[Code of Federal Regulations]
[Title 7, Volume 10]
[Revised as of January 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR1410.32]

[Page 380-381]
 
                          TITLE 7--AGRICULTURE
 
  CHAPTER XIV--COMMODITY CREDIT CORPORATION, DEPARTMENT OF AGRICULTURE
 
PART 1410_CONSERVATION RESERVE PROGRAM--Table of Contents
 
Sec.  1410.32  CRP contract.

    (a) In order to enroll land in the CRP, the participant must enter 
into a contract with CCC.
    (b) The CRP contract is comprised of:
    (1) The terms and conditions for participation in the CRP;
    (2) The CRP conservation plan; and
    (3) Any other materials or agreements determined necessary by CCC.
    (c)(1) In order to enter into a CRP contract, the producer must 
submit an offer to participate as provided in Sec.  1410.30;
    (2) An offer to enroll land in the CRP shall be irrevocable for such 
period as is determined and announced by CCC. The producer shall be 
liable to CCC for liquidated damages if the applicant revokes an offer 
during the period in which the offer is irrevocable as determined by the 
Deputy Administrator. CCC may waive payment of such liquidated damages 
if CCC determines that the assessment of such damages, in a particular 
case, is not in the best interest of CCC and the program.
    (d) The CRP contract must, within the dates established by CCC, be 
signed by:
    (1) The producer; and
    (2) The owners of the cropland to be placed in the CRP and other 
eligible participants, if applicable.
    (e) The Deputy Administrator is authorized to approve CRP contracts 
on behalf of CCC.
    (f) CRP contracts may be terminated by CCC before the full term of 
the contract has expired if:
    (1) The owner loses control of or transfers all or part of the 
acreage under contract and the new owner does not wish to continue the 
contract;
    (2) The participant voluntarily requests in writing to terminate the 
contract and obtains the approval of CCC according to terms and 
conditions as determined by CCC;
    (3) The participant is not in compliance with the terms and 
conditions of the contract;
    (4) Acreage is enrolled in another Federal, State or local 
conservation program;
    (5) The CRP practice fails or is not established after a certain 
time period, as determined by the Deputy Administrator, and the cost of 
restoring the

[[Page 381]]

practice outweighs the benefits received from the restoration;
    (6) The CRP contract was approved based on erroneous eligibility 
determinations; or
    (7) CCC determines that such a termination is needed in the public 
interest.
    (g)(1) Contracts for land enrolled in CRP before January 1, 1995, 
that have been continuously in effect may be unilaterally terminated by 
all CRP participants on a contract except for contract acreage:
    (i) Located within a certain distance determined appropriate by the 
applicable FOTG of a perennial stream, or other permanent waterbody to 
reduce pollution and to protect surface and subsurface water quality;
    (ii) On which a CRP easement is filed;
    (iii) That is considered to be a wetland by USDA according to part 
12 of this title;
    (iv) Located within a wellhead protection area;
    (v) That is subject to frequent flooding, as determined by the 
Deputy Administrator;
    (vi) That may be required to serve as a wetland buffer according to 
the FOTG to protect the functions and values of a wetland; or
    (vii) On which there exist one or more of the following practices, 
installed or developed as a result of participation in the CRP or as 
otherwise required by the conservation plan:
    (A) Grass waterways;
    (B) Filter strips;
    (C) Shallow water areas for wildlife;
    (D) Bottom land timber established on wetlands;
    (E) Field windbreaks; and
    (F) Shelterbelts.
    (2) With respect to terminations under this paragraph:
    (i) Any land for which an early termination is sought by the 
participant must have an EI of 15 or less;
    (ii) The termination shall become effective 60 days from the date 
the participant submits notification to CCC of the participant's desire 
to terminate the contract;
    (iii) Acreage terminated under this provision is eligible to be re-
offered for CRP during future signup periods, provided that the acreage 
otherwise meets the current eligibility criteria; and
    (iv) Participants must meet conservation compliance requirements of 
part 12 of this title to the extent applicable to other land.
    (h) Except as allowed and approved by CCC where the new owner of 
land enrolled in CRP is a Federal agency that agrees to abide by the 
terms and conditions of the terminated contract, the participant in a 
contract that has been terminated must refund all or part of the 
payments made with respect to the contract plus interest thereon, as 
determined by CCC, and shall pay liquidated damages as provided for in 
the contract. CCC may permit the amount to be repaid to be reduced to 
the extent that such a reduction will not impair the purposes of the 
program. Further, a refund of all payments need not be required from a 
participant who is otherwise in full compliance with the CRP contract 
when the land is purchased by or for the United States, as determined by 
CCC.