ENVIRONMENTAL EASEMENT PROGRAM.

SEC. 1440. ENVIRONMENTAL EASEMENT PROGRAM. Subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3831 et seq.) (as amended by section 1439) is further amended by adding after section 1238F the following new chapter: “CHAPTER 3— ENVIRONMENTAL EASEMENT PROGRAM “SEC. 1239. ENVIRONMENTAL EASEMENT PROGRAM. “(a) Establishment.— The Secretary shall, during the 1991 through 1995 calendar years, formulate and carry out an environmental easement program (hereafter in this chapter referred to as the ‘easement program’) in accordance with this chapter, through the acquisition of permanent easements or easements for the maximum term permitted under applicable State law from willing owners of eligible farms or ranches in order to ensure the continued long-term protection of environmentally sensitive lands or reduction in the degradation of water quality on such farms or ranches through the continued conservation and improvement of soil and water resources. “(b) Eligibility; Termination.— “(1) In general.— The Secretary may acquire easements under this section on land placed in the conservation reserve under this subtitle (other than such land that is likely to continue to remain out of production and that does not pose an off-farm environmental threat), land under the Water Bank Act (16 U.S.C. 1301), or other cropland that— “(A) contains riparian corridors, “(B) is an area of critical habitat for wildlife, especially threatened or endangered species; or “(C) contains other environmentally sensitive areas, as determined by the Secretary, that would prevent a producer from complying with other Federal, State, or local environmental goals if commodities were to be produced on such land. “(2) Ineligible land.— The Secretary may not acquire easements on— “(A) land that contains timber stands established under the conservation reserve under subtitle D; or “(B) pasture land established to trees under the conservation reserve under subtitle D. “(3) Termination of existing contract.— The Secretary may terminate or modify any existing contract entered into under section 1231(a) if eligible land that is subject to such contract is transferred into the program established by this chapter. “SEC. 1239A. DUTIES OF OWNERS; COMPONENTS OF PLAN. “(a) Duties of Owners.— “(1) Plan.— In conjunction with the creation of an easement on any lands under this chapter, the owner of the farm or ranch104 STAT. 3598 wherein such lands are located must agree to implement a natural resource conservation management plan under subsection (b) approved by the Secretary in consultation with the Secretary of the Interior. “(2) Agreement.— In return for the creation of an easement on any lands under this chapter, the owner of the farm or ranch wherein such lands are located must agree to the following: “(A) To the creation and recordation of an appropriate deed restriction in accordance with applicable State law to reflect the easement agreed to under this chapter with respect to such lands. “(B) To provide a written statement of consent to such easement signed by those holding a security interest in the land. “(C) To comply with such additional provisions as the Secretary determines are desirable and are included in the easement to carry out this chapter or to facilitate the practical administration thereof. “(D) To specify the location of any timber harvesting on land subject to the easement. Harvesting and commercial sales of Christmas trees and nuts shall be prohibited on such land, except that no such easement or related agreement shall prohibit activities consistent with customary forestry practices, such as pruning, thinning, or tree stand improvement on lands converted to forestry uses. “(E) To limit the production of any agricultural commodity on such lands only to production for the benefit of wildlife. “(F) Not to conduct any harvesting or grazing, nor otherwise make commercial use of the forage, on land that is subject to the easement unless specifically provided for in the easement or related agreement. “(G) Not to adopt any other practice that would tend to defeat the purposes of this chapter, as determined by the Secretary. “(3) Violation.— On the violation of the terms or conditions of the easement or related agreement entered into under this section, the easement shall remain in force and the Secretary may require the owner to refund all or part of any payments received by the owner under this chapter, together with interest thereon as determined appropriate by the Secretary. “(b) Components of Plan.— The natural resource conservation management plan referred to in subsection (a)(1) (hereafter referred to as the ‘plan’)— “(1) shall set forth— “(A) the conservation measures and practices to be carried out by the owner of the land subject to the easement; and “(B) the commercial use, if any, to be permitted on such land during the term of the easement; and “(2) shall provide for the permanent retirement of any existing cropland base and allotment history for such land under any program administered by the Secretary. “SEC. 1239B. DUTIES OF THE SECRETARY. “In return for the granting of an easement by an owner under this chapter, the Secretary shall— 104 STAT. 3599 “(1) share the cost of carrying out the establishment of conservation measures and practices set forth in the plan for which the Secretary determines that cost sharing is appropriate and in the public interest; “(2) pay for a period not to exceed 10 years annual easement payments in the aggregate not to exceed the lesser of— “(A) $250,000; or “(B) the difference in the value of the land with and without an easement; “(3) provide necessary technical assistance to assist owners in complying with the terms and conditions of the easement and the plan; and “(4) permit the land to be used for wildlife activities, including hunting and fishing, if such use is permitted by the owner. “SEC. 1239C. PAYMENTS. “(a) Time of Payment.