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ducer. The results of the comprehensive planning as-
sistance shall be provided to the producer to enable 
informed choices on the type of financial assistance 
available under this subtitle that would most effec-
tively address the resource needs of the operation 
consistent with the environmental goals for the area 
in which the operation is located. 
‘‘(3) PILOT PROJECTS.—Pilot projects in com-
prehensive conservation planning shall be under-
taken in the Chesapeake Bay watershed, and shall 
include the identification of hydrologic, soil, and 
rural land use factors that are unique to the Del-
marva Peninsula. 
‘‘(4) REPORT.—The Secretary shall conduct an 
assessment of the effectiveness of the pilot program 
and publish a report, available to the public, of the 
results of the assessment. Such assessments shall be 
undertaken in the second year and the fifth year of 
the pilot program. 
‘‘(d) AIR QUALITY.—Of the funds made available 
under subsection 
(e)(1), 
the 
Secretary 
shall 
use 
$10,000,000 for fiscal year 2008, $15,000,000 for fiscal 
year 2009, $30,000,000 for fiscal year 2010, $40,000,000 
for fiscal year 2011, and $55,000,000 for fiscal year 2012 
to support air quality improvements to help producers 
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meet State and local regulatory requirements related to 
air quality. Notwithstanding the requirements under sub-
sections (a) and (b), these funds shall be made available 
to a State on the basis of air quality concerns facing that 
producers in that State. The funds made available shall 
be used to provide cost-share and incentive payments to 
producers. 
‘‘(e) FUNDING.— 
‘‘(1) AVAILABILITY OF FUNDS.—Of the funds 
made available under section 1241(a)(6) for fiscal 
years 2008 through 2012, the Secretary shall use 
$30,000,000 for fiscal year 2008, $35,000,000 for 
fiscal year 2009, $50,000,000 for fiscal year 2010, 
$60,000,000 for fiscal year 2011, and $75,000,000 
for fiscal year 2012. 
‘‘(2) OUTREACH FOR CERTAIN PRODUCERS.— 
Of the funds made available under paragraph (1) for 
a fiscal year, the Secretary shall use $5,000,000 to 
make grants to support effective outreach and inno-
vative approaches for outreach and to serve organic 
producers and producers of specialty crops (as de-
fined in section 3 of the Specialty Crops Competi-
tiveness Act of 2004 (Public Law 108–465; 7 U.S.C. 
1621 note). 
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‘‘(3) COMPREHENSIVE
CONSERVATION
PLAN-
NING.—Of the funds made available under para-
graph (1) for a fiscal year, the Secretary shall use 
$5,000,000 to carry out the comprehensive conserva-
tion planning pilot program under subsection (c).’’. 
SEC. 2106. REGIONAL WATER ENHANCEMENT PROGRAM. 
(a) PURPOSE AND GOALS.—The purpose of this sec-
tion is to authorize a regional water enhancement pro-
gram, within the environmental quality incentives pro-
gram, to enhance performance-based, cost-effective con-
servation carried out through cooperative agreements en-
tered into by the Secretary of Agriculture with producers, 
governmental entities, and Indian tribes. The goal of the 
program is to improve water quality or ground and surface 
water quantity through coordinated program activities on 
agricultural lands. The Secretary will develop goals and 
provide coordinated program assistance for water quality 
or water quantity improvement projects. 
(b) ESTABLISHMENT OF PROGRAM.—Section 1240I 
of the Food Security Act of 1985 (16 U.S.C. 3839aa–9) 
is amended to read as follows: 
‘‘SEC. 1240I. REGIONAL WATER ENHANCEMENT PROGRAM. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) REGIONAL WATER ENHANCEMENT ACTIVI-
TIES.—The term ‘regional water enhancement activi-
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ties’ includes resource condition assessment and 
modeling, water quality, water quantity or water 
conservation plan development, management system 
and environmental monitoring and evaluation, cost- 
share of restoration or enhancement projects, incen-
tive payments for land management practices, ease-
ment purchases, conservation contracts with land-
owners, improved irrigation systems, water banking 
and other forms of water transactions, groundwater 
recharge and other conservation related activities 
that the Secretary determines will help to achieve 
the water quality or water quantity benefits on agri-
cultural lands identified in a partnership agreement. 
‘‘(2) PARTNERSHIP
AGREEMENT.—The term 
‘partnership agreement’ means an agreement be-
tween the Secretary and a partner under subsection 
(d). 
‘‘(3) PARTNER.—The term ‘partner’ means an 
entity that enters into a partnership agreement with 
the Secretary to carry out regional water enhance-
ment activities. The term includes— 
‘‘(A) an agricultural producer, agricultural 
or silvicultural producer association, or other 
group of such producers; 
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‘‘(B) a State or unit of local government, 
including an irrigation or water district; or 
‘‘(C) a federally recognized Indian tribe. 
