Conservation Reserve Program Decision Analysis


1. Enter your soil rental rate or select county for USDA Farm Service Agency average rental rate for that county.

This rate is based on soil productivity for your property. You can call your county FSA office to inquire about your specific soil types and their associated rental rates. Your annual payment for CRP will be 120 percent of an average of the three most prevalent soil types within the area of concern. Or, you can select a state and county below and the average CRP payment your county will be entered. Note: The average soil rental rates for a county may not reflect actual payments for your property.

   
 

2. 10 or 15 year contract?

The CRP offers two choices of renewable contracts that can last 10 years or 15 years.
 
 

3. Costs associated with restoration

Some of the average costs associated with bottomland hardwood restoration are provided below. Some of these may not apply to your specific project, and actual costs may vary. Please select the options that might apply to see your estimated restoration costs (after cost share). The CRP pays 90% of restoration costs on 15-year contracts and 50% of restoration costs on 10-year contracts.




   

4. Is this the first time this property is being enrolled in CRP?

If so you should be eligible for the $100/acre Landowner Incentive Payment.
 
 

5. Enter any additional incentive payments you may qualify for in $/acre format

For example, a few site-specific landowners in the Lower Mississippi Delta can receive additional incentives (via the Walton Family Foundation) if their property can be reforested to create habitat corridors between larger forested areas. If your property meets the requirements for this additional incentive, more information on the amount payable will be available through Wildlife Mississippi.
 
 
 

6. If you are interested in obtaining revenue from Hunting Leases, enter the expected
$/acre you would be receiving annually.

 

7. Enter total number of acres to be enrolled.

There is no minimum amount of acreage to enroll, but larger acreages would be given priority during the ranking and acceptance process.  

 
 

8. Enter net present value discount rate.

Due to the time value of money or the fact that money now is worth more than money later, this rate discounts your future annual payments into present value to make them more comparable to other land use alternatives. A default discount rate of 5% is provided because this is a modestly obtainable rate of interest should the money be available for present day investment. A discount rate of 0% would show the actual number of dollars payable to you over the duration of the CRP contract.”

 
 

9. Enter ordinary income tax percentage rate.

CRP payments are taxed as ordinary income, while WRP is taxed as capital gains. The tax rate you are paying is determined based on your annual income and other financial factors.

* based on 2015 tax rates


10. OPTIONAL - Enter your current NET income per acre for the agricultural property you are considering enrolling in a conservation program.

This information is for your comparative purposes only, and will not be shared with anyone.

 





The Conservation Finance Center is a cooperative effort of Wildlife Mississippi, the Mississippi Land Trust and the Mississippi River Trust. The Walton Family Foundation and the Yale School of Forestry assisted in the development of this website and the Conservation Calculators.

© Conservation Finance Center 2016