SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``American Farmland 
Stewardship Act of 2001''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
Sec. 3. Definitions.
                 TITLE I--FARMLAND STEWARDSHIP PROGRAM

Sec. 101. Establishment and purpose of Program.
Sec. 102. Use of farmland stewardship agreements.
Sec. 103. Partnership approach to Program.
Sec. 104. Participation of owners and operators of eligible 
                            agricultural lands.
                       TITLE II--ADVISORY COUNCIL

Sec. 201. Creation of an advisory council regarding Program.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) American agricultural producers are stewards of their 
        lands, and should be encouraged to carry out practices to 
        maintain, protect, and care for the natural, environmental, and 
        agricultural resources of their lands.
            (2) Agricultural producers face increasing challenges in 
        protecting environmental sensitive land while ensuring an 
        abundant and safe food supply and the sound future of 
        agricultural production.
            (3) Increased access of agricultural producers to 
        conservation programs, particularly by producers facing unique 
        environmental needs, must be a part of the national 
        agricultural conservation policy.
            (4) Responsible care and stewardship of natural resources 
        by agricultural producers would be fostered by incentive 
        initiatives aimed at assisting producers in meeting 
        environmental program requirements, protecting and maintaining 
        endangered habitat and wetlands, improving water quality and 
        water access, treating on-farm discharge, deterring invasive 
        species, and addressing other important environmental 
        challenges.
            (5) Greater local involvement, as well as increased 
        cooperation between agricultural producers and local, State, 
        and Federal officials, is needed to allow agricultural 
        producers to meet environmental goals.
            (6) A voluntary incentives based program would encourage 
        greater protection of natural resources by providing economic 
        assistance to agricultural producers to improve and protect 
        natural resources, while permitting them to stay competitive in 
        the world market.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Agreement.--The terms ``farmland stewardship 
        agreement'' and ``agreement'' mean a stewardship contract 
        authorized by title I.
            (2) Contracting agency.--The term ``contracting agency'' 
        means a local conservation district, resource conservation & 
        development district, extension service or local office of the 
        Department of Agriculture or other participating government 
        agency that is designated by the Secretary to enter into 
        farmland stewardship agreements on behalf of the Secretary.
            (3) Eligible agricultural lands.--The term ``eligible 
        agricultural lands'' means private lands that are in primarily 
        native or natural condition or are classified as cropland, 
        pastureland, grazing lands, or timberlands by the Secretary and 
        that--
                    (A) contain wildlife habitat, habitat for 
                threatened and endangered species, wetlands or other 
                natural ecosystems; or
                    (B) provide opportunities for ecological services 
                that can benefit the public at large, such as--
                            (i) filtration of water;
                            (ii) aquifer recharge;
                            (iii) control of invasive and exotic 
                        species;
                            (iv) limitations on nonagricultural 
                        development to preserve open space or prime, 
                        unique, or other productive agricultural lands; 
                        and
                            (v) improvement of habitats for wildlife, 
                        waterfowl, or migratory birds or insects.
            (4) Program.--The terms ``Farmland Stewardship Program'' 
        and ``Program'' mean the conservation program of the Department 
        of Agriculture established by title I.
            (5) Secretary.--The term ``Secretary'' means the Secretary 
        of Agriculture.

                 TITLE I--FARMLAND STEWARDSHIP PROGRAM

SEC. 101. ESTABLISHMENT AND PURPOSE OF PROGRAM.

    (a) Establishment.--The Secretary of Agriculture shall establish a 
special conservation program of the Department of Agriculture, to be 
known as the Farmland Stewardship Program, that is designed to more 
precisely tailor and target existing conservation programs to the 
specific conservation needs and opportunities presented by individual 
parcels of eligible agricultural lands.
    (b) Relation to Other Conservation Programs.--Under the Farmland 
Stewardship Program, the Secretary may implement, or combine together, 
the features of--
            (1) other conservation programs administered by the 
        Secretary; and
            (2) conservation programs administered by other Federal 
        agencies and State and local government entities, where 
        feasible and with the consent of the administering agency or 
        government.
    (c) Funding Sources.--
            (1) In general.--The Farmland Stewardship Program and 
        agreements under the Program shall be funded by the Secretary 
        using--
                    (A) the funding authorities of the conservation 
                programs that are implemented in whole, or in part, 
                through the use of agreements; and
                    (B) such funds as are appropriated to carry out the 
                Program.
            (2) Cost-sharing.--It shall be a requirement of the 
        Farmland Stewardship Program that the majority of the funds to 
        carry out the Program must come from other existing 
        conservation programs, which may be Federal, State, regional, 
        local, or private, that are combined into and made a part of an 
        agreement, or from matching funding contributions made by 
        State, regional, or local agencies and divisions of government 
        or from private funding sources.
    (d) Personnel Costs.--Federal funds made available to carry out the 
Farmland Stewardship Program may be used to provide additional staff 
positions and support within the national headquarters office and State 
field offices of the Natural Resources Conservation Service to 
coordinate and oversee the Program on a national basis.
    (e) Technical Assistance.--Of the funds made available to carry out 
the Farmland Stewardship Program for a fiscal year, the Secretary shall 
reserve not less than twenty percent for the provision of technical 
assistance under the Program.

