Livestock operations in rangeland systems are largely excluded from most US research evaluating environmental and economic benefits from improved soil health focuses. To address this knowledge gap in Wyoming, this study provides a framework to evaluate benefits from improving rangeland soil health within the private sector. Soil health is the “continued capacity of a soil to function as a vital living ecosystem sustaining plants, animals, and humans” (USDA-NRCS). Most US research evaluates environmental and economic benefits from improved soil health on cropping systems rather than livestock operations; however, approximately 85% of Wyoming is rangeland (USDA-NRCS, 2007). Using a multi-period linear programming approach, the model quantifies rancher benefits for forage production responses from various hypothetical practices implemented to improve soil health. Rancher benefits were quantified as the difference in maximum net present value of profits for various forage responses over time given typical resource limitations and cost/return parameters representative of Fremont County. Management techniques and outcomes of conservation practices implemented by Wyoming private producers determines their operation’s profitability over time, as well as soil health and the provision of public ecosystem goods.
Results/Conclusions
Results show forage response timing and initial conditions drive private benefits from practices aimed at increasing soil health. The benefits were compared to the costs of implementing a rotational grazing plan, as a potential practice aimed at improving soil health on private rangeland. As expected, results show forage response timing and initial conditions drive private benefits from practices aimed at increasing soil health. In all scenarios starting at higher initial values of forage production, the benefits of practice implementation were greater than when starting at fully depleted soils. This would imply that targeting ranches that still have functioning soils may provide a better investment opportunity to restore soil health and ultimately forage production. Scenarios experiencing greater implementation costs than projected benefits suggest additional incentives may be necessary to promote use of certain management practices on private rangeland. This study’s results indicate ranches requiring less compensation for implementing management practices are those with higher initial forage production levels, those that offer quicker forage production response rates, and with ranchers who perceive little risk associated with changing management. Lastly, depending on how the public sector values rangeland ecosystem goods and services including air and water quality, wildlife habitat, and carbon sequestration, investors can decide to allocate public funding to private landowners requiring additional incentives to implement a practice.