Western Lake Erie Basin Pay-for-Performance Program

Project Summary

The Western Lake Erie Basin Performance-based Conservation Adoption Program is a collaborative initiative led by Michigan State University's Institute of Water Research (IWR), in partnership with the Center for Regenerative Agriculture and the Alliance for the Great Lakes, to improve water quality and accelerate agricultural conservation across Michigan's portion of the Western Lake Erie Basin. The project addresses the ongoing challenge of excessive phosphorus loading from agricultural lands, which contributes to harmful algal blooms, degraded water quality, and ecological impairment in Lake Erie. Recognizing that traditional conservation programs have achieved limited progress toward nutrient reduction goals, the project introduces an innovative pay-for-performance approach that compensates farmers based on measurable environmental outcomes rather than solely on conservation practice implementation. This performance-based model is designed to encourage greater participation while ensuring conservation investments produce meaningful improvements in water quality. 

The project integrates advanced watershed modeling, conservation planning, producer engagement, and performance tracking to target conservation practices where they will deliver the greatest environmental benefits. By expanding existing SWAT models, developing an online performance-based platform, enhancing the Nutrient Reduction Dashboard, and incorporating ecosystem services such as groundwater recharge, soil health, carbon sequestration, and biodiversity, the program provides a comprehensive framework for evaluating conservation outcomes. The project also establishes partnerships with conservation organizations, agricultural retailers, crop advisors, and local stakeholders to strengthen producer participation and long-term conservation adoption. Throughout the seven-year implementation period, conservation progress will be tracked using measurable indicators such as phosphorus reductions, acres enrolled, ecosystem benefits, and farmer participation, providing transparent reporting that supports state nutrient reduction goals and promotes sustainable agricultural management throughout the Western Lake Erie Basin.