M_180_NFSAM_514 - Part 514 - Wetland Determination and Labels

Subpart A – Wetland Determination and Delineation
    

    

514.0 Background

A. The Food Security Act of 1985, as amended, requires NRCS to delineate, determine, and certify wetlands located on land on a farm or ranch subject to wetland conservation (WC) provisions in order to establish a producer’s eligibility for certain USDA program benefits (16 U.S.C. Section 3822, 7 CFR Section 12.30).

B. This manual provides policy pertaining to the WC provisions. Policy concerning NRCS technical and financial assistance and the protection of wetlands is located in Title 190, General Manual (GM), Part 410, Subpart B, Section 410.26. In addition, wetlands may be subject to other Federal, State, or local regulations.

C. In carrying out the provisions of the Food Security Act, NRCS may request technical assistance from the U.S. Fish and Wildlife Service (FWS) and State or local conservation agencies (7 CFR Section 12.30). By statute, only NRCS may make certified wetland determinations (16 U.S.C. Section 3821(e)).

514.1 Certification

A. Certification of Wetland Determinations

(1) Certification of a wetland determination means that the wetland determination is of sufficient quality to make a determination of ineligibility for USDA program benefits. All wetland determinations made after July 3, 1996, are considered certified determinations (7 CFR Section 12.30(c)(1)). Determinations made prior to July 3, 1996, are considered certified if they met the procedural (appeal rights) and quality mandates as provided in 7 CFR Section 12, as detailed in paragraph B.

(2) Certified wetland determinations will be made under either of the following circumstances:

(i) In response to Farm Service Agency (FSA) Form AD-1026 or NRCS-CPA-038 completed by a USDA program participant for the field(s) identified

(ii) In response to Form FSA-569, if required

(3) To identify wetlands subject to the WC provisions, NRCS uses offsite (7 CFR Section 12.6(c)(5)) and onsite (7 CFR Section 12.6(c)(6)) methods. Site visits are conducted only in following circumstances:

(i) Before withholding any USDA benefits (7 CFR Section 12.30(c)(4))

(ii) When a USDA program participant requests an onsite determination (7 CFR Section 12.6(c)(7))

(iii) When there is an appeal (7 CFR Section 12.6(c)(6))

(iv) When a USDA program participant requests a preconversion minimal effect determination (7 CFR Section 12.31(d))

(v) In response to a Form FSA-569 or a whistleblower complaint (7 CFR Section 12.30(a)(6))

(vi) In conjunction with a compliance status review

(vii) If there is inadequate information to make determinations offsite (7 CFR Section 12.6(c)(6))

(4) Methods for offsite and onsite determinations are listed in the Food Security Act wetland identification procedures, located in the exhibit in section 514.8(A).

B. Evaluation of Previously Issued Wetland Determinations

Prior to conducting a certified wetland determination, NRCS will evaluate all previously issued determinations to determine their certification status using the criteria below:

(i) All wetland determinations made on or after July 3, 1996, are considered certified determinations (7 CFR Section 12.30(c)(1)) when all of the following apply:

The determination was issued to the participant as noted on the Form NRCS-CPA-026(e), "Highly Erodible Land and Wetland Conservation Determination." For the purpose of this guidance, the NRCS-CPA-026(e) and previous versions will be referred to solely as the NRCS-CPA-026.

The NRCS-CPA-026 was signed by NRCS.

The NRCS-CPA-026 is accompanied by a wetland determination map.

(ii) For certified determinations issued on or after July 3, 1996, nonwetland (NW) and not inventoried (NI) areas were required labels according to policy, and unlabeled areas (cropland or noncropland) may not be considered NW. Unlabeled areas on a certified determination issued on or after July 3, 1996, are subject to receiving a new wetland conservation label.

(iii) All wetland determinations made after November 28, 1990, and before July 3, 1996, are considered certified if all of the following apply:

The determination was issued to the participant as noted on the NRCS-CPA-026 or SCS-CPA-026.

The NRCS-CPA-026 or SCS-CPA-026 was signed by NRCS (formerly known as SCS). The SCS-CPA-026 (version dated June 1991 – see exhibit at section 514.8B and later versions of the NRCS-CPA-026 contain a valid producer notification statement in block 29 and appeal rights were provided on the back of the "Person Copy." If a different version of the SCS-CPA-026 was used (other than the June 1991 version) to issue the determination, there must also be evidence that the producer was informed the determination was certified and provided appeal rights.

The determination map document meets the quality mandate "of sufficient quality to make a determination of ineligibility for program benefits" (7 CFR Section 12.30(c)(1)). "Sufficient quality" means that the map document is legible to the extent that the location of designated wetlands in relation to other ground features can be determined. For example, the map document is of sufficient quality to be able to see reference ground features such as wooded areas, field boundaries, or roads, which then can be used as a reference for determining a wetland location.

(iv) In some cases, certified determinations issued on or after November 28, 1990, contain lands that were not labeled on the wetland determination map, but were recorded with a label on the associated NRCS-CPA-026, which indicated that the label applied to some numbered (or otherwise designated) land unit. Those land units are considered certified and are not subject to a new wetland conservation label.

(v) For certified wetland determinations issued prior to July 3, 1996, unlabeled cropland areas are considered NW and are not subject to a new wetland certification (unless cropland areas are marked "determination not made" or similar). For this purpose, cropland is considered nonrangeland or nonwoodland, which has a field polygon designated on the map with an associated field number.

(vi) Wetland determinations made prior to November 28, 1990, are not considered certified.

(vii) Regardless of the date the certified determination was issued, certain lands, within or associated with a certified determination, are subject to receiving a new (or revised in the case of NI) wetland conservation label, including—

Noncropland areas without a wetland conservation label. This would include areas having a designation that is not a wetland conservation label such as "NCL" (noncropland).

Areas marked as NI, "not determined," or similar designation.

Noncropland when the NRCS-CPA-026 or map contains an explanation indicating that the "determination covers only cropland," "noncropland areas are not certified," or other description that limits the extent of the area subject to the determination or certification.

Farmed wetland or farmed wetland pasture or hayland that is determined to meet abandonment criteria.

Areas that are determined to meet converted wetland, converted wetland + year, manipulated wetlands, artificial wetland, converted wetland technical error, third-party conversion exemption, COE permit with mitigation exemption, minimal effect, mitigated wetlands, converted wetland timely assistance, or converted wetland in-lieu fee criteria.

C. Completing Determinations on New Lands That are Associated With Previously Certified Areas

When completing a certified wetland determination for lands associated with previously certified areas, the extent of the new determination is limited to only those lands receiving a new (or revised in the case of NI) wetland conservation label.

(i) NRCS will offer applicable appeal rights and only record on the map and NRCS-CPA-026 the lands subject to a new or revised label.

(ii) Note in the cover letter appeal rights are being offered only for those lands receiving a new or revised label.

(iii) A copy of any previously certified wetland determination for the subject land should be provided to the participant but not added to the NRCS-CPA-026 or map with the new determination.

D. Situations When More Than One Certified Determination Has Been Issued for the Same Tract or Area of Land

When multiple certified determinations exist for the same tract or area of land, NRCS will recognize the most recent determination as being the certified determination. However, in the process of conducting an investigation of possible noncompliance, NRCS will evaluate potential noncompliance actions utilizing the certified determination in place at the time the potential noncompliance action occurred.

E. Requirements for Job Approval Authority

(1) Certified wetland determinations must be completed by a qualified NRCS employee, as determined by the State Conservationist. Qualified employees (i.e., agency experts) must meet all of the following criteria:

(i) Have completed all the required training, including update courses

(ii) Have the appropriate job approval authority

(iii) Have demonstrated proficiency in making certified wetland determinations

(2) State Conservationists are responsible for maintaining a roster of agency experts, by training and experience, who have demonstrated the knowledge and skills necessary to conduct wetland determinations and delineations, scope and effect evaluations, functional assessments, minimal effects evaluations, mitigation planning, and mitigation easements. The roster will be filed in section III of the Field Office Technical Guide, "Legislated Programs, Job Approval Authority."

(3) In accordance with part 518 of this manual, State Conservationists will carry out appropriate quality control reviews of certified wetland determinations.

F. Effective Period of Certifications

(1) All certified wetland determinations, conditions, and exemptions remain valid and in effect as long as the area is devoted to an agricultural use or until such time as the person affected by the certification requests review of the certification (16 U.S.C. Section 3822 (a)(4)).

(2) A person may request review of a final certified wetland determination only if a natural event alters the topography or hydrology of the subject land to the extent that the final certification is no longer a reliable indication of site conditions or if NRCS concurs with an affected person that an error exists in the current wetland determination (7 CFR Section 12.30(c)(6) and 16 U.S.C. Section 3822(a)(4)). A person must make all requests for review in writing, stating what the natural event was and to what extent that event altered the topography or hydrology, or, where NRCS error is cited as the reason for review, the participant must state what the error is and how it affects the final certified wetland determination validity.

