Potential U.S. Department of Agriculture Roles in Support of Water Quality Trading

The U.S. Department of Agriculture (USDA) welcomes the opportunity to engage with the U.S. Environmental Protection Agency, states, tribes and other jurisdictions in working toward the establishment of water quality trading programs that will be effective, farmer friendly and scientifically sound.

The USDA has many potential roles it can perform in support of achieving effective, voluntary water quality trading programs. USDA agencies, such as the Natural Resources Conservation Service (NRCS), the Cooperative State Research, Education, and Extension Service (CSREES) and the Agricultural Research Service (ARS), have the technical skills and expertise to assist with many aspects of water quality trading, including:

• technical assistance on agricultural conservation practices;
• locally-led outreach and education for producers;
• technical assistance with modeling and environmental assessment issues;
• technology transfer; and,
• institutionalization of successful approaches.

Examples of specific opportunities for USDA involvement include:

• Developing and refining the technical tools needed for voluntary trading programs, including new conservation practices and nonpoint source pollution prediction models;
• Educating producers, traditional partners and other stakeholders about the benefits of water quality trading;
• Developing conservation plans that identify the conservation systems selected by the agricultural producers that may be used as the technical basis for water quality trading contracts;
• Assisting farmers, ranchers and woodlot managers in determining the sediment and nutrient load reductions associated with conservation practices and systems;
• Encouraging farmers, ranchers and woodlot managers who participate in water quality trading programs to apply for USDA’s conservation programs, including the Environmental Quality Incentives Program (EQIP), Conservation Security Program, Conservation Reserve Program and other conservation programs that may be applicable.

States, tribes and other jurisdictions that are establishing water quality trading programs are encouraged to contact the USDA officials in NRCS, CSREES and ARS in their locality for assistance.

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                                                                                                January 2003