Forest conservation easement program

Title XII of the Food Security Act of 1985 (16 U.S.C. 3801 et seq.) is amended— (1) by redesignating subtitle I (16 U.S.C. 3871 et seq.) as subtitle J; and (2) by inserting after subtitle H (16 U.S.C. 3865 et seq.) the following: I Forest Conservation Easement Program 1267. Establishment and purposes (a) Establishment The Secretary shall establish a forest conservation easement program for the conservation and restoration of eligible land and natural resources through the acquisition of conservation easements or other interests in land. (b) Purposes The purposes of the program are— (1) to protect the viability and sustainability of working forest land, and related conservation values of eligible land, by limiting the negative effects of nonforest land uses of such land; (2) to protect and enhance forest ecosystem and landscape functions and values; (3) to promote the restoration, protection, and improvement of habitat of species that are threatened, endangered, or otherwise at risk; and (4) to carry out the purposes and functions of the healthy forests reserve program established under title V of the Healthy Forests Restoration Act of 2003 (16 U.S.C. 6571 et seq.), as in effect on the day before the date of enactment of this section. 1267A. Definitions In this subtitle: (1) Acreage owned by an Indian Tribe The term acreage owned by an Indian Tribe means— (A) land that is held in trust by the United States for Indian Tribes or individual Indians; (B) land, the title to which is held by Indian Tribes or individual Indians subject to Federal restrictions against alienation or encumbrance; (C) land that is subject to rights of use, occupancy, and benefit of certain Indian Tribes; (D) land that is held in fee title by an Indian Tribe; (E) land that is owned by a native corporation formed under— (i) section 17 of the Act of June 18, 1934 (commonly known as the Indian Reorganization Act) (25 U.S.C. 5124); or (ii) section 8 of the Alaska Native Claims Settlement Act (43 U.S.C. 1607); and (F) a combination of 1 or more types of land described in subparagraphs (A) through (E). (2) Eligible entity The term eligible entity means— (A) an agency of State or local government or an Indian Tribe (including a land resource council established under State law); or (B) an organization that is— (i) organized for, and at all times since the formation of the organization has been operated principally for, 1 or more of the conservation purposes specified in clause (i), (ii), (iii), or (iv) of section 170(h)(4)(A) of the Internal Revenue Code of 1986; (ii) an organization described in section 501(c)(3) of that Code that is exempt from taxation under section 501(a) of that Code; or (iii) described in— (I) paragraph (1) or (2) of section 509(a) of that Code; or (II) section 509(a)(3) of that Code and is controlled by an organization described in section 509(a)(2) of that Code. (3) Eligible land The term eligible land means private land or acreage owned by an Indian Tribe— (A) that is— (i) forest land; or (ii) being restored to forest land; (B) in the case of a forest land easement— (i) the enrollment of which would protect working forests and related conservation values by conserving land; or (ii) the protection of which will further a State or local policy consistent with the purposes of the program; and (C) in the case of a forest reserve easement, the enrollment of which will maintain, restore, enhance, or otherwise measurably— (i) increase the likelihood of recovery of a species that is listed as endangered or threatened under section 4 of the Endangered Species Act of 1973 (16 U.S.C. 1533); or (ii) improve the well-being of a species that is— (I) not listed as endangered or threatened under that section; and (II) (aa) a candidate for that listing, a State-listed species, or a special concern species; or (bb) designated as a species of greatest conservation need by a State wildlife action plan. (4) Forest land easement The term forest land easement means an easement or other interest in eligible land that— (A) is conveyed to an eligible entity for the purpose of protecting natural resources and the forest nature of the eligible land; and (B) permits the landowner the right to continue working forest production and related uses, consistent with an applicable forest management plan. (5) Forest management plan The term forest management plan means— (A) a forest stewardship plan described in section 5(f) of the Cooperative Forestry Assistance Act of 1978 (16 U.S.C. 2103a(f)); (B) another plan approved by the applicable State forester or State forestry agency; (C) a plan developed under a third-party certification system determined appropriate by the Secretary; or (D) another plan determined appropriate by the Secretary. (6) Forest reserve easement The term forest reserve easement means an easement or other interest in eligible land that— (A) is conveyed to the Secretary for the purpose of protecting natural resources and the forest nature of the eligible land; and (B) permits the landowner the right to continue working forest production and related uses consistent with the applicable forest reserve easement plan developed under section 1267C(c)(1)(A). (7) Program The term program means the forest conservation easement program established under this subtitle. (8) Socially disadvantaged forest landowner The term socially disadvantaged forest landowner means a forest landowner who is a member of a socially disadvantaged group (as defined in section 2501(a) of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 2279(a))). 