Assembly Bill 845 establishes a sustainable agriculture grant program administered by the Department of Agriculture, Trade and Consumer Protection (DATCP). The program aims to support farmers in implementing practices that enhance fossil fuel efficiency, increase carbon storage in soil, and improve air and water quality. Grants can be awarded for various activities, including planting vegetation, developing conservation management plans, and adopting alternative fuel technologies. However, the bill specifies that grants cannot be awarded for projects on land in retirement programs, commercial forest land, or aquaculture projects, and it sets conditions for eligibility based on participation in other conservation programs.

The bill also outlines the prioritization criteria for grant recipients, emphasizing the need to maximize carbon reduction per dollar spent and to ensure diverse representation among applicants, particularly small- and medium-sized farms. DATCP is authorized to use up to 20% of the appropriated funds for educational initiatives and technical assistance related to the grant program. Additionally, the bill mandates that grant recipients allow property access for monitoring purposes and requires DATCP to maintain a public list of grant recipients and their project impacts. Finally, it establishes that an offer of a grant qualifies as a bona fide offer of cost-sharing under existing conservation programs.