G. Appeals of Certified Wetland Determinations

(1) Before finalizing a certified wetland determination, NRCS will notify the person affected by the certification and provide an opportunity to appeal it. NRCS will certify the wetland determination as final 30 days after providing the person notice of certification or, if an appeal is filed with USDA, after the administrative appeal procedures are exhausted or discontinued by the affected person (see Title 440, Conservation Program Manual (CPM), Part 510, for NRCS policies regarding appeals; NRCS appeal procedures are contained in 7 CFR Part 614). All requests for appeals, including those requests made at the preliminary technical determination stage, must be made in writing by the actual participants affected by the certified wetland determination.

(2) In the case of an appeal, NRCS must review and certify the accuracy of the determination for all lands subject to the appeal to ensure that it is accurate. Before a decision is rendered on the appeal, NRCS will conduct an onsite investigation of the subject land.

H. Preparing the Certified Wetland Determination and Delineation

(1) NRCS will delineate all wetlands subject to the WC provisions by outlining the boundaries of the wetland on aerial photography, digital imagery, or other graphic representation. If possible, NRCS will use the Global Positioning System (GPS) to digitally map the wetland boundary in the field and to import that data onto digital orthophotoquadrangle maps (DOQ) or other Geographic Information System (GIS) digital photographic imagery. Refer to part 514, subparts B through E, of this manual to determine the appropriate labels to apply to the delineated wetland types.

(2) The complete boundaries and size of all fields that were delineated and identified must be shown on the map, including areas identified as NW. The label and acreage information from the map will be used to prepare NRCS-CPA-026. A copy of the NRCS-CPA-026e, along with the delineation map, will be provided to the USDA program participant and FSA and retained in the participant’s NRCS case file.

I. Duration of Ineligibility

(1) Persons who plant an agricultural commodity on a nonexempt wetland converted between December 23, 1985, and November 28, 1990, are ineligible for USDA benefits for any year in which an agricultural commodity crop is planted or until the functions, values, and acreage of the converted wetland are mitigated (7 CFR Section 12.4(a)(2)).

(2) Persons who convert wetlands for the purpose of, or in such a way as to make the production of an agricultural commodity possible after November 28, 1990, remain ineligible for USDA benefits until the functions, values, and acreage of the converted wetland are mitigated (7 CFR Section 12.4(a)(3)). Ineligibility will remain with the person even if the person is no longer associated with the land. Subsequent owners and operators will not be in violation as long as the converted wetland is not planted to an agricultural commodity and the new owner or operator was not affiliated with the conversion action (7 CFR Section 12.4(g)).

(3) Exemption for Wetland Conversions Completed Before February 7, 2014

No person will be ineligible for Federal crop insurance premium subsidies for a policy or plan of insurance under the Federal Crop Insurance Act (7 U.S.C. Sections 1501–1524) for—

Converting a wetland if the wetland conversion was completed, as determined by NRCS, before February 7, 2014.

Planting or producing an agricultural commodity on a converted wetland if wetland conversion was completed, as determined by NRCS, before February 7, 2014.

(4) There is an exemption for wetland conversion when a policy or plan of insurance is available to a person for the first time.

(i) When a policy or plan of insurance that provides coverage for an agricultural commodity is available to the person, including as a person who is a substantial beneficial interest holder, for the first time after February 7, 2014, as determined by the Risk Management Agency, ineligibility for Federal crop insurance premium subsidies for such policy or plan of insurance due to a wetland conversion violation will only apply to wetland conversions that are completed, as determined by NRCS, after the date the policy or plan of insurance first becomes available to the person.

(ii) The exemption—

Does not exempt or otherwise negate the person’s ineligibility for Federal crop insurance premium subsidies on any other policy or plan of insurance.

Applies only if the person takes steps necessary, as determined by NRCS, to mitigate all wetlands converted after February 7, 2014, in a timely manner, as determined by NRCS, but not to exceed 2 reinsurance years.

J. Coordination with the U.S. Army Corps of Engineers

Certified wetland determinations performed by NRCS are based on Food Security Act definitions, and may not be valid for USACE Clean Water Act (CWA) jurisdiction and permitting requirements. NRCS will include the following language in all wetland determinations provided to the USDA participant:

"This certified wetland determination/delineation has been conducted for the purpose of implementing the wetland conservation provisions of the Food Security Act of 1985. This determination/delineation may not be valid for identifying the extent of the USACE’s Clean Water Act jurisdiction for this site. If you intend to conduct any activity that constitutes a discharge of dredged or fill material into wetlands or other waters, you should request a jurisdictional determination from the local office of the USACE prior to starting the work."

514.2 Definitions

A. Agricultural Commodity.—An agricultural commodity is defined as any crop planted and produced by annual tilling of the soil, including tilling by one-trip planters, or sugarcane. (7 CFR Section 12.2)

B. Agricultural Use.—"Agricultural use" refers to land used for the production of food, fiber, or horticultural crops; used for haying or grazing; left idle in accordance with USDA program requirements; or diverted from crop production to an approved cultural practice that prevents erosion or other natural resource degradation.

C. For the Purpose of.—"For the purpose of" means actions completed that show intent to make production possible. Such actions need not actually make agricultural production possible.

D. Growing Season.—"Growing season" is the season of the year when climatic conditions are suitable for the growth and regeneration of plants.

E. Inundated.—"Inundated" means the ground is covered by water due to ponding, flowing, or flooded water.

F. Making Production Possible.—"Making production possible" means manipulation that—

(1) Allows or would allow production of an agricultural commodity where such production was not previously possible.

(2) Makes an area farmable more years than previously possible.

(3) Reduces crop stress and allows increased yields.

(4) After November 28, 1990, allows forage production or pasture and hayland use. On sites with woody vegetation, trees and stumps must be removed to constitute "making production possible."

G. Manipulation.—The alterations that are considered manipulation may result from dams, dikes, ditches, diversions, subsurface drains, pumps, terraces, or dredge and fill. These measures may alter hydrology even if installed offsite from the effected wetlands.

H. Normal Circumstances.—Refers to the soil and hydrologic conditions that are normally present, without regard to whether the vegetation has been removed. The premise for the concept of normal circumstances is that for many wetlands where the vegetation has been removed, the soil and hydrological characteristics remain to the extent that hydrophytic vegetation could return if vegetation management ceased. In the event that the vegetation on such land has been altered or removed, NRCS will determine if a prevalence of hydrophytic vegetation typically exists in the local area on the same hydric soil map unit under non-altered hydrologic conditions (7 CFR Section 12.31 (b)(2)(ii)).

I. Wetlands.—Lands that have all of the following characteristics:

(1) A predominance of hydric soils

(2) Are inundated or saturated by surface water or groundwater at a frequency and duration sufficient to support a prevalence of hydrophytic vegetation typically adapted for life in saturated soil conditions

(3) Under normal circumstances support a prevalence of hydrophytic vegetation

Note: Lands in Alaska identified as having a high potential for agricultural development and a predominance of permafrost soils are not considered wetlands for purposes of the Food Security Act (7 CFR Section 12.2).

J. Wetland Delineation.—Outlining the boundaries of a wetland determination on aerial photography, digital imagery, or other graphic representation or on the land (7 CFR Section 12.2).

K. Wetland Determination.—A technical decision regarding whether or not an area is a wetland, including identification of wetland type (label) and size (acres) of each label (7 CFR Section 12.2). Wetland determinations are recorded on Form NRCS-CPA-026e.

L. Wetland Inventories.—Maps that outline the location of potential wetlands and are usually developed using offsite remote sensing. Wetland inventories are not certified wetland determinations.

M. Wetland Mapping Conventions.—A set of approved procedures used to make wetland determinations and delineations on agricultural lands. Mapping conventions are developed cooperatively between USACE, the Environmental Protection Agency, the FWS, and NRCS for consistent use for CWA and FSA purposes, and are State-specific (7 CFR Section 12.6(c)(5)). See "Food Security Act Wetland Identification Procedures" in the exhibit in section 514.8A for additional wetland determination and delineation definitions.

514.3 Wetland Identification

Wetland Criteria

(1) Wetlands are identified through the confirmation of three diagnostic factors:

(i) A predominance of hydric soil

(ii) The prevalence of hydrophytic vegetation

(iii) Wetland hydrology

(2) Wetlands must meet the definition of all three wetland factors (soils, plants, and hydrology). The Food Security Act wetland identification procedures will be used to decide if a sampling unit meets the definition at the diagnostic factor level. These procedures are provided in the exhibit in section 514.8A.

514.4 Hydric Soils (7 CFR Section 12.31(a))

A. Hydric Soils Definition

Hydric soils are defined in the Food Security Act as soils that, in an undrained condition, are saturated, flooded, or ponded long enough during a growing season to develop an anaerobic condition that supports the growth and regeneration of hydrophytic vegetation (16 U.S.C. Section 3801(a)(12)).

