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Total acreage enrolled in the Conservation Reserve Program (CRP) is now the highest level in a decade as the program evolves and focuses more on grazing acres than at any time in its history.
USDA recently announced it was issuing CRP checks for approximately $1.7 billion in payments in October.
CRP acreage under the Biden administration has grown 5.36 million acres since early 2021 to hit 25.86 million acres, a 26% increase in enrollment. The Farm Service Agency (FSA) is getting close to its 27-million-acre cap from the 2018 Farm Bill.
This year’s enrollment programs added 199,214 acres in the general signup—the traditional program—while the Grasslands CRP contracts added another 1.44 million acres.
Rolling back the number just a bit, landowners had 481,092 acres of contracts expire Sept. 30 and leave the program.
Right now, other than issue payments, USDA is essentially freezing CRP in place because the authority to administer CRP expired Sept. 30 when Congress did not extend the farm bill. So, FSA can’t accept new continuous acres or make any changes or revisions to CRP contracts. All of that will have to wait until Congress reauthorizes a new farm bill or extends the current one.
2024 acreage and rental rates
The Biden administration also has continued a shift in how landowners enroll in the program. General enrollment only accounts for 7.7 million acres—down 5.4 million acres since early 2021—with an average national rental rate of $57.10 per acre.
The continuous enrollment programs— Conservation Reserve Enhancement Program (CREP), non-CREP and Wetlands—now make up 8.35 million acres averaging $149.20 an acre.
Grasslands CRP is driving more acreage in the overall program despite lower rental rates than other forms of CRP.
Grasslands CRP as of August was reported at 8.59 million acres. With another 1.44 million acres added, Grasslands CRP now tops 10 million acres. The average rental rate is $15.60 per acre.
The Grasslands program is meant to help support grazing operations and keep those acres from conversion to other uses. When the Biden administration came into office in January 2021, Grasslands CRP only accounted for 1.86 million acres.
Shift from 2014 rates
While acreage is now just above the 2014 enrollment of 25.45 million acres, the contracts have changed. A decade ago, the lion’s share of CRP acres—19.7 million acres at the time—was locked in the general signup idling ground. The average general rental rate was $51.09 per acre in 2014. Another 5.7 million acres back then were in continuous programs such as CREP, as well as “non-CREP” with an average rental rate of $106.79 per acre. The Grasslands program, which now plays a significant role, wasn’t actually part of CRP in 2014.
The top five states for CRP overall payments:
• Iowa, $403 million.
• Illinois, $173.54 million.
• Minnesota, $154.9 million.
• South Dakota, $137.47 million.
• Missouri, $98.66 million.
The top five states for total CRP acreage (as of October):
• Colorado, 2.98 million acres.
• South Dakota, 2.63 million acres.
• Nebraska, 2.42 million acres.
• Texas, 2.23 million acres. — Chris Clayton, DTN ag policy editor
