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TITLE III—NATIONAL NATURAL
RESOURCES 
CONSERVATION
FOUNDATION
SEC. 301. SHORT TITLE.
This title may be cited as the ‘‘National Natural Re-
sources Conservation Foundation Act’’.
SEC. 302. DEFINITIONS.
In this title (unless the context otherwise requires):
(1) BOARD.—The term ‘‘Board’’ means the
Board of Trustees established under section 304.
(2) DEPARTMENT.—The term ‘‘Department’’
means the United States Department of Agriculture.
(3) 
FOUNDATION.—The 
term 
‘‘Foundation’’
means the National Natural Resources Conservation
Foundation established by section 303(a).
(4) SECRETARY.—The term ‘‘Secretary’’ means
the Secretary of Agriculture.
SEC. 303. NATIONAL NATURAL RESOURCES CONSERVATION
FOUNDATION.
(a) ESTABLISHMENT.—A National Natural Resources
Conservation Foundation is established as a charitable and
nonprofit corporation for charitable, scientific, and edu-
cational purposes specified in subsection (b). The Founda-
tion is not an agency or instrumentality of the United
States.
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(b) PURPOSES.—The purposes of the Foundation are
to—
(1) promote innovative solutions to the problems
associated with the conservation of natural resources
on private lands, particularly with respect to agri-
culture and soil and water conservation;
(2) promote voluntary partnerships between gov-
ernment and private interests in the conservation of
natural resources;
(3) conduct research and undertake educational
activities, 
conduct 
and 
support 
demonstration
projects, and make grants to State and local agencies
and nonprofit organizations;
(4) provide such other leadership and support as
may be necessary to address conservation challenges,
such as the prevention of excessive soil erosion, en-
hancement of soil and water quality, and the protec-
tion of wetlands, wildlife habitat, and strategically
important farmland subject to urban conversion and
fragmentation;
(5) encourage, accept, and administer private
gifts of money and real and personal property for the
benefit of, or in connection with, the conservation and
related activities and services of the Department, par-
ticularly the Natural Resources Conservation Service;
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(6) undertake, conduct, and encourage edu-
cational, technical, and other assistance, and other
activities, that support the conservation and related
programs administered by the Department (other
than activities carried out on National Forest System
lands), particularly the Natural Resources Conserva-
tion Service, except that the Foundation may not en-
force or administer a regulation of the Department;
and
(7) raise private funds to promote the purposes
of the Foundation.
(c) LIMITATIONS AND CONFLICTS OF INTERESTS.—
(1) POLITICAL
ACTIVITIES.—The Foundation
shall not participate or intervene in a political cam-
paign on behalf of any candidate for public office.
(2) CONFLICTS OF INTEREST.—No director, offi-
cer, or employee of the Foundation shall participate,
directly or indirectly, in the consideration or deter-
mination of any question before the Foundation af-
fecting—
(A) the financial interests of the director, of-
ficer, or employee; or
(B) the interests of any corporation, part-
nership, entity, organization, or other person in
which the director, officer, or employee—
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(i) is an officer, director, or trustee; or
(ii) has any direct or indirect finan-
cial interest.
(3) LEGISLATION OR GOVERNMENT ACTION OR
POLICY.—No funds of the Foundation may be used in
any manner for the purpose of influencing legislation
or government action or policy.
(4) LITIGATION.—No funds of the Foundation
may be used to bring or join an action against the
United States.
(d) TAX EXEMPT STATUS.—
(1) 1996 TAXABLE
YEAR.—In the case of the
1996 taxable year, the Foundation shall be treated as
organized and operated exclusively for charitable pur-
poses for purposes of section 501(c)(3) of the Internal
Revenue Code of 1986.
(2) 1997 AND SUBSEQUENT TAXABLE YEARS.—In
the case of the 1997 and subsequent taxable years, the
Foundation shall be required to maintain the tax ex-
empt status of the Foundation in the manner pre-
scribed by the Secretary of the Treasury for similar
tax exempt organizations.
SEC. 304. COMPOSITION AND OPERATION.
(a) COMPOSITION.—The Foundation shall be adminis-
tered by a Board of Trustees that shall consist of 9 voting
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members, each of whom shall be a United States citizen and
not a Federal officer. The Board shall be composed of—
(1) individuals with expertise in agricultural
conservation policy matters;
(2) a representative of private sector organiza-
tions with a demonstrable interest in natural re-
sources conservation;
(3) a representative of statewide conservation or-
ganizations;
(4) a representative of soil and water conserva-
tion districts;
(5) a representative of organizations outside the
Federal Government that are dedicated to natural re-
sources conservation education; and
(6) a farmer or rancher.
(b) NONGOVERNMENTAL EMPLOYEES.—Service as a
member of the Board shall not constitute employment by,
or the holding of, an office of the United States for the pur-
poses of any Federal law.
(c) MEMBERSHIP.—
(1) INITIAL MEMBERS.—The Secretary shall ap-
point 9 persons who meet the criteria established
under subsection (a) as the initial members of the
Board and designate 1 of the members as the initial
chairperson for a 2-year term.