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1 (February 4, 2005)

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                                                               Order Code RS21613
                                                           Updated February 4, 2005



 CRS Report for Congress

              Received through the CRS Web




           Conservation Reserve Program:

                Status and Current Issues

                            Barbara Johnson
                      Analyst in Agricultural Policy
               Resources, Science, and Industry Division

Summary


     The Conservation Reserve Program (CRP), enacted in 1985, provides payments to
 farmers to take highly erodible or environmentally sensitive cropland out of production
 for ten years or more to conserve soil and water resources. It is the federal government's
 largest private land retirement program. The program is administered by the Farm
 Service Agency of the U.S. Department of Agriculture (USDA), with technical
 assistance provided by USDA's Natural Resources Conservation Service. Congress
 most recently reauthorized and amended the CRP through FY2007 in the 2002 Farm
 Bill, the Farm Security and Rural Investment Act (P.L. 107-171). CRP has subprograms
 as well, the best-known of which is the Conservation Reserve Enhancement Program
 (CREP).

     The 2002 law increased the CRP enrollment cap from 36.4 million acres to 39.2
 million acres, added wildlife resources as a CRP purpose, and allowed participants to
 extend some contracts up to 15 years. In August 2004, USDA announced a general
 signup for CRP, opening the program for landowners to submit bids to enroll acreage.
 USDA also announced two CRP initiatives: one to enroll 250,000 acres of bobwhite
 quail habitat and a second to enroll 250,000 acres of non-floodplain wetlands.
 Landowners may apply to enroll in these initiatives any time from October 1, 2004 -
 December 31,2007, or until the enrollment caps are reached. Finally, USDA requested
 public comment on long-term CRP policy issues (69 FR 48447). This report will be
 updated periodically.


 What Is the Conservation Reserve Program (CRP)?

    The Conservation Reserve Program (CRP) is the federal government's largest land
retirement program for private land. It was first enacted by Congress in 1985 to help
control soil erosion, stabilize land prices and control excessive agricultural production.
Since then, program purposes have been expanded to include environmental goals. The
program is administered by USDA's Farm Services Agency (FSA), with technical
assistance from USDA's Natural Resources Conservation Service (NRCS) and funding
from USDA's Commodity Credit Corporation (CCC). The 2002 farm bill authorized

       Congressional Research Service **o The Library of Congress

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