Environmental Protection in Agriculture

Remarks by Thomas W. Christensen, Director,
Animal Husbandry & Clean Water Programs, NRCS
at the Missouri Natural Resources Conference
Lake of the Ozarks, AR
January 30, 2003

American consumers expect a great deal of our food and agriculture system. And there is no doubt that it consistently delivers—more nutritious food with wider variety; improved food safety with fewer adverse environmental impacts; and greater convenience than at any time in our Nation’s history.

At the same time, the array of potential environmental issues associated with agriculture continues to grow. The largely water quality related concerns of the 80s and 90s are now joined by growing concerns about: greenhouse gas emissions (e.g., methane, nitrous oxides, carbon dioxide); air quality (odors), and potential for production practices to contribute to antibiotic resistance of pathogens, deliver pharmaceutically active compounds into the environment, or allow for rapid movement of animal diseases, among other concerns.

The situation will continue to intensify as development patterns bring agriculture and non-agricultural communities in closer contact. Environmental quality increasingly means a great deal to Americans, from maintaining water quality in rivers, streams, and lakes to improving air quality and minimizing greenhouse gas emissions. All challenges with meaning for agriculture. A fundamental question is how can we keep American agriculture in business on our soil in the future and at the same time have clean and plentiful natural resources for today, tomorrow, and generations to come?

Bringing Agricultural Perspectives to Environmental Regulation
In the last few decades, Federal and State environmental regulations and even local ordinances, have increasingly influenced agriculture. As the U.S. Environmental Protection Agency (EPA) has revised its rule under the Clean Water Act that governs concentrated animal feeding operations (CAFOs), and is considering revisions to its total maximum daily load rule for the Nation’s impaired waterways, some in agriculture are apprehensive. This is especially so when the Clean Air and Endangered Species Acts, among other environmental regulations, are factored into the mix.

USDA believes that environmental regulation should be workable and recognize the important role that agriculture plays in food production and natural resource conservation. As Secretary of Agriculture, Ann M. Veneman said during the rollout of EPA’s revised CAFO rule on December 16, 2002, “…we have worked closely…to get common sense regulations that we can make work on the farms.” Indeed, the Department of Agriculture undertook unprecedented steps to bring agricultural perspectives to bear in the process, AND to ensure that agriculture does its part to protect environmental quality.

USDA and EPA formally acknowledged their shared goals and dedication to natural resource conservation through “principles of collaboration” signed in July 2001. These principles describe a commitment to achieving a balanced approach to protecting the environment, conserving natural resources, and sustaining farm and ranch profitability. The principles were further reinforced through a joint memorandum from USDA and EPA national leadership to NRCS State Conservationists, Forest Service Regional Foresters, and EPA Regional Administrators on November 5, 2002. The subject of the memorandum was “Enhancing USDA and EPA Collaboration at Regional and State Levels.” The memorandum encourages USDA and EPA regional leaders to focus time, energy, and effort at all organizational levels to identify critical issues, set goals, develop strategic plans, and carry our specific actions on current and emerging issues of mutual interest.

USDA is actively engaged with EPA on a number of issues with significance for agriculture. A USDA-EPA interagency workgroup worked to strengthen the agricultural perspective in the revised CAFO rule. A similar workgroup has existed on the total maximum daily load (TMDL) or watershed rule. Similar efforts are underway with voluntary water quality trading as both EPA and USDA seek to foster market-based environmental credit trading opportunities.

Since 1996, the Department has led the Agricultural Air Quality Task Force, a Federal Advisory Committee charged with helping to develop strategies to identify and address potential agricultural sources of air quality concerns. Recent Task Force recommendations identified numerous research and/or technology transfer needs and opportunities to minimize emissions from animal feeding operations. Recognizing the increasing importance of agricultural air issues and the critical role played by the Task Force, USDA recently reauthorized the Task Force through September 2004.

USDA and EPA also jointly supported the recently released National Research Council study on emissions from animal feeding operations. The Committee’s report, released on December 12, 2002, clearly identifies the challenges ahead for quantifying emissions. Further USDA-EPA collaboration is anticipated in seeking to define science-based measurement, evaluation, and mitigation strategies.

