Being "green" means more than fighting sprawl, said Rep. Stern (R-Blair) and Sen. Wenger (R-Lancaster) as they introduced innovative legislation to provide tax credits for farmers who invest in proven conservation practices.

"Farmers across Pennsylvania are continually faced with changes in law and other regulatory revisions forcing them to upgrade equipment and actually change the way they do business," Rep. Stern said. "Our legislation will provide farmers with the type of financial assistance as is currently being used to promote the growth and progress of other industries."

The Pennsylvania Resource Enhancement and Protection (REAP) Tax Credit Program will provide tax credits for private investment in the implementations of a variety of proven and cost-effective best management practices, including improvements to barnyards, pastures and riparian corridors, development and implementation of nutrient management plans, remediation of legacy sediments and other approved practices.

REAP will ultimately help farmers use best management practices to manage nutrients appropriately and reduce nutrient and sediment loss from the land.

Rep. Stern said credits will be available for personal and corporate income tax, the Capital Stock and Franchise Tax and Sales and Use Tax. Qualified applicants will receive a tax credit of 25 percent to 75 percent of the project cost, depending on the practice implemented.

Other elements of the program provide that tax credits may be sold to other entities and for business or individual sponsorship of a project installed by a landowner. Tax credits may be carried over for maximum of 15 years.

"This legislature has worked diligently to balance the needs of our farmers with the responsibility we have to protect our environment," Sen. Wenger said. "The REAP Program will also have a far-reaching impact by helping Pennsylvania meet its obligations under the 2000 Chesapeake Bay Agreement."

The Agreement requires Pennsylvania and other states in the Chesapeake Bay watershed area to reduce nutrient and sediment pollution going to the Chesapeake Bay by more than 38 million pounds a year by 2010, which will help move the Bay off the U.S. Clean Water Act's list of impaired waters.

"Farmers have long recognized the need to be good stewards of the land, but to be good stewards farmers need the right tools and the funding to improve their operations," said the Chesapeake Bay Foundation's Pennsylvania Executive Director Matt Ehrhart.

"This unique program would be the first of its kind in the country to provide farmers transferable tax credits for installing best management practices to reduce pollution and sediments coming from farms."

"The creation of the REAP program will not only benefit our agricultural producers and our environment, but will also ultimately benefit every citizen in the Commonwealth and the Chesapeake Bay watershed," Sen. Wenger added.

"The decline of interest in farming is becoming more apparent each year," said Rep. Stern. "The profession is simply becoming too cost-prohibitive for most people. The REAP program is just one example of the types of new and innovative financial assistance programs we can implement to give those in the farming community the help they need."

"This legislation provides farmers with new resources to improve the environment – a clear win for everyone – and we want to congratulate all the Senate and House sponsors for introducing this legislation," said Ehrhart.

Rep. Stern and Sen. Wenger introduced House Bill 2878 (Stern R-Blair, Hershey-R-Chester, Daley D-Washington) and Senate Bill 1286 (Wenger R-Lancaster, Waugh R-York, O’Pake D-Berks), the Pennsylvania Resource Enhancement and Protection (REAP) Tax Credit Program, and are planning to take part in discussion of and generate support for this initiative throughout the summer so prompt action may be taken this fall.

Link: Bay Foundation Promotes Tax Credits to help Farmers Protect Water Quality

Session Schedule

The Senate returns to session September 19 and the House on September 25.

On the Hill

· Senate Agriculture Committee Meeting Set on Conservation Tax Credit Bill

· House Democratic Policy Committee Hearing on Local Climate Change Action Plans

Other News

· PEC Sponsors Special Program on Investing in Clean Technologies

· Coldwater Heritage Partnership Invites Grant Applications

· EPA Invites States to Apply for Targeted Watershed Grants

· Watershed Organization Capacity Building Grant Applications Due

· Apply Now for Club-Fostered L.L. Bean Stewardship Grants

· BASF Invasive Vegetation Management Grant Program Proposals Due Now

· PUC Adopts Revised Policy on Water/Wastewater Acquisition Incentives

· 2006 “The Future of Water in PA” Water Resources Symposium October 11

· Philadelphia Park Fest 2006 Celebrates Pennsylvania’s Southeast Coastline

· Volunteers Needed for Conestoga River and Lancaster Cemetery Cleanups

· PA Organization for Watersheds and Rivers Open House October 10

· USDA Agricultural Air Quality Task Force Holds Hearing in Harrisburg

· PUC Adopts Rule to Connect Solar, Wind, Renewables to Distribution System

· Reducing Electricity Use Stretched Power Supplies, Lowered Cost During Heat Wave

· Hard to Recycle Collection Event in Pittsburgh September 16

· New Goodwill Industries Computer Recycling Program Available in Southwest

· Newspaper Recycling Program Nets $7,418 for Scholarships at Penn State

· 2006 Keep Pennsylvania Beautiful Summit Set for September 20-21

· National Children and Nature Conference Set for September 7-10

· EPA Offers Sustainability Grants to Teams of College Students

· Regional Environmental Compliance Conferences Set for October, November

· DEP Citizens Advisory Council Publishes Summer 2006 Advisory Newsletter

· Attention Deer Hunters: Game Commission, DCNR Post DMAP Information

· Jill Gaito Named Acting Deputy for Community Revitalization at DEP

See & Hear

· Meet the Seeley Family, Bringing Sustainable Practices to Dairy Farming

Go To: PA Environment Digest Calendar Page

8/18/2006