1. NRCS Programs Provide Biofuel and Biomass Opportunities for Producers Switchgrass harvest for biofuels, Photo: NRCS Iowa

2. NRCS Incentives for Conservation with Biofuel Production Potential NRCS Kentucky has assisted in the establishment of over 100,000 acres of native grasses in State. Technical assistance Cost share Incentive payments Long-term Easement programs Mowing Switchgrass, NRCS

3. FSA’s Conservation Reserve Program and Green River CREP 2001, KY and USDA – Conservation Reserve Enhancement Program (CREP) Enhanced version of CRP (FSA administered) Green River Watershed 917,000 ac. Benefits: Annual rental, cost-share, incentive payments, voluntary easements Contracts may last from 10 to 15 years Grass buffers=biomass potential after contract period

4. Environmental Quality Incentives Program (EQIP) EQIP provides cost-share opportunities for the establishment of native grasses 2009, KY NRCS set aside $200K in EQIP funds for a native grass initiative and 2009, KY NRCS contracted 720 acres of native grass to be established Considering Biofuel Initiative in 2010

5. Wildlife Habitat Incentive Program (WHIP) NRCS provides TA cost-share assistance to establish/improve fish and wildlife habitat including native grass establishment. Cost-share agreements range from 1-10 years in length.

6. CIGs –Conservation Innovation Grants EQIP funds – offered nationally Projects include emerging resource issues: energy production, energy conservation, and market-based conservation initiatives. 2008 grant - $5 million to eastern states to study benefits of switchgrass production. Mixed Native Grasses- Harvested for biofuel, NRCS TX

7. 2009 CIGs Awarded $511,750: Point to Non- Point Source Nutrient Trading- buying and selling or nutrient credits. $500,000: Demonstrate and disseminate information on biofuel production from native grasslands.

8. 2009 CIG Awarded $500,000: BMP for nutrient reductions and carbon and nutrient trading $257,261: Methods of biofuel production to enhance farm profitability NRCS biomass project

9. NRCS Programs and Carbon Credits Are CRP (Conservation Reserve Program) lands eligible to participate in carbon credit trading? A. Yes, when no-till or conversion of cropland to grassland is completed. Can WRP (Wetland Reserve Program) acres be enrolled in carbon credit trading? The grass portion of WRP is eligible as long as the seeding occurred after January 1, 1999.

10. Native Grasses = Diversification and Producer Protection Excellent forage/ hay source Commercial seed source Wildlife habitat Carbon Credit potential Erosion Control Water Quality Buffer Round bale of Switchgrass, NRCS

11. Services: 1. Cost-share funding to establish native grasses, 2. On-the-farm technical assistance, 3. Short and long-term conservation and easement programs. Switchgrass Field – EQIP program, NRCS Switchgrass, CRP field, NRCS

12. Farm Service Agency’s Biomass Crop Assistance Program (BCAP) Phase 1: Matching payments for the cost of collection, harvest, storage and transportation (CHST) of eligible material by a qualified Biomass Conversion Facility (signup is currently underway) Phase 2: Funds to establish crops for the conversion to bio-energy (rules still being written)

13. Kentucky Division of Conservation/ Districts State Cost-Share Program- assists landowners to protect soil and water resources, Equipment Loan Program – low interest loans traditionally for conservation equipment, expanded to include- biomass pelletizers, specialized mowers, balers, etc. Kentucky Ag Water Quality Act – landowners develop a water quality plan, conservation easements. http://www.conservation.ky.gov/

14. For more information… Kentucky NRCS Webpage: http://www.ky.nrcs.usda.gov/programs/ http://www.ky.nrcs.usda.gov/programs/ Mailing address: NRCS, Suite 210, 771 Corporate Drive, Lexington KY Field of Native Grasses, NRCS

15. Mowing Mixed Native Grasses, NRCS Chariton Valley Biofuel Project, Iowa Anita Arends, NRCS Phone: 859-224-7354 Email: anita.arends@ky.usda.gov Indian Grass, WHIP contract Burning -Mixed Native Grasses