B. Hydric Soils Lists

(1) Lists of hydric soils are compiled from the hydric soils criteria and are published in the National List of Hydric Soils, as well as in local lists of hydric soils mapping units developed by NRCS. Hydric soils lists are used in conjunction with NRCS soil surveys to predict the location and properties of hydric soils in a given county or similar area.

(2) In addition, an official list of local hydric soils is maintained in the Soil Data Mart (Welcome to the Soil Data Mart) and includes map unit components identified as probable hydric soils based on the hydric soils criteria. The National List of Hydric Soils is an aggregation of the local hydric soils lists produced from Soil Data Mart data.

(3) Methods for hydric soil determination are provided in the Food Security Act wetland identification procedures, located in the exhibit in section 514.8A.

514.5 Hydrophytic Vegetation (7 CFR Section 12.31(b))

A. Definition

(1) Hydrophytic vegetation is defined in the Food Security Act as a plant growing in—

(i) Water.

(ii) Substrate that is at least periodically deficient in oxygen during a growing season as a result of excessive water content (16 U.S.C. Section 3801(a)(13)).

(2) Methods for hydrophytic vegetation determination are provided in the Food Security Act wetland identification procedures, located in the exhibit in section 514.8A.

B. Definition of Growing Season

The regulations (7 CFR Part 12) for the WC provisions do not define the growing season. The State Conservationist, with advice from the State Technical Committee, will approve a growing season definition for Food Security Act purposes based on either of the following:

(i) Wetlands Climate Table Documentation (i.e., "WETS" tables from the NRCS National Water and Climate Center; NRCS National Water and Climate Center - Climate Products - General Information - Wetlands Documentation) methods provided for in the USACE regional supplements.

(ii) Observation of above-ground biological growth in vascular plants as described in the USACE regional supplements.

514.6 Wetland Hydrology

Definition

(1) Wetland hydrology is defined as inundation or saturation by surface or groundwater at a frequency and duration sufficient to support a prevalence of hydrophytic vegetation typically adapted for life in saturated soil conditions. (7 CFR Section 12.2)

(2) Methods for wetland hydrology determination are described in the wetland identification procedures in the exhibit in section 514.8.

514.7 Relationship of Labels to Wetland Determinations and Delineations

The determination of whether or not land is a wetland is based on a technical determination using the Food Security Act wetland identification procedures, as described in the exhibit in section 514.8A and is independent of the assignment of wetland labels. Labels are used to identify land subject to exemptions or restrictions under the Food Security Act. Such land may or may not meet the definition of wetland. Subparts B through E contain instructions for identifying and labeling wetlands to determine whether restrictions or exemptions apply to the land per the WC provisions of the Food Security Act.

514.8  Exhibits            

                A. Food Security Act Wetland Identification Procedures 

                 B. Form SCS-CPA-026, Person Copy (June 1991)

   


   

  
 

[M_180_NFSAM_514_A - Fifth Ed., Amend. 4, January 2017 - ]

Subpart B - Labels: Natural and Artificial Wetlands


514.10  Wetlands (W)

A.  Definition and Criteria

Areas assigned the Food Security Act label of Wetland (W) are areas that meet the criteria for the three wetland factors and typically have not been manipulated by altering hydrology and/or removing woody vegetation, including stumps.  Wetland includes areas that have been abandoned, as described in Section 514.33.  The wetland delineation tools described in the Appendix are used to assess the three wetland factors.  Wetland factors are described in Section 514.3. 

B.  Wetlands Farmed Under Natural Conditions

(1)  Wetlands may be planted to produce an agricultural commodity after December 23, 1985, without jeopardizing USDA benefits, as long as all of the following requirements are met:

(i)  Production is possible as a result of a natural condition, such as drought, or normal seasonal hydrologic conditions.

(ii)  Hydrology is not manipulated.

(iii)  Woody vegetation is not removed.

(iv)  Normal tillage does not fill, level, drain, or otherwise cause conversion of the wetland.  (7 CFR Section 12.5(b)(3))

(2)  Removal of herbaceous vegetation is not considered manipulation.  Grading, land-leveling, or land-clearing is considered manipulation.  Shearing stumps flush with the ground constitutes removal and, as it makes the site cropable, will result in conversion.

(3)  Destruction of herbaceous hydrophytic vegetation resulting from the production of an agricultural commodity is not considered altering or destroying a natural wetland characteristic if both of the following apply:

(i)  Such vegetation is able to return following cessation of the condition that made production of the agricultural commodity crop possible.

(ii)  The destruction was the result of crop production activities that are common in the area.

(4)  Removal of woody vegetation is not considered farming under natural conditions, even if this practice is temporarily enhanced by drought or other natural conditions, since such removal would destroy natural wetland characteristics for an extended period of time.

(5)  Where hydric soils have been used for production of an agricultural commodity, and the effect of the drainage or other altering activity is not clearly discernible, NRCS will compare the site with other sites containing the same hydric soils in a natural condition to determine if the hydric soils can or cannot be used to produce an agricultural commodity under natural conditions. If the soil on the comparison site could not produce an agricultural commodity under natural conditions, the subject wetland will be considered to be converted wetland.  (7 CFR Section 12.32(a)(1))

C.  Restrictions

(1)  Any manipulation to wetlands that results in a conversion (an activity that is for the purpose, or makes possible production of an agricultural commodity) may result in non-compliance with the WC provisions.  Activities that do not constitute conversion under the Act may be controlled by other Federal, State, or local regulations.   

(2)  Drainage structures that were constructed through a wetland (W) before December 23, 1985, which have been maintained by the participant, and which serve as an outlet for drainage systems of Prior Converted Cropland (PC), Farmed Wetland (FW), or Farmed Wetland Pasture and Hayland (FWP) may be maintained to the extent of the scope and effect of the drainage as it existed on December 23, 1985, but may not be expanded, increased, or improved.  These include structures operated and maintained as drainage outlets.  See Part 516, Subpart B, Scope and Effect Determination, for policy and procedures to use in calculating the scope and effect of the original drainage.

(3)  Participants should be advised to avoid impacts to wetlands during drainage maintenance activities.  If drainage maintenance converts a wetland in violation of the WC provisions, the participant may need to restore the wetland or mitigate the loss of wetland acres and functions in order to remain eligible for USDA program benefits.  (See NFSAM Part 515, Subpart B, Mitigation Exemption.)

(4)  In cases where the original scope and effect is in question, documentation of the following may be of value:

(i)  Any existing wetland easements.

(ii)  Evaluation of the drainage system as it currently exists, with sufficient detail to evaluate factors affecting drainage of PC, FW, or FWP.

(iii)  The scope and effect of the drainage system that existed on December 23, 1985.

(iv)  Proposed drainage system maintenance activities, including structures and designs.

(v)  Proposed dates of implementation and completion.

(5)  Cropping and mechanical harvesting of hay within the wetlands affected by maintenance will be allowed to the extent that it was possible to conduct those activities prior to the maintenance of drainage capacity.  Placement in the wetland of excavated material associated with the maintenance activities may constitute a conversion under the Act. 

(6)  Wetlands manipulated beyond the scope and effect of the drainage as it existed on December 23, 1985, will be labeled Converted Wetlands (CW or CW+year) or Manipulated Wetlands (WX).  Other pre-existing wetland labels will remain as previously determined.

514.11  Manipulated Wetlands (WX)

A.  Definition 

(1)  Wetlands that have been manipulated as described in Section 514.10 beyond the scope of allowable maintenance will be labeled as Manipulated Wetlands (WX) if both of the following conditions are met:

(i)  The manipulation was not for the purpose of producing an agricultural commodity (See agricultural commodity definition NFSAM Part 514, Section 514.2 (A)).

(ii)  The manipulation did not make production of an agricultural commodity possible. 

(2)  Manipulated wetlands may or may not meet wetland criteria, depending on the type and degree of manipulation.  If production is later made possible or an agricultural commodity crop is produced on the manipulated wetland, the area will be labeled a converted wetland (CW or CW+year).  Open water areas excavated in wetlands will be labeled WX unless the excavation results in conversion that makes possible production of an agricultural commodity.  In this case, the converted areas would be labeled CW or CW+year. 

(3)  Wetlands manipulated for fish production, trees, vineyards, shrubs, cranberries, agricultural waste management structures, livestock ponds, fire control, or building and road construction where production of an agricultural commodity has not been made possible are labeled WX (7 CFR Section 12.5(b)(1)(iv)).  The intended use of the manipulated area will not be agricultural commodity production.

(4)  At times, annual cover crops are utilized in orchards, vineyards, blueberry patches, and other nonagricultural commodity crop fields.  In these cases, even though the production of an agricultural commodity is possible, the cover crop must be destroyed by mechanical or chemical means before seed heads develop.  If in any crop year, an annually tilled cover crop matures because it is not destroyed, or is harvested, the manipulated area will be labeled CW+year.  The use of nonagricultural cover crops, such as clover or other biennials, is also allowed. 

