To extend the conservation reserve program for 10 years and the wetlands reserve program for 5 years; to protect vulnerable soil and water resources by facilitating the transition of our Nation's most environmentally sensitive land to conservation uses by enabling farmers to meet conservation compliance requirements through the early withdrawal, modification, re-enrollment, or enrollment of lands in the conservation reserve; to best achieve such conservation purposes with sharply limited resources by permitting the Secretary of Agriculture to negotiate reduced annual rental payments in exchange for granting farmers increased flexibility to withdraw, enroll, or re-enroll parts of land parcels in the conservation reserve program and for permitting limited uses on lands enrolled in the conservation reserve; to permit the transfer of crop bases among owners upon the expiration of enrollment; and to authorize the establishment of demonstration projects.