HR6143-119

What This Bill Does

The PRECISE Act makes precision agriculture eligible for more USDA conservation finance. It amends the Consolidated Farm and Rural Development Act conservation loan program so loans and guarantees can be used to adopt precision agriculture practices or acquire precision agriculture technology, including to participate in the Environmental Quality Incentives Program. It defines precision agriculture as managing, tracking, or reducing crop or livestock inputs such as seed, feed, fertilizer, chemicals, water, and time at a heightened spatial and temporal granularity to improve efficiency, reduce waste, and maintain environmental quality. Covered technologies include GPS and geospatial mapping, satellite or aerial imagery, yield monitors, soil mapping, sensors, Internet of Things and telematics, data management software and analytics, connectivity products, GPS guidance and auto-steer, variable-rate technology, and other USDA-approved input-efficiency technology. The bill also amends EQIP so precision agriculture can be part of conservation planning and incentive practices, permits producers receiving EQIP payments to also use conservation loans or loan guarantees for the same practices on the same land, requires USDA to notify producers of that option, and lets USDA increase EQIP payments for precision agriculture practices and technology to as much as 90 percent of costs.

Who Benefits and How

Farmers and ranchers benefit because USDA conservation loans and loan guarantees can finance precision agriculture adoption. Agricultural producers in EQIP benefit because they may combine EQIP payments with conservation loans or guarantees for the same practices. Precision agriculture equipment and software providers benefit from a larger federally supported market for GPS, sensor, imagery, telematics, analytics, and variable-rate tools. Environmental quality programs benefit if precision tools reduce fertilizer, chemical, water, feed, seed, or time waste.

Who Bears the Burden and How

USDA Farm Service Agency and Natural Resources Conservation Service staff must update loan, guarantee, EQIP, notice, and payment procedures. Federal conservation finance accounts may carry larger loan and payment exposure for precision agriculture adoption. Producers must document eligible precision agriculture practices and technology to qualify for loans, guarantees, or increased EQIP payments. USDA must determine which other technologies directly reduce or improve efficiency of production inputs.

Key Provisions

• Expands conservation loans and loan guarantees to precision agriculture practices and technology.
• Defines precision agriculture and precision agriculture technology in the Food Security Act.
• Allows EQIP producers to use conservation loans or loan guarantees for the same practices on the same land.
• Requires USDA to notify EQIP participants that conservation loan financing may be available.
• Authorizes EQIP payments up to 90 percent of costs for precision agriculture practices and technology.