1267B. Forest land easements (a) Availability of assistance The Secretary shall facilitate and provide funding for— (1) the purchase by eligible entities of forest land easements on eligible land; (2) the development of a forest management plan; and (3) technical assistance to implement this section. (b) Cost-Share assistance (1) In general The Secretary shall protect working forests, and related conservation values of eligible land, through cost-share assistance to eligible entities for purchasing forest land easements. (2) Scope of assistance available (A) Federal share (i) In general Except as provided in clause (ii), an agreement described in paragraph (4) shall provide for a Federal share of 50 percent of the fair market value of the forest land easement, as determined by the Secretary. (ii) Exception An agreement described in paragraph (4) may provide for a Federal share of not more than 75 percent of the fair market value of a forest land easement in the case of eligible land that is— (I) a forest of special environmental significance, as determined by the Secretary; or (II) owned by a socially disadvantaged forest landowner. (B) Non-Federal share (i) In general Under an agreement described in paragraph (4), the eligible entity shall provide a non-Federal share that is equivalent to the remainder of the fair market value of the forest land easement not provided by the Secretary under subparagraph (A). (ii) Permissible forms The non-Federal share provided by an eligible entity under this paragraph may comprise— (I) cash resources; (II) a charitable donation or qualified conservation contribution (as defined in section 170(h) of the Internal Revenue Code of 1986) from the private forest landowner from which the forest land easement will be purchased; (III) costs associated with securing a deed to the forest land easement, including the cost of appraisal, survey, inspection, and title; and (IV) other costs, as determined by the Secretary. (C) Determination of fair market value For purposes of this paragraph, the Secretary shall determine the fair market value of a forest land easement using— (i) the Uniform Standards of Professional Appraisal Practice; (ii) an areawide market analysis or survey; or (iii) another industry-approved method. (3) Evaluation and ranking of applications (A) Criteria The Secretary shall establish evaluation and ranking criteria to maximize the benefit of Federal investment under the program. (B) Priority In evaluating applications under the program, the Secretary shall give priority to an application for the purchase of a forest land easement— (i) that maintains the viability of a working forest, as determined by the Secretary; and (ii) on eligible land for which a forest management plan has been developed at the time of application. (C) Considerations In establishing the criteria under subparagraph (A), the Secretary shall emphasize support for— (i) protecting working forests and related conservation values of eligible land; (ii) reducing fragmentation of forest land; and (iii) maximizing the areas protected from conversion to nonforest uses. (4) Agreements with eligible entities (A) In general The Secretary shall enter into agreements with eligible entities to stipulate the terms and conditions under which the eligible entity is permitted to use cost-share assistance provided under this section. (B) Length of agreements An agreement under subparagraph (A) shall be for a term that is not less than 3, but not more than 5, years, unless the Secretary determines that a longer term is justified. (C) Minimum terms and conditions An eligible entity shall be authorized to use its own terms and conditions for forest land easements so long as the Secretary determines such terms and conditions— (i) are consistent with— (I) the purposes of the program; and (II) the forestry activities to be conducted on the eligible land; (ii) permit effective enforcement of the conservation purposes of the forest land easements; (iii) include a requirement to implement a forest management plan on eligible land subject to a forest land easement; (iv) include a limit on the impervious surfaces to be allowed that is consistent with the forestry activities to be conducted; and (v) include a right of enforcement for the Secretary that— (I) may be used only if the terms and conditions of the forest land easement are not enforced by the eligible entity; and (II) does not extend to a right of inspection unless— (aa) (AA) the holder of the forest land easement fails to provide monitoring reports in a timely manner; or (BB) the Secretary has a reasonable and articulable belief that the terms and conditions of the forest land easement have been violated; and (bb) prior to the inspection, the Secretary notifies the eligible entity and the landowner of the inspection and provides a reasonable opportunity for the eligible entity and the landowner to participate in the inspection. (D) Additional permitted terms and conditions An eligible entity may include terms and conditions for a forest land easement that— (i) are intended to keep the eligible land subject to the forest land easement in active forest management, as determined by the Secretary; (ii) allow subsurface mineral development on the eligible land subject to the forest land easement and in accordance with applicable State law if, as determined by the Secretary— (I) the subsurface mineral development— (aa) has a limited and localized impact; (bb) does not harm the forest use and conservation values of the eligible land subject to the forest land easement; (cc) does not materially alter or affect the existing topography; (dd) complies with a subsurface mineral development plan that— (AA) includes a plan for the remediation of impacts to the forest use