[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3424 Introduced in House (IH)]

<DOC>






118th CONGRESS
  1st Session
                                H. R. 3424

  To amend the Food Security Act of 1985 to require the Secretary of 
Agriculture to establish the forest conservation easement program, and 
                          for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 17, 2023

 Mr. Kelly of Mississippi (for himself and Ms. Kuster) introduced the 
   following bill; which was referred to the Committee on Agriculture

_______________________________________________________________________

                                 A BILL


 
  To amend the Food Security Act of 1985 to require the Secretary of 
Agriculture to establish the forest conservation easement program, and 
                          for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Forest Conservation Easement Program 
Act of 2023''.

SEC. 2. FOREST CONSERVATION EASEMENT PROGRAM.

    (a) In General.--Title XII of the Food Security Act of 1985 (16 
U.S.C. 3801 et seq.) is amended--
            (1) by redesignating subtitle I (16 U.S.C. 3871 et seq.) as 
        subtitle J; and
            (2) by inserting after subtitle H (16 U.S.C. 3865 et seq.) 
        the following:

           ``Subtitle I--Forest Conservation Easement Program

``SEC. 1267. ESTABLISHMENT AND PURPOSES.

    ``(a) Establishment.--The Secretary shall establish a forest 
conservation easement program for the conservation and restoration of 
eligible land and natural resources through the acquisition of 
conservation easements or other interests in land.
    ``(b) Purposes.--The purposes of the program are--
            ``(1) to protect the viability and sustainability of forest 
        land and related ecological and human conservation values of 
        eligible land by limiting the negative impacts of non-forest 
        land uses;
            ``(2) to protect and enhance forest ecosystem and landscape 
        functions and values;
            ``(3) to promote the restoration, protection, and 
        improvement of habitat of threatened and endangered species and 
        other at-risk species;
            ``(4) to maintain and enhance biodiversity;
            ``(5) to enhance carbon sequestration;
            ``(6) to protect and restore watersheds for water quality 
        and quantity improvements;
            ``(7) to prevent encroachment around military bases and 
        installations; and
            ``(8) to carry out the purposes and functions of the 
        healthy forests reserve program established under title V of 
        the Healthy Forests Restoration Act of 2003 (16 U.S.C. 6571 et 
        seq.), as in effect on the day before the date of enactment of 
        this section.

``SEC. 1267A. DEFINITIONS.

    ``In this subtitle:
            ``(1) Beginning forest landowner.--The term `beginning 
        forest landowner' means a person that--
                    ``(A)(i) has not previously owned forest land; or
                    ``(ii) has owned forest land for not more than 10 
                years; and
                    ``(B) meets such other criteria as the Secretary 
                may establish.
            ``(2) Eligible entity.--The term `eligible entity' means--
                    ``(A) an agency of State or local government or an 
                Indian Tribe (including a land resource council 
                established under State law); or
                    ``(B) an organization that is--
                            ``(i) organized for, and at all times since 
                        the formation of the organization has been 
                        operated principally for, 1 or more of the 
                        conservation purposes specified in clause (i), 
                        (ii), (iii), or (iv) of section 170(h)(4)(A) of 
                        the Internal Revenue Code of 1986;
                            ``(ii) an organization described in section 
                        501(c)(3) of that Code that is exempt from 
                        taxation under section 501(a) of that Code; or
                            ``(iii) described in--
                                    ``(I) paragraph (1) or (2) of 
                                section 509(a) of that Code; or
                                    ``(II) section 509(a)(3) of that 
                                Code and is controlled by an 
                                organization described in section 
                                509(a)(2) of that Code.
            ``(3) Eligible land.--The term `eligible land' means 
        private land (which shall include land owned by any 
        organization described in paragraph (2)(B) and land owned by 
        any other private entity, without any eligibility requirement 
        in addition to the eligibility requirements established by this 
        subtitle) or Tribal land--
                    ``(A) that is--
                            ``(i) forest land; or
                            ``(ii) being restored to forest land;
                    ``(B) in the case of a forest land easement--
                            ``(i) that is subject to a pending offer 
                        for purchase of a forest land easement from an 
                        eligible entity; and
                            ``(ii)(I) the enrollment of which would 
                        protect forest uses and related conservation 
                        values by conserving land; or
                            ``(II) the protection of which will further 
                        a State or local policy consistent with the 
                        purposes of the program; and
                    ``(C) in the case of a forest reserve easement, the 
                enrollment of which will maintain, restore, enhance, or 
                otherwise measurably--
                            ``(i) increase the likelihood of recovery 
                        of a species that is listed as endangered or 
                        threatened under section 4 of the Endangered 
                        Species Act of 1973 (16 U.S.C. 1533); or
                            ``(ii) improve the well-being of a species 
                        that is--
                                    ``(I) not listed as endangered or 
                                threatened under that section; and
                                    ``(II)(aa) a candidate for that 
                                listing, a State-listed species, or a 
                                special concern species; or
                                    ``(bb) designated as a species of 
                                greatest conservation need by a State 
                                wildlife action plan.
            ``(4) Forest land easement.--The term `forest land 
        easement' means an easement or other interest in eligible land 
        that--
                    ``(A) is conveyed to an eligible entity for the 
                purpose of protecting natural resources and the forest 
                nature of the eligible land; and
                    ``(B) permits the landowner the right to continue 
                working forest production and related uses.
            ``(5) Forest reserve easement.--The term `forest reserve 
        easement' means an easement or other interest in eligible land 
        that--
                    ``(A) is conveyed to the Secretary for the purpose 
                of protecting natural resources and the forest nature 
                of the eligible land; and
                    ``(B) permits the landowner the right to continue 
                working forest production and related uses consistent 
                with the applicable forest reserve easement plan 
                developed under section 1267C(c)(1)(A).
            ``(6) Program.--The term `program' means the forest 
        conservation easement program established under this subtitle.
            ``(7) Socially disadvantaged forest landowner.--The term 
        `socially disadvantaged forest landowner' means a forest 
        landowner who is a member of a socially disadvantaged group (as 
        defined in section 2501(a) of the Food, Agriculture, 
        Conservation, and Trade Act of 1990 (7 U.S.C. 2279(a))).
            ``(8) Veteran forest landowner.--The term `veteran forest 
        landowner' means a forest landowner who--
                    ``(A) has served in the Armed Forces (as defined in 
                section 101 of title 38, United States Code); and
                    ``(B)(i) has not previously owned forest land;
                    ``(ii) has owned forest land for not more than 10 
                years; or
                    ``(iii) is a veteran (as defined in that section) 
                who has first obtained status as a veteran (as so 
                defined) during the most recent 10-year period.

