ATTRA - National Sustainable Agriculture Information Service
P.O. Box 3657
Fayetteville, AR 72702

Accessing the Environmental Quality Incentive Program (EQIP)
Organic Initiative for Conversion or Expansion

Important Documents available for Download:

NRCS Conservation Program Application

State NRCS EQIP Organic Initiative Contact Person

FY2010 National EQIP Organic Initiative Directive

FY 2010 National Screening and Ranking Guidelines (transitional)

FY 2010 National Screening and Ranking Guidelines (certified)

FY 2010 National Scoring Guidelines

NRCS Organic Crosswalk Guide

Draft Template for Producer Self Certification

Download Acrobat Reader

The sign-up for the FY2010 Environmental Quality Incentive Program (EQIP) Organic Initiative has begun. The Natural Resources Conservation Service (NRCS) is taking applications and the deadline for applications will be March 12, 2010. If you have a pending application or never fully completed an application for FY2009, the (NRCS) will be sending you a letter informing you of this new opportunity in 2010. For FY 2010, applications will be treated as two separate ranking pools, one for transitioning farmers and ranchers without any current certified organic production, and one for existing certified organic producers who are either adding new transitional production or adopting new conservation measures on existing organic production. In both cases, those in these special funding pools will be competing only against others in the special pool rather than in the much, much larger general EQIP pool. The State Conservationist in each state will decide how to split that state's allocation between the two ranking pools. If your application is successful, then you will receive a 75% payment rate for practices undertaken. For socially disadvantaged, beginning (farming less then 10 years) and limited resource farmers and ranchers the payment rate will be 90% of practices undertaken. This NRCS program can provide up to $20,000 per year for no more then $80,000 over a 6 year period to assist farmers and ranchers to transition to or improve the conservation benefits from organic agriculture production.

If you wish to participate in this program please contact your local or state NRCS office ASAP and make at least a preliminary application before a yet to be determined deadline. To find your state or local NRCS office follow this link and click on your state, which will then allow you to find your local (generally county based) NRCS office. Also each state has a specific person in charge of this initiative and they can be found here. The general NRCS guidance for this program is here.

An additional NRCS program that may also be of value to organic and sustainable farmers and ranchers is the Conservation Stewardship Program (CSP). This competitive program has open enrollment and rewards producers for both their current conservation efforts as well as the adoption of new conservation activities in the future. Once or twice a year your State office will evaluate applications to the CSP and if your application ranks high enough, NRCS will work with applicants to develop a contract setting out payments and obligations. For more details on CSP please visit the NRCS website.

2010 EQIP Organic Initiative

NRCS has been authorized to disburse in FY 2010 up to $50 million to farmers who submit successful proposals before the March 12, 2010 deadline.

The organic initiative within the EQIP offers a significant opportunity for organic and transitioning organic growers to receive financial assistance in implementing conservation practices as part of their Organic Systems Plan or Organic Transitions Plan. The program will be offered each of the next five years; however, future funding levels may depend on the level of participation and demand.

Contents:

Be Ready to Play the NRCS Game
How to Increase Your Chances of Submitting a Successful EQIP Application
Basic Eligibility and Forms
How the Application Process Works
Ranking and Scoring Your EQIP Organic Initiative Application

For personal help: Dial NCAT through its 1-800-346-9140 (English) and 1-800-411-3222 (Spanish) toll free hot-line.

Be ready to play the "NRCS" game

It can be difficult to navigate your way through the regulations and lingo of the Natural Resources Conservation Service (NRCS). You have to be willing to "tough it out" to get through the process, so you need to be motivated to access these funds because you want to become an organic producer, are in the middle of transitioning to organic production and want additional assistance, want to expand your existing organic operation, or want to expand or undertake conservation practices that NRCS can help you pay for (for instance establishing pollinator friendly or beneficial insect attracting plants). Also, be sure you want to become organic and are prepared to go through the process of certification to do so. Visit the ATTRA Marketing, Business & Risk Management publication for excellent resources about organic certification, production and marketing.