‘‘(b) ESTABLISHMENT OF PROGRAM.— 
‘‘(1) ESTABLISHMENT.—The Secretary shall es-
tablish a regional water enhancement program in ac-
cordance with this section to improve water quality 
or water quantity on a regional scale to benefit 
working agricultural land and other lands sur-
rounding agricultural land. 
‘‘(2) IDENTIFICATION OF WATER QUALITY AND 
WATER QUANTITY PRIORITY AREAS.—The Secretary 
shall identify areas where protecting or improving 
water quality, water quantity, or both is a priority. 
In identifying these areas, the Secretary shall 
prioritize the Chesapeake Bay, the Upper Mississippi 
River basin, the Everglades, the Sacramento River 
watershed, and the Klamath River basin. Not more 
than 50 percent of the funds made available for the 
regional water enhancement program shall be re-
served for priority areas identified in this paragraph. 
‘‘(c) SELECTION OF PARTNERS.— 
‘‘(1) SOLICITATION
OF
PARTNERSHIP
PRO-
POSALS.—Not later than 90 days after the date of 
the enactment of the Farm, Nutrition, and Bio-
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energy Act of 2007, the Secretary shall invite pro-
spective partners to submit competitive grant pro-
posals for regional water enhancement partnerships. 
‘‘(2) ELEMENTS.—To be eligible for consider-
ation for participation in the program, a proposal 
submitted by a partner shall contain the following 
elements: 
‘‘(A) Identification of the exact geographic 
area for which the partnership is proposed, 
which may be based on— 
‘‘(i) a watershed (or portion thereof); 
‘‘(ii) an irrigation, water, drainage 
district, including service area; or 
‘‘(iii) some other geographic area with 
characteristics making it suitable for land-
scape-wide program implementation, as 
may be determined by the Secretary. 
‘‘(B) Identification of the water quality or 
water quantity issues that are of concern in the 
area. 
‘‘(C) A method for determining a baseline 
assessment of water quality, water quantity, 
and other resource conditions in the region. 
‘‘(D) A detailed description of the proposed 
regional water enhancement activities to be un-
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dertaken in the area, including an estimated 
timeline and budget for each activity. 
‘‘(E) A description of the performance 
measures to be used to gauge the effectiveness 
of the regional water enhancement activities. 
‘‘(F) A description of other regional water 
enhancement activities carried out by the Sec-
retary. 
‘‘(G) A description of regional water en-
hancement activities carried out by partners 
through other means. 
‘‘(3) SELECTION
OF
PROPOSALS.—The Sec-
retary shall award grants competitively, based on the 
following criteria applied by the Secretary: 
‘‘(A) Proposals that will result in the inclu-
sion of the highest percentage of agricultural 
lands and producers in the area. 
‘‘(B) Proposals that will result in the high-
est percentage of on-the-ground activities versus 
administrative costs. 
‘‘(C) Proposals that will provide the great-
est contribution to sustaining or enhancing ag-
ricultural production in the area or rural eco-
nomic development. 
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‘‘(D) Proposals that include performance 
measures that will allow post-activity conditions 
to be satisfactorily measured to gauge overall 
effectiveness. 
‘‘(E) Proposals that will capture surface- 
water runoff on farms through the construction, 
improvement, or maintenance of irrigation 
ponds. 
‘‘(F) Proposals that have the highest likeli-
hood of improving issues of concern for the area 
through the participation of multiple interested 
persons. 
‘‘(G) Proposals that will assist producers 
in meeting a regulatory requirement imposed on 
lands in agriculture production that reduces the 
economic scope of the producer’s operation. 
‘‘(4) DURATION.—Grants under this subsection 
shall be made on a multi-year basis, not to exceed 
5 years total, except that the Secretary may termi-
nate a grant earlier if the performance measures are 
not being met. 
‘‘(d) PARTNERSHIP AGREEMENTS.— 
‘‘(1) GENERALLY.—Not later than 30 days 
after the award of a grant to a partner under sub-
section (c), the Secretary shall enter into a partner-
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ship agreement with the grant recipient. At a min-
imum, the agreement shall contain— 
‘‘(A) a description of the respective duties 
and responsibilities of the Secretary and the 
partner in carrying out regional water enhance-
ment activities; and 
‘‘(B) the criteria that the Secretary will 
use to measure the overall effectiveness of the 
regional water enhancement activities funded by 
the grant in improving the water quality or 
quantity conditions of the region relative to the 
performance measures in the grant proposal. 
‘‘(2) ACCEPTANCE
OF
CONTRIBUTIONS.—The 
Secretary may accept and use contributions of non- 
Federal funds to administer the program under this 
section. 