Through these and other efforts, as well as bi-monthly coordination meetings, USDA and EPA are working to build improved understanding within the regulatory community on how agriculture can and does protect and enhance natural resources. Given the public attention focused on agriculture and the environment, effective USDA-EPA cooperation can help to achieve a more balanced, sustainable approach to addressing agri-environmental issues.

Research Advances and Directions
Changing conditions and emerging problems have created pressing needs for new and improved knowledge in areas of environmental quality, food safety, and pest and disease management, among others. USDA is engaged in research, in the lab and on the farm, to develop and transfer technologies to assist the Nation’s farmers and ranchers become even better natural resource stewards.

For example, USDA directs millions of dollars to research in animal waste management each year. The Agricultural Research Service (ARS), Manure and Byproduct Utilization National Program, uses a systems research approach to develop solutions to current and emerging problems such as nutrient enrichment of soils and water; atmospheric emission of odors, ammonia, and greenhouse gases; and transport of pathogens and pharmaceutically active compounds that may contaminate food and water supplies. Research focuses on all phases of animal feeding; manure handling, storage, and treatment; land application; crop production; conservation practices; and alternative uses. Approximately $15.9 million was invested in FY2001 to fund research aimed at developing management practices, treatment technologies, and decision tools that will promote improved manure management for its nutrient value, soil enhancement properties, and protection of environmental and human health. Research conducted in related ARS National Programs such as Water Quality and Management, Air Quality, and Soil Resource Management also support progress in animal agriculture research.

The Cooperative State Research, Education, and Extension Service (CSREES) provides research funding through a number of programs and initiatives, including Hatch formula funds, to state colleges and universities. About $26.8 million was delivered to institutions and researchers in FY2000. These funds contribute to research addressing issues of air quality, water quality, animal nutrition, animal mortality disposal, and value-added products among others.

Research not only makes high-tech advances possible, but practical and workable...

... advances like the new variety of corn with phosphorus in a more digestible form that, when fed to pigs and chickens, reduces phosphorus excretion by almost 50 percent. This is good for farmers, too, because they get to spend less on dietary supplements because the phosphorus in this corn is more readily absorbed by the animals

…advances in waste treatment technology that effectively removes ammonia that would otherwise volatilize into the atmosphere.

… advances that will help protect environmental and public health through a new method for detecting E.coli H7:0157 in surface waters.

… advances in risk assessment tools such as the phosphorus index and phosphorus threshold.

Together, ARS, CSREES, and NRCS comprise the USDA Partnership Management Team (PMT), which serves to identify research and technology needs at the farm level and integrate these needs into the national research agenda.

Priorities recently identified by the PMT include: Gaseous emissions associated with manure and wastewater collection, storage, and treatment; Effects of conservation practices related to nutrients and pathogens from land applications and farm runoff; Nutrient removal from animal waste; Groundwater contamination from animal waste and seepage measurement associated with wastewater holding facilities; Acceptable and scientific basis for tests in determining thresholds for nitrogen and phosphorus; New forage, crop varieties, and other vegetative means that remove large amounts of phosphorus from the soil.

Research, however, is only part of the story. Placing these new tools, technologies, and management systems in the hands of farmers and ranchers, and on the landscape, requires technical and financial assistance.

Farm Security and Rural Investment Act of 2002 (2002 Farm Bill)
Congress passed new farm policy—The Farm Security and Rural Investment Act of 2002—in May 2002. According to Secretary Veneman, the 2002 Farm Bill “…represents the single most significant commitment of resources toward conservation on private lands in our nation’s history.” The Secretary also has stated that “the legislation responds to a broad range of emerging natural resource challenges faced by farmers and ranchers, including soil erosion, wetlands and wildlife habitat enhancement and farmland protection.”

