circular no 21-monitoring.docx

NF\CS

Natural Resources Conservation Service P,O. Box 2890 Washington, D.C. 20013

United States Department of Agriculture

CONSERVATION PROGRAMS MANUAL (CPM)

440 -PGM

Circular No. 21

June 21, 2011

SUBJECT: PGM - Easement Stewardship Lands Monitoring and Condition Documentation .

Purpose. To provide updated policy to State Conservationists on easement and 30-Year Contract monitoring methods, documentation, and schedule and to provide guidance on documenting the Condition of all Stewardship Land properties in the National Easement Staging Tool (NEST).

Effective Date. This amendment is effective upon receipt.

·Background. Since 1992, the Natural Resources Conservation Service (NRCS) has protected and restored over 3 million acres of wetlands, grasslands, forests, and farmlands on more than 12,000 properties through the various easement programs it administers. As a result, NRCS has a long term responsibility to ensure the different easement program objectives are achieved and statutory requirements are met on these lands. Program-specific monitoring policy for these lands is in place to guide NRCS in meeting these responsibilities and to maintain working relationships with landowners. In addition, the Statement ofFederal Financial Accounting Standards 29 (SFFAS 29) considers easements held by the United States as Stewardship Lands which must be accounted for as part ofthe agency's annual financial accountability reporting. The SFFAS 29 requires that the "Condition" of all Stewardship Lands be reported regularly. Therefore, monitoring procedures and policy have been revised to incorporate this additional responsibility on Stewardship Lands and to help address the significant and increasing monitoring workload on all easements and 30-Year Contracts. Additionally, NEST functionality has been added to aid States in tracking monitoring results and applicable Compatible Use Authorizations, as well as provide a report on tht:J Condition of Stewardship Lands. The following are listings of Stewardship Lands and Non-Stewardship Lands by program enrollment types:

NRCS St ewardsIli'p Lauds

PROGRAM ENROLLMENT TYPE

Wetlands Reserve Program (WRP) All easements Emergency Wetlands Reserve Program (EWRP) All easements Emergency Watershed Protection Program - All easements Floodplain Easements (EWPP-FPE)

2006-2008 (U.S. is a Grantee)

Helping People Help the Land

An Eqt•al Opporlunily Provider and Employer

NRCS Non-Stewardship Lands

10 Year Restoration Cost-Share Agreements Healthy Forests Reserve Program (HFRP) 30-Year Contracts* 10 Year Restoration Cost-Share Agreements

*30-Year Contracts are treated the same as Stewardship Lands for monitoring purposes.

Since NRCS began administering easement programs, monitoring has been required. Monitoring policy is in place to ensure that the integrity of the easement is being maintained, that the goals and objectives for which the easement was purchased are being met, to identify actions needed, and to maintain a relationship with the landowner.

Currently, each individual program's policies require offsite (review of aerial photography) or onsite monitoring annually. The historical monitoring schedule requires onsite monitoring every 1 in 3 years, with offsite monitoring allowed the remaining 2 of 3 years. The monitoring schedule has been modified through this Circular and will follow the attached "Stewardship Lands Monitoring Schedule" and supersedes the monitoring section of each program manual. All program manuals will be updated to reflect these changes in the future.

The findings and results from monitoring reviews will be documented utilizing the new attached "Annual Monitoring Worksheet." This worksheet standardizes and replaces the current individual program monitoring questionnaires. State Conservationists have the authority to expand the questions to include State-specific resource concerns.

The ability to consistently document, store, and track monitoring information electronically benefits both NRCS and the landowners; however, this capability has been limited. To address this need, functionality has been added to NEST and it will serve as the electronic database for monitoring and Compatible Use Authorization (CUA) information. For the purposes of monitoring and CUA information, this policy includes all Stewardship Lands as well as 30-Year Contracts for all programs.

All FRPP and GRP easements held by an entity pursuant to a cooperative agreement require monitoring as part of the agreement and are required to report compliance with the terms and conditions of the easement deed. For these easements on both Stewardship and non-Stewardship Lands, NRCS is only required to conduct onsite monitoring 1 in 5 years with the associated data entry in NEST. For the 4 in 5 years that NRCS does not conduct onsite monitoring, NRCS will review monitoring documents submitted by the cooperating entity for compliance and enter that review information in NEST. Any non-compliance issues will be noted at that time in NEST with appropriate action items. Entities monitoring schedule may follow this updated monitoring schedule. At a minimum, cooperating entities' annual review information should address the relevant questions on the NRCS Annual Monitoring Worksheet.

