Notice2022-24017
Determination of the Primary Purpose of Florida's Save Our Indian River Lagoon (SOIRL) Program
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
November 4, 2022
Issuing agencies
Agriculture DepartmentNatural Resources Conservation Service
Abstract
USDA is providing public notice that the Secretary of Agriculture has determined that cost share payments made by the Florida's SOIRL Program are primarily for the purpose of conserving soil and water resources or protecting and restoring the environment. NRCS was assigned technical and administrative responsibility for reviewing Florida's SOIRL Program and for making appropriate recommendations for the Secretary's determination of primary purpose. The Secretary's determination permits recipients of cost share payments to exclude such payments from gross income to the extent allowed by the Internal Revenue Service.
Full Text
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<title>Federal Register, Volume 87 Issue 213 (Friday, November 4, 2022)</title>
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[Federal Register Volume 87, Number 213 (Friday, November 4, 2022)]
[Notices]
[Pages 66640-66641]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-24017]
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DEPARTMENT OF AGRICULTURE
Natural Resources Conservation Service
[Docket No. NRCS-2022-0008]
Determination of the Primary Purpose of Florida's Save Our Indian
River Lagoon (SOIRL) Program
AGENCY: Natural Resources Conservation Service (NRCS), U.S. Department
of Agriculture (USDA).
ACTION: Notice.
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SUMMARY: USDA is providing public notice that the Secretary of
Agriculture has determined that cost share payments made by the
Florida's SOIRL Program are primarily for the purpose of conserving
soil and water resources or protecting and restoring the environment.
NRCS was assigned technical and administrative responsibility for
reviewing Florida's SOIRL Program and for making appropriate
recommendations for the Secretary's determination of primary purpose.
The Secretary's determination permits recipients of cost share payments
to exclude such payments from gross income to the extent allowed by the
Internal Revenue Service.
FOR FURTHER INFORMATION CONTACT: Ronnie Mauer; telephone: (202) 720-
9733; or email: <a href="/cdn-cgi/l/email-protection#abf9c4c5c5c2ce85e6cadeced9ebded8cfca85ccc4dd"><span class="__cf_email__" data-cfemail="693b060707000c4724081c0c1b291c1a0d08470e061f">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION:
Background
Under Section 126(a)(8) of the Internal Revenue Code, gross income
does not include the ``excludable portion'' of payments received under
any program of a State, or a political subdivision of a State, under
which payments are made to individuals primarily for the purpose of
protecting or restoring the environment. In general, a cost share
payment for selected conservation practices is exempt from Federal
taxation if it meets three tests:
(1) It was for a capital expense;
(2) It does not substantially increase the operator's annual income
from the property for which it is made; and
(3) The Secretary of Agriculture certified that the payment was
made primarily for conserving soil and water resources, protecting, or
restoring the environment, improving forests, or providing habitat for
wildlife.
The Secretary of Agriculture evaluates a conservation program on
the basis of criteria specified in 7 CFR part 14 and makes a ``primary
purpose'' determination for the payments made under the conservation
program. The objective of the determination made under part 14 is to
provide maximum conservation, environmental, forestry improvement, and
wildlife benefits to the general public from the operation of
applicable programs. Final determinations are made on the basis of
program, category of practices, or individual practices.
NRCS was assigned technical and administrative responsibility for
reviewing Florida's SOIRL Program and for making appropriate
recommendations for the Secretary's determination of primary purpose.
Following a primary purpose determination by the Secretary of
Agriculture, the Secretary of the Treasury determines if the payments
made under the conservation program substantially increases the annual
income derived from the property benefited by the payments.
Environmental Review
From this Federal action, approving tax deferral will not result in
impacts to the environment, therefore, no further National
Environmental Policy Act (NEPA) documentation will be prepared.
Determination
As provided for by section 126 of the Internal Revenue Code, the
Secretary examined the authorizing legislation, regulations, and
operating procedures regarding the Brevard County, Florida SOIRL
Program. In accordance with the criteria specified in 7 CFR part 14,
the Secretary has determined the primary purpose of cost share payments
made under the Florida SOIRL Program is conserving soil and water
resources or protecting and restoring the environment. The Indian River
Lagoon is considered a public recreational facility pursuant to the
Florida statues, sections 163.3164(38), 163.3221(13), and 189.012(5).
[[Page 66641]]
In accordance with section 212.055(2), Florida statutes, pertaining
to discretionary sales surtaxes for improvements to public facilities,
the SOIRL Program Project Plan and the half cent sales surtax was
adopted by the Brevard County Board of County Commissioners in
Ordinance 2016-15, as amended by Ordinance 2016-24, and enacted by
voter referendum on November 8, 2016, to restore water resources and
estuarine wildlife habitats of the Indian River Lagoon. The sales
surtax is collected and distributed pursuant to section 212.055,
interlocal agreements with municipalities, and applicable State laws.
All projects authorized by the SOIRL Program Project Plan are
permitted, constructed, and implemented in accordance with State and
Federal requirements, where applicable.
A ``Record of Decision'' for the Brevard County, Florida SOIRL
Program to review claims regarding reimbursement to abandon septic and
connect to sewer lines, upgrade existing septic systems to advanced
septic systems, repair leaking sewer laterals, connect package plants
to central sewer or upgrade the treatment level at private package
plants has been prepared and is available upon request from the Acting
Director, Financial Assistance Programs Division, Natural Resources
Conservation, 1400 Independence Avenue SW, Room 4529 South Building,
Washington, DC 20250.
The Secretary's determination is in accordance with section 126 of
the Internal Revenue Code of 1954, as amended (26 U.S.C. 126), and
permits recipients of cost share payments to exclude those payments
from gross income to the extent allowed by the Internal Revenue
Service.
Louis Aspey,
Associate Chief, Natural Resources Conservation Service.
[FR Doc. 2022-24017 Filed 11-3-22; 8:45 am]
BILLING CODE 3410-16-P
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