``SEC. 1267B. FOREST LAND EASEMENTS.

    ``(a) Availability of Assistance.--The Secretary shall facilitate 
and provide funding for--
            ``(1) the purchase by eligible entities of forest land 
        easements in eligible land;
            ``(2) the development of a voluntary forest management plan 
        under subsection (b)(4)(F); and
            ``(3) technical assistance to implement this section.
    ``(b) Cost-Share Assistance.--
            ``(1) In general.--The Secretary shall protect the forest 
        use and related conservation values of eligible land through 
        cost-share assistance to eligible entities for purchasing 
        forest land easements.
            ``(2) Scope of assistance available.--
                    ``(A) Federal share.--Except as provided in 
                subparagraph (C), an agreement described in paragraph 
                (4) shall provide for a Federal share of 50 percent of 
                the fair market value of the forest land easement.
                    ``(B) Determination of fair market value.--The fair 
                market value of a forest land easement shall be 
                determined by the Secretary using--
                            ``(i) the Uniform Standards of Professional 
                        Appraisal Practice;
                            ``(ii) an areawide market analysis or 
                        survey; or
                            ``(iii) another industry-approved method.
                    ``(C) Exceptions.--The Secretary may provide for a 
                Federal share of not to exceed 75 percent of the fair 
                market value of a forest land easement in the case of--
                            ``(i) forests of special environmental 
                        significance, as determined by the Secretary; 
                        or
                            ``(ii) eligible land owned by--
                                    ``(I) a beginning forest landowner;
                                    ``(II) a socially disadvantaged 
                                forest landowner;
                                    ``(III) a veteran forest landowner; 
                                or
                                    ``(IV) a limited resource forest 
                                landowner, as defined by the Secretary.
                    ``(D) Non-federal share.--
                            ``(i) In general.--Under an agreement 
                        described in paragraph (4), the eligible entity 
                        shall provide a share that covers the 
                        difference between--
                                    ``(I) the Federal share that is 
                                provided under this paragraph; and
                                    ``(II) the fair market value of the 
                                forest land easement.
                            ``(ii) Permissible forms.--The non-Federal 
                        share provided by an eligible entity under this 
                        subparagraph may comprise--
                                    ``(I) cash resources;
                                    ``(II) a charitable donation or 
                                qualified conservation contribution (as 
                                defined in section 170(h) of the 
                                Internal Revenue Code of 1986) from the 
                                private forest landowner from which the 
                                forest land easement will be purchased;
                                    ``(III) costs associated with 
                                securing a deed to the forest land 
                                easement, including the cost of 
                                appraisal, survey, inspection, and 
                                title; and
                                    ``(IV) other costs, as determined 
                                by the Secretary.
            ``(3) Evaluation and ranking of applications.--
                    ``(A) Criteria.--The Secretary shall establish 
                evaluation and ranking criteria to maximize the benefit 
                of Federal investment under the program.
                    ``(B) Priority.--In evaluating applications under 
                the program, the Secretary shall give priority to an 
                application for the purchase of a forest land easement 
                that, as determined by the Secretary--
                            ``(i) maintains the viability of working 
                        forest land; and
                            ``(ii) will, not later than the time of 
                        acquisition of the forest land easement, 
                        include a forest management plan developed for 
                        the eligible land, which may comprise--
                                    ``(I) a forest stewardship plan 
                                described in section 5(f) of the 
                                Cooperative Forestry Assistance Act of 
                                1978 (16 U.S.C. 2103a(f));
                                    ``(II) another plan approved by the 
                                applicable State forester or State 
                                forestry agency;
                                    ``(III) a plan developed under a 
                                third-party certification system; or
                                    ``(IV) another plan determined 
                                appropriate by the Secretary.
                    ``(C) Considerations.--In establishing the criteria 
                under subparagraph (A), the Secretary shall emphasize 
                support for--
                            ``(i) protecting forest uses and related 
                        conservation values of the eligible land;
                            ``(ii) reducing fragmentation; and
                            ``(iii) maximizing the areas protected from 
                        conversion to non-forest uses.
                    ``(D) Accounting for geographic differences.--The 
                Secretary may adjust the criteria established under 
                subparagraph (A) to account for geographic differences, 