— The Secretary shall provide payment for obligations incurred by the Secretary under this chapter— “(1) with respect to any cost sharing obligation as soon as possible after the obligation is incurred; and “(2) with respect to any annual easement payment obligation incurred by the Secretary as soon as possible after October 1 of each calendar year. “(b) Cost Sharing Payments.— In making cost sharing payments to owners under this chapter, the Secretary may pay up to 100 percent of the cost of establishing conservation measures and practices pursuant to this chapter. “(c) Easement Payments; Acceptability of Offers.— “(1) Determination of amount.— The Secretary shall determine the amount payable to owners in the form of easement payments under this chapter, and in making such determination may consider, among other things, the amount necessary to encourage owners to participate in the easement program. “(2) Acceptability of offers.— In determining the acceptability of easement offers, the Secretary may take into consideration— “(A) the extent to which the purposes of the easement program would be achieved on the land; “(B) the productivity of the land; and “(C) the on-farm and off-farm environmental threats if the land is used for the production of agricultural commodities. “(d) Form of Payment.— Except as otherwise provided in this section, payments under this chapter— “(1) shall be made in cash in such amount and at such time as is agreed on and specified in the easement or related agreement; and “(2) may be made in advance of a determination of performance. “(e) Payments to Others.— If an owner who is entitled to a payment under this chapter dies, becomes incompetent, is otherwise unable to receive such payment, or is succeeded by another person who renders or completes the required performance, the Secretary shall make such payment, in accordance with regulations prescribed by the Secretary and without regard to any other provision of law, in such manner as the Secretary determines is fair and reasonable in light of all of the circumstances. 104 STAT. 3600 “(f) Payment Limitation.— “(1) In general.— The total amount of easement payments made to a person under this chapter for any year may not exceed $50,000. “(2) Regulations.— The Secretary shall issue regulations prescribing such rules as the Secretary determines necessary to ensure a fair and reasonable application of the limitation contained in this subsection. “(3) Other payments.— Easement payments received by an owner shall be in addition to, and not affect, the total amount of payments that such owner is otherwise eligible to receive under this Act, the Food, Agriculture, Conservation, and Trade Act of 1990, or the Agricultural Act of 1949 (7 U.S.C. 1421 et seq.). “(4) State environmental enhancement.— The provisions of this subsection that limit payments to any person, and section 1305(d) of the Agricultural Reconciliation Act of 1987 (7 U.S.C. 1308 note), shall not be applicable to payments received by a State, political subdivision, or agency thereof in connection with agreements entered into under an environmental easement enhancement program carried out by that entity that has been approved by the Secretary. The Secretary may enter into such agreements for payments to States, political subdivisions, or agencies thereof that the Secretary determines will advance the purposes of this chapter. “(g) Exemption From Automatic Sequester.— Notwithstanding any other provision of law, no order issued under section 252 of the Balanced Budget and Emergency Deficit Control Act of 1985, as amended (2 U.S.C. 902) shall affect any payment under this chapter. “SEC. 1239D. CHANGES IN OWNERSHIP; MODIFICATION OF EASEMENT. “(a) Limitations.— No easement shall be created under this chapter on land that has changed ownership in the preceding 12 months unless— “(1) the new ownership was acquired by will or succession as a result of the death of the previous owner; “(2) the new ownership was acquired before January 1, 1990; or “(3) the Secretary determines that the land was acquired under circumstances that give adequate assurances that such land was not acquired for the purposes of placing it in the program established by this chapter. “(b) Modification; Termination.— “(1) Modification.— The Secretary may modify an easement acquired from, or a related agreement with, an owner under this chapter if— “(A) the current owner of the land agrees to such modification; and “(B) the Secretary determines that such modification is desirable— “(i) to carry out this chapter; “(ii) to facilitate the practical administration of this chapter; or “(iii) to achieve such other goals as the Secretary determines are appropriate and consistent with this chapter. “(2) Termination.— 104 STAT. 3601 “(A) In general.— The Secretary may terminate an easement created with an owner under this chapter if— “(i) the current owner of the land agrees to such termination; and “(ii) the Secretary determines that such termination would be in the public interest. “(B) Notice.— At least 90 days before taking any action to terminate under subparagraph (A) all easements entered into under this chapter, the Secretary shall provide written notice of such action to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate.”.