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MD.300.9.2 (Superseding Bulletin), LTP - Fiscal Year (FY) 2008 Conservation Security Program (CSP) Annual Payments

Maryland Bulletin: 300-9-2 (Superseding Bulletin)
Subject: LTP - Fiscal Year (FY) 2008 Conservation Security Program (CSP) Annual Payments
Date: October 24, 2008

Purpose. To provide instruction to CSP Field offices for completing the FY 2009 CSP annual payments.

Expiration Date. September 30, 2009.

This bulletin replaces MD.300.9.2 dated October 20, 2008

Action Required By: December 1, 2008

Explanation.

Payments

Field Offices will begin processing CSP FY 2009 annual payments in October. Funds will be allocated to Maryland to allow payment in full of the current FY 2009 contract obligations. All FY 2009 CSP annual payments are to be processed no later than December 1, 2008.

This year, contract participants must receive their FY 09 annual payment before December 1, 2008 and will NOT be able to defer the payment until 2009.

A payment certification packet will be sent to the contract holder that includes: a letter describing payment options and urging them to contact their local Field Office by November 15, 2008; MD CSP Annual Payment Certification Form; MD Notification of Loss of Land Form; and 1199A. Samples of these documents are attached.

The annual payment for the established conservation system includes the stewardship payment, the existing practice payment, and the established enhancement activities that have previously been applied and are a recurring part of the conservation system. The initial annual payment will NOT include payment for new enhancements or new practices which are not ready for certification and payment. New practices and new enhancements are to be certified and approved for payment only after they are documented as established.

CSP enhancement activities are based on the level of stewardship performed on an agricultural operation system level. Where feasible, system extents should be used as opposed to actual yearly extents. Because the participant agrees to maintain at least the benchmark level of treatment, changes in extent of a benchmark enhancement to a lesser amount would constitute a potential contract violation. Changes upward would constitute a contract improvement and need to be addressed during an announced contract improvement modification request period.

Items to Address before Processing Payments:
  1. AGI Eligibility Problems- Payments Blocked ProTracts will block payment to any business participant where AGI –eligible member shares are less than 100% and apply commensurate payment reductions for AGI-ineligible members shares. The AGI-related payment reduction will be indicated on the on the NRCS-CPA-1245. Once the payment is processed, there is no way to issue additional payments when the participant resolves the eligibility issues. Therefore, ensure that AGI eligibility issues are addressed before an annual payment is processed. Utilize the “Applications and Contracts with Eligibility Issues” and “Application and contracts with AGI Member Eligibility Issues” the report in Fund Manager to identify and follow up with participants with eligibility issues prior to processing the FY 09 Annual Payment.
  2. Unpaid Prior Year Items-Payments Blocked ProTracts will block payment of current year items if any prior year item is not certified or approved. You must pay or delete these items before proceeding with the current year payments. You must follow the contract review policy in the CSP Manual 512.55 to address contracts which are not following a schedule of operations.
Modifications

CSP modification buttons will be active during the annual payment process to allow changes in participant information which are critical to processing annual payments. Only maintenance modifications will be approved. This is NOT a contract improvement modification period and improvement modifications will NOT be approved. Increases or decreases in the contract could be considered contract violations. The State Conservations will determine if the violation warrants termination and cost recovery. Refer to: CSP Manual 518.100 &103; Public Law 107-171; National Bulletin 300-7-19; and Regulation 7 CFR Part 1469 for more information.

Before you modify the contract please follow the steps below:

  1. Get Change of Operation or Notification of Land Loss in writing from Participant (Use the attached Annual Payment Certification Form or Notification of Land Loss Form.)
  2. Complete Contract Review as per CPM 512.71
  3. Forward the Annual Payment Certification Form or Notification of Land Loss and Contract Review to the CSP Program Manager, Tiffany Laws
  4. Wait for the State Conservationist to decide if the action requires contract termination and cost recovery or is allowable
  5. Proceed with contract modification or termination ONLY after you receive notification of State Conservationist decision

Contact.  If you have questions, please contact M. Tiffany Laws, CSP Program Manager, at (443) 480-2960 or tiffany.laws@md.usda.gov.

 

/s/ M. Tiffany Laws for

MARK A. ROSE
Assistant State Conservationist for Programs

Attachments: See email dated 10/24/2008

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