and conservation values of the eligible land subject to the forest land easement; and (BB) is approved by the Secretary prior to the initiation of mineral development activity; (ee) is not accomplished by any surface mining method; (ff) is within the impervious surface limits of the forest land easement under subparagraph (C)(iv); and (gg) uses practices and technologies that minimize the duration and intensity of impacts to the forest use and conservation values of the eligible land subject to the forest land easement; and (II) each area impacted by the subsurface mineral development is reclaimed and restored by the holder of the mineral rights at cessation of operation; and (iii) include other relevant activities relating to the forest land easement, as determined by the Secretary. (E) Substitution of qualified projects An agreement under subparagraph (A) shall allow, upon mutual agreement of the parties, substitution of qualified projects that are identified at the time of the proposed substitution. (F) Effect of violation If a violation of a term or condition of an agreement under subparagraph (A) occurs— (i) the Secretary may terminate the agreement; and (ii) the Secretary may require the eligible entity to refund all or part of any payments received by the eligible entity under the program, with interest on the payments as determined appropriate by the Secretary. (5) Forest management plan (A) In general If the eligible land does not have a forest management plan at the time of application, prior to the acquisition of the forest land easement the landowner shall develop, in partnership with the eligible entity, a forest management plan for the land subject to the forest land easement. (B) Reimbursement The Secretary may reimburse the landowner for the cost of the development of a forest management plan for eligible land enrolled under this section. (c) Method of enrollment The Secretary shall enroll eligible land under this section through the use of— (1) permanent easements; or (2) easements for the maximum duration allowed under applicable State laws. (d) Technical assistance The Secretary may provide technical assistance, on request, to assist in compliance with the terms and conditions of forest land easements. 1267C. Forest reserve easements (a) Availability of assistance The Secretary shall provide assistance to owners of eligible land to restore, protect, and enhance eligible land through— (1) forest reserve easements and related forest reserve easement plans; and (2) technical assistance to implement this section. (b) Easements (1) Method of enrollment (A) Authorized methods The Secretary shall enroll eligible land under this section— (i) through the use of— (I) permanent easements; (II) 30-year easements; and (III) easements for the maximum duration allowed under applicable State laws; and (ii) in the case of acreage owned by an Indian Tribe, through the use of— (I) 30-year contracts (the compensation for which shall be equivalent to the compensation for 30-year easements); or (II) permanent easements. (B) Limitation Not more than 10 percent of amounts made available to carry out this section in a fiscal year may be used for 30-year easements under this section. (2) Evaluation and ranking of offers (A) Criteria The Secretary shall establish evaluation and ranking criteria for offers from landowners under this section. (B) Priority The Secretary shall give priority to the enrollment of eligible land under this section that provides the greatest conservation benefit to— (i) primarily, species listed as endangered or threatened under section 4 of the Endangered Species Act of 1973 (16 U.S.C. 1533); and (ii) secondarily, species that are— (I) not listed as endangered or threatened under that section; and (II) (aa) candidates for that listing, State-listed species, or special concern species; or (bb) designated as species of greatest conservation need by a State wildlife action plan. (C) Other considerations The Secretary may give additional consideration to eligible land the enrollment under this section of which will— (i) improve biological diversity; (ii) restore native forest ecosystems; (iii) conserve forest land that provides habitat for species described in subparagraph (B); (iv) reduce fragmentation of forest land; and (v) increase carbon sequestration. (3) Terms and conditions of easements (A) In general A forest reserve easement shall include terms and conditions that— (i) are consistent with the purposes of the program and the forestry activities to be conducted on the eligible land; (ii) are consistent with the management objectives of the owner of the eligible land and the implementation of the forest reserve easement plan developed under subsection (c)(1)(A); (iii) permit effective enforcement of the conservation purposes of the forest reserve easements; (iv) provide for the efficient and effective establishment or enhancement of forest ecosystem functions and values; and (v) include such additional provisions as the Secretary determines are desirable to carry out the program or facilitate the practical administration of the program. (B) Requested terms and conditions An owner of eligible land may request that a term or condition be included in a forest reserve easement, and the Secretary may include such term or condition, if it— (i) is consistent with the management objectives of the owner of the eligible land and the implementation of the forest reserve easement plan developed under subsection (c)(1)(A); and (ii) does not conflict with any terms or conditions included under subparagraph (A). (4) Compensation (A) Permanent easements In the case of eligible land enrolled in a permanent easement