COVER Act of 2023

Subjects: Agriculture and Food


<html><body><pre>[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3478 Introduced in House (IH)]

&lt;DOC&gt;






118th CONGRESS
  1st Session
                                H. R. 3478

  To amend the Federal Crop Insurance Act to establish a Good Steward 
              Cover Crop program, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 18, 2023

  Mr. Casten (for himself, Ms. Slotkin, and Mr. Bost) introduced the 
   following bill; which was referred to the Committee on Agriculture

_______________________________________________________________________

                                 A BILL


 
  To amend the Federal Crop Insurance Act to establish a Good Steward 
              Cover Crop program, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Conservation Opportunity and 
Voluntary Environment Resilience Program Act of 2023'' or the ``COVER 
Act of 2023''.

SEC. 2. GOOD STEWARD COVER CROP PROGRAM.

    The Federal Crop Insurance Act is amended by inserting after 
section 508D (7 U.S.C. 1508d) the following:

``SEC. 508E. GOOD STEWARD COVER CROP PROGRAM.

    ``(a) Definitions.--In this section:
            ``(1) Covered insurance program.--The term `covered 
        insurance program' means a plan of insurance offered by the 
        Corporation.
            ``(2) Program.--The term `program' means the Good Steward 
        Cover Crop program established under subsection (b)(1).
            ``(3) Qualifying cover crop.--The term `qualifying cover 
        crop' means cereal or other grass, legume, brassica, nonlegume 
        broadleaf, or any combination thereof that is planted for 
        conservation purposes in accordance with--
                    ``(A) guidance of the Natural Resources 
                Conservation Service; and
                    ``(B) any other expert guidance, as determined by 
                the Secretary.
            ``(4) Underserved producer.--The term `underserved 
        producer' has the meaning given the term in section 
        508(a)(7)(A).
    ``(b) Establishment.--
            ``(1) In general.--Beginning with crop year 2023, the 
        Secretary shall carry out a program, to be known as the `Good 
        Steward Cover Crop program', to provide additional premium 
        subsidies to producers for each acre--
                    ``(A) on which qualifying cover crops are planted 
                during a crop year; and
                    ``(B) for which the producers, during such crop 
                year--
                            ``(i) plant crops other than the qualifying 
                        cover crops; and
                            ``(ii) purchase insurance under a covered 
                        insurance program with respect to such planted 
                        crops.
            ``(2) Report.--For each acre described in paragraph (1), 
        for each crop year, a producer shall be required to submit to 
        the Secretary a report of acreage form.
    ``(c) Premium Subsidy Amount.--
            ``(1) In general.--Subject to paragraphs (2) and (3), an 
        additional premium subsidy provided to a producer under the 
        program shall--
                    ``(A) be calculated on a common land unit basis or 
                an equivalent or more precise basis; and
                    ``(B) be in an amount equal to the product obtained 
                by multiplying--
                            ``(i) $5; and
                            ``(ii) the number of acres of the producer 
                        for which the additional premium subsidy is 
                        provided.
            ``(2) Limitation.--An additional premium subsidy under 
        paragraph (1) for an acre described in subsection (b)(1) shall 
        not exceed the amount of the premium owed by the producer with 
        respect to that acre.
            ``(3) Rule with respect to a producer-share.--An additional 
        premium subsidy under paragraph (1) shall be modified to 
        reflect the individual producer share of such acres.
            ``(4) Inclusion.--Participation by a producer in a State 
        program that provides premium subsidies for conservation 
        practices, including cover crops, shall not disqualify a 
        producer from receiving assistance under this section.
    ``(d) Outreach.--
            ``(1) In general.--The Secretary shall, in coordination 
        with the Administrator of the Farm Service Agency and the Chief 
        of the Natural Resources Conservation Service, conduct outreach 
        to producers, including underserved producers, to provide 
        information on--
                    ``(A) the program, including eligibility for the 
                program; and
                    ``(B) qualifying cover crops under the program.
            ``(2) Cooperative agreements.--The Secretary shall enter 
        into 1 or more cooperative agreements with organizations 
        capable of assisting with the outreach described in paragraph 
        (1)--
                    ``(A) to carry out such outreach; and
                    ``(B) to coordinate with soil and water 
                conservation districts to encourage the adoption of 
                qualifying cover crop practices.
    ``(e) Reports.--
            ``(1) In general.--Not later than 1 year after the date of 
        enactment of this section, and annually thereafter, the 
        Secretary shall, in coordination with the Administrator of the 
        Risk Management Agency, the Administrator of the Farm Service 
        Agency, and the Chief of the Natural Resources Conservation 
        Service, submit to Congress a report that includes--
                    ``(A) a summary of the activities carried out under 
                the program, including--
                            ``(i) the number and amount of premium 
                        subsidies provided to producers under the 
                        program;
                            ``(ii) the number of acres of cover crops 
                        planted for which a premium subsidy was 
                        received; and
                            ``(iii) the outreach carried out under 
                        subsection (d); and
                    ``(B) recommendations to increase the number of 
                producers that qualify for additional premium subsidies 
                under the program.
            ``(2) Study; report.--Not later than 4 years after the date 
        of enactment of this section, the Secretary shall, in 
        coordination with the Administrator of the Risk Management 
        Agency, the Administrator of the Farm Service Agency, and the 
        Chief of the Natural Resources Conservation Service, carry out, 
        and submit to Congress a report on the results of, a study that 
        examines whether planting qualifying cover crops in accordance 
        with this section results in decreased crop insurance payments 
        and stabilized yields compared to crop insurance payments and 
        yields for acres not utilizing cover crops.
    ``(f) Funding.--
            ``(1) Mandatory funding.--Of the funds of the Corporation, 
        the Secretary shall use the following amounts to carry out this 
        section:
                    ``(A) $60,000,000 for fiscal year 2024.
                    ``(B) $66,000,000 for fiscal year 2025.
                    ``(C) $72,000,000 for fiscal year 2026.
                    ``(D) $78,000,000 for fiscal year 2027.
                    ``(E) $84,000,000 for fiscal year 2028.
            ``(2) Unobligated funds.--Funds made available under 
        paragraph (1) that are not expended by the end of the 
        applicable fiscal year may be made available for use to carry 
        out this section in the following fiscal year.
            ``(3) Reservation for technical assistance, outreach, and 
        program support.--Of the amounts made available under paragraph 
        (1) for a fiscal year, the Secretary shall use not more than 
        $5,000,000 to carry out technical assistance, outreach, and 
        program support with respect to the program.''.