                if the adjustments--
                            ``(i) meet the purposes of the program; and
                            ``(ii) continue to maximize the benefit of 
                        the Federal investment under the program.
                    ``(E) Bidding down.--If the Secretary determines 
                that 2 or more applications for cost-share assistance 
                are comparable in achieving the purpose of the program, 
                the Secretary shall not assign a higher priority to any 
                of those applications solely on the basis of lesser 
                cost to the program.
            ``(4) Agreements with eligible entities.--
                    ``(A) In general.--The Secretary shall enter into 
                agreements with eligible entities to stipulate the 
                terms and conditions under which the eligible entity is 
                permitted to use cost-share assistance provided under 
                this section.
                    ``(B) Length of agreements.--
                            ``(i) In general.--An agreement under 
                        subparagraph (A) shall be for a term that is--
                                    ``(I) in the case of an eligible 
                                entity certified under paragraph (5), 
                                not less than 5 years; and
                                    ``(II) in the case of any other 
                                eligible entity, not less than 3, but 
                                not more than 5, years, unless the 
                                Secretary determines that an extension 
                                of time is justified.
                            ``(ii) Expediting closings.--The Secretary 
                        is encouraged to expedite closing on forest 
                        land easements, as practicable.
                    ``(C) Minimum terms and conditions.--An eligible 
                entity shall be authorized to use its own terms and 
                conditions for forest land easements so long as the 
                Secretary determines such terms and conditions--
                            ``(i) are consistent with--
                                    ``(I) the purposes of the program; 
                                and
                                    ``(II) the forestry activities to 
                                be conducted on the eligible land;
                            ``(ii) permit effective enforcement of the 
                        conservation purposes of the forest land 
                        easements; and
                            ``(iii) include a right of enforcement for 
                        the Secretary that--
                                    ``(I) may be used only if the terms 
                                and conditions of the forest land 
                                easement are not enforced by the 
                                eligible entity; and
                                    ``(II) does not extend to a right 
                                of inspection unless--
                                            ``(aa)(AA) the holder of 
                                        the forest land easement fails 
                                        to provide monitoring reports 
                                        in a timely manner; or
                                            ``(BB) the Secretary has a 
                                        reasonable and articulable 
                                        belief that the terms and 
                                        conditions of the forest land 
                                        easement have been violated; 
                                        and
                                            ``(bb) prior to the 
                                        inspection, the Secretary 
                                        notifies the eligible entity 
                                        and the landowner of the 
                                        inspection and provides a 
                                        reasonable opportunity for the 
                                        eligible entity and the 
                                        landowner to participate in the 
                                        inspection; and
                            ``(iv) include a limit on the impervious 
                        surfaces to be allowed that is consistent with 
                        the forestry activities to be conducted.
                    ``(D) Additional permitted terms and conditions.--
                An eligible entity may include terms and conditions for 
                a forest land easement that--
                            ``(i) are intended to keep the eligible 
                        land subject to the forest land easement in 
                        active forest management, as determined by the 
                        Secretary;
                            ``(ii) allow subsurface mineral development 
                        on the eligible land subject to the forest land 
                        easement and in accordance with applicable 
                        State law if, as determined by the Secretary--
                                    ``(I) the subsurface mineral 
                                development--
                                            ``(aa) has a limited and 
                                        localized impact;
                                            ``(bb) does not harm the 
                                        forest use and conservation 
                                        values of the eligible land 
                                        subject to the forest land 
                                        easement;
                                            ``(cc) does not materially 
                                        alter or affect the existing 
                                        topography;
                                            ``(dd) complies with a 
                                        subsurface mineral development 
                                        plan that--

