A recent federal court ruling has reaffirmed both the constitutionality and critical importance of compliance with the USDA-NRCS Swampbuster provisions of the Food Security Act of 1985, as amended. The ruling also upholds the USDA’s authority to enforce wetland conservation rules, underscoring the legal and financial stakes for landowners and farmers. The case highlights the complexities of NRCS wetland determinations and the necessity of understanding federal regulations to avoid potential violations.

In CTM Holdings, LLC v. USDA et al., the plaintiff, an Iowa landowner, purchased 72 acres consisting of cropland, forest, and land enrolled in the Conservation Reserve Program. The USDA had determined 12 years prior that 9 of the 21 forested acres were wetlands, while the remaining acres had never been officially classified. Upon inquiry, NRCS warned the landowner that tree removal in a wetland area could constitute a violation. Seeking to convert the forested land to cropland, the plaintiff filed an AD-1026 form to proceed with farming preparation. However, NRCS reviewed only the previously uncertified portion, confirming that those acres were non-wetland. NRCS later issued a letter stating the earlier certification remained valid, even though the land appeared indistinguishable from the non-wetland areas. The letter provided that Plaintiff could request review of the earlier wetland determination. Instead of requesting reconsideration through the administrative process, the landowner challenged the wetland certification in federal court, arguing that the Swampbuster provisions were unconstitutional.

Ultimately, the federal District Court dismissed the lawsuit. The ruling emphasized that landowners must exhaust administrative review options before seeking legal relief. The Court also upheld the Swampbuster provisions as a valid exercise of Congress’s spending power, affirming that federal farm benefits can be conditioned upon compliance with conservation regulations. This decision reinforces that regulatory compliance is paramount for farmers and landowners who wish to maintain USDA benefits and protect their property rights.

NRCS wetland determinations are complex, requiring landowners to navigate intricate regulations and procedural requirements. Understanding how previous determinations impact land use and knowing the legal avenues available for challenging or requesting reviews is essential. Missing a critical deadline—such as failing to request a review within the allowed time—can have lasting consequences, potentially restricting the ability to modify or cultivate land. At Rinke Noonan Law Firm, we recognize that these legal issues demand experienced guidance.

For years, Rinke Noonan’s attorneys have helped landowners successfully navigate NRCS wetland determinations and appeals. We understand the importance of AD-1026 forms in documenting compliance, challenging new wetland technical determinations, and requesting reviews of existing certifications. Our experience in administrative appeals and federal litigation ensures tailored, strategic counsel for farmers and landowners. If you are facing an NRCS wetland determination, planning water management and drainage activities, or seeking to preserve USDA benefits, don’t take on this challenge alone. Contact Rinke Noonan Law Firm today to protect your property rights and ensure compliance with Swampbuster and other federal and state regulations.

Written by: Sean Meginness, Attorney at Rinke Noonan