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2B. Tract Number(s): CONSERVATION PROGRAM CONTRACT 7. Program (Check One) 3. 4. Contract Number : Primary Fund Code: 5. 6. HUA Number: Priority Area: B. Agricultural Management Assistance (AMA) A. Environmental Quality Incentives Program (EQIP) 8. CONTRACT LANGUAGE THIS CONTRACT is entered into between the Commodity Credit Corporation (referred to as "CCC" and the undersigned owners, operators, or tenants (referred to as "Owner", "Operator", and "Tenant"; respectively) on the farm identi.
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Yyyy FAQ
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CRP contract holders have the option of taking their acres out of the program early in exchange for returning all payments they have received plus interest and pay a 25% penalty.
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If selling or buying land encumbered with a CRP contract, it's beneficial for both parties to understand it's a legally binding contract between the participant and the federal government that should be considered before the buyer and seller go to settlement.
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The Conservation Reserve Program is a voluntary program where landowners enroll agricultural land in contracts in return for an annual rental payment.
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CRP is a land conservation program administered by the Farm Service Agency (FSA). In exchange for a yearly rental payment, farmers enrolled in the program agree to remove environmentally sensitive land from agricultural production and plant species that will improve environmental health and quality.
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Similar to the Conservation Reserve Program (CRP), CSP applications are ranked by the cumulative value of expected environmental benefits in a given contract. Unlike CRP, the CSP payment is based on the Environmental Benefit Ranking Score, not on local land rental rates.
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Normally if a landowner terminates a CRP contract early, they are required to repay all previous payments plus interest. The new policy waives this repayment if the land is transferred to a beginning farmer or rancher through a sale or lease with an option to buy.
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CRP is a land conservation program administered by the Farm Service Agency (FSA). In exchange for a yearly rental payment, farmers enrolled in the program agree to remove environmentally sensitive land from agricultural production and plant species that will improve environmental health and quality.
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They can keep the grass cover and use the land for grazing ground and/or hunting. If desired and with some conversion of the land, they could put it back into crop production or lease the land to other interested parties for agricultural use. Lastly, they could put the land on the market for sale.
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