For all FRPP and GRP easements held by NRCS, follow the guidance associated with this Circular. Those easements require onsite reviews 1 in 5 years in addition to a summary review, ownership review and offsite monitoring similar to all other easement programs.

For the purposes of financial reporting, 30-Year Contracts are not considered Stewardship Lands and will not be reported for auditing purposes. However, due to the length of the contract and the significance to NRCS in regards to ensuring that maximum conservation value is being provided, monitoring and the associated NEST information is required.

The monitoring schedule, annual monitoring worksheet, and reporting requirements contained in this Circular, along with the automated determination of Condition, will aid States in prioritizing easements that need action. Additionally, these materials will help identify easements that are at risk for non-compliance, assist in workload planning and staffing needs, track the overall quality and status of easements, as well as ensure program objectives are achieved and financial reporting obligations are met.

Policy. This Circular provides updated procedures and policy for monitoring and subsequent documentation for Stewardship Lands and 30-Year Contracts for all programs. For WRP 10-Year agreements, GRP 10, 15, and 20-Year Contracts, and HFRP 10-Year agreements, follow the cunent manual policies utilizing CPA-13/LTP-13 Contract/Status Review forms. Information collected using the CPA-13/LTP-13 Contract/Status Review forms is not required to be entered into NEST at this time. States will conduct monitoring, through onsite monitoring, offsite monitoring, or landowner contacts according to the revised Stewardship Lands Monitoring Schedule and using the Annual Monitoring Worksheet. This also includes a review of any current Compatible Use Authorizations.

Questions from the Annual Monitoring Worksheet have been incorporated into NEST so that they can be answered on the hard copy form and efficiently entered into NEST. The paper documentation of the completed Annual Monitoring Worksheet, either field generated or computer generated, must be placed in the official administrative six-part case file maintained in the State office. An announcement will be made when the monitoring and CUA functionality of NEST is available, and training will be provided.

Condition Determination Based on the responses to the Annual Monitoring Worksheet questions, the Condition of these lands will be classified into one of the following three categories:

Condition- No Action Needed Symbol - Green Description: All easement terms and conditions are being met.· Plan of operations or management plans are implemented and being followed. Special resource concerns such as threatened/endangered species or cultural resources are being addressed. All necessary documents such as CUAs are current, and the landowner is compliant with the terms and conditions of those documents. No encroachments or other violations are occurring.

Condition- Work Action Needed Symbol - Yellow Description: There are unauthorized uses not specified in the deed that can be addressed through an administrative action such as development of a CUA (e.g., trail, grazing, food plots, etc.), a contract or plan modification, or informal landowner notification of the need for action. Examples may include temporary vegetation disturbances, improper equipment placement, or water management issues.

Condition - Violation - Action Required Symbol- Red Description: There is a violation on the easement that cannot be rectified with a CUA, contract modification, or informal landowner contact. The violation has been confirmed onsite. Immediate action is required. Legal action through·the USDA Office of the General Counsel may be necessary. Do.cumentation of the violation as well as the formal process of violation rectification should begin, if not already started. Note: if offsite monitoring detects a potential violation, the Condition will remain Yellow until a violation is confirmed onsite.

As responses from the Annual Monitoring Worksheet are entered into NEST, the condition ofthe easement will be automatically generated based on those responses. The overall Condition of the easement will be based on the most serious response to the monitoring questions. For example, if an easement is in need of a CUA, a Yellow Condition determination will be generated with specific action items and reminders for follow-up. If an encroachment issue such as a permanent structure is discovered, a Red Condition dete1mination will be generated. Only a Yellow or Green Condition determination can be generated through offsite monitoring. Red Condition determinations must be documented and confirmed through an onsite visit. The Conditions generated by NEST will be used as the basis for meeting SSFAS 29 reporting requirements for Stewardship Lands; however, the Condition information should also be used by States to prioritize follow up and help track and enhance overall program delivery.

Methods of Monitoring The following monitoring methods apply to all Stewardship Lands and 30-Year Contracts:

Ownership Review -An ownership review involves making landowner contact to verify ownership. No onsite visit is required. This method of monitoring is only applicable in the year immediately following onsite monitoring that did not require any administrative follow-up (such as development of a CUA), corrective actions, or have violations. Complete question 1 on the Annual Monitoring Worksheet.