(5)  NRCS employees are encouraged to assist persons in planning agriculturally-related activities under this exemption (e.g., items 1 through 8 in Section 514.11(B), below).  Policy concerning USDA technical and financial assistance and the protection of wetlands is located in GM-190, Part 410, Subpart B, Related Environment Concerns, Section 410.26

B.  Examples of WX

Examples of activities that result in WX include, but are not limited to:

(i)  An open ditch is constructed through a forested wetland that removes the hydrology, but the trees are not removed and the manipulation does not make production possible.

(ii)  Piles of trees, stumps, and soil cover an area, but the area cannot be cropped without additional land-clearing activities.

(iii)  Construction of roads, buildings, or other activities that do not make production possible.

(iv)  Construction of stock watering or irrigation ponds.

(v)  Conversion for orchards, groves, or vineyards.

(vi)  Spring development.

(vii)  Construction of agricultural waste management structures.

(viii)  A non-perforated subsurface drain is constructed through a forested wetland that requires limited stump removal for installation and the manipulation does not make production of an agricultural commodity possible.

C.  Procedures for Identifying WX

Use the following procedures to identify WX:

STEP

ACTION

1

Use appropriate wetland delineation tools, as described in the Appendix, to assess site conditions. A wetland factor may be altered or removed as a result of manipulation.

2

Review aerial photographs or FSA slides to check for land use changes that may indicate wetland manipulation or conversion.

3

The area qualifies for a WX exemption if manipulation was not for the purpose of producing a commodity crop or was such that production was not made possible.

D.  Maintenance

WX can be maintained but not for the purpose of, or making possible production of, an agricultural commodity.  To ensure compliance, a participant can complete Form AD-1026, Highly Erodible Land and Wetland Conservation Certification, before conducting any hydrologic manipulation to ensure that the proposed manipulation is not for the purpose of, and does not make production of, an agricultural commodity possible on the WX or another wetland. 

514.12  Artificial Wetland (AW)

A.  Definition

(1)  An artificial wetland (AW) is land that was formerly non-wetland under natural conditions but now exhibits wetland characteristics because of the influence of human activities. (7 CFR Section 12.2)  These areas are exempt from the WC provisions of the Act and thus can be drained, removed, or otherwise manipulated without causing ineligibility for USDA program benefits.

(2)  Examples of AW include the following:

(i)  A wetland created incidentally by an irrigation delivery system or other adjacent human activity on an area that was formerly upland.

(ii)  Ponds constructed in non-wetlands (NW).  These may be labeled as AW even if all or part of these areas may be too deep to allow wetland vegetation to grow (i.e., they do not meet the hydrophytic vegetation criteria).  If a pond was constructed wholly or partially in wetlands, the portion of the pond that was constructed in wetlands is not AW.  These areas shall be labeled WX if agricultural production is not possible.

(3)  Increasing the hydrology on an existing wetland does not make the wetland an AW.  Such an area would remain wetland unless the hydroperiod is increased to the point where wetland vegetation cannot survive, in which case it would be labeled WX. 

B.  Procedure

Appropriate wetland delineation tools are used, as described in the Appendix, to assess wetland criteria.

[M_180_NFSAM_514_B - Fifth Edition - November 2010]

Subpart C - Labels: Non-Wetlands


514.20  Non-Wetlands (NW)

A.  Definition

(1)  Non-wetland (NW) is land that under normal conditions does not meet wetland criteria.

(2)  NW also includes wetlands that were converted to the extent that wetland criteria were not present on December 23, 1985, but an agricultural commodity was not produced.  For these NW areas, the wetland criteria have not returned and the area has not been abandoned.

(3)  Deepwater habitat, which does not meet wetland criteria, may be labeled NW if it is necessary to make a determination of eligibility for these areas. 

(4)  In addition to NWs, “other waters of the U.S.” as defined in Section 404 of the Clean Water Act, may occur on a tract.  Other waters include streams, lakes, ponds, rivers, and ditches that are not wetlands as defined in the Act.

(5)  Other waters are not subject to the WC provisions and are not labeled as such on certified wetland determinations.  They may be labeled NW.

B.  Procedure for Identifying NWs

Appropriate wetland delineation tools are used, as described in the Appendix, to assess wetland criteria. 

[M_180_NFSAM_514_C - Fifth Edition - November 2010]

Subpart D - Labels: Wetlands Converted to Agricultural Use Before December 23, 1985


514.30  Prior Converted Cropland (PC)

A.  Definition

(1)  Prior converted cropland (PC) is a converted wetland where the conversion occurred before December 23, 1985; an agricultural commodity had been produced at least once before December 23, 1985; and as of December 23, 1985, the area was capable of producing an agricultural commodity (i.e., did not support woody vegetation and was sufficiently drained to support production of an agricultural commodity).  The conversion could include draining, dredging, filling, leveling, or otherwise manipulating (including the removal of woody vegetation or any activity that results in impairing or reducing the flow and circulation of water) the wetland area.  In addition, PC meets the following hydrologic criteria:

(i)  If the area is not a pothole, playa, or pocosin, inundation is less than 15 consecutive days during the growing season or 10 percent of the growing season, whichever is less, in most years (50 percent chance or more). 

(ii)  If the area is a pothole, playa, or pocosin, inundation is less than 7 consecutive days and saturation is less than 14 consecutive days during the growing season in most years (50 percent chance or more).

Note:  Reference (7 CFR Section 12.2

(2)  The presence and extent of pothole, playa, and pocosin wetlands in each State will be determined by the State Conservationist with advice from the State Technical Committee.

B.  Supporting Documentation

(1)  The NRCS Engineering Field Handbook (EFH), Chapter 19, “Hydrology Tools for Wetland Determination;” the 1987 COE Manual; and the approved State mapping conventions are used to determine if the area is inundated for the requisite time.  Site conditions must be thoroughly documented, using information such as:

(i)  Aerial photographs and FSA slides.

(ii)  Flood frequency studies.

(iii)  Interviews with the person and other knowledgeable residents of the area.

(iv)  Field indicators of surface water such as water marks, drift lines, and drowned or stressed crops.

(v)  Stream gauge data.

(2)  FSA records may be used to determine current or prior cropping history.  In the absence of FSA records, any determination of cropping history should be based on aerial photography, crop expense or receipt records, grain elevator records specific to tract and field, or other suitable documentation that can be tied to the specific field and/or tract under review.

C.  Drainage Maintenance and Improvement

Drainage systems or other hydrologic manipulations on PCs may be maintained or improved after December 23, 1985, without loss of eligibility for USDA program benefits.  USDA program participants should exercise caution when maintaining drainage systems so that neighboring wetlands are not inadvertently drained.

D.  Procedures for Identifying PCs

Aerial photographs, crop records, and other resources are consulted to determine if the area―   

(i)  Has hydric soils.

(ii)  Was converted for production of an agricultural commodity before December 23, 1985.

(iii)  Was capable of producing an agricultural commodity (i.e., did not support woody vegetation and was sufficiently drained to support production of an agricultural commodity) as of December 23, 1985.

(iv)  Fails to meet hydrologic criterion of Farmed Wetland (FW).

514.31  Farmed Wetlands (FW)

A.  Definition

(1)  FWs are wetlands that were drained, dredged, filled, leveled, or otherwise manipulated and used for producing an agricultural commodity before December 23, 1985, and that meet all of the following criteria:

(i)  If the area is not a pothole, playa or pocosin, it is inundated for at least 15 consecutive days during the growing season or 10 percent of the growing season, whichever is less, in most years (50 percent chance or more).

(ii)  If the area is a pothole, playa, or pocosin, it is inundated for at least 7 consecutive days or saturated for at least 14 consecutive days during the growing season in most years (50 percent chance or more).

(iii)  Production was made possible or enhanced by the manipulation.

(iv)  The area has not been abandoned (Section 514.33).

Note:  Reference ( 7 CFR Section 12.2

(2)  The presence and extent of pothole, playa, and pocosin wetlands in each State will be determined by the State Conservationist with advice from the State Technical Committee.

B.  Supporting Documentation

(1)  EFH, Chapter 19, “Hydrology Tools for Wetland Determination;” the 1987 COE Manual; and the approved State mapping conventions are used to determine if the area is inundated for the requisite time.  Site conditions must be thoroughly documented, using information such as:

(i)  Aerial photographs and FSA slides.

(ii)  Flood frequency studies.

(iii)  Interviews with the person and other knowledgeable residents of the area.

(iv)  Field indicators of surface water such as water marks, drift lines, and drowned or stressed crops.

(v)  Stream gauge data.

(2)  FSA records may be used to determine current or prior cropping history.  In the absence of FSA records, any determination of cropping history should be based on aerial photography, crop expense or receipt records, grain elevator records specific to tract and field, or other suitable documentation that can be tied to the specific field and/or tract under review.