                                                    ``(AA) includes a 
                                                plan for the 
                                                remediation of impacts 
                                                to the forest use and 
                                                conservation values of 
                                                the eligible land 
                                                subject to the forest 
                                                land easement; and

                                                    ``(BB) is approved 
                                                by the Secretary prior 
                                                to the initiation of 
                                                mineral development 
                                                activity;

                                            ``(ee) is not accomplished 
                                        by any surface mining method;
                                            ``(ff) is within the 
                                        impervious surface limits of 
                                        the forest land easement under 
                                        subparagraph (C)(iv); and
                                            ``(gg) uses practices and 
                                        technologies that minimize the 
                                        duration and intensity of 
                                        impacts to the forest use and 
                                        conservation values of the 
                                        eligible land subject to the 
                                        forest land easement; and
                                    ``(II) each area impacted by the 
                                subsurface mineral development is 
                                reclaimed and restored by the holder of 
                                the mineral rights at cessation of 
                                operation; and
                            ``(iii) include other relevant activities 
                        relating to the forest land easement, as 
                        determined by the Secretary.
                    ``(E) Substitution of qualified projects.--An 
                agreement under subparagraph (A) shall allow, upon 
                mutual agreement of the parties, substitution of 
                qualified projects that are identified at the time of 
                the proposed substitution.
                    ``(F) Voluntary forest management plan.--
                            ``(i) In general.--If the eligible land 
                        does not have a forest management plan at the 
                        time of application, prior to the acquisition 
                        of the forest land easement the landowner shall 
                        develop, in partnership with the eligible 
                        entity, a voluntary forest management plan for 
                        the land subject to the forest land easement.
                            ``(ii) Voluntary forest management plan 
                        defined.--In this subparagraph, the term 
                        `voluntary forest management plan' means--
                                    ``(I) a forest stewardship plan 
                                described in section 5(f) of the 
                                Cooperative Forestry Assistance Act of 
                                1978 (16 U.S.C. 2103a(f));
                                    ``(II) another plan approved by the 
                                applicable State forester or State 
                                forestry agency;
                                    ``(III) a plan developed under a 
                                third-party certification system; or
                                    ``(IV) another plan determined 
                                appropriate by the Secretary.
                            ``(iii) Reimbursement.--The Secretary may 
                        reimburse the landowner for the cost of the 
                        development of the voluntary forest management 
                        plan.
                    ``(G) Effect of violation.--If a violation of a 
                term or condition of an agreement under subparagraph 
                (A) occurs--
                            ``(i) the Secretary may terminate the 
                        agreement; and
                            ``(ii) the Secretary may require the 
                        eligible entity to refund all or part of any 
                        payments received by the eligible entity under 
                        the program, with interest on the payments as 
                        determined appropriate by the Secretary.
            ``(5) Certification of eligible entities.--
                    ``(A) Certification process.--The Secretary shall 
                establish a process to create forest land easement 
                acquisition and operational efficiencies, under which 
                the Secretary shall--
                            ``(i) directly certify eligible entities 
                        that meet established criteria;
                            ``(ii) enter into long-term agreements with 
                        certified eligible entities;
                            ``(iii) accept proposals for cost-share 
                        assistance for the purchase of forest land 
                        easements throughout the duration of such 
                        agreements; and
                            ``(iv) allow a certified eligible entity to 
                        use and modify its own terms and conditions, 
                        notwithstanding subparagraphs (C) and (D) of 
                        paragraph (4).
                    ``(B) Certification criteria.--To be certified 
                under subparagraph (A)(i), an eligible entity shall 
                demonstrate to the Secretary that the eligible entity--
                            ``(i) will maintain, at a minimum, for the 
                        duration of an agreement described in 
                        subparagraph (A)(ii)--
                                    ``(I) a plan for administering 
                                forest land easements that is 
                                consistent with the purposes of the 
                                program;
                                    ``(II) the capacity and resources 
                                to monitor and enforce forest land 
                                easements; and
                                    ``(III) policies and procedures to 
                                ensure--
                                            ``(aa) the long-term 
                                        integrity of forest land 
                                        easements;
                                            ``(bb) timely completion of 
                                        acquisitions of forest land 
                                        easements; and
                                            ``(cc) timely and complete 
                                        evaluation and reporting to the 
                                        Secretary on the use of funds 
                                        provided under the program;
                            ``(ii)(I) is an eligible entity that has 
                        been accredited by the Land Trust Accreditation 
                        Commission, or by an equivalent accrediting 
                        body, as determined by the Secretary, and has 
                        acquired not fewer than 5 forest land easements 
                        under the program or any other forest easement 
                        program;
                            ``(II) is a State department of agriculture 
                        or other State agency with statutory authority 
                        for forest land protection that has acquired 
                        not fewer than 5 forest land easements under 
                        the program or any other forest easement 
                        program; or
                            ``(III) is an eligible entity not described 
                        in subclause (I) or (II) that has acquired not 
                        fewer than 10 forest land easements under the 
                        program or any other forest easement program; 
                        and
                            ``(iii) has successfully met the 
                        responsibilities of the eligible entity under 
                        the applicable agreements with the Secretary, 
                        as determined by the Secretary, relating to 
                        forest land easements that the eligible entity 
                        has acquired as described in subclause (I), 
                        (II), or (III) of clause (ii).
                    ``(C) Quality assurance.--The Secretary shall 
                establish an annual quality review process--
                            ``(i) to review a minimum sample of forest 
                        land easements acquired by eligible entities 
                        certified under subparagraph (A)(i);
                            ``(ii) to ensure the integrity of the 
                        forest land easement acquisition process under 
                        subparagraph (A);
                            ``(iii) to establish a nonpunitive process 
                        for corrective actions with respect to the 
                        processes described in subparagraph (A); and
                            ``(iv) to provide for waiver of successive 
                        annual reviews based on demonstrated compliance 
                        with the requirements under this paragraph.
    ``(c) Method of Enrollment.--The Secretary shall enroll eligible 
land under this section through the use of--
            ``(1) permanent easements; or
            ``(2) easements for the maximum duration allowed under 
        applicable State laws.
    ``(d) Technical Assistance.--The Secretary may provide technical 
assistance, on request, to assist in compliance with the terms and 
conditions of forest land easements.

``SEC. 1267C. FOREST RESERVE EASEMENTS.