Offsite- Offsite monitoring is a review of the most recent aerial photography available (NAIP, high resolution, or other). In the years when offsite monitoring is conducted, a landowner contact to verify ownership and answering the basic review question: "Are the terms and conditions of the easement deed being met, i.e., no encroachment, dumping, cropping, etc.?" is required. Complete questions 1, 3 and 4 on the Annual Monitoring Worksheet.

Summary Review- This method is only applicable after the Stewardship Land or 30-Year Contract has been attained but before any restoration has been completed. A summary review includes a cursory onsite visit, landowner contact to verify ownership, and answering the basic review question: "Are the terms and conditions of the easement deed being met, i.e., no encroachment, dumping, cropping, etc.?" Complete questions 1, 2, 3 and 4 on the Annual Monitoring Worksheet.

Onsite - Onsite monitoring is the most thorough monitoring method involving a landowner contact to verify ownership, use of the most current available aerial photography, and completing an appropriate biological assessment. NRCS will notify the landowners prior to each field inspection of the enrollment area and provide an opportunity to participate. Complete all questions on the Annual Monitoring Worksheet.

States may use various methods to contact landowners to confirm ownership. Methods may include phone contact, letters, post cards, etc. Passive methods may be used such as a postcard that only needs to be returned if land ownership has changed or assistance is requested. Documentation of this contact is n:ot required in each individual case file; however, documentation of a mass mailing is required to be maintained in a central location for a minimum of five years.

Monitoring Schedule Timing The schedule for monitoring Stewardship Lands and 30-Year Contracts has changed per the attached Stewardship Lands Monitoring Schedule. The previous policy for a 1 in 3-year onsite monitoring, or more frequent depending on the program, is now 1 in 5 years under certain conditions. For easements and 30-Year Contracts requiring restoration that have not yet been implemented, monitoring using the annual summary review method will occur until the restoration has been successfully completed. The summary review may be conducted in conjunction with a contract status review if a construction contract is active.

In general, the 5-year cycle illustrated on the Stewardship Lands Monitoring Schedule begins with an onsite monitoring. The year immediately following an onsite monitoring, a summary review is the only requirement for that year. Offsite monitoring is unnecessary in the year immediately following onsite monitoring because the most cunent available imagery is generally from the previous year, which would reflect the same conditions observed during the onsite monitoring. If the onsite monitoring or ownership review does not result in a finding or circumstance that require more frequent monitoring (Yellow or Red Condition), then offsite monitoring may be used for the next 3 years.

If restoration is a component of the easement, onsite monitoring is required. for three years subsequent to restoration. If the restoration occurs early in the growing season, that year may be counted as year one. These onsite monitoring visits during the developmental period are some of the most critical monitoring events that will ensure that the restoration practices have become established as planned.

Onsite monitoring is required 1 in 5 years at a minimum. More frequent onsite monitoring may be necessary, which may consist of either a shorter interval between onsite visits or multiple years of onsite monitoring, depending on the circumstances. Additionally, if a monitoring review via any method results in a finding requiring follow up, onsite monitoring may be required. More frequent onsite monitoring is required in circumstances including, but not limited to the following:

-A Compatible Use Authorization requiring close monitoring such as grazing or a food plot.

-Post-violation remediation (2 consecutive years of onsite monitoring).

-A highly managed site requiring close supervision.

-A significant event, such as a severe storm, that would require an inspection.

-An ownership change (2 consecutive years of onsite monitoring).

-A change in baseline condition (FRPP).

-Sheet erosion, erosion from concentrated flow, and runoff from a heavy use area.

-Detection of potential violation via an offsite monitoring or other method.

While Condition assessments are currently not documented in NEST, those easements which are in compliance with this amended policy may fit into the current timing interval by entering monitoring information for the last documented onsite monitoring and start the monitoring cycle as appropriate. For example, if a post-restoration easement had onsite monitoring two years ago, the landowner has been verified, the terms and conditions of the easement are being met, and there are no CUAs that need to be addressed, then offsite monitoring, at a minimum, is allowed for the current year and the next two years until the next onsite monitoring occurs.

Our most successful easements occur when NRCS has an active and engaged relationship with the landowner. There is no substitute for frequent and direct interaction with the landowner to ensure the easement is functioning at its full potential, answer questions as they arise, address issues in a timely manner, and reinforce the provisions of the easement. Communication with the landowner is also key to minimizing violations, so offices are encouraged to continue to prioritize this aspect of the monitoring protocol. In addition, monitoring easements at regular intervals provides NRCS the opportunity to ensure that every acre enrolled is allowed to achieve maximum conservation value.

