Performance–based Incentives for Conservation in Agriculture (PICA) Lisa Lurie, RCDSCC Presentation to the CARCD Conference November 14, 2014 In partnership with: Sustainable Conservation Preservation Inc. UC Cooperative Extension RCD Monterey County NRCS Participating growers and shippers The PICA 2013-2015 project is funded through the CDFA Specialty Crop Block Grant program with partner match and in-kind contributions. PICA in a nutshell PICA is a voluntary program assisting growers in tracking water use and nitrogen movement on their farms to demonstrate and incentivize environmental performance Objective Indicator(s) Water Quantity Reduce water pumped from aquifer Target(s) Measurement Incentives Water Quality Reduce nitrate leaching & nitrate in storm runoff PICA metrics • Water Use Efficiency Ratio Total water applied (irrig+rainfall) / crop specific evapotranspiration (ETc) • Nitrogen Use Efficiency Ratio (as indirect measure of nitrate leaching) [N fertilizer applied + change in soil mineral N+ N water*ETc]/[N in plant biomass (fruit and vegetation)] • Nitrogen and sediment loss in storm runoff Nitrate Concentration and Total Suspended Solids in runoff leaving the farm Background and Context Benefits of performance-based metrics • Provide measures to optimize water and fertilizer application and reduce costs, manage risk • Provide documentation to meet buyer sustainability reporting requirements • Provide documentation to meet regulatory requirements. • Useful in combination with practice-based incentives to document conservation benefits of investment PICA Accomplishments to date • Preliminary framework for metrics and incentives developed and partially piloted in 2012-2013 • Metrics and monitoring methodology revised and piloted on 10 strawberry farms for growing season 2013-2014 in the Pajaro Valley and Elkhorn Slough watersheds • Work with private industry and public agencies to explore potential incentives for the program • Starting 2014-2015 pilot with 13 new ranches 2013-2014 Pilot Growers • • • • 10 Strawberry Ranches 6 Companies 200 + acres How do these growers make irrigation decisions? • Feel method • Flow meter • DU evaluations • Soil moisture monitoring • How do these growers make fertilizer decisions? • Soil lab analysis • leaf petiole analysis • PCA recommendations • Spectrum of sophistication of methods for record keeping Metrics are only as useful as the quality of recordkeeping Annual Sampling Schedule (Pilot) Pre-Plant (late summer / fall) • Confirm water meter function, take initial reading • Determine monitoring locations for surface runoff • Determine monitoring locations for soil NO₃-N (lbs/acre), collect first sample • Document fertilizer pre-plant application (lbs/acre) Throughout growing season • Record readings from water meter (either main or block level) (AF) • Measure and report NO₃-N during 2-3 runoff events (ppm) • Measure and report soil NO₃-N (lbs/acre) (once or twice) • Document fertilizer applications (lbs/acre) • Measure irrigation water N concentration Post-Harvest • Measure and report soil NO₃-N (lbs/acre) • Take final water meter reading • Measure N in plant biomass (fruit and vegetation) MonitoringPerformance Monitoring Performance Incentive Structure Options Practice incentives Performance incentives Practice implementation Type of Incentive: Purpose: Farm-level Objectives On Farm Practice Incentives Private Performance Incentives Public and private support to accelerate adoption of new management practices Reward achievement of outcomes that provide shortterm financial advantage or long-term business viability Cost-share on practices Examples: Ambient-level Objectives Public Performance Incentives Reward achievement of farm level outcomes that collectively will provide public good Grower: cost savings from reducing inputs Water District: • Pricing/rebates Buyer: sustainability reporting • Contract preference • pricing for crop quality Regulatory Agencies: • Alternative reporting Education and Training Technical support Lender Land-owner What incentives do participating growers most value? • Data to inform management • Knowing where you stand relative to peers • Regulatory relief • Cost offsets • Crop Pricing (linked to yield, quality, shelf life) Next Phases 1. Develop a fully functional self-assessment program for berries in the Pajaro Valley • Adjust monitoring methodology, implement on more ranches • Pilot incentives with private industry and public agencies 2. Adapt the PICA model to pilot with other crops and transfer to other geographic locations 3. Develop business framework to sustainably manage PICA (including technical assistance, data management, performance reporting) 4. Integrate the PICA model of farm-level performance assessment with industry sustainability tracking and other regional initiatives looking at ambient level metrics, performance and incentives. 5. Explore performance metrics for soil health and climate change resiliency Questions? Lisa Lurie – llurie@rcdsantacruz.org 831-464-2950 x 27 The PICA 2013-2015 project is made possible through funding provided by the CDFA Specialty Crop Block Grant program and partner match and in-kind contributions from Sustainable Conservation, Preservation Inc., RCD of Monterey County, NRCS, Driscoll’s Berries, and participating growers. Thank you to all our supporters and partners!