[Federal Register Volume 74, Number 8 (Tuesday, January 13, 2009)]
[Rules and Regulations]
[Pages 1587-1590]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-492]
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Rules and Regulations
Federal Register
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Federal Register / Vol. 74, No. 8 / Tuesday, January 13, 2009 / Rules
and Regulations
[[Page 1587]]
DEPARTMENT OF AGRICULTURE
Natural Resources Conservation Service
7 CFR Part 662
RIN 0578-AA44
Regional Equity
AGENCY: Natural Resources Conservation Service, United States
Department of Agriculture.
ACTION: Interim final rule with request for comments.
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SUMMARY: Section 2703 of Title II of the Food, Conservation, and Energy
Act of 2008 (the 2008 Act) (Pub. L. 110-246) reauthorizes the
subsection on Regional Equity established under section 1241(d) of the
Food Security Act of 1985 (16 U.S.C. 3841(d)), as amended (Regional
Equity provision). The purpose of this provision is to give priority to
certain states for certain conservation program funding. States
eligible to receive funding through the Regional Equity provision are
those that have not received, for a given fiscal year, an aggregate
allocation of at least $15,000,000 from programs specified in the
Regional Equity provision. In addition, States must have approved
applications for financial and technical assistance under the specified
programs in order to be eligible to receive funding. The Regional
Equity programs are all of the conservation programs authorized by
subtitle D, Title XII of the Food Security Act of 1985, 16 U.S.C. 3801
et seq., except for the Conservation Reserve Program, the Wetland
Reserve Program, and the Conservation Security Program, which are
excluded from the conservation programs affected by the Regional Equity
provision. This interim final rule sets forth how the Natural Resources
Conservation Service (NRCS), an agency of the U.S. Department of
Agriculture (USDA), will implement the Regional Equity provision.
DATES: Effective Date: This rule is effective January 13, 2009.
Comment Date: Submit comments on or before March 16, 2009.
ADDRESSES: You may send comments (identified by the subject of Regional
Equity) using any of the following methods:
Government-wide rulemaking Web site: Go to http://www.regulations.gov and follow the instructions for sending your
comments electronically.
Mail: U.S. Department of Agriculture, Natural Resources
Conservation Service, Attn: Program Allocations and Management Support
Team, Regional Equity Comments, P.O. Box 2890, Room 5212-S, Washington,
DC 20013.
Fax: 1-202-690-2378.
Hand Delivery: Room 5212 of the USDA South Office
Building, 1400 Independence Avenue, SW., Washington, DC 20250, between
9 a.m. and 4 p.m., Monday through Friday, except Federal Holidays.
Please ask the guard at the entrance to the South Office Building to
call 202-720-4527 in order to be escorted into the building.
This interim final rule may be accessed via the Internet.
Users can access the NRCS homepage at http://www.nrcs.usda.gov/; select
the Farm Bill link from the menu; select the Interim final link from
beneath the Final and Interim Final Rules Index title.
For more information on the rulemaking process, see the
SUPPLEMENTARY INFORMATION section of this document.
Persons with disabilities who require alternative means for
communication (Braille, large print, audiotape, etc.) should contact
the USDA Target Center at (202) 720-2600 (voice and TDD).
FOR FURTHER INFORMATION CONTACT: Team Leader, Program Allocations and
Management Support Team, NRCS, P.O. Box 2890, Room 5212-S, Washington,
DC 20013; telephone (202) 690-0547; submit e-mail to:
[email protected], Attention: Regional Equity comments.
SUPPLEMENTARY INFORMATION:
Comments Invited
The NRCS invites interested persons to participate in this
rulemaking by submitting written comments, data, or views. Comments are
also invited relating to the economic or environmental impacts that
might result from adopting this regulation. The most helpful comments
reference a specific portion of the rule, explain the reason for any
recommended changes, and include supporting data. Please send two
copies of written comments. All comments received will be filed in the
docket, as well as a report summarizing each substantive public comment
concerning this interim final rule. The docket, including any personal
information provided, is made available for public inspection. All
comments received on or before the closing date for comments will be
considered. The regulation may be changed because of the comments
received.
Regulatory Certifications
Executive Order 12866
The Office of Management and Budget (OMB) has determined that this
interim final rule is not significant and will not be reviewed by OMB
under Executive Order 12866.
