Potential Economic Impacts of the Managed Haying and Grazing Provision of the Conservation Reserve Program
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The Food Security and Rural Investment Act of 2002 included a new provision that allowed
managed haying and grazing (including the harvest of biomass), if consistent with the
conservation of soil, water quality, and wildlife habitat, in return for partial reductions in the
annual CRP payments. The legislation provided for managed (or limited use) haying and grazing
on the CRP acreage rather than prohibiting all use. This research analyzed whether or not the
alternative grazing and haying scenarios would dramatically impact the price of beef or hay, and
we estimated the impact such changes would have on state economies.