Included in the Farm Bill are new initiatives that address challenges in water quality and quantity. A new ground and surface water conservation initiative will help farmers improve irrigation, grow less water-intensive crops or convert to dryland farming. A new grassroots source water protection initiative provides for wellhead and groundwater protection by working with state programs. “These initiatives are not just short-term remedies, but instead seek to build long-term sustainability.” (Secretary Veneman, June 3, 2002)

The reauthorized Environmental Quality Incentives Program (EQIP) highlights program purposes of:
… “assisting producers in complying with local, State, and national regulatory requirements concerning— (A) soil, water, and air quality; (B) wildlife habitat; and (C) surface and ground water conservation;”

…‘‘avoiding, to the maximum extent practicable, the need for resource and regulatory programs by assisting producers in protecting soil, water, air, and related natural resources and meeting environmental quality criteria established by Federal, State, tribal, and local agencies.”

…“consolidating and streamlining conservation planning and regulatory compliance processes to reduce administrative burdens on producers and the cost of achieving environmental goals.”

Congress further revised the EQIP language to promote the adoption of comprehensive nutrient management plans (CNMPs) by livestock and poultry producers. In fact, the language is clear that producers obtaining cost-share for waste management facilities must develop and implement CNMPs! Since, 2001, the CNMP has been a cornerstone of the Department’s effort to assist livestock and poultry producers improve the environmental performance of their operations while maintaining their economic viability. In EPA’s revised CAFO rule, the preamble language makes clear that the agency sees the CNMP as a way for producers to meet permit requirements. This is just another example of where agriculture and environmental policies are working together to assist producers and protect natural resource quality.

Congress also saw the need to promote involvement of other sectors of the economy in leading change and helping to find and deliver the best solutions to environmental challenges facing agricultural producers. Conservation Innovation Grants under EQIP allow the Secretary to “pay the cost of competitive grants that are intended to stimulate innovative approaches to leveraging Federal investment in environmental enhancement and protection, in conjunction with agricultural production.” In conference, the congressional managers indicated their intent that these grants be used to provide incentives to farmers—as opposed to regulations—to address some of the nation’s most difficult conservation needs. By establishing market-based incentives, an efficient mechanism is created to improve water quality and create environmentally beneficial income alternatives for farmers.

Importantly, Congress recognized the magnitude of the conservation and regulatory workload and makes clear the intent to engage non-Federal entities to assist in the delivery of technical services. Agricultural producers now have the option of obtaining technical services from an approved third party. The Technical Service Provider interim final rule describes a performance-based system where producers can take full advantage of the marketplace and obtain cost-effective delivery of quality technical services. (published in the FR on November 21, 2002 with comments due by February 19, 2003; effective March 1, 2003)

Beyond Regulation and the Farm Bill
The 21st century promises to be one where agriculture and environmental goals come together through cooperation, collaboration, and innovation. Increasing collaboration among stakeholders – public and private – is providing a new spectrum of opportunities.

Environmental credit trading programs provide one example of market-based mechanisms for achieving environmental objectives. The most successful market-based programs to date have involved the trading of greenhouse gas emissions credits. Similar programs have been established for wetland mitigation banking. Encouraged by the success of these programs, states, local jurisdictions, and concerned stakeholders have shown interest in applying similar mechanisms to water quality problems. A handful of programs that involve agriculture are currently in operation, most notably in the San Joaquin (CA) River Basin (selenium reduction), Cherry Creek (CO) Reservoir Basin, and Long Island Sound. On January 13, 2003, EPA announced its new Water Quality Trading Policy that is intended to stimulate the adoption of market-based mechanisms to improve water quality. USDA expressed support for the trading policy, but recognized that much remains to be done on the scientific side in order to make this, and other trading efforts, workable.

NRCS is moving forward aggressively to build public – private partnerships with the livestock and poultry sector that will help ensure that these producers are able to:

...improve their operations’ environmental performance;

...address Federal, State, and local environmental regulatory requirements, and

...maintain economically viable operations.

