7 USC 6712 - Greenhouse Gas Technical Assistance Provider and Third-Party Verifier Program

View all text of Chapter 96 [§ 6701 - § 6712]

§ 6712. Greenhouse Gas Technical Assistance Provider and Third-Party Verifier Program

(a) DefinitionsIn this section:

(1) Advisory Council

(2) Agriculture or forestry credit

(3) Beginning, socially disadvantaged, limited resource, or veteran farmer, rancher, or private forest landownerThe term “beginning, socially disadvantaged, limited resource, or veteran farmer, rancher, or private forest landowner” means a farmer, rancher, or private forest landowner who is—

(A) a beginning farmer or rancher (as defined in section 2279(a) of this title);

(B) a socially disadvantaged farmer or rancher (as defined in section 2003(e) of this title);

(C) a limited resource farmer or rancher (as defined in section 1470.3 of title 7, Code of Federal Regulations (or successor regulations)); or

(D) a veteran farmer (as defined in section 2279 of this title).

(4) Covered entityThe term “covered entity” means a person or entity, including a private business, non-profit organization, or public agency, that either—

(A) is a provider of technical assistance to farmers, ranchers, or private forest landowners in carrying out sustainable land use management practices that prevent, reduce, or mitigate greenhouse gas emissions (including through the sequestration of carbon); or

(B) is a third-party verifier entity that conducts the verification of the processes described in protocols for voluntary environmental credit markets.

(5) Greenhouse gasThe term “greenhouse gas” means—

(A) carbon dioxide;

(B) methane;

(D) any other gas that the Secretary, in consultation with the Advisory Council, determines has been identified to have heat trapping qualities.

(6) Program

(7) ProtocolThe term “protocol” means a systematic approach for generating an agriculture or forestry credit, which follows a transparent and thorough science-based methodology (including 1 or more baseline scenarios)—

(A) for the development of projects to prevent, reduce, or mitigate greenhouse gas emissions (including projects to sequester carbon); and

(B) for demonstrating how to quantify, monitor, report, and verify the prevention, reduction, or mitigation of greenhouse gas emissions by projects described in subparagraph (A).

(8) Socially disadvantaged group

(9) Technical assistance

(10) Voluntary environmental credit market

(b) Establishment of program

(1) Determination

(A) In generalNot later than 270 days after December 29, 2022, the Secretary shall make a determination of whether establishing a voluntary program to register covered entities that carry out activities described in subsection (c)(2) will further each of the following purposes:

(i) Facilitating the participation of farmers, ranchers, and private forest landowners in voluntary environmental credit markets.

(ii) Facilitating the provision of technical assistance, through covered entities, to farmers, ranchers, and private forest landowners to help overcome barriers to entry into voluntary environmental credit markets.

(iii) Ensuring that participating farmers, ranchers, and private forest landowners receive fair distribution of revenues derived from the sale of an agriculture or forestry credit.

(iv) Increasing access for farmers, ranchers, and private forest landowners to resources relating to existing voluntary environmental credit markets, including information relating to the basic market structure and the various roles and qualifications of different parties.

(B) Considerations

(2) Establishment

(3) Report

(1) Widely accepted protocols and qualificationsAfter providing public notice and at least a 60-day period for public comment, but not later than 90 days after the date on which the Program is established, the Secretary shall publish—

(A) a list of, and documents relating to, widely accepted protocols that are designed to ensure consistency, reliability, effectiveness, efficiency, and transparency of voluntary environmental credit markets, including protocol documents and details relating to—

(i) calculations;

(ii) sampling methodologies;

(iii) voluntary environmental credit accounting principles;

(iv) systems for verification, monitoring, measurement, and reporting; and

(v) methods to account for additionality, permanence, leakage, and, where appropriate, avoidance of double counting; and

(B) descriptions of widely accepted qualifications possessed by covered entities that provide technical assistance to farmers, ranchers, and private forest landowners.

