Recommendations to Advance Conservation, Forestry, and Rural Development through Upcoming Farm Bill Legislation
By Andre Miller and Cailin O’Brien-Feeney
Every five years the U.S. Congress updates critical legislation to set policy and funding levels for a variety of federal agriculture, conservation, forestry, and nutrition programs. Known colloquially as “the Farm Bill,” this must-pass legislation, with significant implications for the U.S. Forest Service and rural outdoor economies, faces headwinds in a divided Congress.
The 2018 Farm Bill included 12 titles, from Commodities to Crop Insurance. As the name of the Senate Committee that works on this critical piece of legislation suggests – the Senate Committee on Agriculture, Nutrition, and Forestry – the 2023 Farm Bill will have broad mandates and impact. The Congressional Budget Office estimates the 2023 Farm Bill will include $725 billion over 5 years (federal FY2024-FY2028).
This article puts forward our recommendations associated with 3 titles in the Farm Bill: Conservation, Rural Development, and Forestry.
Title II, Conservation: Encourages environmental stewardship of farmlands and improved management through land retirement programs, working lands programs, or both.
Title VI, Rural Development: Supports workforce housing, community facilities, business, and utility programs through grants, loans, and guarantees.
Title VIII, Forestry: Supports forestry management programs run by USDA’s Forest Service.
Our recommendations emerge from Quantified Ventures’ expertise in conservation finance, forestry, outdoor recreation, public land use, and public-private partnerships. (QV and the USDA Forest Service have a multi-year partnership to develop funding and financing solutions for outdoor recreation projects and assets on national forests and other public lands). Our personal experience also informs these recommendations – Cailin from work with the State of Oregon and the Outdoor Industry Association; Andre from policy-related stints at Western Resource Advocates and the Center for Western Priorities.
The 2023 Farm Bill provides a significant opportunity to enhance and expand the US Department of Agriculture’s ability to support catalytic conservation finance projects on federal public lands in partnership with communities that depend on natural resources and recreation assets. In addition to program funding, reforms to modernize existing authorities will help solve challenges facing our nation’s public land managers.
Our 3 overarching recommendations related to the Conservation, Rural Development, and Forestry titles of the 2023 Farm Bill are:
Expand funding for offices and programs that drive partnerships.
Incentivize and support local capacity building to turbocharge the project pipeline of shovel-ready natural and recreation infrastructure projects nationwide.
Expand and update structures that encourage external investment, leases, and joint-funded projects to bring in more private and philanthropic dollars.
Let’s look at each of those recommendations in more detail.
Expand funding for offices and programs that drive partnerships
Partnerships bring in critical expertise to advance initiatives that benefit communities, conservation goals, forests, and rural economies. Our specific recommendations are:
Provide funding for the Forest Service National Partnership Office Conservation Finance Program
Fund the Forest Service National Partnership Office (NPO) Conservation Finance Program to support the development of conservation finance feasibility studies and project implementation for Forest Service units across the country. The NPO builds and fosters public-public and public-private partnerships to leverage non-Forest Service funding and financing, including private investment and philanthropic grants, for mutually beneficial projects between the Forest Service and communities.
Establish Congressional authorization and funding for the Innovative Finance for National Forest Grant Program
Provide five-year authorization and funding for the Innovative Finance for National Forests (IFNF) Grant Program, a partnership between the Forest Service NPO and the U.S. Endowment for Forestry and Communities. IFNF provides grants and technical assistance to nonprofits and local governments working to secure funding and financing for recreation, restoration, and wildfire prevention projects in partnership with the Forest Service.Create a new Forest Service conservation finance authority and foster public-private partnerships
Establish a new authority or pilot program that allows the Forest Service to enter into agreements with non-federal partners to make capital investments in federally owned recreation infrastructure, including campgrounds, visitor centers, resorts, and cabins. Direct the Forest Service to create new pay-for-performance agreements to finance projects. Allow the Forest Service to hire contractors to conduct feasibility studies, establish project metrics, and finance projects on Forest Service lands. Ensure that these new Forest Service authorities allow for long-term permits and contracts—and require certain upfront capital financing from non-federal partners.
