General Information

Additional Drought Funds Allocations Approved - On July 16, the NC Soil and Water Conservation Commission approved the latest round of allocations of funds to aid farmers with practices to improve drought-damaged pastures and to increase water supply capacity on farms. The NC Rural Center received a $ 5.5 million grant which it contracted to the DENR’s NC Division of Soil and Water Conservation (DSWC) to deliver drought assistance to cost-share the installation of practices, for technical assistance and for administration through the local Soil and Water Conservation Districts. The funds originated from the NC Tobacco Trust Fund. The Rural Center in its contract with the DSWC is requiring 77% of the drought funds to be spent on pasture renovation. Of the $5,250,000 granted for drought BMPs, $4 million is supposed to go for pasture renovation, $750,000 for wells, and $500,000 for ponds. The Commission has allocated $ 3.94 million to the Districts as of July 23. Also the Commission approved earmarking $ 1 million of existing Agriculture Cost Share Funds to assist in installing practices necessary to support the installation of the drought response practices. The application period began May 1. The Districts have received 3,585 applications for pasture renovation, well construction, pond construction or renovation, and to convert existing irrigation systems to special water-conserving systems. A total of $ 30.9 million was requested, and $ 6.75 million is available.

Governor’s Drought Legislation (HB2499) - This bill has passed and becomes law upon the Governor’s signature. The bill has several provisions that are good for agriculture, including; voluntary and confidential surveys through Ag Statistics to gather ag water use data, doesn’t allow regulation of water use from private wells, doesn’t require metering of wells, promotes reclamation and reuse of water, allows use of gray water, and amends definition of “essential water use” to include any water use necessary to maintain the economy.

Drought Assistance Cost Share Program. Discussions continue to occur between the NC Rural Center and NC Soil and Water Division regarding the implementation of this program.

Water legislation proposals. The Governor’s drought legislation has cleared the House Environment and Finance Committees and is expected to be heard by the full House on Monday, July 14. The bill includes language on collecting ag water use data through surveys conducted by the Dept. of Agriculture’s Agriculture Statistics Division. The bill doesn’t call for the regulation of private wells. Passage of the bill remains uncertain.

Green Industry Water Concerns. Golden Leaf provides matching grant funds of up to $215,400. The Golden Leaf Foundation approved the matching grant funds to help fund market recovery efforts for the state’s Green Industry, which has been hard hit by the 2007 drought. The funds to match money already spent in 2008 and like kind contributions from industry and NCSU and others, will be used by NCDA&CS to fund an aggressive advertising and p.r. campaign to promote water wise gardening and the new Tarheel Gardening website. Efforts will be focused on the major consumption markets in urban/suburban areas to create demand.

Green Industry Council (GIC) consultants meet with municipal and state leaders. Two municipal/regional water supply experts that have been retained by the NC Green Industry Council have met with numerous mayors, town officials, state water regulators and legislators over the past weeks. Among their messages:

• Water conservation should be a permanent aspect of municipal and local water supply plans
• Billing should separate fixed overhead costs for infrastructure development and maintenance from variable water expense that is tiered to penalize abusive water users.

In Western communities in CA and OR where such systems have been put in place both outdoor and indoor water use have dropped from 40%-55%. The NC GIC is working to change local water regulations so that they are fair to all water users.