SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Conservation Reserve Program 
Improvement and Rural Water Systems Access Act of 2018''.

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) Species of Economic Significance.--Section 1231 of the Food 
Security Act of 1985 (16 U.S.C. 3831) is amended--
            (1) in subsection (f)--
                    (A) in the subsection heading, by inserting ``and 
                Economic'' after ``Conservation'';
                    (B) by redesignating paragraphs (1) through (4) as 
                paragraphs (2) through (5), respectively;
                    (C) by inserting before paragraph (2) (as so 
                redesignated) the following:
            ``(1) Definition of species of economic significance.--In 
        this subsection, the term `species of economic significance' 
        means a wildlife species--
                    ``(A) the conservation reserve program is critical 
                to maintain the habitat of which, as determined by the 
                Secretary; and
                    ``(B) that the Governor of a State verifies to the 
                Secretary as providing more than $150,000,000 for each 
                year to the economy of the State from hunting the 
                wildlife species and other related activities (such as 
                hunting supplies, lodging, and food sales), as 
                determined by the Secretary.'';
                    (D) in paragraph (2) (as so redesignated), by 
                striking ``designate areas'' and inserting the 
                following: ``designate--
                    ``(A) areas of special economic sensitivity as 
                economic priority areas; and
                    ``(B) areas'';
                    (E) in paragraph (3) (as so redesignated), by 
                striking the paragraph designation and heading and all 
                that follows through ``subsection'' and inserting the 
                following:
            ``(3) Eligible areas.--Areas eligible for designation 
        under--
                    ``(A) paragraph (2)(A) shall include areas with 
                actual and significant declining habitat for species of 
                economic significance; and
                    ``(B) paragraph (2)(B)'';
                    (F) in paragraph (4) (as so redesignated), by 
                striking ``contains actual'' and inserting the 
                following: ``contains, as applicable--
                    ``(A) actual and significant declining habitat for 
                species of economic significance; or
                    ``(B) actual''; and
                    (G) in paragraph (5) (as so redesignated), by 
                striking ``maximize water quality and habitat benefits 
                in the watersheds described in paragraph (1)'' and 
                inserting ``maximize, as applicable, significant 
                declining habitat for species of economic significance 
                or water quality and habitat benefits in the areas 
                designated under subparagraph (A) or (B), respectively, 
                of paragraph (2)''; and
            (2) in subsection (i)--
                    (A) by inserting ``and economic purposes'' after 
                ``conservation purposes''; and
                    (B) by striking ``habitat.'' and inserting 
                ``habitat, including wildlife habitat for species of 
                economic significance (as defined in subsection 
                (f)(1)).''.
    (c) Cost-Share for Fencing and Water Distribution.--Section 
1233(a)(1) of the Food Security Act of 1985 (16 U.S.C. 3833(a)(1)) is 
amended by striking ``interest;'' and inserting ``interest, including 
the cost of fencing and water distribution practices, if applicable;''.
    (d) Harvesting and Grazing.--Section 1233 of the Food Security Act 
of 1985 (16 U.S.C. 3833) is amended--
            (1) in subsection (b)--
                    (A) by striking paragraph (1);
                    (B) by redesignating paragraphs (2), (3), (4), and 
                (5) as paragraphs (1), (2), (5), and (6), respectively;
                    (C) in paragraph (1) (as so redesignated)--
                            (i) by redesignating subparagraphs (A) and 
                        (B) as clauses (i) and (ii), respectively, and 
                        indenting appropriately;
                            (ii) in the matter preceding clause (i) (as 
                        so designated), by striking ``in permitting 
                        those activities'' and inserting the following: 
                        ``in permitting--
                    ``(A) those activities'';
                            (iii) in subparagraph (A)(ii) (as so 
                        designated), by adding ``and'' at the end; and
                            (iv) by adding at the end the following:
                    ``(B) those activities and the activities described 
                in paragraph (3), not more than \1/3\ of the acres 
                covered by the contract may be harvested during any 
                year;'';
                    (D) in subparagraph (B) of paragraph (2) (as so 
                redesignated), 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 (4),'';
                    (E) by inserting after paragraph (2) (as so 
                redesignated) the following:
            ``(3) 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;
            ``(4) 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;''; and
                    (F) in subparagraph (C) of paragraph (6) (as so 
                redesignated), by striking ``(3)'' and inserting 
                ``(2)''; and
            (2) by adding at the end the following:
    ``(e) Harvesting and Grazing.--
            ``(1) In general.--Except as provided in paragraph (2), the 
        Secretary shall permit harvesting and grazing in accordance 
        with paragraphs (1) through (4) and (6) of subsection (b) on 
        any land subject to a contract under the conservation reserve 
        program.
            ``(2) Exception.--The Secretary, in coordination with the 
        applicable State Technical Committee established under section 
        1265(a), may determine for any year that harvesting or grazing 
        described in paragraph (1) shall not be permitted on land 
        subject to a contract under the conservation reserve program in 
        a particular county if harvesting or grazing for that year 
        would cause long-term damage to vegetative cover on that 
        land.''.

SEC. 3. RIGHT-OF-WAY.

