ACCEPTANCE AND USE OF PRIVATE FUNDS FOR PUBLIC-PRIVATE PARTNERSHIPS.

SEC. 202. ACCEPTANCE AND USE OF PRIVATE FUNDS FOR PUBLIC-PRIVATE PARTNERSHIPS. Section 1241(f) of the Food Security Act of 1985 (16 U.S.C. 3841(f)) is amended—(1) in the subsection heading, by inserting “for Public-Private Partnerships” after “Contributions”; (2) by amending paragraph (1) to read as follows:“(1) Establishment of public-private partnership contributions accounts.—The Secretary shall establish the necessary accounts and process to accept contributions of private funds for the purposes of addressing the changing climate, sequestering carbon, improving wildlife habitat, protecting sources of drinking water, and addressing other natural resource priorities identified by the Secretary.” ; (3) in paragraph (2), by striking “a conservation program administered by the Secretary under subtitle D shall be deposited into the sub-account” and inserting “a covered program shall be deposited into the account”; and (4) by adding at the end the following:“(3) Secretarial authority.—“(A) In general.—The Secretary may accept under this subsection contributions of such funds as the Secretary determines appropriate, taking into consideration—“(i) the source of the funds to be contributed; “(ii) the natural resource concerns to be addressed through the use of the funds; “(iii) the amount of funds to be contributed; “(iv) whether the activities proposed to be carried out using the funds are consistent with the priorities of the Secretary; and “(v) any other factors the Secretary determines to be relevant. “(B) Determination.—A determination of whether to accept private funds under this subsection shall be at the sole discretion of the Secretary. “(4) Match of contributed funds.—“(A) In general.—Subject to subparagraph (B), the Secretary may provide matching Federal funds, and determine the level of such match, which shall not exceed 75 percent, for the private funds contributed under this subsection, subject to the availability of funding for the applicable covered program. “(B) Distribution of federal funding for states.—The Secretary may not provide any matching Federal funds pursuant to subparagraph (A) in a manner that would result in a substantial reduction in the historical distribution of Federal funding to any State for any covered program. “(C) Limitation.—No funds made available pursuant to Public Law 117–169 may be used to provide matching Federal funds pursuant to subparagraph (A). “(5) Role of contributing entity.—An entity contributing funds under this subsection may—“(A) designate the covered program for which the contributed funds are intended to be used; “(B) specify the geographic area in which the contributed funds are intended to be used;136 STAT. 5983 “(C) identify a natural resource concern the contributed funds are intended to be used to address; “(D) with respect to an activity funded pursuant to this subsection that may result in environmental services benefits to be sold through an environmental services market, subject to the approval of the Secretary, prescribe the terms for ownership of the entity’s share of such environmental services benefits resulting from such activity; and “(E) work with the Secretary to promote the activities funded pursuant to this subsection. “(6) Producer participation.—“(A) Notification.—The Secretary shall establish a process to provide notice to producers—“(i) of activities that may be carried out, through a covered program, pursuant to this section; and “(ii) any terms prescribed by the contributing entity under paragraph (5)(D) with respect to such activities. “(B) Retention of environmental services benefits.—The Secretary shall not claim or impede any action of a producer with respect to the environmental services benefits they accrue through activities funded pursuant to this subsection. “(7) Consistency with program requirements.—“(A) In general.—Except as provided in subparagraph (B), the Secretary shall ensure that the terms and conditions of activities carried out using funds contributed under this subsection are consistent with the requirements of the applicable covered program. “(B) Adjustments.—“(i) In general.—The Secretary may, if the Secretary determines necessary, adjust a regulatory requirement of a covered program, or related guidance, as it applies to an activity carried out using funds contributed under this subsection—“(I) to provide a simplified process; or “(II) to better reflect unique local circumstances and to address a specific priority of the contributing entity. “(ii) Limitation.—The Secretary shall not adjust the application of statutory requirements for a covered program, including requirements governing appeals, payment limits, and conservation compliance. “(8) Report.—Not later than December 31, 2024, and each year thereafter through December 31, 2031, the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report that contains—“(A) the name and a description of each entity contributing private funds under this subsection that took an action under paragraph (5), and a description of each such action; “(B) the name and a description of each entity contributing private funds under this subsection for which the Secretary has provided matching Federal funds, and the 136 STAT. 5984 level of that match, including the amount of such matching Federal funds; and “(C) the total amounts of—“(i) private funds contributed under this subsection; and “(ii) matching Federal funds provided by the Secretary under paragraph (4). “(9) Covered program defined.—In this subsection, the term ‘covered program’ means a program carried out by the Secretary under—“(A) subtitle D (except for subchapter B of such subtitle), subtitle H, or subtitle I; “(B) section 403 of the Agricultural Credit Act of 1978 (16 U.S.C. 2203); “(C) title V of the Healthy Forests Restoration Act of 2003 (16 U.S.C. 6571 et seq.); or “(D) the Watershed Protection and Flood Prevention Act (16 U.S.C. 1001 et seq.), except for any program established by the Secretary to carry out section 14 of such Act (16 U.S.C. 1012). “(10) Duration of authority.—The authority of the Secretary under this subsection shall expire, with respect to each covered program, on the date on which the authority of the covered program expires.” .