a beginning farmer or rancher 
        or socially disadvantaged farmer or rancher'' and inserting 
        ``an eligible owner or operator to a covered farmer or rancher 
        (as those terms are defined in subsection (f)(1))''; and
            (2) in subsection (f)--
                    (A) by redesignating paragraphs (1) and (2) as 
                paragraphs (2) and (3), respectively;
                    (B) by inserting before paragraph (2) (as so 
                designated) the following:
            ``(1) Definitions.--In this subsection:
                    ``(A) Covered farmer or rancher.--The term `covered 
                farmer or rancher' means--
                            ``(i) a beginning farmer or rancher;
                            ``(ii) a veteran farmer or rancher (as 
                        defined in section 2501(e) of the Food, 
                        Agriculture, Conservation, and Trade Act of 
                        1990 (7 U.S.C. 2279(e))); or
                            ``(iii) a socially disadvantaged farmer or 
                        rancher.
                    ``(B) Eligible owner or operator.--The term 
                `eligible owner or operator' means a farmer or rancher 
                who is--
                            ``(i) an owner or operator who is retired 
                        or retiring; or
                            ``(ii) an owner who is not less than 65 
                        years of age.'';
                    (C) in paragraph (2) (as designated by subparagraph 
                (A))--
                            (i) in the matter preceding subparagraph 
                        (A), by striking ``a retired farmer or 
                        rancher'' and all that follows through 
                        ```covered farmer or rancher')'' and inserting 
                        ``an eligible owner or operator to a covered 
                        farmer or rancher'';
                            (ii) by redesignating subparagraphs (A) 
                        through (E) as subparagraphs (B) through (F), 
                        respectively;
                            (iii) by inserting before subparagraph (B) 
                        (as so designated) the following:
                    ``(A) allow, without any penalty, the eligible 
                owner or operator to terminate the contract entered 
                into under this subchapter during the 3-year period 
                ending on the date on which the contract would 
                expire;'';
                            (iv) by striking ``retired or retiring 
                        owner or operator'' each place it appears and 
                        inserting ``eligible owner or operator'';
                            (v) by striking subparagraph (D) (as 
                        designated by clause (ii)) and inserting the 
                        following:
                    ``(D) require the covered farmer or rancher to 
                develop and implement, and provide to the covered 
                farmer or rancher technical and financial assistance in 
                the development of, a comprehensive conservation plan 
                that addresses any resource concerns and meets such 
                sustainability criteria as the Secretary may 
                establish;''; and
                            (vi) in subparagraph (E) (as designated by 
                        clause (ii)), by striking ``by not later than'' 
                        and all that follows through ``ownership or 
                        lease'' and inserting ``at any time during the 
                        period beginning on the date that is 1 year 
                        before the date of termination of the 
                        contract''; and
                    (D) by adding at the end the following:
            ``(4) Eligibility.--An eligible owner or operator who may 
        qualify for the option under paragraph (2) shall include an 
        eligible owner or operator who entered into a contract under 
        this subchapter not later than 2 years before the date of 
        enactment of this paragraph.''.

SEC. 3. MODIFICATIONS TO CONSERVATION EASEMENT PROGRAMS.

    Title XII of the Food Security Act of 1985 (16 U.S.C. 3801 et seq.) 
is amended by inserting after subtitle E the following:

              ``Subtitle F--Other Conservation Provisions

``SEC. 1251. MODIFICATIONS TO CONSERVATION EASEMENT PROGRAMS.

    ``(a) Definition of Covered Program.--In this section, the term 
`covered program' means--
            ``(1) the conservation reserve program established under 
        subchapter B of chapter 1 of subtitle D;
            ``(2) the farmable wetland program carried out under 
        section 1231B;
            ``(3) the special conservation reserve enhancement program 
        described in section 1234(g)(2);
            ``(4) the agricultural conservation easement program 
        established under subtitle H;
            ``(5) the healthy forests reserve program established under 
        section 501 of the Healthy Forests Restoration Act of 2003 (16 
        U.S.C. 6571); or
            ``(6) any similar program, as determined by the Secretary, 
        that is established on or after the date of enactment of the 
        Conservation Program Improvement Act of 2017.
    ``(b) Modifications.--Notwithstanding any other provision of law 
applicable to a covered program, subject to subsection (c), the 
Secretary shall--
            ``(1) allow land enrolled in a covered program to be--
                    ``(A) modified for water management, general 
                maintenance, vegetative cover control, wildlife habitat 
                management, or any other purpose, subject to the 
                condition that the modification shall be approved 
                jointly by--
                            ``(i) the State department of natural 
                        resources (or equivalent State agency); and
                            ``(ii) the technical committee established 
                        under section 1261(a) of the State; or
                    ``(B) exchanged for land that has equal or greater 
                conservation, wildlife, ecological, and economic 
                values, as determined by the Secretary; and
            ``(2) provide for the modification of an agreement, a 
        contract, or an easement under a covered program if the 
        Secretary determines that the modification--
                    ``(A) would facilitate the practical administration 
                and management of the land covered by the agreement, 
                contract, or easement; and
                    ``(B) would not adversely affect the functions and 
                values for which the agreement, contract, or easement 
                was established.
    ``(c) Requirements.--
            ``(1) Enrolled acreage.--Any modification or exchange under 
        subsection (b) shall not result in a net loss of acreage 
        enrolled in the covered program.
            ``(2) Exchanged acres.--Any land for which an exchange is 
        made under subsection (b) shall satisfy all requirements for 
        enrollment in the covered program.
    ``(d) Costs.--A party to an agreement, a contract, or an easement 
under a covered program that requests a modification or exchange under 
subsection (b) shall be responsible for all costs of the modification 
or exchange, including--
            ``(1) an appraisal to determine whether the economic value 
        of the land for which an exchange is made under subsection (b) 
        is equal to or greater than the value of the land removed from 
        the covered program;
            ``(2) the repayment of the costs paid by the Secretary for 
        any restoration of land removed from the covered program;
            ``(3) if applicable, a survey of property boundaries, 
        including review and approval by the applicable agency;
            ``(4) preparation and recording in accordance with standard 
        real estate practices of any exchange, including requirements 
        for title approval by the Secretary, subordination of liens, 
        and amended warranty easement deed recording; and
            ``(5) any applicable recording and legal fees.''.