Thanks to the additional resources provided by the Inflation Reduction Act, California farmers and landowners will have access to 50% more funding for conservation and climate-smart practices through NRCS programs compared to previous years. This is a historic opportunity for farmers to take advantage of in the 2025 fiscal year. Enrollment is open for the popular Environmental Quality Incentives Program (EQIP), which has more than $100 million available this year. In total, funding for all NRCS programs in the state will exceed $206 million in FY2025.
Given that California did not fund the Healthy Soils Program and State Water Efficiency and Enhancement programs this year, this funding provides much-needed resources for California’s farmers. It is a significant boost for climate-smart and sustainable agriculture across the state. With the influx of IRA dollars, farmers should strongly consider applying, even if they have not been successful in the past.
NRCS programs are popular among farmers and are consistently oversubscribed in California and most other states. However, with the additional funding the IRA provides, applicants may have a better chance this year. For FY2025, USDA announced that the NRCS will make a total of $7.7 billion available to assist with conservation practices nationwide–the most funding available from the NRCS in its 91-year history–with $5.7 billion coming from IRA.
What Does the IRA Fund?
When President Biden signed the IRA into law in August 2022, it allocated $19.5 billion in climate-smart agriculture funding for four NRCS programs: EQIP, the Conservation Stewardship Program (CSP), the Agricultural Conservation Easement Program (ACEP), and the Regional Conservation Partnership Program (RCPP).
EQIP provides farmers with financial cost-share and technical assistance to adopt conservation practices ranging from cover crops and prescribed grazing to micro-irrigation and manure management. CSP provides comprehensive conservation assistance for farmers and ranchers who enroll their entire operations in the program to achieve higher levels of stewardship through continued improvements. Non-governmental organizations that work directly with farmers may be interested in applying for RCPP. Through RCPP, NRCS enters into partnerships with state agencies and non-governmental organizations to provide financial and technical assistance to farmers in installing conservation activities. To get an idea of what types of activities organizations can get funding to provide through RCCP, take a look at the projects funded for 2024. Through ACEP, private landowners, land trusts, and other entities can receive support to preserve working farms and ranches and restore, protect, and enhance wetlands and grasslands through long-term easements.
The IRA funding pools for these programs are available specifically for climate-smart agriculture practices, i.e., conservation practices that improve soil carbon, reduce nitrogen loss, and mitigate carbon dioxide, methane, and nitrous oxide emissions (through capture, avoidance, or sequestration). The complete list of Climate Smart Agriculture and Forestry practices funded by NRCS can be found here. Check out this blog for a deep dive into how the IRA directed the NRCS to implement the climate-smart funding.
Application Deadlines
The next application deadline most California farmers will be interested in is January 31st for FY25 EQIP-IRA funding. NRCS accepts conservation program applications year-round, but producers should apply by the application dates to be considered for funding in the current cycle. NRCS California is using a new ACT NOW process to accept applications through a continuous sign-up basis in the order received until the application deadline. The upcoming deadlines for other NRCS programs in California and other states are available here.
To learn more about the application process or begin an application, please see the info here and find your local NRCS Service Center here.