Compatible Use Authorizations For Stewardship Lands and 30-Year Contracts that require a Compatible Use Authorization (CUA), all current CUAs must be entered into NEST in accordance with the 'NEST Data Entry Milestones' in this Circular. CUAs are a critical component of easement management and may have an effect on the Stewardship Lands Condition. Entering CUAs into NEST will aid in tracking existing CUAs and result in a more accurate determination of Condition. Additionally, a current record of authorized uses on the property will save States time from having to resolve potential violations detected through offsite monitoring that are the result of a disturbance that has been authorized through a CUA. For example, if a CUA for an authorized structure has been entered into NEST, it will prevent that structure from being identified as a potential violation during offsite monitoring.

NEST Data Entry Milestones In order to ensure that monitoring and Condition documentation are completed on all Stewardship Lands and 30-Year Contracts, States are encouraged to use the following milestone dates for completing data entry into NEST:

December 31, 2011- One-quarter (1/4) of all Stewardship Lands and 30-Year Contracts have FY 2012 monitoring and CUA data entered in NEST.

March 31, 2012- One-half (1/2) of all Stewardship Lands and 30-Year Contracts have FY 2012 monitoring and CUA data entered in NEST.

June 30,2012-Three-quarters (3/4) of all Stewardship Lands and 30-Year Contracts have FY 2012 monitoring and CUA data entered in NEST.

August 31, 2012 - State Conservationists will ensure that all Stewardship Lands and 30-Year Contracts have completed FY 2012 monitoring and CUA information entered in NEST.

Oversight and Evaluation (O&E) reviews have been instituted to ensure that Stewardship Lands monitoring is occurring as required by policy. States must remain diligent in ensuring that annual monitoring is conducted and information entered into NEST. Periodic reviews will be conducted by the Regional Conservationists and Easement Programs Division to monitor data entry progress.

As additional NEST user licenses are required or a different NEST contact is needed for the monitoring component, please utilize the NEST User Access Request document available from Abby Letzter at (202) 720-0357 or email Abigail.Letzter@wdc.usda.gov. Training will be conducted immediately following the release of this Circular.

Contact. Questions regarding this Circular should be directed to John Glover, Land Stewardship Leader, Easement Programs Division, at (202) 720-0907 or emailjohn.glover@wdc.usda.gov.

. RAMER Deputy Chief for Programs

Attachments

County/Parish

he purpose of monitoring is to ensure compliance with program policy, the terms of easement deeds, evaluate restoration progress, determine restoration repairs or enhancements needed to ensure maximum environmental benefits, and to maintain contact with landowners or partners. Staff with applicable expertise should collect the monitoring information. Partners with the appropriate technical expertise may be authorized to conduct monitoring reviews. The landowner or decision maker should be offered the opportunity to participate in monitoring reviews.

Photographs from designated points are recommended when conducting onsite monitoring.

Methods of Monitoring

Only applicable in the year immediately following onsite monitoring that did not require corrective actions or had no violations.

I r O

Only applicable during the pre-restoration phase.

ANNUA

L

MONITORING

WORKSHEET

ANNUA

Pag e o f

June

Pag e o f

June

Landowner Information

New landowner name(s) (if applicable)

C. Landowner requested follow up

2) Was the landowner or decision maker present during the review? r YES r NO

Monitoring Questions

n Biomass production (not management related)

Production r Dumping

Surfaces (GRP and

FRPP)

Production r Infrastructure Projects l phone gas etc.)

List the "other" items (if applicable)

B. Can unauthorized uses be resolved with a CUA? (If yes, see question SB.) r YES r NO

4) Is there evidence or knowledge of a spill or release of hazardous substances, such as petroleum products, or other potential environmental hazards on the property since the last monitoring event? (excluding the year an ownership review was performed)

('YES r NO

If yes, describe and indicate the location(s) on a property/site map. Consult with all appropriate administrative, technical and legal staff to take required action(s).