under this section, the Secretary shall pay the owner of the eligible land an amount equal to the difference between, as determined by the Secretary— (i) the fair market value of the eligible land before the enrollment in the permanent easement; and (ii) the fair market value of the eligible land as encumbered by the permanent easement. (B) Other The Secretary shall pay the owner of eligible land enrolled under this section in a 30-year contract, a 30-year easement, or an easement for the maximum duration allowed under applicable State laws, not less than 50 percent, and not more than 75 percent, of the compensation that would be paid under subparagraph (A) if the land were being enrolled in a permanent easement. (C) Determination of fair market value The Secretary shall determine the fair market value of eligible land for purposes of this paragraph using the Uniform Standards of Professional Appraisal Practice or another industry-approved method. (c) Easement restoration and management (1) Forest reserve easement plan (A) In general Land enrolled in a forest reserve easement shall be subject to a forest reserve easement plan, to be developed jointly by the landowner and the Secretary, that describes such activities to be carried out on the land as are necessary to restore, maintain, and enhance habitat for species described in subsection (b)(2)(B). (B) Practices and measures A forest reserve easement plan developed under subparagraph (A) shall require implementation of such practices and measures as are necessary to accomplish the activities described in the plan under such subparagraph, which may include— (i) vegetative management and silviculture practices; (ii) structural practices and measures; (iii) practices to increase carbon sequestration; (iv) practices to improve biological diversity; and (v) other practices and measures, as determined by the Secretary. (2) Financial assistance (A) In general The Secretary shall provide financial assistance to owners of eligible land to carry out the activities, practices, and measures described in the forest reserve easement plan developed for the eligible land under paragraph (1). (B) Payments With respect to financial assistance provided under subparagraph (A), the Secretary shall pay— (i) in the case of a forest reserve easement plan for eligible land enrolled in a permanent easement, an amount that is not more than 100 percent of the eligible costs described in subparagraph (C), as determined by the Secretary; and (ii) in the case of a forest reserve easement plan for eligible land enrolled in a 30-year contract, a 30-year easement, or an easement for the maximum duration allowed under applicable State laws, an amount that is not less than 50 percent, and not more than 75 percent, of the eligible costs described in subparagraph (C), as determined by the Secretary. (C) Eligible costs Costs eligible for payments under this paragraph are the costs of activities, practices, and measures referred to in subparagraph (A) that are associated with the restoration or enhancement of the habitat conditions specified for the applicable species in the forest reserve easement plan. (D) Timing of payments Payments under this paragraph shall be made— (i) only on a determination by the Secretary that an activity, practice, or measure described in subparagraph (C) has been established in compliance with appropriate standards and specifications, which determination shall be made as soon as practicable after establishment; and (ii) as soon as possible after such determination is made. (E) Limitations Financial assistance provided by the Secretary under this paragraph to an owner of eligible land may not exceed $500,000 per easement or contract. (d) Technical assistance (1) In general The Secretary shall provide to owners of eligible land technical assistance to assist the owners in— (A) developing a forest reserve easement plan; and (B) complying with the terms and conditions of a forest reserve easement, including the implementation of a forest reserve easement plan. (2) Contracts or agreements The Secretary may enter into 1 or more contracts with private entities or agreements with a State, nongovernmental organization, or Indian Tribe to provide technical assistance described in paragraph (1), if the Secretary determines that the contract or agreement will advance the purposes of the program. (e) Protections and measures (1) Protections In the case of a landowner who enrolls eligible land in a forest reserve easement, and whose conservation activities under the forest reserve easement plan developed for such land result in a net conservation benefit for a species described in subsection (b)(2)(B), the Secretary shall make available to the landowner safe harbor or similar assurances and protection under— (A) section 7(b)(4) of the Endangered Species Act of 1973 (16 U.S.C. 1536(b)(4)); or (B) section 10(a)(1) of that Act (16 U.S.C. 1539(a)(1)). (2) Measures If protection under paragraph (1) requires the taking of measures that are in addition to the measures covered by the forest reserve easement plan developed for the eligible land, the cost of the additional measures, and the cost of any permit, shall be considered costs eligible for payments under subsection (c)(2). (f) Administration (1) Delegation of easement administration (A) Federal and State agencies The Secretary may delegate any of the management, monitoring, and enforcement responsibilities of the Secretary under this section to other Federal or State agencies that have the appropriate authority, expertise, and resources necessary to carry out those delegated responsibilities. (B) Conservation organizations The Secretary may delegate any of the management responsibilities of the Secretary under this section to a nonprofit conservation organization if the Secretary determines the organization has the appropriate expertise and resources necessary to carry out those delegated responsibilities. (2) Involvement by other agencies and organizations In carrying out this section, the Secretary may consult with— (A) private forest landowners; (B) other Federal agencies; (C) State forestry agencies; (D) State fish and wildlife agencies; (E) State environmental quality agencies; (F) other State conservation agencies; and (G) nonprofit conservation organizations. 