SEC. 3. SOIL HEALTH PILOT PROGRAM.

    Section 523 of the Federal Crop Insurance Act (7 U.S.C. 1523) is 
amended by adding at the end the following:
    ``(j) Soil Health Pilot Program.--
            ``(1) In general.--In addition to any other authority of 
        the Corporation, as soon as practicable after the date of 
        enactment of this subsection, the Corporation shall establish 
        and carry out a pilot program (referred to in this subsection 
        as the `pilot program') under which a producer that uses 
        innovative soil health practices, as determined by the 
        Secretary, including conservation crop rotations, may receive 
        additional premium subsidies on crop insurance.
            ``(2) Terms and conditions.--The additional premium 
        subsidies offered under the pilot program shall--
                    ``(A) be offered through reinsurance arrangements 
                with private insurance companies;
                    ``(B) be actuarially sound; and
                    ``(C) require the payment of premiums and 
                administrative fees by the producer obtaining the 
                insurance.
            ``(3) Location.--The Corporation shall conduct the pilot 
        program in a number of counties that is determined by the 
        Corporation to be adequate to provide a comprehensive 
        evaluation of the feasibility, effectiveness, and demand among 
        producers for the risk management tools evaluated in the pilot 
        program.''.
                                 &lt;all&gt;
</pre></body></html>