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The US Department of Agriculture (USDA) has several programs authorized under Title II of the Farm Bill that provide financial incentives and technical support for increasing environmental protection on working agricultural lands and taking lands prone to degradation out of use. However, the focus of these programs has shifted towards reducing agricultural greenhouse gas (ag-GHG) emissions with the recent appropriation of billions of dollars specifically for reducing ag-GHG emissions in the 2022 Inflation Reduction Act. Participation in Title II programs is voluntary, and farmers and ranchers must obtain some direct economic benefit from participation, net of cost. The net economic benefits can vary depending on the activities implemented, farm or ranch characteristics, and the cost shares. While USDA has evidence on the reductions in GHG emissions that may occur with various changes in agricultural practices, the net economic benefits to undertake those changes are uncertain and variable. The scale of GHG reductions from increased funding for Title II programs remains uncertain, but there is reason to believe that the reductions could be significant with adequate incentives to implement effective changes in agricultural practices.