    ``(a) Availability of Assistance.--The Secretary shall provide 
assistance to owners of eligible land to restore, protect, and enhance 
eligible land through--
            ``(1) forest reserve easements and related forest reserve 
        easement plans; and
            ``(2) technical assistance to implement this section.
    ``(b) Easements.--
            ``(1) Method of enrollment.--
                    ``(A) Authorized methods.--The Secretary shall 
                enroll eligible land under this section--
                            ``(i) through the use of--
                                    ``(I) permanent easements;
                                    ``(II) 30-year easements; and
                                    ``(III) easements for the maximum 
                                duration allowed under applicable State 
                                laws; and
                            ``(ii) in the case of Indian Tribes, in 
                        accordance with subparagraph (B).
                    ``(B) Acreage owned by indian tribes.--
                            ``(i) Definition of acreage owned by an 
                        indian tribe.--In this subparagraph, the term 
                        `acreage owned by an Indian Tribe' means 
                        eligible land that is--
                                    ``(I) land that is held in trust by 
                                the United States for Indian Tribes or 
                                individual Indians;
                                    ``(II) land, the title to which is 
                                held by Indian Tribes or individual 
                                Indians subject to Federal restrictions 
                                against alienation or encumbrance;
                                    ``(III) land that is subject to 
                                rights of use, occupancy, and benefit 
                                of certain Indian Tribes;
                                    ``(IV) land that is held in fee 
                                title by an Indian Tribe;
                                    ``(V) land that is owned by a 
                                native corporation formed under--
                                            ``(aa) section 17 of the 
                                        Act of June 18, 1934 (commonly 
                                        known as the `Indian 
                                        Reorganization Act') (48 Stat. 
                                        988, chapter 576; 25 U.S.C. 
                                        5124); or
                                            ``(bb) section 8 of the 
                                        Alaska Native Claims Settlement 
                                        Act (43 U.S.C. 1607); or
                                    ``(VI) a combination of 1 or more 
                                types of land described in subclauses 
                                (I) through (V).
                            ``(ii) Enrollment of acreage.--In the case 
                        of acreage owned by an Indian Tribe, the 
                        Secretary may enroll acreage in a forest 
                        reserve easement through the use of--
                                    ``(I) a 30-year contract (the 
                                compensation for which shall be 
                                equivalent to the compensation for a 
                                30-year easement);
                                    ``(II) a permanent easement; or
                                    ``(III) any combination of the 
                                methods described in subclauses (I) and 
                                (II).
                    ``(C) Limitation.--Not more than 10 percent of 
                amounts made available to carry out this section in a 
                fiscal year may be used for 30-year easements under 
                this section.
            ``(2) Evaluation and ranking of offers.--
                    ``(A) Criteria.--The Secretary shall establish 
                evaluation and ranking criteria for offers from 
                landowners under this section to maximize the 
                environmental benefits per dollar expended under the 
                program.
                    ``(B) Priority.--The Secretary shall give priority 
                to the enrollment of eligible land under this section 
                that provides the greatest conservation benefit to--
                            ``(i) primarily, species listed as 
                        endangered or threatened under section 4 of the 
                        Endangered Species Act of 1973 (16 U.S.C. 
                        1533); and
                            ``(ii) secondarily, species that are--
                                    ``(I) not listed as endangered or 
                                threatened under that section; and
                                    ``(II)(aa) candidates for that 
                                listing, State-listed species, or 
                                special concern species; or
                                    ``(bb) designated as species of 
                                greatest conservation need by a State 
                                wildlife action plan.
                    ``(C) Other considerations.--The Secretary may give 
                additional consideration to eligible land the 
                enrollment under this section of which will--
                            ``(i) improve biological diversity;
                            ``(ii) restore native forest ecosystems;
                            ``(iii) conserve forest land that provides 
                        habitat for species described in subparagraph 
                        (B);
                            ``(iv) reduce fragmentation; and
                            ``(v) increase carbon sequestration.
            ``(3) Terms and conditions of easements.--
                    ``(A) In general.--A forest reserve easement shall 
                include terms and conditions that--
                            ``(i) are consistent with the purposes of 
                        the program and the forestry activities to be 
                        conducted on the eligible land;
                            ``(ii) are consistent with the management 
                        objectives of the owner of the eligible land, 
                        as determined appropriate by the Secretary and 
                        identified in the forest reserve easement plan 
                        developed under subsection (c)(1)(A);
                            ``(iii) permit effective enforcement of the 
                        conservation purposes of the forest reserve 
                        easements;
                            ``(iv) provide for the efficient and 
                        effective establishment or enhancement of 
                        forest ecosystem functions and values; and
                            ``(v) include such additional provisions as 
                        the Secretary determines are desirable to carry 
                        out the program or facilitate the practical 
                        administration of the program.
                    ``(B) Adjustment of terms.--To ensure the terms and 
                conditions of a forest reserve easement are consistent 
                with the management objectives of the owner of the 
                eligible land and the purposes of the program, the 
                Secretary may adjust the standard terms and conditions 
                for any forest reserve easement prior to acquiring the 
                forest reserve easement, as long as the adjustment does 
                not conflict with this section.
            ``(4) Compensation.--
                    ``(A) Permanent easements.--In the case of eligible 
                land enrolled in a permanent easement under this 
                section, the Secretary shall pay the owner of the 
                eligible land an amount equal to the difference 
                between, as determined by the Secretary--
                            ``(i) the fair market value of the eligible 
                        land before the enrollment in the permanent 
                        easement; and
                            ``(ii) the fair market value of the 
                        eligible land as encumbered by the permanent 
                        easement.
                    ``(B) Other.--The Secretary shall pay the owner of 
                eligible land enrolled under this section in a 30-year 
                contract, a 30-year easement, or an easement for the 
                maximum duration allowed under applicable State laws 
                not less than 50 percent, and not more than 75 percent, 
                of the compensation that would be paid for a permanent 
