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TRANSITION INCENTIVES PROGRAM

USDA Farm Service Agency Fact Sheet

Conservation Reserve Program January 2023

Overview

The Transition Incentives Program (TIP), administered by 

USDA’s Farm Service Agency (FSA), assists with the 

transition of expiring Conservation Reserve Program (CRP) 

land from an owner or operator to a beginning, veteran, or 

socially disadvantaged farmer or rancher to return land to 

production for sustainable grazing or crop production.

Program at a Glance 

CRP is a voluntary program that contracts with agricultural 

producers so that environmentally sensitive agricultural land 

is not farmed or ranched, but instead devoted to conservation 

benefits. CRP participants establish long-term, resourceconserving vegetative species, such as approved grasses or 

trees (known as “covers”) to control soil erosion, improve the 

water quality, and enhance wildlife habitat. In return, FSA

provides participants with rental payments and cost-share

assistance. Continuous signup contracts are 10 to 15 years in 

duration.

CRP protects millions of acres of American topsoil from

erosion and is designed to safeguard the nation’s natural

resources. By reducing water runoff and sedimentation, CRP 

protects groundwater and helps improve the condition of 

lakes, rivers, ponds and streams. The vegetative covers also 

make CRP a major contributor to increased wildlife 

populations in many parts of the country.

The 2018 Farm Bill authorizes $50 million for fiscal years 

2019 through 2023 for TIP. The Food Security Act of 1985, 

as amended, authorized CRP and is governed by regulations 

published in 7 CFR Part 1410.

FSA implements TIP and CRP on behalf of USDA’s

Commodity Credit Corporation (CCC).

How to Apply

TIP enrollment is on a continuous basis until the total funds 

authorized for the program are exhausted. Beginning, 

veteran, and socially disadvantaged farmers and ranchers and 

CRP participants may enroll in TIP two years before the 

scheduled date of CRP contract expiration or the $50 million 

statutory limit has been reached.

For example, if a CRP contract is scheduled to expire on 

September 30, 2022, the land may be offered for enrollment 

in TIP from October 1, 2020, through September 30, 2022, 

or the $50 million statutory limit has been reached.

Who is Eligible?

To be eligible for TIP, an owner or operator must be a farmer 

or rancher on land enrolled in an expiring CRP contract.

The owner or operator must agree to sell, or have a contract 

to sell, or agree to lease long-term (at least five years) the 

land enrolled in an expiring CRP contract to a beginning, 

veteran or socially disadvantaged farmer or rancher who is 

not a family member.

USDA Photo by Preston Keres
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The owner or operator must agree to permit the beginning, 

veteran, or socially disadvantaged farmer or rancher to make 

conservation and land improvements according to an 

approved conservation plan during the last two years of the 

CRP contract. 

Beginning, veteran, or socially disadvantaged farmers and 

ranchers participating in TIP may re-enroll otherwise eligible 

land under CRP’s continuous signup provisions including 

the Conservation Reserve Enhancement Program. 

Beginning, veteran, or socially disadvantaged farmers and 

ranchers must materially and substantially participate in the 

operation of the farm or ranch involved in CRP contract 

modification. 

Also, the beginning, veteran, or socially disadvantaged 

farmer or rancher may be eligible for enrollment in USDA’s 

Conservation Stewardship Program or the Environmental 

Quality Incentives Program, provided all eligibility 

requirements are met. 

Beginning farmer or rancher means a person, or for entities 

has at least 50 percent interest in that entity, who: 

• Has not been a farm or ranch operator for more 

than 10 years 

Veteran farmer or rancher means a person, or for entities has 

at least 50 percent interest in that entity, who served in the 

Armed Forces and who has: 

• Obtained status as a veteran during the most 

recent 10-year period, or 

• Operated a farm or ranch for no more than 10 

years.

Socially disadvantaged farmer or rancher means a person, or 

for entities has at least 50 percent interest in that entity, who 

is a member of a socially disadvantaged group whose 

members have been subjected to racial or ethnic prejudice 

because of their identity as members of a group without 

regard to their individual qualities. Gender is not included.

Transition Payments

Owners or operators participating in TIP may receive up to 

two additional annual rental payments after their CRP 

contract expires provided the beginning, veteran, or socially 

disadvantaged farmer or rancher is not a family member. 

More Information

For more information about FSA and its programs, visit 

fsa.usda.gov or contact your local FSA office. To find your 

local FSA office, visit farmers.gov/service-locator

CRP TRANSITION INCENTIVE PROGRAM

USDA Photo by Scott Bauer