Regulatory Flexibility Act
It has been determined that the Regulatory Flexibility Act is not
applicable to this interim final rule because NRCS is not required by 5
U.S.C. 553, or any other provision of law, to publish a notice of
proposed rulemaking with respect to the subject matter of this rule.
Environmental Analysis
The Regional Equity interim final rule establishes procedures for
implementing this provision at part 662 of this title and will not
directly impact the environment. This interim final rule falls within
the categories of activities that have been determined not to have a
significant individual or cumulative effect on the human environment
and are excluded from the preparation of environmental assessment or
environmental impact statement as set forth in the U.S. Department of
Agriculture's (USDA) National Environmental Policy Act regulations in 7
CFR part 1b.3. Regional Equity is an administrative function that
relates to the funding of programs and fund disbursements. These
activities are categorically excluded based upon 7 CFR part 1b.3(a)(1)
and 7 CFR part 1b.3(a)(2) of USDA regulations.
[[Page 1588]]
Paperwork Reduction Act
Section 2904 of the 2008 Act requires that implementation of
programs authorized by Title II of the Act be made without regard to
the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.).
Therefore, NRCS is not reporting recordkeeping or estimated paperwork
burden associated with this interim final rule.
Unfunded Mandates Reform Act of 1995
Title II of the Unfunded Mandates Reform Act of 1995 (UMRA), Public
Law 104-4, requires Federal agencies to assess the effects of their
regulatory actions on State, local, and tribal governments or the
private sector of $100 million or more in any one year. When such a
statement is needed for a rule, section 205 of the UMRA requires NRCS
to prepare a written statement, including a cost benefit assessment,
for proposed and final rules with ``Federal mandates'' that may result
in such expenditures for State, local, or tribal governments, in the
aggregate, or to the private sector. UMRA generally requires agencies
to consider alternatives and adopt the more cost effective or least
burdensome alternative that achieves the objectives of the rule.
This rule contains no Federal mandates, as defined under Title II
of the UMRA, for State, local, and tribal governments or the private
sector. Thus, this rule is not subject to the requirements of sections
202 and 205 of UMRA.
Executive Order 12988
This interim final rule has been reviewed in accordance with
Executive Order 12988. The provisions of this interim final rule are
not retroactive. Furthermore, the provisions of this interim final rule
preempt State and local laws to the extent such laws are inconsistent
with this interim final rule.
Executive Order 13132
NRCS has considered this interim final rule in accordance with
Executive Order 13132, issued August 4, 1999. NRCS has determined that
the interim final rule conforms with the Federalism principles set out
in this Executive Order; would not impose any compliance costs on the
States; and would not have substantial direct effects on the States, on
the relationship between the national government and the States, nor on
the distribution of power and responsibilities among the various levels
of government. Therefore, NRCS concludes that this interim final rule
does not have Federalism implications.
Background
The Regional Equity provision (16 U.S.C. 3841(d)) was first
introduced in the Farm Security and Rural Investment Act of 2002 (the
2002 Act) (Pub. L. 107-171), which amended the Food Security Act of
1985 (Pub. L. 99-198) to add the provision as section 1241(d), 16
U.S.C. 3841(d). Regional Equity, as established in the 2002 Act,
required the Secretary to give priority for funding under certain
conservation programs in subtitle D of the Food Security Act of 1985.
The conservation programs listed under subtitle D (in the 2002 Act)
included: Farm and Ranch Lands Protection Program, Grassland Reserve
Program, Environmental Quality Incentives Program, Conservation
Innovation Grants, Ground and Surface Water Conservation Program,
Conservation of Private Grazing Land, Wildlife Habitat Incentive
Program, Grassroots Source Water Protection Program, and Great Lakes
Basin Program. The Conservation Reserve Program, the Wetlands Reserve
Program, and the Conservation Security Program were excluded from the
Regional Equity provision. Under that Regional Equity provision, those
States (Regional Equity States) that did not receive an aggregate
allocation, from the conservation programs specified in the statute,
greater than $12,000,000 were eligible to receive additional funding.
The additional funding made available to Regional Equity States, in
order to reach the $12,000,000 requirement, was taken from those States
that had initial aggregate funding allocations of specified
conservation programs greater than $12,000,000. In addition, Regional
Equity States were required to have approved applications for the
specified conservation programs in order to receive Regional Equity
funding. The 2002 Act set an April 1st deadline for Regional Equity
States to have priority for the funding. NRCS implemented the Regional
Equity provision utilizing multiple funding procedures from fiscal year
2004 through fiscal year 2008.
