Resources: For further information: Can We Improve

Designing performance-based
4Visit the project website at Environmental Quality,
incentives for your watershed www.flexincentives.com Farm Viability, and the
The National Facilitation Project offers the 4Contact the project director at Cost-Effectiveness of
following materials and services to those Jonathan R. Winsten, Ph.D. Agricultural Pollution Control?
interested in improving the cost-effectiveness 208-G Morrill Hall,
of agricultural pollution control. University of Vermont
Burlington,VT 05405
Developing Stakeholder-driven,
• Concise documentation on the background, Tel: 802-656-0036 Performance-based Incentives
underlying theory, benefits, and challenges Fax: 802-656-4975
for Agricultural Pollution Control
of performance-based incentives. Email: jwinsten@winrock.org
implemented by:
• A website portal for downloading
The National Facilitation project is implemented by
relevant materials, discovering watersheds
The University of Vermont and is supported by the U.S.
that are actively pursuing this approach,
Department of Agriculture, Cooperative State Research,
and communicating through an email
Education, and Extension Service,
discussion group.
National Integrated Water Quality Program,
• Presentations and planning for local under Agreement No. 2006-51130-03668.
watershed groups and regional
The Pilot-Testing project is implemented by
organizations.
Winrock International with UVM and
• A national advisory team of leading Iowa State University Extension. It is supported
with support from:
scholars on the use of performance-based by the Natural Resources Conservation Service,
incentives. U.S. Department of Agriculture
under Agreement No. 68-3A75-6-184.
The Challenge: An Opportunity: Our Approach:
Agriculture remains the leading Linking farm management Two projects for
contributor of nonpoint source decision-making to developing performance-
pollution (NSP) to U.S. waterways environmental outcomes based incentives

The primary goal of this project is to help National Facilitation Project

Current programs for controlling
improve environmental quality and the • Conducting education and outreach
agricultural NSP are focused on cost-sharing
cost-effectiveness of agricultural NSP control. on the concept of performance-based
best management practices and compensating
Our aim is to facilitate the development and incentives to watershed stakeholders
farmers for idling selected tracks of working
use of performance-based incentives. and other groups around the U.S.
land. Although current efforts, such as the
Environmental Quality Incentives Program and Performance-based incentives:
• Providing resources and facilitation to
the Conservation Reserve Program, have been watershed groups to develop plans for
• Are payments for achieving specific
important and valuable policy tools, they: using performance-based incentives.
environmental performance targets, often
• Limit flexibility by only funding a partial set measured at the farm level;
Pilot-Testing Project
of options to control agricultural pollution; • Allow farmers to achieve specified • Providing performance-based incentive
• Do not encourage farmers to utilize the environmental performance targets in any payments to farmers in Iowa and
most cost-effective actions or create way they choose; Vermont for meeting specific
innovative new solutions for their farming environmental performance targets.
• Incentivize farmers to choose the most
operations; and cost-effective actions to meet the
• Assessing implementation strategies and
performance targets;
• May not always provide a strong link cost-effectiveness of performance-based
between farm management and • Allow farmers to earn additional income incentive programs.
environmental outcomes. by reducing costs for NSP control; and

• May provide a cleaner environment and

greater accountability for tax payers.