Recently, NRCS Chief Bruce Knight requested that State Conservationists engage their livestock and poultry associations in a meaningful way to develop a stewardship framework designed to address animal agriculture conservation issues over the next 10 to 15 years. This step will foster the development of strong environmental – industrial ties at the local level to achieve agricultural and environmental benefits.

Innovative approaches to using existing tools are another area that we are investigating to stimulate environmental improvements….

…we’re working now to develop sliding scale incentives in our conservation programs to encourage producers to achieve optimum environmental performance. These multi-level incentive and cost-share payments would increase in proportion as producers implement practices to the highest level of environmental performance. Our nutrient management practice standard is being evaluated presently for implementation as a multi-level practice on a pilot basis…

…and we’re also adding to and upgrading our conservation practice standards to reflect changing natural resource and agricultural concerns. For example, some 40 to 60 of our conservation practice standards – the technical standards that guide conservation – are being updated to reflect air quality and atmospheric resource concerns. This alone will go a long way in helping producers to mitigate air resource problems

Environmental Management Systems (EMS) are an innovation from industry making their way into agricultural settings. EMSs recently have received increasing attention in the context of a process to assist owners and operators of animal feeding operations improve their environmental performance. The EMS is an industrial analog to USDA’s conservation planning process. Swine integrators in North Carolina (Smithfield, Premium Standard, and Carroll’s) recently have completed EMSs and have had them ISO 14001 (International Organization of Standardization) certified. The Cooperative State Research, Education, and Extension Service (CSREES) and NRCS are providing support for the Partnerships for Livestock Environmental Management Systems project being conducted through the Universities of Wisconsin and Nebraska. EPA-supported EMS efforts include the National Environmental Performance Track (NEPT), the United Egg Producers XL Project, and the National Biosolids Partnership EMS program.

Increasing collaboration and cooperation can help improve opportunities at many and varied scales. Watershed scale actions are increasingly the focus of efforts to address agricultural and environmental goals. Watershed management planning and implementation can work with all programs, individually and collectively, that address clean water, aquatic habitat, and environmental protection…and do so with an agricultural and natural resource land-use perspective. The process will work to help communities address challenges and opportunities related to TMDLs (S.303(d)), nonpoint source programs (e.g., S.319), Multiple Use Sustained Yield Act; Farm Bill Conservation programs; Coastal Zone Management Act; Endangered Species Act; National Environmental Policy Act; Resources Conservation Act; and State and local statutes, rules, and programs. The foundation principle, and one that has been central to conservation since the 1930s, is that the necessary condition for success is the willing participation of stakeholders through a collaborative approach in all phases of the process.

Conclusion
Our Nation’s farm and food system serves the population exceedingly well. American consumers enjoy abundant and safe food in a variety of choices. The outstanding performance of our food system is the result of far-sighted planning and investment decisions that put policies and procedures in place to support it. Our challenge today is twofold: to maintain the viability, productivity, and security of American agriculture while ensuring the environmental health of our natural resources today and into the future.

USDA is using every tool available to us from research, to technical and financial assistance, to partnerships and educational initiatives in order to tackle the job of helping the Nation’s food and fiber producers voluntarily balance production with environmental quality.

USDA is committed to:
• Sustaining past environmental gains
• Accommodating new and emerging environmental concerns
• Designing and adopting a portfolio approach to conservation policies
• Reaffirming market-oriented policies
• Ensuring compatibility of conservation and trade policies
• Coordinating conservation and farm policies, and
• Recognizing the importance of collaboration

Let me observe that the broad reaching nature of agriculture, the magnitude of issues, and the diversity of interests means that solutions to the challenges ahead will not come from agriculture alone. In fact, many proposed alternatives will depend on market adjustments or other actions in sectors that traditionally may not have been engaged in agricultural issues.

One of the key strengths of Abraham Lincoln’s “People’s Department” is in building partnerships. The Federal investment in research, information and education, and technical and financial assistance is leveraged through the activities of other Federal and state agencies, universities and colleges, commodity and industry groups, and private landowners and managers. This nationwide public-private investment is helping to create solutions to the environmental, social, and economic challenges facing agriculture today.