The Inflation Reduction Act contains multiple provisions that will benefit forest landowners.
A few weeks ago, President Joe Biden signed the Inflation Reduction Act of 2022 into law.
The new law contains many different provisions, including a minimum corporate income tax, increased funding for the IRS, and prescription drug price reform.
The Inflation Reduction Act also contains many spending provisions for investments to reduce the effects of climate change…including provisions that will directly benefit forest landowners!
Here is a summary of the main provisions that will benefit forest landowners:
$400 Million in Cost Share for Forest Landowners
One of the most significant benefit for forest landowners is that the Act appropriates $400 million in competitive grants and cost share for underserved forest landowners or forest landowners who own less than 2,500 acres. These grants will come from the U.S. Forest Service and will be for “forest resilience practices” and “climate mitigation.”
More information will be forthcoming from the U.S. Forest Service on how to apply for these grants and cost share payments. In the meantime, read this article to become familiar with the basics of cost share payments!
Other Provisions Benefitting Forest Landowners
- $50 million in U.S. Forest Service competitive grants to states and eligible entities to distribute to private forest landowners for practices that increase carbon removal
- $1.8 billion for the U.S. Forest Service to support wildfire risk reduction measures on National Forest System lands
- $700 million in competitive grants to states via the Forest Service Legacy Program to conserve environmentally-important forest land that is threatened by conversion into non-forest property
- $100 million for the U.S. Forest Service Wood Innovation Grant Program to support solutions that transform use wood and forest residue into innovative products
- $8.45 billion for grants for practices that directly improve soil carbon storage or decreased emissions of greenhouse gases
- This includes financial and technical assistance resources for producers and landowners to plan and install structural, vegetative, and land management practices on eligible land
Stay Tuned for More Information
More information will be released in the coming months on how forest landowners can take advantage of the forestry provisions listed above. Stay tuned for updates!