C.  Drainage Maintenance and Improvement

(1)  FWs may be maintained and used to produce agricultural commodities or other crops without a loss of eligibility for USDA program benefits.  However, any additional hydrologic manipulation after December 23, 1985, that does not meet the definition of maintenance (Section 516.10) may result in non-compliance of the WC provisions.  ( 7 CFR Section 12.32(b) )  USDA program participants should exercise caution when maintaining drainage systems so that neighboring wetlands are not inadvertently drained.

(2)  If a participant wants to restore wetland characteristics to FW areas and, at the same time, prevent the areas from being considered abandoned, the participant must document hydrologic and vegetative baseline conditions with NRCS before restoring wetland characteristics.  (7 CFR Section 12.5(b)(1)(iii)).

D.  Procedures for Identifying FW

(1)  Aerial photographs, crop records, and other resources must be consulted to determine if the area―

(i)  Has hydric soils.

(ii)  Was converted for production of an agricultural commodity prior to December 23, 1985, and an agricultural commodity was produced at least one year before December 23, 1985.

(iii)  Was capable of production of a commodity crop as of December 23, 1985.

(iv)  As of December 23, 1985, met the hydrologic criterion of FW.

(v)  Was not abandoned after December 23, 1985.

(vi)  Did not meet the converted wetland criteria (manipulated since December 23, 1985, beyond the scope and effect of any prior manipulation).

(2)  If the FW site meets abandonment criteria, without the abandonment being part of an approved plan (documented baseline conditions), the area should be labeled W unless other manipulation has occurred to the extent that it is a converted wetland. 

514.32  Farmed Wetland Pasture or Hayland (FWP)

A.  Definition

A farmed wetland pasture or hayland (FWP) is a wetland that was drained, dredged, filled, leveled, or otherwise manipulated and used for pasture or hayland (includes native pasture or hayland) as of December 23, 1985, and meets both of the following criteria:

(i)  The area is inundated for at least 7 consecutive days during the growing season or saturated for at least 14 consecutive days during the growing season in most years (50 percent chance or more); and

(ii)  The area has not been abandoned (Section 514.33).

Note:  Reference (7 CFR Section 12.2)

B.  Supporting Documentation

EFH, Chapter 19, “Hydrology Tools for Wetland Determination;” the 1987 COE Manual; and the approved State mapping conventions are used to determine if the area is inundated for the requisite time.  Site conditions must be thoroughly documented, using information such as:

(i)  Aerial photographs and FSA slides.

(ii)  Flood frequency studies.

(iii)  Interviews with the person and other knowledgeable residents of the area.

(iv)  Field indicators of surface water such as water marks, drift lines, and drowned or stressed crops.

(v)  Stream gauge data.

C.  Maintenance

(1)  FWP can be maintained and used to produce forage crops or other crops without loss of eligibility for USDA benefits.  However, additional hydrologic manipulation after December 23, 1985, that does not meet the definition of maintenance (Section 516.10) may result in non-compliance with the WC provisions.  (7 CFR Section 12.32(b)) USDA program participants should exercise caution when maintaining drainage systems so that neighboring wetlands are not inadvertently drained.

(2)  If a participant wants to restore wetland characteristics to FWP areas and, at the same time, prevent the areas from being considered abandoned, the participant must document hydrologic and vegetative baseline conditions with NRCS before restoring wetland characteristics.  (7 CFR Section 12.5(b)(1)(iii))

D.  Procedures for Identifying FWP

(1)  Aerial photographs, crop records, and other resources are consulted to determine if the area―

(i)  Has hydric soils.

(ii)  Was converted for production of a pasture and/or hayland use prior to December 23, 1985.

(iii)  Had not produced an agricultural commodity at least one year before December 23, 1985.

(iv)  As of December 23, 1985, met the hydrologic criterion of FWP.

(v)  Was not abandoned after December 23, 1985. 

(vi)  Did not meet the converted wetland criterion (manipulated since December 23, 1985, beyond the scope and effect of any prior manipulation).

(2)  If the FWP site meets abandonment criteria, without the abandonment being part of an approved plan (documented baseline conditions), the area should be labeled W unless other manipulation has occurred to the extent that it is a converted wetland. 

514.33  Abandonment

A.  Description

(1)  Abandonment is the cessation for five consecutive years of management or maintenance operations related to the production of agricultural commodities or forage on areas labeled FW or FWP.  (7 CFR Section 12.33)  FW and FWP areas that are determined to be abandoned will be labeled W.  An area will not be considered abandoned when either of the following occurs:

(i)  It is enrolled in a conservation set-aside program or a State or Federal wetland restoration program, other than USDA perpetual easements such as the Wetland Reserve Program (WRP).  Hydrologic and vegetative baseline conditions and restoration activities must be documented before the site is enrolled.  Restoration is defined in Section 515.10.

(ii)  NRCS documented hydrologic and vegetative baseline conditions and restoration activities before active maintenance and management ceased.  A certified wetland determination conducted by NRCS can be used to verify baseline conditions.  Documentation of baseline conditions should include a scope and effect determination of drainage systems to help ensure that the landowner returns the wetland to the water regime that existed before the wetland restoration.  See Part 516 for more information.

(2)  PC land will not be considered abandoned under the Food Security Act. (7 CFR Section 12.33 (c)

(3)  Areas labeled CW or CW+year are not subject to abandonment.  If restored/mitigated on-site, CW and CW+year areas will revert to the label that applied before the conversion.

(4)  This definition of abandonment is applicable only for compliance with the Food Security Act.  Regulations governing the Clean Water Act may provide different or additional criteria for abandonment, particularly with regard to PC areas.  Participants who are planning to abandon PC areas should be advised to discuss their plans with the COE before proceeding. 

B.  Determination of Abandonment for FW and FWP

(1)  Areas labeled FW – In order to demonstrate that the area has not been abandoned, the participant must be able to document that the site has been maintained such that an annually tilled crop can be produced on it and that drainage structures have been maintained to function at or near their as-built capacity.  See Scope and Effect procedures in Part 516. 

(2)  Areas labeled FWP – In order to demonstrate that the area has not been abandoned, all drainage structures must be maintained to function at or near their as-built capacity, and the participant must have controlled woody vegetation. 

(3)  When making a determination of abandonment, the following types of records can be used:

(i)  Commodity crop production records, for FW.

(ii)  Aerial photographs, including color slides and color infrared photography, to determine the status of hydrology manipulations and cropping.

(iii)  Drainage district or other drainage records to assess maintenance of drainage structures.

C.  Manipulation on Land Considered Abandoned

(1)  Drainage systems may not be reinstalled or maintained if the land has been abandoned and wetland criteria are met.  Such land will be identified as W and any maintenance or manipulation of existing systems that results in conversion will cause the area to be labeled CW or CW+year.

(2)  Maintenance of drainage outlets for PC, FW, or FWP through the area considered abandoned is allowed, as described in Section 514.10(C).

[M_180_NFSAM_514_D - Fifth Edition - November 2010]

Subpart E - Labels: Wetlands Converted After December 23, 1985


514.40  Converted Wetlands (CW or CW+Year)

A.  Definition

(1)  A converted wetland is an area that was formerly wetland (e.g., W, FW, FWP, WX) and meets both of the following criteria:

(i)  After December 23, 1985, has been drained, dredged, filled, leveled, or otherwise manipulated (including the removal of woody vegetation or any activity that results in impairing or reducing the flow and circulation of water) for the purpose, or to have the effect of making the production of, an agricultural commodity possible. 

(ii)  Such production would not have been possible but for such action.

Note:  Reference (7 CFR Section 12.2)

(2)  For the purpose of the Food Security Act, the term “conversion” constitutes activities that have the purpose or effect of making production of an agricultural commodity possible or of increasing production.  Wetlands that have been manipulated but that do not meet this requirement would be labeled WX.

(3)  Wetland conversion activities will be assessed to determine if any exemptions to the Act apply to the conversion.

B.  Examples of Manipulation That Convert Wetlands

This table provides examples of manipulations that are considered conversion if conducted to make agricultural commodity production possible.

Type

Actions that may Cause Conversion of Wetlands

New Construction, grading, land leveling

Construction of open ditches or subsurface drains into or outlets through wetlands.  New construction of a diversion that decreases flow of water to a wetland.

Construction of dugouts, or other ponds, dikes, etc., in wetlands resulting in fill being placed in a wetland, or that impact wetland hydrology.

Removal of micro-topographic features and deep ripping to remove restrictive layers.

Woody Vegetation Removal

Woody vegetation, including stumps, removed after December 23, 1985, if for the purpose of, or to made production of an agricultural commodity possible.