                easement in accordance with subparagraph (A).
                    ``(C) Determination of fair market value.--The 
                Secretary shall determine the fair market value of 
                eligible land for purposes of this paragraph using the 
                Uniform Standards of Professional Appraisal Practice or 
                another industry-approved method.
    ``(c) Easement Restoration and Management.--
            ``(1) Forest reserve easement plan.--
                    ``(A) In general.--Land enrolled in a forest 
                reserve easement shall be subject to a forest reserve 
                easement plan, to be developed jointly by the landowner 
                and the Secretary, that describes the activities to be 
                carried out on the land, as are necessary to restore, 
                maintain, and enhance habitat for species described in 
                subsection (b)(2)(B), including--
                            ``(i) converting or restoring forest land 
                        to improve forest ecosystem functions and 
                        values;
                            ``(ii) enhancing or maintaining existing 
                        forest ecosystem functions and values;
                            ``(iii) restoring marginal farmland or 
                        degraded forest land to improve forest 
                        ecosystem functions and values;
                            ``(iv) the conservation treatments and 
                        forest management practices that will achieve 
                        the conservation values and goals that are 
                        consistent with the program, as determined by 
                        the Secretary; or
                            ``(v) any combination of the activities 
                        described in clauses (i) through (iv).
                    ``(B) Practices and measures.--A forest reserve 
                easement plan developed under subparagraph (A) shall 
                require such practices and measures as are necessary to 
                accomplish the activities described in subparagraph 
                (A), which may include--
                            ``(i) land management and silviculture 
                        practices;
                            ``(ii) vegetative treatments;
                            ``(iii) structural practices and measures;
                            ``(iv) practices to increase carbon 
                        sequestration;
                            ``(v) practices to improve biological 
                        diversity; and
                            ``(vi) other practices and measures, as 
                        determined by the Secretary.
            ``(2) Financial assistance.--
                    ``(A) In general.--The Secretary shall provide 
                financial assistance to owners of eligible land to 
                carry out the activities, practices, and measures 
                described in the forest reserve easement plan developed 
                for the eligible land under paragraph (1).
                    ``(B) Payments.--With respect to financial 
                assistance provided under subparagraph (A), the 
                Secretary shall--
                            ``(i) in the case of a permanent easement, 
                        pay an amount that is not more than 100 percent 
                        of the eligible costs described in subparagraph 
                        (C), as determined by the Secretary; and
                            ``(ii) in the case of a 30-year contract, a 
                        30-year easement, or an easement for the 
                        maximum duration allowed under applicable State 
                        laws, pay an amount that is not less than 50 
                        percent, and not more than 75 percent, of the 
                        eligible costs described in subparagraph (C), 
                        as determined by the Secretary.
                    ``(C) Eligible costs.--Costs eligible for payments 
                under this paragraph are the costs of activities, 
                practices, and measures referred to in subparagraph (A) 
                that are associated with the initial restoration or 
                enhancement of the required habitat conditions for the 
                applicable species.
                    ``(D) Timing of payments.--Payments under this 
                paragraph shall be made--
                            ``(i) only on a determination by the 
                        Secretary that an activity, practice, or 
                        measure described in subparagraph (C) has been 
                        established in compliance with appropriate 
                        standards and specifications; and
                            ``(ii) as soon as practicable after the 
                        obligation is incurred.
                    ``(E) Limitations.--Cost-sharing payments made by 
                the Secretary under this paragraph to a person or legal 
                entity may not exceed $500,000 per easement or 
                contract.
                    ``(F) Participation in other programs.--The 
                Secretary shall not prohibit owners of eligible land 
                enrolled in a forest reserve easement from being 
                eligible for any other Department of Agriculture or 
                other Federal program with respect to activities, 
                practices, and measures not funded by payments under 
                this paragraph.
    ``(d) Technical Assistance.--
            ``(1) In general.--The Secretary shall provide to owners of 
        eligible land technical assistance to assist the owners in 
        complying with the terms and conditions of a forest reserve 
        easement.
            ``(2) Contracts or agreements.--The Secretary may enter 
        into 1 or more contracts with private entities or agreements 
        with a State, nongovernmental organization, or Indian Tribe to 
        provide technical assistance with the implementation of this 
        section, including the enrollment, restoration, enhancement, or 
        maintenance of a forest reserve easement, if the Secretary 
        determines that the contract or agreement will advance the 
        purposes of the program.
    ``(e) Protections and Measures.--
            ``(1) Protections.--In the case of a landowner that enrolls 
        eligible land in a forest reserve easement, and whose 
        conservation activities result in a net conservation benefit 
        for a species described in subsection (b)(2)(B), the Secretary 
        shall make available to the landowner safe harbor or similar 
        assurances and protection under--
                    ``(A) section 7(b)(4) of the Endangered Species Act 
                of 1973 (16 U.S.C. 1536(b)(4)); or
                    ``(B) section 10(a)(1) of that Act (16 U.S.C. 
                1539(a)(1)).
            ``(2) Measures.--If protection under paragraph (1) requires 
        the taking of measures that are in addition to the measures 
        covered by the applicable forest reserve easement plan agreed 
        to under subsection (c)(1), the cost of the additional 
        measures, and the cost of any permit, shall be considered part 
        of the forest reserve easement plan for purposes of financial 
        assistance under subsection (c)(2).
    ``(f) Administration.--
            ``(1) Delegation of easement administration.--
                    ``(A) Federal and state agencies.--The Secretary 
                may delegate any of the management, monitoring, and 
                enforcement responsibilities of the Secretary under 
                this section to other Federal or State agencies that 
                have the appropriate authority, expertise, and 
                resources necessary to carry out those delegated 
                responsibilities.
                    ``(B) Conservation organizations.--The Secretary 
                may delegate any of the management responsibilities of 
                the Secretary under this section to conservation 
                organizations if the Secretary determines the 
                organization has the appropriate expertise and 
                resources necessary to carry out those delegated 
                responsibilities.
            ``(2) Involvement by other agencies and organizations.--In 
        carrying out this section, the Secretary may consult with--
                    ``(A) private forest landowners;
                    ``(B) other Federal agencies;
                    ``(C) State forestry agencies;
                    ``(D) State fish and wildlife agencies;
                    ``(E) State environmental quality agencies;
                    ``(F) other State conservation agencies; and
                    ``(G) nonprofit conservation organizations.

