Thursday, May 25, 2006

Court Affirms Denial of Benefits for Converting a Wetland

Holly Hill Farm Corp. v. United States, 2006 App. LEXIS 11375 (4th Cir. 2006)

In this recently decided case from the 8th Circuit court of appeals, farm owners were denied program benefits when they converted a one acre wetland into a pasture on their 650 acre property. Under the "Swampbuster" provisions of the Food Security Act of 1986, farmers are prohibited from producing an ag commodity crop on lands that have been converted from wetlands. Under subsequent legislation the prohibition was extended to include land on which commodity production is possible. Conversion of a wetland after Novembner 28, 1990 serves to make the converter ineligible for USDA program benefits.

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