Incentivize and support local capacity building to turbocharge the project pipeline of shovel-ready natural and recreation infrastructure projects nationwide
It is critical to build the pipeline of viable capital improvement and nature-based projects and, at the same time, enhance local community capacity to execute and maintain the associated infrastructure. Our specific recommendations are:
Provide funding and technical assistance to stand up regional Councils of Governments to partner with the Forest Service on project funding and implementation
Provide funding and technical assistance through IFNF, USDA Rural Development, a new pilot program, or other existing authorities to support the development of local governance authorities (e.g. joint powers authorities, councils of governments, interlocal agreements, etc.) to apply for funding and loans, enter into contracts and agreements, provide additional capacity for planning, implement projects on Forest Service lands, and capture economic value from outdoor recreation economic activity. Further, provide funding for the joint agreement (MOU) between the Forest Service, USDA Rural Development, and National Institute of Food and Agriculture, for technical assistance to state and local governments for financing recreation infrastructure and restoration projects in rural gateway communities.
Provide new authorities to the Forest Service to issue competitive grants to project partners
Establish explicit authority for the Forest Service to issue competitive grants to local governments and partners, enhancing the agency’s ability to support forest gateway communities as they establish innovative partnership models to build sustainable funding streams and climate-resilient recreation management approaches.Create a Forest Service Project Pre-Development Fund and strategy to expand project pipeline
The largest impediment to project implementation is a lack of pre-development capital or grants to make projects shovel-ready. Congress should establish a federal, multi-agency Project Pre-Development Fund to help develop a pipeline of federal capital improvement projects and ensure the successful implementation of impactful recreation and nature-based projects.
Expand and update structures that encourage external investment, leases, and joint-funded projects to bring in more private and philanthropic dollars
Policies and structures that expand private and philanthropic investment can enable more joint-funded projects that align the incentives of all parties and share project risk and reward. Our specific recommendations are:
Reauthorize the Forest Service administrative leasing authority to expand workforce housing options
Reauthorize Section 8623 of the 2018 Farm Bill that provides innovative leasing opportunities of Forest Service administrative sites to create new workforce housing for the agency and local communities. Modify the definition of "market value" so administrative properties can be appraised based on the condition that the highest and best use of the property is for workforce housing, instead of other commercial uses. Clarify the lease term length and ensure it can be extended up to 99 years.Reform existing Forest Service permits and agreements to incentivize external investments
Provide additional flexibility for existing Forest Service permits and agreements. Amendments should include extending the length of permitting mechanisms to allow the agency to make longer-term commitments to external partners, thereby incentivizing non-federal investments in joint projects and priorities. Congress should increase the maximum duration of partnership agreements and challenge cost-share agreements from 5 years to 20 years. Further, provide long-term options for recreation special use permits by extending the duration from 10 years to 30 years to ensure the viability of financing for projects. Provide new opportunities for local governments to hold permits and operate recreation sites by offering governmental entities the right of first refusal on prospective recreation management permits. Expand flexibility of Ski Area Permits to encompass year-round recreational activities, such as mountain biking, to extend the use of the authority to new projects and areas.
Expand Good Neighbor Authority to incorporate recreation priorities
Provide additional flexibility within the Forest Service Good Neighbor Authority (GNA) to allow for jointly funded recreation and capital construction projects—in addition to habitat restoration, roads, and vegetation treatment. This expanded authority, even on a pilot basis, would allow the Forest Service and partnering Tribes, states, and counties to pursue projects with multiple benefits. GNA not only authorizes the Forest Service to enter agreements, but it also applies to the Bureau of Land Management (BLM), allowing the BLM broader flexibility to improve recreation access and infrastructure.
The 2023 Farm Bill presents an opportunity for Congress to take a significant step forward in enabling the USDA to support economic drivers on and around public lands, to open pathways to more fruitful partnerships, and to increase collaboration between USDA Rural Development and the Forest Service.
Our communities and our public lands both stand to benefit from more catalytic conservation finance projects that leverage and protect our natural assets.
If you want to talk more about Quantified Ventures’ work or explore these ideas in greater depth, please reach out to us directly!