``SEC. 1267D. ADMINISTRATION.

    ``(a) Set Aside for Historically Underserved Landowners.--
            ``(1) Allocation of funds.--Of the amounts made available 
        for each of fiscal years 2024 through 2028 to carry out the 
        program, the Secretary shall use, to the maximum extent 
        practicable, 10 percent to enroll in the program eligible land 
        owned by--
                    ``(A) a beginning forest landowner;
                    ``(B) a socially disadvantaged forest landowner;
                    ``(C) a veteran forest landowner; or
                    ``(D) a limited resource forest landowner, as 
                defined by the Secretary.
            ``(2) Repooling of funds.--In any fiscal year, amounts not 
        obligated under paragraph (1) by a date determined by the 
        Secretary shall be available for enrollment of any land 
        eligible for enrollment under the program.
    ``(b) Ineligible Land.--
            ``(1) In general.--The Secretary shall not use amounts made 
        available to carry out the program for the purposes of 
        acquiring an easement on--
                    ``(A) land owned by a Federal agency, other than 
                acreage owned by an Indian Tribe (as defined in section 
                1267C(b)(1)(B)(i));
                    ``(B) land owned in fee title by a State, including 
                an agency or a subdivision of a State, or a unit of 
                local government;
                    ``(C) land subject to an easement or deed 
                restriction that, as determined by the Secretary, 
                provides similar protection as would be provided by 
                enrollment in the program; or
                    ``(D) land the enrollment in the program of which 
                would undermine the purposes of the program due to on-
                site or off-site conditions, such as risk of hazardous 
                substances, permitted or existing rights of way, 
                infrastructure development, or adjacent land uses.
            ``(2) Limitation.--The Secretary shall not impose any 
        limitation on the use of amounts made available to carry out 
        the program for the purposes of acquiring an easement on any 
        land not described in any of subparagraphs (A) through (D) of 
        paragraph (1).
    ``(c) Subordination, Exchange, Modification, and Termination.--
            ``(1) Subordination.--The Secretary may subordinate any 
        interest in eligible land, or portion of such an interest, 
        administered by the Secretary (including for the purposes of 
        utilities and energy transmission services) directly or on 
        behalf of the Commodity Credit Corporation under the program if 
        the Secretary determines that the subordination--
                    ``(A) increases conservation values or has a 
                limited negative effect on conservation values;
                    ``(B) minimally affects the acreage subject to the 
                interest in eligible land; and
                    ``(C) is in the public interest or furthers the 
                practical administration of the program.
            ``(2) Modification and exchange.--
                    ``(A) Authority.--The Secretary may approve a 
                modification or exchange of any interest in eligible 
                land, or portion of such an interest, administered by 
                the Secretary, directly or on behalf of the Commodity 
                Credit Corporation under the program if the Secretary 
                determines that--
                            ``(i) no reasonable alternative exists and 
                        the effect on the interest in eligible land is 
                        avoided or minimized to the extent practicable; 
                        and
                            ``(ii) the modification or exchange--
                                    ``(I) results in equal or increased 
                                conservation values;
                                    ``(II) results in equal or greater 
                                economic value to the United States;
                                    ``(III) is consistent with the 
                                original intent of the easement;
                                    ``(IV) is consistent with the 
                                purposes of the program; and
                                    ``(V) is in the public interest or 
                                furthers the practical administration 
                                of the program.
                    ``(B) Limitation.--In modifying or exchanging an 
                interest in eligible land, or portion of such an 
                interest, under this paragraph, the Secretary may not 
                increase any payment to an eligible entity.
            ``(3) Termination.--The Secretary may approve a termination 
        of any interest in eligible land, or portion of such an 
        interest, administered by the Secretary, directly or on behalf 
        of the Commodity Credit Corporation under the program if the 
        Secretary determines that--
                    ``(A) termination is in the interest of the Federal 
                Government;
                    ``(B) the United States will be fully compensated 
                for--
                            ``(i) the fair market value of the interest 
                        in eligible land;
                            ``(ii) any costs relating to the 
                        termination; and
                            ``(iii) any damages determined appropriate 
                        by the Secretary; and
                    ``(C) the termination will--
                            ``(i) address a compelling public need for 
                        which there is no practicable alternative even 
                        with avoidance and minimization; and
                            ``(ii) further the practical administration 
                        of the program.
            ``(4) Consent.--The Secretary shall obtain consent from the 
        landowner and eligible entity, if applicable, for any 
        subordination, exchange, modification, or termination of an 
        interest in eligible land, or portion of such an interest, 
        under this subsection.
            ``(5) Notice.--Not less than 90 days before taking any 
        termination action described in paragraph (3), the Secretary 
        shall provide written notice of that action to the Committee on 
        Agriculture of the House of Representatives and the Committee 
        on Agriculture, Nutrition, and Forestry of the Senate.
    ``(d) Land Enrolled in Other Programs.--In accordance with section 
4(b) of the Forest Conservation Easement Program Act of 2023, land 
enrolled in the healthy forests reserve program established under title 
V of the Healthy Forests Restoration Act of 2003 (16 U.S.C. 6571 et 
seq.) on the day before the date of enactment of this section shall be 
considered enrolled in the program.
    ``(e) Program Eligibility.--Sections 1001 through 1001F shall not 
apply to owners of eligible land for the purposes of determining 
eligibility for the program.
    ``(f) Streamlined Enrollment Process.--The Secretary shall provide 
for a streamlined application and enrollment process for determining 
the eligibility of forest landowners for the program.
    ``(g) Environmental Services Market.--The Secretary may not 
prohibit through a contract, easement, or agreement under the program a 
participant in the program from participating in, and receiving 
compensation from, an environmental services market if 1 of the 
purposes of the environmental services market is the facilitation of 
additional conservation benefits that are consistent with the purposes 
of the program.''.
    (b) Conforming Amendments.--
            (1) Section 1201(a) of the Food Security Act of 1985 (16 
        U.S.C. 3801(a)) is amended, in the matter preceding paragraph 
        (1), by striking ``subtitles A through I:'' and inserting 
        ``subtitles A through J:''.
            (2) Section 1241(e)(1) of the Food Security Act of 1985 (16 
        U.S.C. 3841(e)(1)) is amended by striking ``subtitle I'' and 
        inserting ``subtitle J''.
            (3) Section 1244(d) of the Food Security Act of 1985 (16 
        U.S.C. 3844(d)) is amended by striking ``I.'' and inserting 
        ``J.''.