List required action items (if applicable)

5) A. Are Compatible Use Authorizations being followed? r YES r NOr N/A

Select existing Compatible Use Authorizations (if applicable) nMaintenance of Private Drainage

n Management/Maintenance Activities

n Installation/Maintenance of Acceptable Structures n Pest Management n Other list the "other" items (if applicable)

B. Select existing activities that need Compatible Use Authorizations (if applicable) n Maintenance of Private Drainage nCarbon Sequestration Activities

I!Management/Maintenance Activities

n Installati Acceptable S

Management Ji Other

List the "other" items (if applicable)

6) A. Is the land accessible by the legally defined route? r YES r, NO

B. If the land is not accessible, what steps need to be taken to gain access?

I Acces s repair lrerosion/culvert r

Brush

I r

Obstructio n

Removal' r

Fenc e

Removal control/mowing n

Other )l

7) Is the boundary clearly marked and identifiable? r YES r NO (If no, what actions are needed?)

n Many Posts Missing - Resurvey Required IIOne to Several Posts Missing (NRCS re- post I landowner cost)

8) Are installed practices being properly operated and maintained (e.g. in accordance with job sheets/O&M plans)? C YES C NOr N/A

If no, list action item

9) Have restoration or enhancement requirements been met? r YES r. NOr, N/A If no, list action items

10) Are the objectives of the management plan being met (e.g. grazing plans, WRPO, conservation plans, etc.)? r YES I· NO('. N/A

If no, list action items

11) A. Are threatened or endangered species present or proximal to this land? r YES r NO B. If the answer is YES, are the applicable habitat needs being met? (' YES r NO

C. Have the appropriate consultations occurred? (e.g. FWS, State Specialist, etc)

C YES r NO

ANNUA

ANNUA

12) . Is planned hydrology present? r· YES C NO r N/A If the answer is no, list action items

13) Is planned vegetation present? r YES r NOr N/A If the answer is no, list action items

14) Are there noxious plant or pest species issues? (deed, State or local requirements) n YES r NOr N/A

If the answer is yes, list action items

15) Are deed requirements being met for cultural resource protection? r YES r NO C N/A If the answer is no, list action items

16) Are required regional and local water rights and land use issues being addressed?

n YES C' NOr N/A

If the answer is no, list action items

17) Are there areas of concern or of future violation potential? r YES r NO If yes, identify actions that may be needed to prevent this

18) Are there follow-up needs or plans to improve the site? I' YES r NOr N/A If the answer is yes, list action items

19) Are there landowner/partner suggestions or comments? r YES r:, NO If the answer is yes, list suggestions or comments

Additional Notes and Observations

Stewardship Lands Monitoring Schedule

5 Year Cycle

VVRP/EVVPP-FPE/EVVRP

Automatic Baseline

Summary Review

Onsite

Review

Ownership

Repeat 5 Year Cycle

Acquisition

5 Year Cycle

GRP/HFRP*/FRPP

Automatic Baseline

Offsite

Repeat 5 Year Cycle

Review the current prior- year photography

Automatic Baseline= Based on recorded deed Summary Review= Site visit,landowner contact and answer to questions number 1,2,3 & 4 on the Annual Monitoring Worksheet Onsite= Site visit, landowner contact,review of the most current aerial photography and answer all of the questions on the Annual Monitoring Worksheet Ownership Review= Landowner contact and answer question 1on the Annual Monitoring Worksheet Offsite monitoring required= Review of most current aerial photography, landowner contact and answer to questions number 1, 3 & 4 on the Annual Monitoring Worksheet Landowner Contact (attempted) is required in all years

NOTES:

Restoration= the majority of the earthwork and/or planting has been completed If restoration occurs early in the growing season,that year may count as Year 1onsite monitoring Remote imagery is acquired for all years for all stewardship lands.

*If restoration is required for HFRP,follow the WRP schedule

Site visits are required in the event of:

1) a compatible use authorization requiring close monitoring such as grazing or a food plot

2) post-violation remediation (2 consecutive years of onsite monitoring)

3) a highly managed site requiring close supervision

4) a significant event,such as a severe storm,that would require an inspection

5) an ownership change (2 consecutive years of onsite monitoring)

6) a change in baseline condition (FRPP)

7) sheet erosion; erosion from concentrated flow;runoff from heavy use areas

8) detection of a potentialviolation via offsite monitoring or other method

years at State's discretion

although 1 in 3 is recommended.

An ownership change 2 consecutive years of onsite monitoring

A significant event, such as a severe storm, that would Onsite monitoring following damaging event

If owner is completely new and was not part of original easement transaction

Sheet erosion, erosion from concentrated flow, runoff from a heavy use area.

Onsite monitoring following damaging event image1.png