[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: 7CFR1415.9]

[Page 420]
 
                          TITLE 7--AGRICULTURE
 
  CHAPTER XIV--COMMODITY CREDIT CORPORATION, DEPARTMENT OF AGRICULTURE
 
PART 1415_GRASSLAND RESERVE PROGRAM--Table of Contents
 
Sec.  1415.9  Enrollment of easements and rental agreements.

    (a) Based on the priority ranking, USDA will notify applicants in 
writing of their tentative acceptance into the program for either rental 
agreement or conservation easement options. The participant has 15 
calendar days from the date of notification to sign and submit a letter 
of intent to continue. A letter of intent to continue from the applicant 
authorizes USDA to proceed with the enrollment process and evidences a 
good faith intent on the part of the applicant to participate in the 
program.
    (b) An offer of tentative acceptance into the program does not bind 
the USDA to acquire an easement or enter into a rental agreement, nor 
does it bind the participant to convey an easement, enter into a rental 
agreement, or agree to restoration activities.
    (c) For easement projects, land is considered enrolled after the 
landowner signs the intent to continue. For rental agreements, land is 
considered enrolled after a GRP contract is approved by USDA and signed 
by the participant.
    (d) USDA provides the applicant with a description of the easement 
or rental area; the easement terms or rental terms and conditions; and 
other terms and conditions for participation that may be required by 
CCC.
    (e) For easements, after the land is enrolled, USDA will proceed 
with the development of the conservation plan and obtain an appraisal. 
If the landowner accepts the appraisal offer from USDA, the landowner 
signs an option agreement to purchase for the appraisal amount. USDA 
will then proceed with other easement acquisition activities, which 
include a survey of the easement, securing necessary subordination 
agreements, procuring title insurance, developing a baseline data 
report, and conducting other activities necessary to record the 
easement.
    (f) Prior to execution by USDA and the participant of the rental 
agreement or easement, USDA may withdraw its offer anytime due to lack 
of available funds, title concerns for easements, or other reasons. For 
easements, the appraisal offer to the participant shall be void if the 
easement is not executed by the participant within the time specified in 
the option agreement to purchase.