RANCH Act

S. 5277 — RANCH Act would create a new U.S. Department of Agriculture program that pays farmers and ranchers to convert cropland into permanent grassland used for livestock grazing. Owners could enroll cropland that had a history of being farmed in at least 4 of the past 6 years, under 10-to-15-year contracts requiring them to plant perennial grass and forb cover and follow an approved grazing management plan. In exchange, participants would receive annual rental payments (75% of the local average cropland rental rate), cost-share payments covering half the expense of establishing the grass cover, and additional incentive payments for using native seed mixes or for beginning farmers and ranchers. Total payments to any one person or entity would be capped at $155,000 per year, and no more than 20 million acres nationwide could be enrolled at once.

The program would primarily affect crop farmers considering a shift to livestock grazing, especially beginning farmers/ranchers and owners of highly erodible or marginal cropland, who would be prioritized for enrollment. Limited additional activities—such as grazing, fire prevention work, and emergency haying during droughts or disasters—would be allowed on enrolled land. When a contract ends, the land would automatically roll into a related conservation program unless the owner opts out, though opting out would make it ineligible to re-enroll in this program.

The bill was introduced in the Senate on August 6, 2026, by Senator Mike Rounds (R-SD) with Senator Klobuchar, and referred to the Senate Committee on Agriculture, Nutrition, and Forestry. It would need to be approved by that committee, then pass the full Senate and House, before being signed into law.

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