Hydrologic Manipulation

Any manipulation of the hydrology by means of on-site or offsite activities that exceed the original scope and effect of hydrologic manipulations that occurred before December 23, 1985.  For FW, this includes manipulating the hydrology such that production is made more possible (increased yields, increased frequency of cropping, increased diversity of crops). 

C.  Examples of Manipulation That Are Not Considered Conversion

This table contains examples of actions not considered manipulation and manipulation that is not considered conversion. 

Type

Action not Considered Manipulation

Manipulation not Considered Conversion

Woody Vegetation Removal

Removal of woody vegetation without removal of stumps, such that the area cannot be cropped.

·   Removal of woody vegetation, including stumps, from an area so small that production on the area is not possible, such as clearing a fence line in a manner that will not permit the use of normal farming equipment on the cleared area.

·    Removal of seedlings (5 years or less of growth) by mowing or normal plowing.  

Herbaceous Vegetation Removal

Removal of herbaceous vegetation. 

 

Tillage

Normal tillage practices and operations with tillage equipment accepted as normal in the local area.  Tilling does not include redistribution of surface material in a manner that converts wetland areas, mechanized land-clearing, or deep ripping in wetland areas.

 

D.  Date of Conversion

(1)  When the Act was signed in 1985, it stated that persons shall be ineligible for USDA benefits if an agricultural commodity is planted on wetland that was converted after December 23, 1985.  (7 CFR Section 12.4(a)(2)

(2)  Revisions to the Act in 1990 stated that persons shall be ineligible for USDA benefits if they convert wetlands after November 28, 1990, to the extent that production of an agricultural commodity is possible.  (7 CFR Section12.4(a)(3))  For this reason, NRCS must determine whether a wetland was converted before or after November 28, 1990.  Non-exempted conversions made after December 23, 1985, but before November 28, 1990, will be labeled CW.  Non-exempted conversions made after November 28, 1990, will be labeled CW+year (the year the conversion occurred).

(3)  An area will also be labeled CW if the conversion occurred after December 23, 1985, and is the result of activity by a county, drainage district, or similar entity.  (Section 514.42(C)).  Production of agricultural commodities or forage for mechanical harvest or additional manipulation on these areas will result in ineligibility for USDA programs.

E.  Maintenance on CW and CW+year

Manipulation that was performed between December 23, 1985, and November 28, 1990, that caused an area to become a CW may be maintained to the scope and effect of the original manipulation.  Subsequent manipulation that exceeds the original scope and effect will cause the affected area to become a CW+year under the Act, and the person may be ineligible for USDA benefits unless an exemption applies.  Production of an agricultural commodity on the CW will also result in ineligibility for USDA program benefits for that crop year. 

F.  Labeling Converted Wetlands that are restored

If a converted wetland is restored on-site by a participant in accordance with a restoration/mitigation plan approved by NRCS, the area will revert to the label that applied before the conversion.

G.  Procedures for Identifying Converted Wetlands

The following table shall be used to identify CW or CW+Year:

STEP

ACTION

1

Appropriate wetland delineation tools are used as described in the Appendix to assess wetland criteria.

2

The1985, 1990, and/or other appropriate year aerial photographs or FSA slides are reviewed to confirm date of potential wetland conversion.  FSA receipts or other records may also be used to help determine the date.  For wetlands converted between December 23, 1985, and November 28, 1990, it is generally not essential to know the exact crop year of conversion.  For wetlands converted after November 28, 1990, the crop year must be determined using the best available data.  This information is provided to FSA to determine the years the person may be ineligible for USDA program benefits.

H.  Conservation Practices on HEL and NHEL

(1)  Wetlands converted as a result of installation of required water erosion control practices on HEL lands will not be considered converted wetlands.  Alternatives that avoid or minimize impacts to wetlands will be recommended to the person and utilized whenever possible.  These areas will keep the W label.

(2)  If a wetland will be affected by a water erosion control practice on NHEL, the NRCS representative will follow minimal effect determination procedures (NFSAM Part 515). Water conservation measures are not included with water erosion control practices for this provision; thus, a water conservation measure that diverts water from a specific wetland may result in a CW+year designation unless exempted by a minimal effect determination.

514.41  Converted Wetland Technical Error (CWTE)

A.  Definition

(1)  Converted wetland technical error (CWTE) occurs if NRCS makes a wetland determination that is incorrect and results in a person taking action that would place this person in non-compliance with WC provisions.  (7 CFR Section 12.5 (b)(6))  Failure of NRCS to make a determination does not constitute a CWTE.  CWTE cannot be used to exempt the person from actions taken while waiting for NRCS to respond to Form AD-1026.

(2)  The erroneous information from NRCS must meet each of the following criteria:

(i)  Be documented on Forms NRCS-CPA-026 or NRCS-CPA-026e.

(ii)  Have preceded the action.

(iii)  Have been directly relied upon by the person in the decision to take the action.

(3)  A CWTE can be approved only at the State level.

B.  Exception – Obvious Wetlands

CWTE does not apply to obvious wetlands.  An obvious wetland is an area that is continuously inundated or saturated for long periods of time during the growing season to such an extent that access by foot to make a determination of predominance of hydric soils or prevalence of hydrophytic vegetation is not feasible.  (7 CFR Section 12.6 (c)(8))  Additionally, wetland sites that are cropped or have had forage harvested by mechanical means less than 5 out of 10 years because of ponding, flooding, or saturation are obvious wetlands.

C.  Supporting Documentation

Documentation for the CWTE must include each of the following:

(i)  Form AD-1026 showing the person’s intent.

(ii)  Corresponding Forms CPA-026 or CPA-026e, including on-site documentation sheets.

(iii)  Date conversion was started.

(iv)  Date conversion was completed. 

(v)  Explanation of the events and circumstances leading to the error.

D.  Use and Maintenance

USDA program participants may produce an agricultural commodity on a CWTE.  Drainage systems and other hydrologic manipulations can be maintained.  However, additional manipulation after the effective date of the CWTE may result in the area being labeled CW+year.  Scope and effect of hydrologic manipulation should accompany a CWTE label.

E.  Procedures for Identifying a CWTE

The following table shall be used to identify a CWTE:

STEP

ACTION

1

Appropriate wetland delineation tools are used as described in the Appendix to assess wetland criteria. 

2

The 1985, 1990, and/or other appropriate year aerial photographs or FSA slides are reviewed to confirm date of potential wetland conversion.  FSA receipts or other records may also be used to help determine the date.  Review CPA-026e and data furnished by participant. 

3

The data is submitted to the State Conservationist for CWTE consideration.

514.42  Third-Party Conversion Exemption (TP)

A.  Background

(1)  A person shall not be determined to be ineligible for program benefits for production of an agricultural commodity on wetland converted after December 23, 1985, if such conversion was not the result of a scheme or device to avoid compliance and either of the following:

(i)  The wetland is converted by actions of persons unassociated or unaffiliated with the USDA program participant, or any of the person’s predecessor in interest, such as a prior landowner.

(ii)  The wetland conversion is an indirect effect of an action occurring off the tract whose purpose is other than to convert that particular wetland, such as drainage on an adjacent property, by a person other than the participant.

Note:  Reference (7 CFR Section 12.5(b)(1)(vii)(D))

(2)  FSA is responsible for determining whether the party who converts a wetland is a third party.  (7 CFR Section 12.6(b)(3)(vii))

(3)  FSA will notify NRCS when a third-party exemption is approved.  NRCS will label the converted wetland TP.  The third party will be ineligible to receive USDA benefits unless the wetland functions and values are mitigated.

B.  Use of Wetlands Converted by Third Party and Eligibility of TP

Further drainage improvement on such land is not permitted without loss of eligibility for USDA program benefits unless NRCS determines that further drainage activities applied to that land would have minimal effect on the wetland functions and values in the area.  (7 CFR Section 12.5(b)(1)(vii)(D))

C.  Conversions by Drainage Districts or Similar Entities

The regulations (7 CFR Section 12.5(b)(1)(vii)(D)) specify that activities of an entity of local government, such as a water resource district, drainage district, or local road authorities, will be attributed to all persons within the jurisdiction of the district or other entity who are assessed for the activities of the district or entity.  Accordingly, where a person’s wetland is converted due to the actions of the district or entity, the person shall be considered to have caused or permitted the drainage.  However, the activities of a drainage district or other entity will not be attributed to a person to the extent that the activities of the district or entity were beyond the control of the person, and the wetland converted is not used by the person for the production of an agricultural commodity or a forage crop for harvest by mechanical means.  Wetlands converted by a drainage district or similar entity will be labeled CW.

[M_180_NFSAM_514_E - Fifth Edition - November 2010]

Subpart F - Labels: Prior Manuals


514.50  Background

Previous editions of the National Food Security Act Manual contained labels that will not be used for certified determinations completed after the effective date of this manual.  These labels may be shown for previous determinations and maintained in the Customer Service Toolkit. 

