The U.S. Department of Agriculture has issued an interim rule, effective upon Federal Register publication on July 29, 2026, addressing the certification of wetland determinations made after November 28, 1990. The rule also covers determinations issued during the period from November 28, 1990 through July 3, 1996.

Under the Swampbuster provisions of the Farm Bill (16 U.S.C. § 3821 et seq.), USDA may deny specified federal agricultural benefits to producers who:

• Produce an agricultural commodity on a converted wetland (a wetland that was drained, filled, or otherwise converted to enable crop production), or
• Convert a wetland to make agricultural production possible

The interim rule clarifies that certified wetland determinations — formal NRCS (Natural Resources Conservation Service) findings that a parcel contains wetlands subject to Swampbuster — may serve as the operative basis for these benefit denials. The rule addresses determinations made after November 28, 1990, including the 1990–1996 period that had been subject to procedural uncertainty.

The benefits that may be denied based on a certified wetland determination include:

• Commodity programs — price support, loan deficiency payments, and related programs administered by the Farm Service Agency (FSA)
• Conservation programs — Conservation Reserve Program (CRP), Environmental Quality Incentives Program (EQIP), and related programs
• Agricultural loans — FSA direct and guaranteed loans
• Crop insurance subsidies — premium subsidies under the Federal Crop Insurance Act

For agricultural operations that depend on USDA program payments, FSA loans, or subsidized crop insurance, a certified wetland determination can have severe financial consequences — potentially eliminating eligibility for the full suite of federal agricultural support.

Certification requires:

• Notice to the affected person — the landowner or operator must be informed of the determination
• Information concerning appeal rights — the notice must include information about how to appeal the determination

The appeal process runs through USDA's National Appeals Division (NAD). Landowners who believe a wetland determination is incorrect have the right to request an informal hearing and, if necessary, a formal hearing before a NAD hearing officer.

The most important due diligence step for any acquisition or financing of U.S. agricultural or rural land is to obtain and review all historical NRCS wetland determinations for the subject parcel. NRCS maintains records of certified determinations, and these records should be requested directly from the local NRCS field office as part of the due diligence process.

Key questions to investigate:

• Has NRCS issued a certified wetland determination for any portion of the parcel?
• Does the determination cover the 1990–1996 period addressed by the interim rule?
• Has the landowner or any prior owner appealed the determination? What was the outcome?
• Has any drainage, filling, or other conversion work been performed on the parcel since the determination?

In addition to formal NRCS determinations, due diligence should include:

• National Wetlands Inventory (NWI) maps — USFWS mapping of wetland areas
• NRCS Web Soil Survey — soil data that may indicate hydric soils associated with wetlands
• Drainage tile maps and records — evidence of historical drainage work that may constitute a wetland conversion
• Aerial photography — historical imagery showing changes in land cover, drainage patterns, or water features

If a prior owner received a wetland determination notice and did not appeal within the applicable deadline, the determination may be final and binding on subsequent owners. Due diligence should include a review of any prior appeal notices and the outcome of any appeals.

Purchase agreements should address:

• Seller representations and warranties regarding the absence of certified wetland determinations, pending NRCS proceedings, and prior conversion activity
• Disclosure obligations for any known wetland determinations or drainage work
• Indemnification for losses caused by undisclosed wetland determinations or inaccurate representations
• Conditions to closing that require satisfactory wetland due diligence

Loan agreements and mortgages should address:

• Representations and warranties regarding wetland status and USDA benefit eligibility
• Covenants prohibiting wetland conversion without lender consent
• Events of default triggered by loss of USDA benefit eligibility due to wetland violations
• Lender rights to conduct wetland due diligence and require remediation

Lease agreements for agricultural land should address:

• Tenant obligations to avoid wetland conversion activities
• Landlord notification rights if NRCS initiates a wetland determination proceeding
• Allocation of liability for USDA benefit denials caused by tenant activities

Turkish individuals and companies have been active investors in U.S. agricultural land, particularly in states with significant Turkish-American communities and in regions with favorable land prices. The USDA interim rule creates new due diligence obligations for any Turkish investor acquiring or financing U.S. agricultural land.

Practical steps for Turkish investors:

1. Engage a U.S. agricultural attorney with experience in USDA program compliance and NRCS wetland determinations before closing any agricultural land transaction
2. Request NRCS records for the subject parcel as part of standard due diligence
3. Review title insurance to confirm whether wetland-related issues are covered or excluded
4. Assess USDA benefit dependency — if the land's value or income depends on USDA program payments, FSA loans, or crop insurance subsidies, wetland status is a material financial risk

Foreign investors in U.S. agricultural land are subject to reporting requirements under the Agricultural Foreign Investment Disclosure Act (AFIDA). Turkish investors should ensure that AFIDA filings are current and accurate, as USDA enforcement of AFIDA has increased in recent years.

This article is based on a public-inspection document scheduled for Federal Register publication on July 29, 2026. The published edition should be confirmed before relying on operative dates. This article does not constitute legal or regulatory advice. Buyers, lenders, and investors in U.S. agricultural land should consult qualified legal counsel.