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The report argues that shifting from annual monocrops to farming systems with continuous living cover—such as perennials and cover crops—can create 'spongy' soils that reduce flood runoff and increase water availability during droughts. Based on a meta-analysis of 126 experiments and regional modeling in Iowa, the authors find that these practices improve water infiltration and soil porosity, potentially reducing rainfall runoff by up to 20% during floods and increasing crop water availability by up to 16% during droughts. The report concludes that current federal farm policies and crop insurance programs create barriers to these transitions and recommends USDA and Congressional reforms to incentivize ecological soil management.