514.51  Commenced Conversion (CC)

A.  Definition

A Commenced Conversion (CC) wetland is a wetland, farmed wetland, farmed wetland pasture, or a converted wetland on which conversion began but was not completed before December 23, 1985.  (7 CFR Section 12.20)  A commenced conversion determination allows persons who had expended or legally committed substantial funds for the primary and direct purpose of converting wetlands before December 23, 1985, to complete the conversion without jeopardizing USDA program benefits.

B.  Criteria

(1)  A CC exemption may be granted by FSA where conversion began but was not completed before December 23, 1985, if the person filed an ASCS-492 with FSA before September 19, 1988, and either of the following applies:

(i)  Began construction activities before December 23, 1985, that would convert the wetland. 

(ii)  Expended or legally committed substantial funds before December 23, 1985, for the primary and direct purpose of converting the wetland.

(2)  To be eligible for a CC determination, the person must have pursued completion of the conversion on a regular basis since initiation of the conversion project, except for delays because of circumstances beyond the person’s control.  The CC exemption will be lost if the conversion is not completed by January 1, 1995, unless there are justifiable circumstances.  Land on which such conversion activities were not completed by January 1, 1995, shall be evaluated by the same standards and qualify for the same exemptions as wetlands or farmed wetlands, as applicable.  The CC exemption only applies to the conversion of those wetlands for which construction was begun or materials and supplies purchased.

C.  Use and Maintenance

Participants may produce an agricultural commodity on areas labeled CC.  Drainage systems and other hydrologic manipulations can be maintained.  

514.52  Converted Wetland for Non-Agricultural Purposes (CWNA)

Definition

A “converted wetland for non-agricultural purposes” (CWNA) label was utilized in previous editions to denote areas of wetlands that were converted after November 28, 1990, that would not be in violation of WC provisions if the conversion activities were for purposes other than for making agricultural production possible.

514.53  Not Inventoried (NI)

Definition

The “not inventoried” (NI) label was utilized in previous editions to denote areas on a tract on which a certified determination had not been completed.

[M_180_NFSAM_514_F - Fifth Edition - November 2010]

Subpart G - Authorized Activities for Wetland Compliance


514.60  Uses and Maintenance

A.  The following table provides a summary of the wetland types, labels, criteria, authorized uses, and authorized maintenance activities for compliance with the WC provisions of the Act.

B.  When a certified wetland determination is conducted, NRCS will apply the criteria provided in this part and label the area accordingly.  This will update the previous label, if there is one.  If there is no change in a given label, updating the label will not affect a participant’s eligibility under the Act, because the criteria for identifying wetlands and exemptions have not changed.  Labels will not be updated on areas for which a certified determination is not required. 

Note:  The paragraph reference should be used to locate additional information on the wetlands identified in this table.

Name and Label

Criteria For Determination

Authorized Uses

Authorized Maintenance

Paragraph Reference

(AW)

Artificial Wetland

Created wetlands on areas that were previously non-wetland.

No restrictions.

No restrictions.

Section 514.12

(CC)

Commenced Conversion

Conversion began before December 23, 1985, and was approved by FSA; conversion activity was completed by January 1, 1995.

No restrictions provided activities were completed per conditions.

As stipulated in the agreement.

Section 514.51

(CPD)

COE Permit w/ Mitigation

Converted wetland is exempt because the activity is authorized by a COE permit and satisfies the mitigation requirements of the Act.

Per COE permit conditions.

Per COE permit conditions.

Section 515.20

(CW) Converted Wetland

Converted after December 23, 1985, and prior to November 28, 1990.

Production of agricultural commodities or additional manipulation will cause ineligibility.

 

Maintenance allowed to scope and effect of original manipulation

Section 514.40

(CW)

Wetland Converted by county, drainage district, or similar entity.

Converted after December 23, 1985, by drainage district or other entity and beyond a person’s direct control, but not considered third party (TP).

Production of agricultural commodities or forage for mechanical harvest or additional manipulation will cause ineligibility.

Maintenance allowed to original scope and effect of system before conversion.

Section 514.40

(CW+year)

Converted wetland

Converted after November 28, 1990.

Conversion causes ineligibility, regardless of whether production of agricultural commodity occurred.

Not applicable.

 

Section 514.40

(CWNA) 

Converted wetland for non-agricultural purposes.

Production of agricultural commodities will cause ineligibility.

No restrictions.

Section 514.52

(CWTE)

Converted Wetland Technical Error

An area converted after December 23, 1985, where the conversion or production of an agricultural commodity was a consequence of an incorrect NRCS determination.

May be used for production of agricultural commodities or forage provided no manipulation is done beyond what existed as of the date of the CWTE determination.

May be maintained to the extent that existed on the date of the CWTE determination.

Section 514.41

(FW)

Farmed Wetland

Manipulated and used for the production of an agricultural commodity as of December 23, 1985.

If the area is not a pothole, playa, or pocosin, it is inundated for at least 15 consecutive days during the growing season or 10 percent of the growing season, whichever is less, in most years.

If the area is a pothole, playa, or pocosin, it is inundated for at least 7 consecutive days or saturated for at least 14 consecutive days during the growing season in most years.

Not abandoned.

May be used for production of agricultural commodities or forage.

May be maintained to the extent that existed before December 23, 1985, if “as- built” records exist.

May be maintained to the extent that existed on December 23, 1985, if no “as- built” records exist.

Section 514.31

(FWP)

Farmed Wetland Pasture and Hayland

Manipulated and used for pasture or hay as of December 23, 1985.

Is inundated for at least 7 consecutive days or saturated for 14 days during the growing season.

Not abandoned.

May be used for production of agricultural commodities or forage.

May be maintained to the extent that existed before December 23, 1985, if “as- built” records exist.

May be maintained to the extent that existed on December 23, 1985, if no “as- built” records exist.

Section 514.32

(MIW)

Mitigation Exemption

Converted wetland is exempt because mitigation has occurred according to an NRCS-approved plan.

As stipulated in the mitigation agreement.

As stipulated in the mitigation agreement.

Section 515.10

(MW)

Minimal Effect Exemption

Converted wetland is exempt because conversion is determined to have a minimal effect, individually and cumulatively, on the wetland functions in the watershed.

 

As stipulated in the minimal effect agreement, if applicable.

Only those activities stipulated in the minimal effect agreement, if applicable.

Section  515.0

(MWM)

Mitigation Site

Site of wetland restoration, enhancement, or creation serving as mitigation for MIW site.

As stipulated in Mitigation Plan/Agreement.

As stipulated  in Mitigation Plan/Agreement

Section 515.10

(NI)

Not Inventoried

Used when a wetland determination is not conducted.

Can determine only after a certified wetland determination is completed for the area labeled NI.

Can determine only after a certified wetland determination is completed for the area labeled NI.

Section 514.53

(NW)

Nonwetland

Does not meet wetland criteria. 

Also includes wetlands converted before December 23, 1985, but a commodity crop was not produced and the area does not meet wetland criteria.  The area has not been abandoned.

No restrictions.

No restrictions unless manipulation would convert adjacent wetlands.

Section 514.20

(PC)

Prior Converted Cropland

Wetland converted to cropland before December 23, 1985, and as of December 23, 1985, was capable of being cropped and did not meet farmed wetland hydrology criteria.

No restrictions.

No restrictions unless manipulation would convert adjacent wetlands.

Section 514.30

(TP)

Third Party Exemption

A wetland converted after December 23, 1985; by a third party who is not associated with the participant, and without the participant’s collusion, fraud, scheme, or device.  A third party does not include predecessors in interest on the tract or drainage districts or other local government entities.

 

May be used for production of agricultural commodities or forage.

Further drainage improvement will cause ineligibility.

Section 514.42

(W)

Wetland

Meets wetland criteria.

Not converted after December 23, 1985.

Also, includes areas previously identified as FW or FWP, which have been abandoned.

May be farmed under natural conditions without removal of woody vegetation.

At level needed to maintain original system on FW, FWP, and PC.  Must not convert additional wetlands or exceed original scope and effect of drainage system.

Section 514.10

(WX)

Wetlands that have been manipulated

Wetlands that have been manipulated but not for the purpose of or making possible production of an agricultural commodity.

Would cause ineligibility if production was later made possible.

No restrictions as long as production not made possible, including on an adjacent wetland.

Section 514.11

 

[M_180_NFSAM_514_G - Fifth Edition - November 2010]

Subpart H – Labels: Exemptions Due to the Relinking of Crop Insurance to Conservation Compliance
Part 514 – Wetland Determination and Labels   

Subpart H – Labels: Exemptions Due to the Relinking of Crop Insurance to Conservation Compliance

514.70  Timely Evaluation of Wetland Certifications due to the Agricultural Act of 2014, Converted Wetland Timely Assistance (CWTA)

A.  Definitions

(1)  The Food Security Act of 1985, as amended, provides that USDA will evaluate wetland compliance determination requests from Federal crop insurance program subsidy participants in a timely manner.  Converted wetland timely assistance (CWTA) are wetlands converted when NRCS does not conduct the evaluation of a compliance certification in a timely manner.  When the wetland determination is not conducted in a timely manner, the participant maintains eligibility for Federal crop insurance premium subsidies regardless of whether they are in compliance.  This exemption remains with the land and applies to participants requesting Federal crop insurance subsidy benefits only. 

