613.0 Purpose
A. The purpose of this document is to provide guidance to Natural Resources Conservation Service (NRCS) economists and other supporting NRCS personnel in developing cost data, payment rates, and payment schedules. These cost-related data products are to be used in carrying out NRCS conservation planning activities and financial assistance program contracting activities. The handbook also provides guidance on updating and maintaining cost data and developing payment schedules.
B. Payment schedule data documentation may include sensitive information; therefore, it shall not be shared outside the Agency without proper authorization. The final payment schedules and cost data, when approved by the Agency for public use, will be posted in each State’s Field Office Technical Guide (FOTG).
C. The instructions contained in this section are to be used in conjunction with national policy as contained in Conservation Programs Manual (CPM), Title 440, Part 512, and in other sections of the General Manual and additional handbooks, as applicable.
613.1 Scope
This handbook addresses the methodology for documenting the costs of conservation practices/activities useful in all conservation planning activities, technical and financial assistance programs.
613.2 Relationships in the Payment Schedule Process
A. Cost Data - Cost data are important for making informed resource management and funding decisions. Cost data are reviewed annually and updated when needed by NRCS economists and used by land owners to make conservation practice/activity decisions.
B. Payment Rate - The payment for conservation practices/activities to contract holders for conservation practices/activities participating in NRCS financial assistance programs. This rate is based on the payment percentage approved by statute or regulation.
C. Payment Schedule – A list of payment rates for approved conservation practices/activities for financial assistance programs for each fiscal year. The payment schedule is utilized in the conservation planning and contracting software.
Figure 1-1 shows the how program-neutral cost data are used to support NRCS technical and financial assistance programs. The objective of the payment schedule process is to facilitate increased efficiency and accountability within conservation program planning and contracting. In addition, payment schedules must hold up to scrutiny by oversight agencies, financial audits and reviews, World Trade Organization (WTO) requirements, and provide for public transparency.
Click here for a copy of Figure 1-1 – The Relationship between the Payment Schedule Process, Technical Assistance & Conservation Planning and Financial Assistance Contracting.
NOTE: See also Section 613.3 and Figure 1-2 for explanation of each of the “Boxes” shown in this diagram.
613.3 Payment Schedule Worksheet Format
A. Payment schedules will be documented in spreadsheet-based worksheets as displayed in Figure 1-2. Each worksheet will contain standard data categories and equations. The worksheet format and calculations presented in this handbook are approved Agency-wide, and payment schedule worksheets must meet the requirements outlined in this handbook. The worksheet format and style shall not be modified, with the exception of adding rows or columns as needed to adequately document cost data and the payment schedule process.
B. Once a State has developed payment schedule worksheets that contain calculations or formulas that link data between the “Grey,” “Green,” and “Blue” boxes, the calculations or formulas in the worksheets shall not be modified. Maintaining these links will provide data integrity and ensure that data can be tracked through the payment schedule development process.
C. The standard naming convention for payment schedule workbooks is as follows: PPracticeCodeStateAbbreviation. The practice name may also be added to the file name if States choose to do so. The fiscal year can also be added. For example, practice code 590, nutrient management, from Montana would be named: P590MT, P590MTNutrientManagement, or P590MTNutrientManagementFY09.
D. Only one file will be developed for each practice or activity. However, each file may have multiple worksheets (tabs) for each practice/activity scenario. The top of each worksheet must also contain the State name and the practice or activity code, name, and type for print identification purposes.
Click here for a copy of Figure 1-2 – Approved Payment Schedule Worksheet Format