Statutory Authority and Interim Final Rule
The 2008 Act amended the Regional Equity provision. The 2008 Act
increased the funding level used to identify Regional Equity States
from $12,000,000 to $15,000,000, established new conservation programs
under subtitle D that are subject to the Regional Equity provision
(Agricultural Water Enhancement Program, Conservation Stewardship
Program, Chesapeake Bay Watershed Program, and Voluntary Public Access
and Habitat Incentive Program), and added language requiring the
consideration of the respective demand in a Regional Equity State. NRCS
is developing this regulation to establish consistency and certainty in
implementation procedures for the Regional Equity provision.
Section-by-Section Overview
Section 662.1 describes the general purpose of the regulations,
which is to establish NRCS implementation procedures for the Regional
Equity provision. Section 662.2 defines terms used in this part.
Section 662.3 describes applicability of the Regional Equity provision.
Finally, section 662.4 outlines the procedures for priority funding
and allocation of program funds, in accordance with the Regional Equity
provision. The Regional Equity provision requires the Secretary to give
priority for funding to approved applications in Regional Equity
States. NRCS will give priority for funding to approved applications in
Regional Equity States by establishing program-specific drawing
accounts for each covered program, sufficient to bring all Regional
Equity States to $15,000,000 (funding opportunity). A Regional Equity
State can request funds from the program-specific drawing accounts
after the State has obligated at least 90 percent of its initial
program allocation. This process enables NRCS to monitor the use of
drawing account funds and ensure that funds are used in the most
effective and timely manner. NRCS used a similar funding allocation
procedure in fiscal year 2008. In fiscal year 2008, some Regional
Equity States were unable to use all of their Regional Equity funding.
By holding Regional Equity funds in program-specific drawing accounts,
NRCS was able to reallocate these funds earlier in the fiscal year and
was able to identify States that could obligate the funds toward high
priority needs. This approach positions the Agency to ensure that
program funds are directed to the highest-ranked applications.
The 2008 Act added a requirement that the Secretary consider the
respective demand in each Regional Equity State for each program
covered by the Regional Equity provision. NRCS will consider the
respective demand in each Regional Equity State in each program by
having State Conservationists in Regional Equity States cooperatively
determine the funding opportunity for each state's program-specific
drawing account. State Conservationists will consult with their
respective State Technical Committees in evaluating the demand in their
State
[[Page 1589]]
for funding from the drawing accounts. In evaluating the demand for
Regional Equity funding opportunities, State Conservationists will
consider how applications address national program priorities; historic
trends in program interest; and priority State natural resource
concerns. This will enable additional funds to be allocated in a way
that meets the natural resource conservation needs of each state's
producers, meets the demand of each State's program needs, and helps
ensure that States do not receive additional funding when there is
insufficient demand.
List of Subjects in 7 CFR Part 662
Administrative practice and procedure, Agriculture, Soil
conservation.
0
For the reasons stated in the preamble, the Natural Resources
Conservation Service is adding a new part 662 in chapter VI of Title 7
of the Code of Federal Regulations to read as follows:
PART 662--REGIONAL EQUITY
Sec.
662.1 General.
662.2 Definitions.
662.3 Applicability.
662.4 Regional Equity implementation procedure.
Authority: 16 U.S.C. 3841(d).
Sec. 662.1 General.
This part sets forth the procedures that the Natural Resources
Conservation Service (NRCS) will use to implement the Regional Equity
provision of the Food, Security Act of 1985, 16 U.S.C. 3841(d).
Sec. 662.2 Definitions.
The following definitions are applicable to this part:
Chief means the Chief of the Natural Resources Conservation Service
or the person delegated authority to act on behalf of the Chief.
Contribution programs means Regional Equity programs that
contribute funding to Regional Equity States, as determined by the
Chief each fiscal year, consistent with the limitations established in
16 U.S.C. 3841(d).
Drawing account means the aggregated amount of contribution program
funds required to bring all States to the Regional Equity threshold.
Funding opportunity means the amount of funding needed to bring a
State to the $15,000,000 Regional Equity threshold for the aggregate of
the Regional Equity programs.