In 2010, each NRCS state offices must select which conservation practices will be offered under the Initiative. National headquarters has provided states with a comparison chart identifying conservation practices that align with National Organic Program requirements. States must advertise the conservation practices offered through the Organic Initiative.

Finally, you have to think of how farming and ranching practices on your farm or ranch will need to change and how those changes relate to NRCS defined "practices". While many producers believe an organic production system is in itself an excellent conservation system of production, your local NRCS staff may not yet be totally convinced of that statement. In other words you may need to help NRCS understand the conservation benefits of organic production. NRCS has been making recent efforts to better help farmers and ranchers understand the relationship of organic production and NRCS conservation practices. A careful reading of a recently published "organic crosswalk" document can help you understand what it means to be organic in terms of the concepts and lingo.

While this is a special effort for organic agriculture, it is still a part of the competitive EQIP.

The EQIP is a COMPETIVE program and that means you are not guaranteed to receive funding through NRCS. You will be ranked with those applying after you are "scored". If you are applying as an existing USDA certified organic producer (this is a federal regulated program) then you will be competing with other existing certified organic producers applying in your state. If you are wanting to transition or in the middle of transitioning (it takes three years) you will be competing with other farmers or ranchers in this group.

By law the maximum payment for your efforts that you can receive in these efforts is $20,000 per year with no more than $80,000 over a 6 year period. EQIP payments are set up by a contract that can last over several years.

To make it a little more confusing, however, you can also apply for conservation benefits in the general EQIP sign-up. If you sign-up for the general EQIP you will be competing with all other non-organic farmers and ranchers in your state. The competition increases, but the maximum payment could rise to $300,000 over a 6 year period. (it could even rise to $450,000 if you can justify it as of a unique and significant environmental benefit).

YOU need to decide which arena to compete in.

Also the allocations of resources for this special initiative are not equally distributed across all states. If your state has a higher allocation your chances increase to be funded.

How to Increase Your Chances of Submitting a Successful EQIP Application

Since you will be competing with other applicants, it is important to know how best to win the competition.
Some pointers:

KNOW the program, LEARN the lingo. See ATTRA publication Federal Resources for Sustainable Farming and Ranching for some general background.
Fill out the basic application form ASAP and get this into NRCS office before the deadline.) Even if you don't work out subsequent details regarding a detailed contract you MUST get this in by the deadline to access program funds. So if you are serious, DO it ASAP.
Get cumbersome eligibility requirements (explained below) out of the way ASAP. This is important because you don't want to go through the work without knowing you are eligible AND you don't want to miss the deadline.
ASK questions of NRCS field staff,. If they are not helpful, then call the NRCS state office person who is in charge of EQIP (This is available on-line at: www.nrcs.usda.gov/contact ). Also generally, don't take "no" for an answer until you are satisfied with the answer you get. NCAT through its 1-800-346-9140 (English) and 1-800-411-3222 (Spanish) toll free hot-line can help as well.
Remember many field staff of NRCS may not know as much as you do about this program and special initiative.
Make sure you evaluate the FULL extent of the changes you wish to make to improve conservation and meet organic certification requirements, AND MOST importantly make sure you can succeed at organic production.