SEC. 102. USE OF FARMLAND STEWARDSHIP AGREEMENTS.

    (a) Agreements Authorized.--The Secretary shall carry out the 
Farmland Stewardship Program by entering into stewardship contracts, to 
be known as farmland stewardship agreements, with the owners or 
operators of eligible agricultural lands to maintain, protect, and care 
for the natural, environmental, and agricultural resources on the 
lands.
    (b) Legal Basis.--An agreement shall operate in all respects as a 
service contract and, as such, provides the Secretary with the 
opportunity to hire the owner or operator of eligible agricultural 
lands as a vendor to perform one or more specific services for an 
equitable fee for each service rendered. Any Federal agency 
participating in the Farmland Stewardship Program that has the 
authority to enter into service contracts and to expend public funds 
under such contracts may enter into or participate in the funding of an 
agreement.
    (c) Basic Purposes.--An agreement with the owner or operator of 
eligible agricultural lands shall be used--
            (1) to negotiate a mutually agreeable set of guidelines, 
        practices, and procedures under which services will be provided 
        to the public and rendered by the owner or operator to protect, 
        maintain, and, where possible, improve, the natural and 
        ecological resources on the lands covered by the agreement in 
        return for annual payments to the owner or operator for the 
        services rendered;
            (2) to implement a conservation program or series of 
        programs where no program now exists or to implement 
        conservation management or ecological service activities where 
        no such activities now exist; and
            (3) to expand conservation practices, resource management, 
        and ecological service activities to a property where it is not 
        possible at the present time to negotiate or reach agreement on 
        a public purchase of a fee-simple or less-than-fee interest in 
        the property for conservation purposes.
    (d) Modification of Other Conservation Program Elements.--If most, 
but not all, of the limitations, conditions, and requirements of a 
conservation program that is implemented in whole, or in part, through 
the Farmland Stewardship Program are met with respect to a parcel of 
eligible agricultural lands, and the purposes to be achieved by the 
agreement to be entered into for such lands are consistent with the 
purposes of the conservation program, then the Secretary may waive any 
remaining limitations, conditions, or requirements of the conservation 
program that would otherwise prohibit or limit the agreement.
    (e) State and Local Conservation Priorities.--To the maximum extent 
practicable, agreements shall address the conservation priorities 
established by the State and locality in which the eligible 
agricultural lands are located.

SEC. 103. PARTNERSHIP APPROACH TO PROGRAM.

    (a) Authority of Secretary Exercised Through Partnerships.--
Although the Secretary shall be responsible for the administration of 
the Farmland Stewardship Program and oversight of agreements under the 
Program, the Secretary shall work in partnership with other Federal, 
State, and local agencies whose programs are incorporated into the 
Program under section 101.
    (b) Designation and Use of Contracting Agencies.--Subject to 
subsection (c), the Secretary may authorize a local conservation 
district, resource conservation & development district, extension 
service, nonprofit organization, or local office of the Department of 
Agriculture or other participating government agency to enter into and 
administer agreements under the Program as a contracting agency on 
behalf of the Secretary.
    (c) Conditions on Designation.--The Secretary may designate an 
eligible district or office as a contracting agency under subsection 
(b) only if the district of office--
            (1) submits a written request for such designation to the 
        Secretary;
            (2) affirms that it is willing to follow all guidelines for 
        executing and administering an agreement, as promulgated by the 
        Secretary;
            (3) demonstrates to the satisfaction of the Secretary that 
        it has established working relationships with owners and 
        operators of eligible agricultural lands, and based on the 
        history of these working relationships, demonstrates that it 
        has the ability to work with owners and operators of eligible 
        agricultural lands in a cooperative, and not a contentious or 
        litigious, manner;
            (4) affirms its willingness to assume responsibility for 
        preparing all documentation for the agreement, negotiating its 
        terms with an owner or operator, monitoring compliance, making 
        annual reports to the Secretary, and administering the 
        agreement throughout its full term; and
            (5) demonstrates to the satisfaction of the Secretary that 
        it has or will have the necessary staff resources and expertise 
        to carry out its responsibilities under paragraphs (3) and (4).

SEC. 104. PARTICIPATION OF OWNERS AND OPERATORS OF ELIGIBLE 
              AGRICULTURAL LANDS.