Initial allocation means the amount of conservation program
allocation funding provided to all States through a merit-based,
natural resource focused process.
Obligated means a specific binding agreement, in writing, for the
purpose authorized by law and executed while the funding is available.
Regional Equity provision means the statutory requirement to give
priority funding before April 1st for approved applications for
specific programs within States that have not received a $15,000,000
aggregate level of funding.
Regional Equity programs means conservation programs under subtitle
D (excluding the Conservation Reserve program, the Wetlands Reserve
Program, and the Conservation Security Program) of the Food Security
Act of 1985. These programs include: Conservation Stewardship Program,
Farm and Ranch Lands Protection Program, Grassland Reserve Program,
Environmental Quality Incentives Program, Conservation Innovation
Grants, Agricultural Water Enhancement Program, Conservation of Private
Grazing Land, Wildlife Habitat Incentive Program, Grassroots Source
Water Protection Program, Great Lakes Basin Program, Chesapeake Bay
Watershed Program, and the Voluntary Public Access and Habitat
Incentive Program. Regional Equity programs will be aggregated to
determine whether a State meets the $15,000,000 Regional Equity
threshold. However, not all Regional Equity programs will be considered
contribution programs.
Regional Equity threshold means the $15,000,000 minimum aggregate
amount of Regional Equity program funds.
Regional Equity States means any State not meeting the Regional
Equity threshold of $15,000,000 through the initial allocation for
Regional Equity programs.
Respective demand means the mix of contribution program funds that
each State Conservationist in a Regional Equity state requests to fill
that State's funding opportunity.
State means all 50 States, the District of Columbia, the
Commonwealth of Puerto Rico, Guam, the Virgin Islands of the United
States, American Samoa, the Commonwealth of the Northern Marianna
Islands, and the Freely Associated States.
State Conservationist means the NRCS employee authorized to
implement Regional Equity programs and direct and supervise NRCS
activities in a State, the Caribbean Area, or the Pacific Islands Area.
Sec. 662.3 Applicability.
The regulation in this part sets forth the policies and procedures
for the Regional Equity provision as administered by the NRCS. This
regulation applies to the Regional Equity programs defined in this
part. The Chief of NRCS will implement the Regional Equity provision by
identifying programs that contribute to the establishment of program-
specific drawing accounts for priority funding in Regional Equity
states.
Sec. 662.4 Regional Equity implementation procedure.
The following procedures will implement the Regional Equity
provision:
(a) Determine initial allocations. NRCS will determine initial
conservation program funding levels for each State through a merit-
based, natural resource focused allocation process, as determined by
the Chief.
(b) Determine the funding opportunity. The combined initial
allocation funding level for Regional Equity programs by State will be
compared to the Regional Equity threshold to determine each Regional
Equity State's funding opportunity.
(c) Establish contribution program fund levels. Subject to
availability of funds, contribution program fund levels are determined
by:
(1) Identifying which programs contribute funds, as determined by
the Chief, consistent with the limitations established in 16 U.S.C.
3841(d); and
(2) Each State's respective demand.
(i) State Conservationists in Regional Equity States, in
consultation with State Technical Committees, will evaluate and
determine their respective program demands based on the following
criteria:
(A) Program applications and how they address national program
priorities;
(B) Historic trends in program interest; and
(C) State priority natural resource concerns.
(ii) The State Conservationist's identified respective demand will
assist the Chief in determining the composition of contribution program
funds within the established drawing account.
(d) Establish the drawing account. NRCS will establish a drawing
account for each contribution program, as determined in (c)(1) and
(c)(2) of this section, and will give priority before April 1st of each
fiscal year, for such funds to be used to fund applications in Regional
Equity States, sufficient to bring each of the Regional Equity States
to the Regional Equity threshold of $15,000,000.
(e) Access the drawing account. State Conservationists in Regional
Equity
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States may request access to that State's assigned portion of the
drawing account once that State has obligated at least 90 percent of
its initial allocation for that same program.
(f) Re-allocation of funds. The program-specific drawing accounts
for Regional Equity States will be available until April 1st of each
fiscal year, after which date the remaining funds may be re-allocated
at the discretion of the Chief.
Dated: January 6, 2009.
Arlen L. Lancaster,
Chief, Natural Resources Conservation Service.
[FR Doc. E9-492 Filed 1-12-09; 8:45 am]
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