Basic Eligibility and FORMS

If your farm is incorporated or a partnership and you don't have one, get a DUNS *(Data Universal Numbering System)* number IF YOU intend to apply for more then $25,000 in benefits, it takes a day. This could be the case. Online application is at: http://fedgov.dnb.com/webform/displayHomePage.do. If your ownership of the farm is just as an individual a DUNS number is not needed.
You must be part of the Farm Service Agency (FSA) database and file some level of farm records. Most commodity growers who access FSA program already are part of this database. A web-base fact sheet for accessing this is here:
www.fsa.usda.gov/Internet/FSA_File/july_attachment.pdf
Fill out the basic EQIP application form ASAP. You will need the above items to do it plus the Adjusted Gross Income form (CCC-902). There is an income eligibility test. Here's the legal language: A person or legal entity shall not be eligible to receive any benefit during a crop, fiscal, or program year, as appropriate, if the average adjusted gross non-farm income of the person or legal entity exceeds $1,000,000, unless not less than 66.66 percent of the average adjusted gross income of the person or legal entity is average adjusted gross farm income. The amount of any payment or benefit shall be reduced by an amount that is commensurate with the direct and indirect ownership interest in the entity of each person who has an average adjusted gross income, average adjusted gross farm income, or average adjusted gross non-farm income in excess of the applicable limitation specified.
In order to be eligible a transitioning farmers must provide a "written self-certification" (i.e., a document stating their intent to transition to organic production) to develop an Organic Systems Plan (OSP). Existing certified organic producers will have to provide a copy of their current Organic System Plan (OSP) and agree to implement conservation practices. We've included a template for such self-certification.

Payment Schedules
Each state must develop separate payment schedules for the 2010 Organic Initiative. States have received guidance on how to develop payment schedules taking into consideration the income foregone and costs incurred specific to organic and transitioning operations. There are no longer payment "multipliers" that existed in the 2009 iteration of the Initiative.

Once states have developed their payment schedules for the Initiative, they must submit them for review to economists at national headquarters, where they will either be approved or adjusted as needed and should be available for your review by February 19, 2010.

How the Application Process Works

(Thanks to the National Sustainable Agriculture Coalition for this information)

Existing Organic Farmers
Applicants that are existing organic farmers will have to submit a copy of the current Organic System Plan (OSP) with their application. NRCS will use the OSP to verify compliance with provisions in the statute and as the basis for the EQIP Plan of Operations.

The applicant must also provide the name and contact information of the USDA-accredited certifying agent for the operation.

Farmers Transitioning to Organic Production Systems
Applicants who are transitioning to organic production will have to submit a "self-certification" letter that includes a statement that the applicant "agrees to develop and implement conservation practices for certified organic production that are consistent with an organic system plan" and the name of the USDA-accredited certifying agent contacted to begin the certification process.

Conservation Activity Plan and Payment
A few states have given transitioning farmers the option to sign up for the Initiative to develop a Conservation Activity Plan (CAP). In general, a CAP is a specialized conservation practice(s) plan that may require a higher level of expertise than typical NRCS staff is able to provide and does not fall under the regular technical assistance provided by NRCS. The participant must hire a Certified Technical Service Provider (see below) to develop a CAP in order to be eligible for NRCS financial assistance. A CAP must be approved in a participant's contract as a financial assistance item in order for the participant to receive payment for development of a CAP. Once the Technical Service Provider (TSP) completes the CAP, the participant pays the TSP for the service and requests the payment from NRCS for completing the contracted item.

Specific to this Initiative, a "Conservation Plan Supporting Organic Transition" CAP will provide financial assistance to pay for the conservation planning portion of the Organic Systems Plan required for organic certification. The CAP option does not apply to existing certified organic producers.

The payment amount for the CAP will be set independently by the state offices. State offices will be looking for information on the costs associated with developing a CAP for organic transition to determine the payment amount. NRCS will be able to pay up to 75% of the cost. For beginning farmers and ranchers, socially-disadvantaged farmers and ranchers and limited resource farmers and ranchers, NRCS will pay up to 90% of the cost. The value of the CAP payment will count against the $20,000 per year payment limit.

Scoring and Ranking your EQIP Organic Initiative Application

Once you have finished the application for the program, NRCS will "score" your application using the NRCS Application, Evaluation, and Ranking Tool (ALERT) which will differ depending on whether you are applying as a transitional or current certified producer. The results of the scoring process will result in a specific "ranking/scoring" number. Then depending on your rank/score, applications will be approved depending on funding availability. Thus, obtaining the highest rank/score is critical for obtaining support. There are general guidelines for what "scores" higher and national, state and local NRCS priorities will impact your score. The general national guidelines for ranking and scoring are found in the following documents: