Bill Summary
The Farmland Access Act, also known as the "BUY-PROTECT-SELL" Act, is an amendment to the Food Security Act of 1985. Its purpose is to ensure equal treatment of buy-protect-sell transactions and certain other transactions under the agricultural conservation easement program. This act allows for the transfer of protected eligible land to farmers and ranchers and defines the terms and requirements for buy-protect-sell transactions. It also expands the definition of eligible land to include transactions that use a buy-sell-protect structure or involve a lease-to-own agreement with a farmer or rancher. The act also ensures that eligible entities conducting covered transactions receive the same benefits and assistance as those conducting other agricultural land easement transactions.
Possible Impacts
1. The Farmland Access Act could potentially benefit farmers and ranchers by facilitating the transfer of protected eligible land to them. This could provide them with more land to cultivate and increase their income potential.
2. The Act could also potentially benefit Indian tribes and local governmental entities in states that use the prior appropriation doctrine or a hybrid of it. This could ensure that their water rights are protected and not infringed upon by other parties.
3. The Act could affect landowners who have a lease-to-own agreement with a farmer or rancher. They may be able to receive advanced payment for their land through the buy-sell-protect structure, providing them with financial stability.
[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 2507 Introduced in Senate (IS)]
<DOC>
118th CONGRESS
1st Session
S. 2507
To amend the Food Security Act of 1985 to ensure equal treatment of
buy-protect-sell transactions and certain other transactions under the
agricultural conservation easement program, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
July 26, 2023
Mr. Welch (for himself and Mr. King) introduced the following bill;
which was read twice and referred to the Committee on Agriculture,
Nutrition, and Forestry
_______________________________________________________________________
A BILL
To amend the Food Security Act of 1985 to ensure equal treatment of
buy-protect-sell transactions and certain other transactions under the
agricultural conservation easement program, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Farmland Access Act''.
SEC. 2. BUY-PROTECT-SELL AND CERTAIN OTHER TRANSACTIONS UNDER THE
AGRICULTURAL CONSERVATION EASEMENT PROGRAM.
(a) Purposes of Agricultural Conservation Easement Program.--
Section 1265(b) of the Food Security Act of 1985 (16 U.S.C. 3865(b)) is
amended--
(1) in paragraph (3), by striking ``and'' after the
semicolon at the end;
(2) in paragraph (4), by striking the period at the end and
inserting ``; and''; and
(3) by adding at the end the following:
``(5) facilitate the transfer of protected eligible land to
farmers and ranchers.''.
(b) Definition of Buy-Protect-Sell Transaction.--Section 1265A of
the Food Security Act of 1985 (16 U.S.C. 3865a) is amended by striking
paragraph (2) and inserting the following:
``(2) Buy-protect-sell transaction.--
``(A) In general.--The term `buy-protect-sell
transaction' means a legal arrangement between the
Secretary and 1 or more eligible entities--
``(i) relating to land--
``(I) that is owned, or will be
purchased prior to acquisition of an
agricultural land easement, by--
``(aa) at least 1 eligible
entity described in paragraph
(3)(B);
``(bb) an Indian tribe; or
``(cc) a local governmental
entity using a buy-protect-sell
transaction to protect water
rights in a State that uses the
prior appropriation doctrine or
a hybrid of the prior
appropriation doctrine; and
``(II) with respect to which an
agricultural land easement will be
purchased over all or a portion of the
land by at least 1 eligible entity,
which may be--
``(aa) the same 1 or more
eligible entities described in
subclause (I);
``(bb) 1 or more other
eligible entities described in
subparagraph (A) or (B) of
paragraph (3); or
``(cc) any combination of
eligible entities described in
items (aa) and (bb); and
``(ii) under which--
``(I) 1 or more eligible entities
described in clause (i) certifies to
the Secretary that--
``(aa) 1 or more of the
eligible entities described in
that clause will secure an
agricultural land easement on
the land described in that
clause, subject to subparagraph
(B)(i); and
``(bb) the 1 or more
eligible entities described in
subclause (I) of that clause
that own the land will, in a
timely manner after the
acquisition of the agricultural
land easement described in item
(aa), transfer ownership of the
land to a farmer or rancher
that is not an eligible entity,
pursuant to a contract with a
willing buyer, subject to
subparagraph (B)(ii); and
``(II) the Secretary shall be
reimbursed for the entirety of the
Federal share of the cost of the
agricultural land easement by the
eligible entities described in clause
(i) if the eligible entities described
in subclause (I)(bb) fail to transfer
ownership in accordance with that
subclause.
``(B) Requirements.--
``(i) Timing of acquisition of agricultural
land easement.--After entering into an
arrangement described in subparagraph (A), the
Secretary shall provide to the applicable 1 or
more eligible entities a period of sufficient
time, which shall be not less than 3 years, to
secure an agricultural land easement on the
applicable land.
``(ii) Transfer of land to farmer or
rancher.--
``(I) Timing.--
``(aa) In general.--Subject
to item (bb), a transfer of
land described in subparagraph
(A)(ii)(I)(bb) shall be
completed by the date that is 3
years after the date on which
an agricultural land easement
is acquired with respect to
that land.
``(bb) Extension.--The
Secretary may extend the time
for completing a transfer
described in item (aa) if the
Secretary determines that an
extension of time is justified.
``(II) No limitations on terms.--
The Secretary may not impose any
limitations on the terms of a contract
described in subparagraph
(A)(ii)(I)(bb) between 1 or more
eligible entities and a farmer or
rancher.''.
(c) Definition of Eligible Land.--Section 1265A(4)(A)(i) of the
Food Security Act of 1985 (16 U.S.C. 3865a(4)(A)(i)) is amended--
(1) in subclause (I), by striking ``or'' after the
semicolon at the end;
(2) by redesignating subclause (II) as subclause (III); and
(3) by inserting after subclause (I) the following:
``(II) a transaction described in
section 1265B(e)(1)(B); or''.
(d) Availability of Assistance for the Purchase of Agricultural
Land Easements.--Section 1265B(a) of the Food Security Act of 1985 (16
U.S.C. 3865b(a)) is amended--
(1) in paragraph (1), by striking ``land;'' and inserting
the following: ``land, including through the use of--
``(A) buy-protect-sell transactions; and
``(B) transactions described in subsection
(e)(1)(B); and'';
(2) in paragraph (2), by striking ``; and'' and inserting a
period; and
(3) by striking paragraph (3).
(e) Co-Eligible Entities.--Section 1265B(b)(4) of the Food Security
Act of 1985 (16 U.S.C. 3865b(b)(4)) is amended--
(1) by redesignating subparagraphs (E) and (F) as
subparagraphs (F) and (G), respectively; and
(2) by inserting after subparagraph (D) the following:
``(E) Co-eligible entities.--
``(i) Definition of co-eligible entity.--In
this subparagraph, the term `co-eligible
entity' means an eligible entity that jointly
applies for cost-share assistance under this
section with 1 or more other eligible entities.
``(ii) Joint application for cost-share
assistance.--The Secretary shall allow multiple
eligible entities to jointly apply for cost-
share assistance under this section.
``(iii) Shared responsibilities of co-
eligible entities.--
``(I) In general.--The Secretary
may enter into an agreement with 1 or
more co-eligible entities for the
purchase of 1 or more agricultural land
easements on any eligible land,
including through a buy-protect-sell
transaction.
``(II) Grant of agricultural land
easements.--An agricultural land
easement purchased pursuant to
subclause (I), including through a buy-
protect-sell transaction, may be
granted to any 1 or more co-eligible
entities.''.
(f) Equal Application to Buy-Protect-Sell and Other Transactions.--
Section 1265B of the Food Security Act of 1985 (16 U.S.C. 3865b) is
amended by adding at the end the following:
``(e) Equal Application.--
``(1) Definition of covered transaction.--In this
subsection, the term `covered transaction' means--
``(A) a buy-protect-sell transaction; and
``(B) an agricultural land easement transaction
that--
``(i) uses a buy-sell-protect structure in
which an eligible entity transfers ownership of
land to a farmer or rancher--
``(I) prior to the time at which
the eligible entity acquires the
agricultural land easement on that
land; or
``(II) at the same time that the
eligible entity acquires the
agricultural land easement on that
land; or
``(ii) concerns land with respect to which
the landowner has a lease-to-own agreement with
a farmer or rancher at the time of the
application for assistance under this section.
``(2) No additional land eligibility requirements.--The
Secretary may not impose any requirements or limitations
relating to the eligibility of land for buy-protect-sell
transactions beyond those described in--
``(A) paragraphs (2) and (4) of section 1265A; and
``(B) subsection (a) of section 1265D.
``(3) Advanced payment.--The Secretary shall allow eligible
entities conducting covered transactions to receive advanced
payment in accordance with the procedures required for other
agricultural land easement transactions under this section.
``(4) Paperwork requirements.--The Secretary shall impose
the same paperwork requirements on agricultural land easement
transactions described in paragraph (1)(B) that the Secretary
imposes on other agricultural land easement transactions under
this section.
``(5) Certified entities.--The Secretary shall ensure that
benefits described in section 1265B(b)(5) are extended to
eligible entities certified under that section that are
conducting buy-protect-sell transactions.
``(6) Savings clause.--Nothing in this subsection limits
the eligibility of agricultural land easement transactions
described in paragraph (1)(B) for assistance under this
section.''.
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