SEC. 3. FUNDING.

    Section 1241 of the Food Security Act of 1985 (16 U.S.C. 3841) is 
amended--
            (1) in subsection (a)--
                    (A) in the matter preceding paragraph (1), by 
                inserting ``and for each of fiscal years 2024 through 
                2028 with respect to paragraph (5),'' after ``2031,''; 
                and
                    (B) by adding at the end the following:
            ``(5) The forest conservation easement program established 
        under subtitle I, using $100,000,000 for each of fiscal years 
        2024 through 2028.''; and
            (2) in subsection (b), by inserting ``, and each of fiscal 
        years 2024 through 2028 with respect to paragraph (5) of that 
        subsection,'' after ``2031''.

SEC. 4. HEALTHY FORESTS RESERVE PROGRAM.

    (a) Repeal.--Title V of the Healthy Forests Restoration Act of 2003 
(16 U.S.C. 6571 et seq.) is repealed.
    (b) Transitional Provisions.--
            (1) Effect on existing contracts, agreements, and 
        easements.--The repeal made by subsection (a) shall not affect 
        the validity or terms of any contract, agreement, or easement 
        entered into by the Secretary of Agriculture under title V of 
        the Healthy Forests Restoration Act of 2003 (16 U.S.C. 6571 et 
        seq.) before the date of enactment of this Act, or any payments 
        required to be made in connection with the contract, agreement, 
        or easement.
            (2) Funding.--
                    (A) Use of prior year funds.--Notwithstanding the 
                repeal made by subsection (a), any funds made available 
                from the Commodity Credit Corporation to carry out the 
                healthy forests reserve program established under title 
                V of the Healthy Forests Restoration Act of 2003 (16 
                U.S.C. 6571 et seq.) (as in effect on the day before 
                the date of enactment of this Act) shall be made 
                available to carry out contracts, agreements, or 
                easements referred to in paragraph (1) that were 
                entered into prior to the date of enactment of this 
                Act, subject to the condition that no such contract, 
                agreement, or easement may be modified so as to 
                increase the amount of any payment received.
                    (B) Other.--The Secretary of Agriculture may use 
                funds made available to carry out the forest 
                conservation easement program established under 
                subtitle I of the Food Security Act of 1985 to continue 
                to carry out contracts, agreements, or easements 
                referred to in paragraph (1) using the provisions of 
                law (including regulations) applicable to those 
                contracts, agreements, and easements as in existence on 
                the day before the date of enactment of this Act.
    (c) Conforming Amendments.--
            (1) The table of contents in section 1(b) of the Healthy 
        Forests Restoration Act of 2003 (Public Law 108-148; 117 Stat. 
        1887) is amended by striking the items relating to title V.
            (2) Section 1271A(1) of the Food Security Act of 1985 (16 
        U.S.C. 3871a(1)) is amended by striking subparagraph (D) and 
        inserting the following:
                    ``(D) The forest conservation easement program 
                established under subtitle I.''.

SEC. 5. SENSE OF CONGRESS.

    It is the sense of Congress that the costs of carrying out this Act 
shall be offset.
                                 <all>