(2)  The timely assistance period is defined as receiving a preliminary determination within 12 months from the date that a request for a determination is received by NRCS.  Exceptions may apply if the required evaluation is delayed due to unfavorable site conditions for the evaluation of soils, hydrology, or vegetation.  When the State Conservationist (STC) determines an exception is warranted, the STC, or delegated official, will notify the participant in writing clearly identifying the basis for the exception.

B.  Applicability

This exemption applies only to —

(i)  Federal crop insurance program participants who—

·         Certify their compliance by filing an accurate Form AD-1026, Highly Erodible Land Conservation (HELC) and Wetland Conservation (WC) Certification.

·         Indicate their intention to conduct an activity that hasn’t been previously evaluated by NRCS.

·         Experience an elapsed time, as determined by NRCS, of greater than 12 months before receiving their preliminary technical determination from NRCS.

(ii)  Requests for certified wetland determinations, not requests for scope and effect, minimal effect, mitigation, or HEL determinations.

(iii)  A person’s eligibility for Federal crop insurance program subsidies.

(iv)  Wetland determination requests referred to NRCS on or after April 24, 2015.

C.  Timing

(1)  The timely assistance period starts when FSA refers the wetland determination request to NRCS, as indicated by signature and date in boxes 11A and 11B on the Form AD-1026.

(2)  The opportunity for a person to receive the CWTA exemption expires upon certification of a preliminary technical determination (PTD) by NRCS.  PTDs will be sent certified mail, with return receipt.

D.  Exemption

(1)  Use the label CWTA to identify wetlands that receive the timely assistance exemption.  This exemption only applies to the specific locations on the tracts referred to NRCS on Form AD-1026 that did not receive the certification within the timely assistance period.  There are no restrictions on the management of CWTA areas for Federal crop insurance benefits.

(2)  A CWTA may only be approved by the STC or a delegated official.

E.  Procedures for identifying a CWTA

(1)  The following are required to be eligible for the CWTA exemption:

(i)  A wetland conversion has occurred.

(ii)  The timely assistance period has expired for a Federal crop insurance program participant.

(iii)  NRCS received a written request for the exemption from the Federal crop insurance program participant.

(2)  Use the following table to identify a CWTA

Figure 514-H1

STEP

ACTION

1

Use the Food Security Act wetland identification procedures to assess wetland criteria. 

2

Ensure that another wetland exemption does not apply according to part 514.0 (e.g., MW, WX, etc.)

3

Provide the information found in steps 1 and 2 of this table to the STC for CWTA consideration.

514.71  Converted Wetland In-Lieu Fee (CWIL)

A.  Definition

The CWIL is an exemption created by the Agricultural Act of 2014 that allows for wetland conversions when a participant agrees to make a “payment in lieu” of wetland mitigation.  This exemption is limited to conversions less than 5 acres of an entire farm (a single FSA farm number).  The exemption requires an in-lieu-fee payment of 150 percent of the cost of an NRCS-approved mitigation. 

B.  Applicability

This exemption is applicable only to Federal crop insurance program benefits.  As such, if a person wishes to participate in other applicable USDA programs, this exemption will not apply and the converted wetland will need to be restored or mitigated as a condition of program eligibility.  If the original wetland is later restored or mitigated, this payment will not be refunded.  This exemption remains with the land in question and future operators may benefit by farming the converted wetland while retaining eligibility for the Federal crop insurance program.

C.  Procedures for Identifying a CWIL

Use appropriate procedures as described in the Food Security Act wetland identification procedures to assess wetland criteria of the sites proposed for a CWIL exemption.  The CWIL exemption may also be used to regain eligibility for Federal crop insurance program benefits after a wetland has been converted.  The CWIL exemption is only available for wetlands totaling less than 5 acres in size.

D.  Procedures for Calculating CWIL Payment

(1)  Calculate 150 percent of the cost of mitigation according to the following procedure.  Calculations will be made on a case-by-case basis for each wetlands proposed to qualify for this exemption. 

(i)  Step 1—Calculate cost of onsite restoration

·         Select the appropriate conservation practice standards (CPSs) from the Field Office Technical Guide and use the appropriate practice payment schedule to calculate the cost of each practice using the established unit, acre, and over the typical time period of implementation (e.g., weed control would occur four times in a typical restoration). 

·         Use the in-lieu fee functional assessment to document the “preconversion” status of the wetland, which will be the basis for identifying the practices needed for restoration.

·         Common CPSs may include but are not limited to—

- 327 – Conservation Cover

- 315 – Herbaceous Weed Control

- 657 – Wetland Restoration

- 644 – Wetland Wildlife Habitat Management

- 356 – Dike

- 587 – Structure for Water Control

- 612 – Tree Planting

(ii)  Step 2—Calculate the land cost

Use the geographic area rate caps (GARC) established for the Agricultural Conservation Easement Program (ACEP) Wetland Reserve Easements for the area in question. 

(iii)  Step 3—Calculate administrative and legal costs

Use the established rate of $1,000 per exemption for administrative and legal costs.  NRCS anticipates CWIL will primarily be for degraded cropped wetlands that are less than 5 acres in size.  The established rate per exemption includes title searches, surveys, title insurance, and miscellaneous legal fees.

(iv)  Step 4—Calculate site monitoring cost

Monitoring costs are based on a blended average of onsite and offsite review and reporting costs.  Use a fixed rate of $150 per acre.

(v)  Step 5—Final cost

Result of steps one through four to obtain the final in-lieu-fee rate per acre.  Each cost calculation must be clearly documented.

(2)  Example calculation

A 3-acre wetland is converted in South Dakota.  The client only participates in Federal crop insurance programs.  The client wants to know the CWIL rate to remain eligible for Federal crop insurance benefits.

Figure 514-H2

STEP 1

Results of the functional assessment identified CPS codes 327, 315, and 657 will fully mitigate the wetland conversion.  Using the 2013 practice payment schedule for South Dakota:

327 – (3 acres of native grass + forbs in wetland, includes cost of establishing grass.) = $1,245

315 – (Spraying a 3 acre wetland site for 3 years) = $240

657 – (Ditch Plug – 300 cubic yards) = $2,421

$3906

STEP 2

The 2013 ACEP GARC in eastern South Dakota is $4,500 an acre. Three acres would be valued at $13,500.

$13,500

STEP 3

The administrative and legal costs are set at a standard $1000 per mitigation.

$1000

STEP 4

The site monitoring cost for of $150.00/acre × 3 acres = $450.00

$450

STEP 5

TOTAL

$18,856

150% of TOTAL

$28,284

The in-lieu fee for this example is $9,428.00 per acre

E. Collection of Funds

(1)  The CWIL exemption will only be granted after the participant signs the CWIL agreement letter and returns the letter to NRCS (see template in 514.72, Exhibit).  When the letter is received and the debt collection process, identified below, is followed, create a new wetland determination map and Form NRCS-CPA-026e, “Highly Erodible Land and Wetland Conservation Determination,” according to section 514.1E of this manual, with the subject wetlands identified as CWIL and transmit a copy to both the participant and the FSA.

(2)  Debt Collection Using the National Accounts Receivable Services Team (NARST)

(i)  NARST enters debts to be collected into the Financial Management Modernization Initiative (FMMI) system to initiate the collection process.

(ii)  The State point of contact for NARST will notify NARST of a debt to be collected and upload a copy of the collection notice to the NARST SharePoint site.

(iii)  When the receivable is entered into the FMMI system, the National Finance Center (NFC) mails a bill to the participant, requesting payment for these amounts.  The participant must make the check payable to “U.S. Department of Agriculture—NRCS,” and follow the instructions on the bill. 

(iv)  If payment is not received within 30 calendar days of the date of the NFC bill, interest will start to accrue on the total amount requested in the letter for the full amount of the delinquent debt, including the principal and any other charges due. 

(v)  After 30 calendar days, NFC will send up to three demand letters, which provide payment options per 7 CFR Part 1403.  If there is no response after the three demand letters, NFC will then transfer the debt to the U.S. Department of the Treasury to offset the payment against any other payments issued to the participant. 

(vi)  Collection of amounts due will follow the Debt Collection Improvement Act of 1996 procedures and will accrue interest at the current value of funds rate published in the Federal Register by the Treasury Department.  The outstanding debt is referred to the Treasury Offset Program.

514.72  Exhibit

In-Lieu Fee Collection Notice


    
    

   
    

[M_180_NFSAM_514_H - 5th Ed. Amend. 2 - December 2015]