‘‘(3) WAIVER AUTHORITY.—The Secretary shall 
waive the limitation in section 1001D of this Act if 
the Secretary determines that doing so is necessary 
to fulfill the objectives of the regional water en-
hancement program. 
‘‘(e) MODIFICATION OF SECRETARIAL AUTHORITY.— 
To the extent that the Secretary will be carrying out re-
gional water enhancement activities in an area, the Sec-
retary may use the general authorities provided in this 
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subtitle to ensure that all producers and landowners in 
the region have the opportunity to participate in such ac-
tivities. 
‘‘(f) RELATIONSHIP WITH OTHER PROGRAMS.—The 
Secretary shall ensure that, to the extent producers and 
landowners are individually participating in other pro-
grams under this subtitle in a region where the regional 
water enhancement program is in effect, any improve-
ments to water quality or water quantity attributable to 
such individual participation is included in the evaluation 
criteria developed under subparagraph (d)(1)(B). 
‘‘(g) CONSISTENCY WITH STATE LAW.—Any regional 
water enhancement activity conducted under this section 
shall be consistent with State water laws. 
‘‘(h) FUNDING.— 
‘‘(1) AVAILABILITY OF FUNDS.—In addition to 
funds made available to carry out this chapter under 
section 1241(a)(6), the Secretary shall use funds of 
the Commodity Credit Corporation to carry out this 
section in the amount of, to the maximum extent 
practicable, $60,000,000 for each of fiscal years 
2008 through 2012. 
‘‘(2) LIMITATION
ON
ADMINISTRATIVE
EX-
PENSES.—Not more than 3 percent of the funds 
made available under paragraph (1) for a fiscal year 
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may be used for administrative expenses of the Sec-
retary.’’. 
SEC. 2107. GRASSROOTS SOURCE WATER PROTECTION 
PROGRAM. 
(a) AUTHORIZATION OF APPROPRIATIONS.—Section 
1240O(b) of the Food Security Act of 1985 (16 U.S.C. 
3839bb–2(b)) is amended by striking ‘‘$5,000,000 for 
each of fiscal years 2002 through 2007’’ and inserting 
‘‘$20,000,000 for each of fiscal years 2008 through 
2012’’. 
(b) ADDITIONAL FUNDING.—Section 1240O of the 
Food Security Act of 1985 (16 U.S.C. 3839bb–2) is 
amended by adding at the end the following new sub-
section: 
‘‘(c) ONE-TIME INFUSION OF FUNDS.—Of the funds 
of the Commodity Credit Corporation, the Secretary shall 
make available, on a one-time basis, $10,000,000 to carry 
out this section. Such funds shall remain available until 
expended.’’. 
SEC. 2108. CONSERVATION OF PRIVATE GRAZING LAND. 
Section 1240M(e) of the Food Security Act of 1985 
(16 U.S.C. 3839bb(e)) is amended by striking ‘‘2007’’ and 
inserting ‘‘2012’’. 
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SEC. 2109. GREAT LAKES BASIN PROGRAM FOR SOIL ERO-
SION AND SEDIMENT CONTROL. 
Section 1240P(c) of the Food Security Act of 1985 
(16 U.S.C. 3839bb–3(c)) is amended by striking ‘‘2007’’ 
and inserting ‘‘2012’’. 
SEC. 2110. FARM AND RANCHLAND PROTECTION PROGRAM. 
Subchapter B of chapter 2 of subtitle D of title XII 
of the Food Security Act of 1985 (16 U.S.C. 3838h et 
seq.) is amended to read as follows: 
‘‘Subchapter B—Farm and Ranchland 
Protection Program 
‘‘SEC. 1238H. DEFINITIONS. 
‘‘In this subchapter: 
‘‘(1) ELIGIBLE ENTITY.—The term ‘eligible en-
tity’ means any of the following: 
‘‘(A) An agency of a State or local govern-
ment or an Indian tribe (including a farmland 
protection board or land resource council estab-
lished under State law). 
‘‘(B) An organization that is organized for, 
and at all times since the formation of the orga-
nization has been operated principally for, 1 or 
more of the conservation purposes specified in 
clause (i), (ii), (iii), or (iv) of section 
170(h)(4)(A) of the Internal Revenue Code of 
1986. 
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‘‘(C) An organization described in section 
501(c)(3) of the Internal Revenue Code of 1986 
that is exempt from taxation under section 
501(a) of that Code. 
‘‘(D) An organization described in section 
509(a)(2) of the Internal Revenue Code of 
1986. 
‘‘(E) An organization described in section 
509(a)(3) of the Internal Revenue Code of 1986 
that is controlled by an organization described 
in section 509(a)(2), of that Code. 