(2) ActivitiesA covered entity may register under the Program with respect to technical assistance or process verification the covered entity carries out for activities that prevent, reduce, or mitigate greenhouse gas emissions, including—

(A) land or soil carbon sequestration;

(B) emissions reductions derived from fuel choice or reduced fuel use;

(i) feeds, feed additives, and the use of byproducts as feed sources; or

(ii) manure management practices;

(D) on-farm energy generation;

(E) energy feedstock production;

(F) fertilizer or nutrient use emissions reductions;

(G) reforestation;

(H) forest management, including improving harvesting practices and thinning diseased trees;

(I) prevention of the conversion of forests, grasslands, and wetlands;

(J) restoration of wetlands or grasslands;

(K) grassland management, including prescribed grazing;

(L) current practices associated with private land conservation programs administered by the Secretary; and

(M) such other activities, or combinations of activities, that the Secretary, in consultation with the Advisory Council, determines to be appropriate.

(3) InclusionsIn publishing the list of widely accepted protocols and the descriptions of widely accepted qualifications under paragraph (1), the Secretary, in consultation with the Advisory Council, shall include all relevant information relating to market-based protocols, as appropriate, with regard to—

(A) quantification;

(B) verification;

(D) permanence;

(E) reporting; and

(F) other expertise, as determined by the Secretary.

(4) Periodic review

(d) Registration, website, and publication of lists

(1) Registration list

(A) In general

(B) RegistrationA covered entity may register under the Program to be included on the registration list by submitting to the Secretary, through a website maintained by the Secretary, information that—

(i) shall include—(I) the region in which the covered entity provides its services;(II) whether the covered entity is a technical assistance provider or a verifier; and(III) the protocols in which the covered entity has proficiency; and

(ii) may include additional information that—(I) has been identified by the Advisory Council in its initial assessment under subsection (g)(1) to ensure certainty for producers in the marketplace for agriculture or forestry credits; and(II) the Secretary determines is appropriate for inclusion.

(2) Website and solicitationDuring the 180-day period beginning on the date on which the Program is established, the Secretary shall publish, through an existing website maintained by the Secretary—

(A) information describing how covered entities may register under the Program in accordance with paragraph (1);

(B) a list of the widely accepted protocols and qualifications published by the Secretary under subsection (c)(1); and

(C) instructions and suggestions to assist farmers, ranchers, and private forest landowners in facilitating the development of agriculture or forestry credits and accessing voluntary environmental credit markets, including—

(i) through working with covered entities registered under the Program; and

(ii) by providing information relating to programs, registries, and protocols of programs and registries that provide market-based participation opportunities for working and conservation agricultural and forestry lands.

(3) Programmatic integrityThe Secretary shall ensure, to the maximum extent practicable, that covered entities registered under the Program—

(A) act in good faith to provide realistic estimates of costs and revenues relating to activities and verification of processes described in subsection (c)(2), as applicable to the covered entity; and

(B) demonstrate expertise in, and are able to perform in accordance with, best management practices for agricultural and forestry activities that prevent, reduce, or mitigate greenhouse gas emissions (including through the sequestration of carbon).

(4) Removal from registration list

(A) In general

(i) RemovalThe Secretary shall remove a covered entity from the registration list under the Program if the Secretary determines that the covered entity has not acted in accordance with—(I) the information provided by the entity under paragraph (1)(B); or(II) best management practices for agricultural and forestry activities that prevent, reduce, or mitigate greenhouse gas emissions (including through the sequestration of carbon).

(ii) DeterminationThe Secretary may make a determination under clause (i)—(I) based on a periodic review of a representative sample of covered entities, which shall occur not less frequently than once each year; or(II) as necessary.

(B) Appeal of removal

(i) In general

(ii) Re-registrationA covered entity that appeals a determination under clause (i) may re-register under the Program if the covered entity successfully proves, as determined by the Secretary, that the covered entity has acted in accordance with, as applicable—(I) the information provided by the entity under paragraph (1)(B); and(II) best management practices for agricultural and forestry activities that prevent, reduce, or mitigate greenhouse gas emissions (including through the sequestration of carbon).

(C) NotificationIf the Secretary removes a covered entity from the registration list pursuant to subparagraph (A), to the extent practicable, the Secretary shall—

(i) request from that covered entity contact information for all farmers, ranchers, and private forest landowners to which the covered entity provided technical assistance or the verification of the processes described in protocols of voluntary environmental credit markets; and

(ii) notify those farmers, ranchers, and private forest landowners of the removal.

(5) Savings clause

(e) Submission of fraudulent information or claims

(1) In general

(2) PenaltyAny person or entity that violates paragraph (1) shall be—

(A) subject to a civil penalty equal to such amount as the Secretary determines to be appropriate, not to exceed $1,000 per violation; and

(B) ineligible to register under the Program for the 5-year period beginning on the date of the violation.

