There are no directly related rules or statutes, other than those cited above. The department rules for the commercial nitrogen optimization pilot program will be created in ch. ATCP 52, Wis. Adm. Code (commercial nitrogen optimization pilot program). Plain Language Analysis
The commercial nitrogen optimization pilot program is designed to encourage agricultural producers to develop innovative approaches to optimize the application of commercial nitrogen. Agricultural producers will implement a project, for at least two growing seasons, to optimize the application of commercial nitrogen. The producer must collaborate with a UWS institution, which will monitor the grant project on-site. The total grant award to a producer and collaborating UWS institution cannot exceed $50,000. Up to 20 percent of the total amount awarded to all grant applicants may be awarded to the UWS institution.
Under 92.14 (16), Stats., grant recipients must meet all the following eligibility requirements to be considered for funding:
— Project must include at least two growing seasons.
— Agricultural producer will collaborate with an UWS institution for project monitoring.
— The UWS institution shall monitor the grant project on-site. No more than 20% of the grant award may be distributed to the UWS collaborator.
— Priority will be given to innovative projects not currently funded through state or federal programs.
— Priority will be given for longer-term projects.
Under 92.14 (16), Stats., the department may award no more than $50,000 to any one agricultural producer and collaborating UWS institution.
Grant Purposes
Under this emergency rule, the department may award grants for projects that focus on commercial nitrogen optimization through:
— Reduction of nitrates in groundwater and surface water.
— Collection of data to ascertain the balance of providing the appropriate amount of nitrogen to a crop at the right time while reducing nitrogen loss to the atmosphere, groundwater or surface water.
— Installation of conservation practices to assist with nitrogen optimization coupled with monitoring runoff and testing soils.
— Optimization of commercial nitrogen use through a variety of agronomic methods and techniques.
Use of Grant Funds
Under this emergency rule, grant funds may be used to reimburse expenses that are determined by the department to be a reasonable and necessary part of the grant project. Applicants will not be required to provide any match for grant resources. Eligible expenses include, but are not limited to:
— Personnel for coordinator role, including expense for salaries and wages, contract and consulting services, and travel.
— Incentive or stipend payments for landowners who participate in full-scale commercial nitrogen optimization field study.
— Water quality monitoring and soil testing in collaboration with a UWS institution.
— Agronomy services, including custom application and nutrient management planning.
— Equipment rental for project implementation.
— Equipment purchases needed for project implementation. Equipment purchases over $2,500 must receive pre-approval from the department.
Grant funds may not reimburse any of the following expenses:
— Real estate purchases.
— Repayment of loans or mortgages.
— Rent or contract payments for time periods extending beyond the term of the grant contract.
— Equipment purchases that exceed $2,500, without department pre-approval.
— Administrative or overhead costs that are not direct costs of the grant project.
Grant Proposals
Under this emergency rule, the department must issue at least one request for grant proposals in each state fiscal biennium (the department may issue more frequent requests, if it chooses to do so). The request for proposals must describe the required form and content of the grant proposal and must specify a deadline for submitting grant proposals. Applicants must submit grant proposals to the department in the manner prescribed within the department’s request for proposals.
Grant Awards
Under this emergency rule, the department must evaluate grant proposals and issue its grant awards within 45 days after closing of the grant proposal deadline. The department must clearly identify each award recipient, the amount of the award, the purposes for which the award is given, and what is to be included in the annual and project reports. The department may consider the following criteria when evaluating grant proposals and making grant awards:
— Direct impact of the project on commercial nitrogen optimization.
— Location of the project - geography and geology - to assure awards are distributed across the state.
— The length of the project.
— The innovative approaches to nitrogen optimization being studied in the project.
— Whether the proposed project meets the standards prescribed in this emergency rule.
— The viability of the proposed project.
— The management and technical qualifications of the grant recipient.
— The ability of the UWS institute to collaborate with the grant recipient.
— The adequacy of the project plan and budget.
— Whether the grant proposal and budget adequately identify the nature of project expenses to be reimbursed under the proposed grant.
Grant Contracts
Under this emergency rule, the department must enter into a contract with a legal entity before distributing funds. The contract must spell out grant terms and conditions, including performance requirements, reporting requirements and payment terms. Grant recipients will be required to file an annual report with the department and a final project report.
Summary of, and Comparison with, Existing or
Proposed Federal Statutes and Regulations
Federal Programs
There are currently no similar federal programs.
If Held, Summary of Comments Received during Preliminary Comment Period
and at Public Hearing on Statement of Scope
The Joint Committee for Review of Administrative Rules did not request a preliminary hearing on the scope, thus the department did not hold a preliminary hearing on the scope.
Comparison with Rules in Adjacent States
Illinois
There is no State sponsored nitrogen optimization programing (adjacent or direct) in Illinois.
Iowa
Iowa does not have a formal commercial nitrogen optimization program; however, it does make nitrogen optimization tools and strategies available to its producers. These tools and strategies include the Corn Nitrogen Rate Calculator, which is a tool to estimate potential N-nitrate loss by estimating optimal nitrogen based on fertilizer and corn prices.
Michigan
There is no State sponsored nitrogen optimization programing (adjacent or direct) in Michigan.
Minnesota
Minnesota has different nitrogen optimization programs available to producers, including a farmer educational outreach program focused on how nitrogen behaves in the environment. The Minnesota Nitrogen Fertilizer Management Plans include groundwater nitrate testing and evaluation, targeting sensitive areas in the state. This program includes voluntary testing private wells. Finally, the Minnesota Groundwater Protection rule minimizes potential sources of nitrate pollutions to the state’s groundwater and protects drinking water by restricting application of nitrogen fertilizer in the fall and on frozen soils in areas vulnerable to contamination, and outlines steps to reduce the severity of the problem in areas where nitrate in public water supply wells is already elevated.
Summary of Factual Data and Analytical Methodologies
The department worked with a variety of stakeholders to invite their input on the emergency rule and to estimate farmer demand for this program. Feedback was collected from numerous stakeholders ranging from agribusiness organizations, conservation groups, county governments, university entities, the federal government, and other collaborators to develop standards for grant determinations contained in this emergency rule.
Analysis and Supporting Documents used to Determine Effect on Small Business or in Preparation of an Economic Impact Analysis