    Section 504(g) of the Federal Land Policy and Management Act of 
1976 (43 U.S.C. 1764(g)) is amended--
            (1) by striking ``(g) The holder'' and inserting the 
        following:
    ``(g) Right-of-Way.--
            ``(1) In general.--The holder'';
            (2) in paragraph (1) (as so designated), in the second 
        sentence, by striking ``The Secretary'' and inserting the 
        following:
            ``(2) Payment.--The Secretary'';
            (3) in paragraph (2) (as so designated), in the second 
        sentence, by striking ``The Secretary'' and inserting the 
        following:
            ``(3) Waiver of rentals.--The Secretary'';
            (4) in paragraph (3) (as so designated), in the second 
        sentence, by striking ``The Secretary'' and inserting the 
        following:
            ``(4) Reimbursement of costs.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), the Secretary'';
            (5) in paragraph (4) (as so designated)--
                    (A) in subparagraph (A) (as so designated), in the 
                first sentence--
                            (i) by striking ``incurred in processing'' 
                        and inserting the following: ``incurred--
                            ``(i) in processing'';
                            (ii) in clause (i) (as so designated), by 
                        striking ``right-of-way and in inspection'' and 
                        inserting the following: ``right-of-way; and
                            ``(ii) in inspection''; and
                            (iii) in clause (ii) (as so designated), by 
                        striking ``right-of-way: Provided, however, 
                        That the Secretary'' and inserting the 
                        following: ``right-of-way.
                    ``(B) Exception.--In carrying out subparagraph (A), 
                the Secretary''; and
                    (B) in subparagraph (B) (as so designated), in the 
                second sentence, by striking ``Rights-of-way may be 
                granted'' and inserting the following:
                    ``(C) Use of reimbursed money.--The moneys received 
                for reimbursement of reasonable costs under 
                subparagraph (A) shall be deposited with the Treasury 
                in a special account and are authorized to be 
                appropriated and made available until expended.
            ``(5) Holders of rights-of-way.--Rights-of-way may be 
        granted'';
            (6) in paragraph (5) (as so designated)--
                    (A) in the first sentence, by striking ``to a 
                Federal'' and inserting the following: ``to--
                    ``(A) a Federal'';
                    (B) in subparagraph (A) (as so designated), by 
                striking ``thereof, to nonprofit'' and inserting the 
                following: ``thereof;
                    ``(B) nonprofit'';
                    (C) in subparagraph (B) (as so designated), by 
                striking ``enterprises, or to a holder where he'' and 
                inserting the following: ``enterprises;
                    ``(C) a holder where the holder'';
                    (D) in subparagraph (C) (as so designated), by 
                striking ``concerned, or to a holder'' and inserting 
                the following: ``concerned; and
                    ``(D) a holder''; and
                    (E) in subparagraph (D) (as so designated), by 
                striking ``Such rights-of-way'' and inserting the 
                following:
            ``(6) Assignment of rights-of-way.--Rights-of-way'';
            (7) in paragraph (6), by striking ``The moneys received'' 
        in the second sentence and all that follows through ``Rights-
        of-way shall be granted'' in the third sentence and inserting 
        the following:
            ``(7) Rental fees.--
                    ``(A) Electric and telephone facilities.--Rights-
                of-way shall be granted''; and
            (8) in paragraph (7) (as so designated)--
                    (A) in subparagraph (A) (as so designated), by 
                striking ``facilities: Provided, That nothing in this 
                sentence'' and inserting the following: ``facilities.
                    ``(B) Rural water pipelines.--Rights-of-way shall 
                be granted, issued, or renewed, without rental fees--
                            ``(i) to a rural water district or 
                        association; and
                            ``(ii) for--
                                    ``(I) a rural water pipeline that 
                                crosses National Forest System land; 
                                and
                                    ``(II) any appurtenance to a 
                                pipeline described in subclause (I).
                    ``(C) Authority to require reimbursement.--Nothing 
                in this paragraph''; and
                    (B) in subparagraph (C) (as so designated), by 
                striking ``the second sentence of this subsection'' and 
                inserting ``paragraph (4)''.
Conservation Reserve Program Improvement and Rural Water Systems Access Act of 2018  This bill amends the Food Security Act of 1985 to reauthorize through FY2023 and modify the Department of Agriculture (USDA) Conservation Reserve Program (CRP). (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 authorizes USDA to designate areas of special economic sensitivity as economic priority areas for CRP allocations. These areas include areas with actual and significant declining habitat for specifies of economic significance. A &quot;species of economic significance&quot; is a wildlife specifies: (1) for which CRP is critical to maintaining its habitat, and (2) that the governor of a state verifies provides more than $150 million each year to the economy of the state from hunting and related activities.  Additionally, the bill: (1) authorizes cost-share assistance for fencing and water distribution practices, and (2) modifies policies regarding grazing and the mechanical harvesting of vegetative cover on CRP land.  The bill also amends the Federal Land Policy and Management Act of 1976 to prohibit the Forest Service from charging rural water districts or associations rental fees for rights-of-way for rural water pipelines that cross National Forest System land. 
Conservation Reserve Program Improvement and Rural Water Systems Access Act of 2018