(f) Greenhouse Gas Technical Assistance Provider and Third-Party Verifier Program Advisory Council

(1) In general

(2) Membership

(A) In general

(B) General representationThe Advisory Council shall—

(i) be broadly representative of the agriculture and private forest sectors;

(ii) include beginning, socially disadvantaged, limited resource, and veteran farmers, ranchers, and private forest landowners; and

(iii) be composed of not less than 51 percent farmers, ranchers, or private forest landowners.

(i) not more than 2 representatives of the Department of Agriculture, as determined by the Secretary;

(ii) not more than 1 representative of the Environmental Protection Agency, as determined by the Administrator of the Environmental Protection Agency;

(iii) not more than 1 representative of the National Institute of Standards and Technology;

(iv) not fewer than 12 representatives of the agriculture industry, appointed in a manner that is broadly representative of the agriculture sector, including not fewer than 6 active farmers and ranchers;

(v) not fewer than 4 representatives of private forest landowners or the forestry and forest products industry appointed in a manner that is broadly representative of the private forest sector;

(vi) not more than 4 representatives of the relevant scientific research community, including not fewer than 2 representatives from land-grant colleges and universities (as defined in section 3103 of this title), of which 1 shall be a representative of a college or university eligible to receive funds under the Act of August 30, 1890 (commonly known as the “Second Morrill Act”) (26 Stat. 417, chapter 841; 7 U.S.C. 321 et seq.), including Tuskegee University;

(vii) not more than 2 experts or professionals familiar with voluntary environmental credit markets and the verification requirements in those markets;

(viii) not more than 3 members of nongovernmental or civil society organizations with relevant expertise, of which not fewer than 1 shall represent the interests of socially disadvantaged groups;

(ix) not more than 3 members of private sector entities or organizations that participate in voluntary environmental credit markets; and

(x) any other individual whom the Secretary determines to be necessary to ensure that the Advisory Council is composed of a diverse group of representatives of industry, academia, independent researchers, and public and private entities.

(D) Chair

(E) Terms

(i) In generalThe term of a member of the Advisory Council shall be 2 years, except that, of the members first appointed—(I) not fewer than 8 members shall serve for a term of 1 year;(II) not fewer than 12 members shall serve for a term of 2 years; and(III) not fewer than 12 members shall serve for a term of 3 years.

(ii) Additional terms

(3) Meetings

(A) Frequency

(B) Initial meeting

(4) General dutiesThe Advisory Council shall—

(A) periodically review and recommend any appropriate changes to—

(i) the list of protocols and description of qualifications published by the Secretary under subsection (c)(1); and

(ii) the activities described in subsection (c)(1)(B);

(B) make recommendations to the Secretary regarding the best practices that should be included in the protocols, description of qualifications, and activities described in subparagraph (A); and

(i) the current methods used by voluntary environmental credit markets to quantify and verify the prevention, reduction, or mitigation of greenhouse gas emissions (including the sequestration of carbon);

(ii) means to reduce barriers to entry in the business of providing technical assistance or the verification of the processes described in protocols of voluntary environmental credit markets for covered entities, including by improving technical assistance provided by the Secretary;

(iii) means to reduce compliance and verification costs for farmers, ranchers, and private forest landowners in entering voluntary environmental credit markets, including through mechanisms and processes to aggregate the value of activities across land ownership;

(iv) issues relating to land and asset ownership in light of evolving voluntary environmental credit markets; and

(v) additional means to reduce barriers to entry in voluntary environmental credit markets for farmers, ranchers, and private forest landowners, particularly for beginning, socially disadvantaged, limited resource, and veteran farmers, ranchers, and private forest landowners.

(5) Compensation

(6) Conflict of interestThe Secretary shall prohibit any member of the Advisory Council from—

(A) engaging in any determinations or activities of the Advisory Council that may result in the favoring of, or a direct and predictable effect on—

(i) the member or a family member, as determined by the Secretary;

(ii) stock owned by the member or a family member, as determined by the Secretary; or

(iii) the employer of, or a business owned in whole or in part by, the member or a family member, as determined by the Secretary; or

(B) providing advice or recommendations regarding, or otherwise participating in, matters of the Advisory Council that—

(i) constitute a conflict of interest under section 208 of title 18; or

(ii) may call into question the integrity of the Advisory Council, the Program, or the technical assistance or verification activities described under subsection (c)(2).

