This bill updates a farm conservation program that pays landowners to protect land and water. It explains that some land can still be used for dryland farming and grazing under a conservation plan, and it sets clearer, fairer payment rules for projects that save water or retire water rights. It also lets landowners choose how to split their yearly payments over the life of a contract, instead of getting the same amount every year .

For projects that permanently retire water rights, payments must match the “irrigated acre” rate. If dryland farming is allowed, payments are the difference between the irrigated and dryland rates. Some existing contracts will be updated to use the new formula. Payments from this program would not count toward the usual $50,000 yearly cap in the broader conservation program, which can mean more support for participating landowners and communities working on water conservation .

• Who is affected: Farmers and landowners in state, tribal, or partner-led conservation projects; communities in drought-prone areas.
• What changes: Clearer allowed uses (like dryland farming and grazing), flexible yearly payment scheduling, and updated payment formulas for water projects; payments in this program won’t count toward the usual annual cap .
• When: Would take effect if enacted; some payment updates also apply to certain existing agreements .