1267D. Administration (a) Ineligible land The Secretary shall not use amounts made available to carry out the program for the purposes of acquiring an easement on— (1) land owned by a Federal agency, other than such land that is acreage owned by an Indian Tribe; (2) land owned in fee title by a State, including an agency or a subdivision of a State, or a unit of local government; (3) land subject to an easement or deed restriction that, as determined by the Secretary, provides similar protection as would be provided by enrollment in the program; or (4) land the enrollment in the program of which would undermine the purposes of the program due to on-site or off-site conditions, such as risk of hazardous substances, permitted or existing rights of way, infrastructure development, or adjacent land uses. (b) Subordination, exchange, modification, and termination (1) Subordination The Secretary may subordinate any interest in eligible land, or portion of such an interest, administered by the Secretary (including for the purposes of utilities and energy transmission services) directly or on behalf of the Commodity Credit Corporation under the program if the Secretary determines that the subordination— (A) increases conservation values or has a limited negative effect on conservation values; (B) minimally affects the acreage subject to the interest in eligible land; and (C) is in the public interest or furthers the practical administration of the program. (2) Modification and exchange of interest in land (A) Modification (i) Authority The Secretary may approve a modification of any interest in land, or portion of such interest, administered by the Secretary, either directly or on behalf of the Commodity Credit Corporation, under the program if the Secretary determines that the modification— (I) will support the viability and sustainability of working forests and the conservation values of the applicable easement; (II) will result in equal or increased conservation values; (III) is consistent with the original intent of the easement; (IV) is consistent with the purposes of the program; and (V) is in the public interest or furthers the practical administration of the program, including correcting errors and exercising reserved rights. (ii) Limitation In modifying an interest in land, or portion of such interest, under this subparagraph, the Secretary may not, except in the case of a modification that includes a change to an easement to add acreage, increase any payment to an eligible entity. (B) Exchange (i) Authority The Secretary may approve an exchange of any interest in land, or portion of such interest, administered by the Secretary, either directly or on behalf of the Commodity Credit Corporation, under the program if the Secretary determines that— (I) no reasonable alternative exists and the effect on the interest in land is avoided or minimized to the extent practicable; and (II) the exchange— (aa) results in equal or increased conservation values; (bb) results in equal or greater economic value to the United States; (cc) is consistent with the original intent of the easement; (dd) is consistent with the purposes of the program; and (ee) is in the public interest or furthers the practical administration of the program. (ii) Limitation In exchanging an interest in land, or portion of such interest, under this subparagraph, the Secretary may not increase any payment to an eligible entity. (3) Termination The Secretary may approve a termination of any interest in eligible land, or portion of such an interest, administered by the Secretary, directly or on behalf of the Commodity Credit Corporation under the program if the Secretary determines that— (A) termination is in the interest of the Federal Government; (B) the United States will be fully compensated for— (i) the value of the interest in the land, as determined by the Secretary; (ii) any costs relating to the termination; and (iii) any damages determined appropriate by the Secretary; and (C) the termination will— (i) address a compelling public need for which there is no practicable alternative even with avoidance and minimization; and (ii) further the practical administration of the program. (4) Consent The Secretary shall obtain consent from the landowner and eligible entity, if applicable, for any subordination, exchange, modification, or termination of an interest in eligible land, or portion of such an interest, under this subsection. (5) Notice Not fewer than 90 days before taking any termination action described in paragraph (3), the Secretary shall provide written notice of that action to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate. (c) Land enrolled in other programs In accordance with the provisions of section 2702 of the Farm, Food, and National Security Act of 2026, land enrolled in the healthy forests reserve program established under title V of the Healthy Forests Restoration Act of 2003 (16 U.S.C. 6571 et seq.) on the day before the date of enactment of this section shall be considered enrolled in the program..