    (a) Application and Approval Process.--To participate in the 
Farmland Stewardship Program, an owner or operator of eligible 
agricultural lands shall--
            (1) submit to the Secretary an application indicating 
        interest in the Program and describing the owner's or 
        operator's property, its resources, and their ecological and 
        agricultural values;
            (2) submit to the Secretary a list of services to be 
        provided, a management plan to be implemented, or both, under 
        the proposed agreement;
            (3) if the application and list are accepted by the 
        Secretary, enter into an agreement that details the services to 
        be provided, management plan to be implemented, or both, and 
        requires compliance with the other terms of the agreement.
    (b) Application on Behalf of an Owner or Operator.--A designated 
contracting agency may submit the application required by subsection 
(a) on behalf of an owner or operator by if the contracting agency has 
secured the consent of the owner or operator to enter into an 
agreement.
    (c) Structure of Agreement.--An agreement shall contain the 
following:
            (1) A map, property description, and aerial photograph of 
        the eligible agricultural lands covered by the agreement, 
        including any lands with important natural and ecological 
        resources that require special attention and care.
            (2) A list of the resources to be maintained under the 
        agreement.
            (3) A description of the services to be rendered, 
        conservation practices to be implemented and maintained, or 
        both, under the agreement during the term of the agreement.
            (4) A schedule for the implementation and maintenance of 
        the services and conservation practices described in paragraph 
        (3).
            (5) A schedule of payments for each service and 
        conservation practice described in paragraph (3).
            (6) A schedule of any bonus payments offered under the 
        agreement and the criteria that must be satisfied for the owner 
        or operator to earn the bonus payments.
            (7) Guarantees regarding compliance monitoring and access 
        to the covered property on an annual basis.
            (8) A description of the penalties for nonperformance and 
        default.
            (9) Provisions for assignment of the agreement to a 
        subsequent owner or operator.
            (10) Encumbrance provisions for recording the agreement.
            (11) Such other terms as the Secretary may require.
    (d) Duties of Owners and Operators.--During the term of the 
agreement, the owner or operator of the eligible agricultural lands 
covered by the agreement shall--
            (1) implement the services to be rendered, conservation 
        practices to be implemented and maintained, or both, specified 
        in the agreement;
            (2) keep such records as the Secretary may require for 
        purposes of evaluation of the implementation of the agreement; 
        and
            (3) not to engage in any activity that would defeat the 
        purposes of the agreement.
    (e) Duties of Secretary.--The Secretary shall ensure that payments 
required by an agreement are made as provided in the agreement.
    (f) Authorized Services.--The authorized services that may be 
rendered by an owner or operator on eligible agricultural lands covered 
by an agreement, and paid for by the Secretary under the agreement, 
include the following:
            (1) Removal of invasive species and continued management of 
        land and water resources in a way that prevents invasive 
        species from being reintroduced.
            (2) Installation of best management practices or other 
        recommended practices to eliminate impacts on natural areas 
        outside a property's boundaries.
            (3) Use of property for water retention or detention.
            (4) Installation of phytoremediation cells and other waste 
        treatment facilities to provide environmental clean-up services 
        to remove suspended solids,  particulates, toxic salts and 
metals, and other pollutants from urban, suburban, industrial and farm 
waste, including landfill leachates, stormwater runoff, tainted 
groundwater and other sources of pollutants.
            (5) Dedication of a portion of a property as a buffer strip 
        or filter strip.
            (6) Retention of open space between developed areas and 
        natural areas.
            (7) Implementation of wetland restoration, conservation, or 
        enhancement.
            (8) Reduction of greenhouse emissions and enhancement of 
        carbon sequestering.
            (9) Enhancement of soil, plant, or animal health and well-
        being.
            (10) Improvement of water quality.
            (11) Improvement of air quality.
            (12) Implementation of on-farm conservation and 
        regeneration of biological resources, including plant and 
        animal germplasm.
            (13) Provision of access for research.
            (14) Provision of periodic or limited public access in a 
        manner acceptable to the owner or operator.
            (15) Any other service prescribed by or found to be 
        acceptable by the Secretary.
    (g) Ensuring Availability of Funds.--All amounts required for 
preparing, executing, carrying out, monitoring, and administering an 
agreement for its entire term shall be made available by the Federal, 
State, and local agencies and private sector entities involved in 
funding the agreement upon execution of the agreement.

                       TITLE II--ADVISORY COUNCIL

SEC. 201. CREATION OF AN ADVISORY COUNCIL REGARDING PROGRAM.

    (a) Appointment.--The Secretary shall appoint a 12-member advisory 
council to assist the Secretary in carrying out the Farmland 
Stewardship Program.
    (b) Duties.--The advisory council shall assist the Secretary--
            (1) in drafting such regulations as are necessary to carry 
        out the Program;
            (2) in developing draft documents for executing farmland 
        stewardship agreements;
            (3) in developing procedures and guidelines to facilitate 
        partnerships with other levels of government and nonprofit 
        organizations and assist contracting agencies in gathering data 
        and negotiating agreements;
            (4) in designing criteria to consider applications 
        submitted under section 104(a);
            (5) in providing assistance and training to project 
        partners and contracting agencies;
            (6) in assisting project partners and contracting agencies 
        in combining together other conservation programs into 
        agreements;
            (7) in tailoring the agreements to each individual 
        property;
            (8) in monitoring progress under the agreements; and
            (9) in reviewing and recommending possible modifications, 
        additions, adaptations, improvements, enhancements, or other 
        changes to the Program to improve the way in which the program 
        operates.
Output: American Farmland Stewardship Act of 2001 - Directs the Secretary of Agriculture to establish the Farmland Stewardship Program to target existing conservation programs to the specific needs of individual parcels of eligible agricultural lands through stewardship agreements with the owners and operators of such lands, and in partnership with other Federal, State, and local agencies whose programs are incorporated into the Program.