With the recent devastation caused by hurricanes, tornadoes, and pest outbreaks in the southeast and wildfires throughout the west, landowners throughout the country are left wondering what resources are available to them in the aftermath. In this blog, we’ll outline the main public and private funding available to landowners affected by natural disasters.
Public Funding
While there are a variety of cost share programs through the USDA, there is one main program focused specifically on post-disaster assistance for forest landowners. The Emergency Forest Restoration Program (EFRP) supports private forest landowners in restoring forests negatively affected by natural disasters.
What is funded?
EFRP funding is not to be confused with the federal crop insurance program as EFRP does NOT cover any financial damages associated with forgone timber revenue. EFRP funding covers the costs associated with restoring the forest to a state where it can grow healthily in the years to come.
Who is eligible?
A local forester assigned by the Farm Service Agency (FSA) will inspect the damage to the forested area to determine if it is eligible, but generally the land must meet the following criteria:
- Private nonindustrial landowners
- At least one acre in size, 120+ feet across, and with 10%+ pre-disaster tree cover
- Damage severe enough to affect future land use
Damage to the forest must have been caused by natural disasters including:
- Wildfire
- Flood / Hurricane
- Tornado
- Severe pest outbreak
How does it work?
EFRP funding follows the same cost share structure as other USDA programs with up to 75% of the actual costs reimbursed after the restoration is completed. The cost of restoration must be greater than $1,000, but not exceed $500,000.
With the frequency of natural disasters over the past 6 months, landowners may experience some delays working through the application process with the FSA. That said, it is smart to get your application in as quickly after the disaster as possible. Even if you haven’t experienced a disaster yet, make sure you have registered for a Farm Tract number through the USDA to expedite the application for any cost share funding in the future. To apply, contact your local FSA office. You can find the nearest one here.
Private Funding
Landowners in certain geographical areas may also be eligible for privately funded restoration programs. Most often these programs are funded by organizations looking to quantify the carbon sequestration associated with restoration. Post-wildfire restoration has been the most common use for these programs to date, but other disasters may qualify depending on the severity of damage.
What is funded?
There are a few options for the types of restoration activities that can take place on the affected land. The first and most common is the restoration of mixed native tree species. This option is available to landowners who have experienced disasters throughout the country. The second option is for landowners interested in planting certain species of pine for future timber harvesting. This option is only available in the southeast, but can be a good option for landowners who rely on timber harvesting to financially support their properties.
Who is eligible?
Requirements vary by program and region, but generally the land must meet the below criteria:
- 100+ acres of disturbance per ownership
- Road access to facilitate planting
- Sufficient natural regeneration has not yet occurred
Damage to the forest must have been caused by natural disasters including:
- Wildfire
- Flood / Hurricane
- Tornado
- Severe pest outbreak
The organization leading the restoration activities, known as the project developer, will meet with you to understand your situation before sending out a forester for a site visit.
How does it work?
The project developer typically takes on 100% of the restoration and ongoing maintenance costs associated with getting the forest back into a healthy condition. In addition to covering costs, project developers pay a lease rate to landowners. This lease rate is either a flat per-acre payment or a percentage of carbon credit sales revenue. To secure this funding, landowners sign a lease agreement typically lasting between 20-40 years, partnering with the project developer to keep the forest healthy and optimized for timber and carbon growth during that period. Lease rates, terms, and harvest restrictions vary. NCX can help you compare your options.
Since these programs are privately funded, the application and due diligence process can be speedier than public cost share programs. NCX keeps a full list of these programs, available to ALL of our users, on landowners.ncx.com. Our goal is to help landowners understand their options and make informed decisions about what’s next for their land.
The condition of your land is one of many things that you are likely concerned about following a natural disaster. We’re here to help whenever you’re ready to look at your options. If you are a free user, you will see these programs among others on the “Sponsored” section of your NCX dashboard. If you are a subscribed NCX Member, you can also see these programs under the “Tree Planting” and “Forest Health” categories of the program list.
Create a free account and/or reach out to us at landowners@ncx.com if you have any questions about what is available to you.