‘‘(2) ELIGIBLE LAND.—The term ‘eligible land’ 
means land on a farm or ranch that— 
‘‘(A) is cropland; 
‘‘(B) is rangeland; 
‘‘(C) is grassland; 
‘‘(D) is pasture land; 
‘‘(E) is forest land that is an incidental 
part of an agricultural operation, as determined 
by the Secretary; or 
‘‘(F) contains historical or archaeological 
resources. 
‘‘(3) INDIAN TRIBE.—The term ‘Indian tribe’ 
has the meaning given the term in section 4 of the 
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Indian Self-Determination and Education Assistance 
Act (25 U.S.C. 450b). 
‘‘(4) PROGRAM.—The term ‘program’ means 
the farm and ranchland protection program estab-
lished under section 1238I(a). 
‘‘(5) SECRETARY.—The term ‘Secretary’ means 
the Secretary of Agriculture. 
‘‘SEC. 1238I. FARM AND RANCHLAND PROTECTION PRO-
GRAM. 
‘‘(a) ESTABLISHMENT.— 
‘‘(1) ESTABLISHMENT
AND
PURPOSE.—The 
Secretary shall establish and carry out a farm and 
ranchland protection program under which the Sec-
retary shall facilitate and provide funding for the 
purchase of conservation easements or other inter-
ests in eligible land that is subject to a pending offer 
from a certified State or eligible entity for the pur-
pose of protecting the agricultural use and related 
conservation values of the land by limiting incompat-
ible nonagricultural uses of the land. 
‘‘(2) PRIORITY.—In carrying out the program, 
the Secretary shall give the highest priority— 
‘‘(A) to protecting farm and ranchland 
with prime, unique or other productive soils 
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that are at risk of non-agricultural develop-
ment; or 
‘‘(B) to projects that further a State or 
local policy consistent with the purposes of the 
program. 
‘‘(b) GRANTS
TO CERTIFIED STATES.—The Sec-
retary shall make grants to States certified by the Sec-
retary under subsection (c). Such grants shall be made 
based on demonstrated need for farm and ranch land pro-
tection. Grants may be made for multiple transactions so 
long as all funds provided under the program are used 
to purchase conservation easements or other interests in 
land in a timely and effective manner. A State receiving 
a grant under this subsection may use up to 10 percent 
of the grant funds for reasonable costs of purchasing and 
enforcing conservation easements. 
‘‘(c) CERTIFICATION OF STATES FOR GRANTS.— 
‘‘(1) CERTIFICATION PROCESS.—The Secretary 
shall implement a process, to be published in the 
Federal Register, for certifying States as eligible to 
participate in the program. The Secretary may pro-
vide a reasonable transitional period, not to extend 
past September 30, 2008, in order to allow contin-
ued operation of the program for such time as need-
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ed for the Secretary to implement the certification 
process. 
‘‘(2) CERTIFICATION
REQUIREMENTS.—To be 
certified under the process implemented under para-
graph (1), a State shall demonstrate, at a minimum, 
the following: 
‘‘(A) A legislative consistent with the pur-
poses of the program. 
‘‘(B) The necessary authority and the re-
sources to monitor and enforce the terms of 
conservation easements or other interests in 
land or to require the holder of such easements 
or other interests in land acquired with the use 
of funding under the program to monitor and 
enforce the terms of such easements or other 
interests in land. 
‘‘(C) Policies and procedures to ensure 
that, on average, the purchase price of con-
servation easements or other interests in land 
purchased with program funds do not exceed 
the fair market value of the easements or other 
interests in land. 
‘‘(D) Policies and procedures that ensure 
that conservation easements or other interests 
in land purchased with program funds will con-
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tinue to protect the agricultural use and related 
conservation values of the land. 
‘‘(d) AGREEMENTS WITH ELIGIBLE ENTITIES.— 
‘‘(1) AGREEMENTS
AUTHORIZED.—The Sec-
retary may enter into an agreement with an eligible 
entity, other than a certified State, under which the 
entity may purchase conservation easements using a 
combination of its own funds and funds distributed 
by the Secretary under the program. 
‘‘(2) TERMS AND CONDITIONS.—An agreement 
under this subsection shall stipulate the terms and 
conditions under which the eligible entity shall use 
funds provided by the Secretary under the program. 
The eligible entity shall be authorized to use its own 
terms and conditions for conservation easements and 
other purchases of interests in land, so long as— 
‘‘(A) such terms and conditions are con-
sistent with the purposes of the program and 
permit effective enforcement of the conservation 
purposes of such easements or other interests; 
‘‘(B) the eligible entity has in place a re-
quirement consistent with agricultural activities 
regarding the impervious surfaces to be allowed 
for any conservation easement or other interest 
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