(7) FACA applicability

(g) Assessment

(1) Initial assessment

(2) General assessmentNot later than 240 days after December 29, 2022, the Secretary, in consultation with the Administrator of the Environmental Protection Agency, shall—

(A) conduct an assessment, which incorporates information from existing publications and reports of the Department of Agriculture and other entities with relevant expertise, regarding—

(i) the number and categories of non-Federal actors in the nonprofit and for-profit sectors involved in development, generation, or sale of agriculture or forestry credits in voluntary environmental credit markets;

(ii) the estimated overall domestic market demand for agriculture or forestry credits at the end of the preceding 4-calendar year period, and historically, in voluntary environmental credit markets;

(iii) the total number of agriculture or forestry credits (measured in metric tons of carbon dioxide equivalent) that were estimated to be in development, generated, or sold in market transactions during the preceding 4-calendar year period, and historically, in voluntary environmental credit markets;

(iv) the estimated supply and demand of metric tons of carbon dioxide equivalent of offsets in the global marketplace for the next 4 years;

(v) the barriers to entry due to compliance and verification costs described in subsection (f)(4)(C)(iii);

(vi) the state of monitoring and measurement technologies needed to quantify long-term carbon sequestration in soils and from other activities to prevent, reduce, or mitigate greenhouse gas emissions in the agriculture and forestry sectors;

(vii) means to reduce barriers to entry into voluntary environmental credit markets for beginning, socially disadvantaged, limited resource, and veteran farmers, ranchers, and private forest landowners, and the extent to which existing protocols of voluntary environmental credit markets allow for aggregation of projects among farmers, ranchers, and private forest landowners;

(viii) the extent to which the existing regimes for generating and selling agriculture or forestry credits (as the regimes exist at the end of the preceding 4-calendar year period, and historically), and existing voluntary environmental credit markets, may be impeded or constricted, or achieve greater scale and reach, if the Department of Agriculture were involved, including involvement in education described in clause (ix);

(ix) the extent to which Department of Agriculture education of stakeholders about voluntary environmental credit markets would benefit those stakeholders, including whether that education would reduce barriers to entry identified under clause (v);

(x) the extent to which existing protocols of voluntary environmental credit markets, including verification, additionality, permanence, and reporting, adequately take into consideration and account for factors encountered by the agriculture and private forest sectors in preventing, reducing, or mitigating greenhouse gas emissions (including by sequestering carbon) through agriculture and forestry practices, considering variances across regions, topography, soil types, crop or species varieties, and business models;

(xi) the extent to which existing protocols of voluntary environmental credit markets consider options to ensure the continued valuation, through discounting or other means, of agriculture and forestry credits in the case of the practices underlying those credits being disrupted due to unavoidable events, including production challenges and natural disasters; and

(xii) opportunities for other voluntary markets outside of voluntary environmental credit markets to foster the trading, buying, or selling of credits that are derived from activities that provide other ecosystem service benefits, including activities that improve water quality, water quantity, wildlife habitat enhancement, and other ecosystem services, as the Secretary determines appropriate;

(B) publish the assessment; and

(C) submit the assessment to the Committee on Agriculture, Nutrition, and Forestry of the Senate and the Committee on Agriculture of the House of Representatives.

(3) Quadriennial assessment

(h) Confidentiality

(1) Prohibition

(A) In general

(B) Information

(i) In generalExcept as provided in clause (ii), the information prohibited from disclosure under subparagraph (A) is—(I) personally identifiable information, including in a contract or service agreement, of a farmer, rancher, or private forest landowner, obtained by the Secretary under subsection (d)(4)(C)(i); and(II) confidential business information in a contract or service agreement of a farmer, rancher, or private forest landowner obtained by the Secretary under subsection (d)(4)(C)(i).

(ii) Aggregated release

(2) Exception

(i) Funding

(1) Authorization of appropriations

(2) Direct funding

(A) Rescission

(B) Appropriation

(3) Prohibition

(j) Rule of construction

(Pub. L. 117–328, div. HH, title I, § 201, Dec. 29, 2022, 136 Stat. 5971.)