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Subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3830—3839bb) is amended by inserting after chapter 1 (and the matter added by section 255 of this Act) the following:

"In this chapter:

"(1) Agreement. — The terms ‘farmland stewardship agreement' and ‘agreement* mean a stewardship contract authorized by this chapter.

"(2) Contracting Agency.—The term ‘contracting agency* means a local conservation district, resource conservation and development district, local office of the Department of Agriculture, other participating government agency, or other nongovernmental organization that is designated by the Secretary to enter into farmland stewardship agreements on behalf of the Secretary.

"(3) Eligible Agricultural Lands.—The term ‘eligible agricultural lands* means private lands that are in primarily native or natural condition or are classified as cropland, pastureland, grazing lands, timberlands, or other lands as specified by the Secretary that—

"(A) contain wildlife habitat, wetlands, or other natural resources; or

"(B) provide benefits to the public at large, such as—

"(i) conservation of soil, water, and related resources;

"(ii) water quality protection or improvement;

"(iii) control of invasive and exotic species;

"(iv) wetland restoration, protection, and creation; and

"(v) wildlife habitat development and protection;

"(vi) preservation of open spaces, or prime, unique, or other productive farm lands; and

"(vii) and other similar conservation purposes.

"(4) Farmland Stewardship Program. — The terms ‘Farmland Stewardship Program* and ‘Program* mean the conservation program of the Department of Agriculture established by this chapter.

"(a) ESTABLISHMENT. —The Secretary shall establish a conservation program of the Department of Agriculture, to be known as the Farmland Stewardship Program, that is designed to more precisely tailor and target existing conservation programs to the specific conservation needs and opportunities presented by individual parcels of eligible agricultural lands.

"(b) RELATION TO OTHER CONSERVATION PROGRAMS. — Under the Farmland Stewardship Program, the Secretary may implement, or combine together, the features of—

"(1) the Wetlands Reserve Program;

"(2) the Wildlife Habitat Incentives Program;

"(3) the Forest Land Enhancement Program;

"(4) the Farmland Protection Program; or

"(5) other conservation programs administered by other Federal agencies and State and local government entities, where feasible and with the consent of the administering agency or government.

"(c) FUNDING SOURCES.—

"(1) IN GENERAL.—The Farmland Stewardship Program and agreements under the Program shall be funded by the Secretary using—

"(A) the funding authorities of the conservation programs that are implemented in whole, or in part, through the use of agreements or easements

"(B) such funds as are provided to carry out the programs specified in paragraphs (1) through (4) of subsection (b).

"(2) COST SHARING.—It shall be a requirement of the Farmland Stewardship Program that the majority of the funds to carry out the Program must come from other existing conservation programs, which may be Federal, State, regional, local, or private, that are combined into and made a part of an agreement, or from matching funding contributions made by State, regional, or local agencies and divisions of government or from private funding sources.

"(d) PERSONNEL COSTS.—The Secretary may use the Natural Resources Conservation Service to carry out the Farmland Stewardship Program.

"(e) TECHNICAL ASSISTANCE.—An owner or operator who is receiving a benefit under this chapter shall be eligible to receive technical assistance in accordance with section 1243(d) to assist the owner or operator in carrying out a contract entered into under this chapter.

"(a) AGREEMENTS AUTHORIZED .—The Secretary shall carry out the Farmland Stewardship Program by entering into stewardship contracts as determined by the Secretary, to be known as farmland stewardship agreements, with the owners or operators of eligible agricultural lands to maintain and protect for the natural and agricultural resources on the lands.

"(b) BASIC PURPOSES.—An agreement with the owner or operator of eligible agricultural lands shall be used—

"(1) to negotiate a mutually agreeable set of guidelines, practices, and procedures under which conservation practices will be provided by the owner or operator to protect, maintain, and, where possible, improve, the natural resources on the lands covered by the agreement in return for annual payments to the owner or operator;

"(2) to implement a conservation program or series of programs where there is no such program or to implement conservation management activities where there is no such activity; and

"(3) to expand conservation practices and resource management activities to a property where it is not possible at the present time to negotiate or reach agreement on a public purchase of a fee-simple or less-than-fee interest in the property for conservation purposes.

"(c) MODIFICATION OF OTHER CONSERVATION PROGRAM ELEMENTS.—If most, but not all, of the limitations, conditions, and requirements of a conservation program that is implemented in whole, or in part, through the Farmland Stewardship Program are met with respect to a parcel of eligible agricultural lands, and the purposes to be achieved by the agreement to be entered into for such lands are consistent with the purposes of the conservation program, then the Secretary may waive any remaining limitations, conditions, or requirements of the conservation program that would otherwise prohibit or limit the agreement.

"(d) STATE AND LOCAL CONSERVATION PRIORITIES.—To the maximum extent practicable, agreements shall address the conservation priorities established by the State and locality in which the eligible agricultural lands are located.

"(e) WATERSHED ENHANCEMENT.—To the extent practicable, the Secretary shall encourage the development of Farmland Stewardship Program applications on a watershed basis.

"(a) AUTHORITY OF SECRETARY EXERCISED THROUGH PARTNERSHIPS.— The Secretary may administer agreements under the Farmland Stewardship Program in partnership with other Federal, State, and local agencies whose programs are incorporated into the Program under section 1239A.

"(b) DESIGNATION AND USE OF CONTRACTING AGENCIES.—Subject to subsection (c), the Secretary may authorize a local conservation district, resource conservation & development district, nonprofit organization, or local office of the Department of Agriculture or other participating government agency to enter into and administer agreements under the Program as a contracting agency on behalf of the Secretary.

"(c) CONDITIONS ON DESIGNATION .—The Secretary may designate an eligible district or office as a contracting agency under subsection (b) only if the district of office—

"(1) submits a written request for such designation to the Secretary;

"(2) affirms that it is willing to follow all guidelines for executing and administering an agreement, as promulgated by the Secretary;

"(3) demonstrates to the satisfaction of the Secretary that it has established working relationships with owners and operators of eligible agricultural lands, and based on the history of these working relationships, demonstrates that it has the ability to work with owners and operators of eligible agricultural lands in a cooperative manner;

"(4) affirms its responsibility for preparing all documentation for the agreement, negotiating its terms with an owner or operator, monitoring compliance, making annual reports to the Secretary, and administering the agreement throughout its full term; and

"(5) demonstrates to the satisfaction of the Secretary that it has or will have the necessary staff resources and expertise to carry out its responsibilities under paragraphs (3) and (4).

"(a) APPLICATION AND APPROVAL PROCESS.—To participate in the Farmland Stewardship Program, an owner or operator of eligible agricultural lands shall—

"(1) submit to the Secretary an application indicating interest in the Program and describing the owner*s or operator*s property, its resources, and their ecological and agricultural values;

"(2) submit to the Secretary a list of services to be provided, a management plan to be implemented, or both, under the proposed agreement;

"(3) if the application and list are accepted by the Secretary, enter into an agreement that details the services to be provided, management plan to be implemented, or both, and requires compliance with the other terms of the agreement.

"(b) APPLICATION ON BEHALF OF AN OWNER OR OPERATOR.—A designated contracting agency may submit the application required by subsection (a) on behalf of an owner or operator by if the contracting agency has secured the consent of the owner or operator to enter into an agreement."

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