The Ag Wetland Mitigation Bank program is an opportunity for landowners to convert low producing acres to a created wetland. This creates a credit that may be purchased by a producer who may want to mitigate the loss of a wetland. While the credit is exchanged, the seller of the credit retains ownership of the acre.
Creating Wetland Credits
South Dakota Farm Bureau will work with you to understand the demand for credits in your area and provide resources for determining if your acres are qualified for the program. At every step of the process, a dedicated team member assists with the details, ensuring all requirements are met. Our interactive map allows you to see what credits are available in your area and if there is a demand for credit creation.
Not all land will qualify for Ag Wetland Mitigation Banking. We work with experts in wetland restoration and creation, environmental engineers, and the NRCS to ensure your acres are candidates before beginning the process. Curious if your land qualifies? Contact one of our team members to start the conversation about your farm.
Created credits are able to be sold at a price set by the owner. South Dakota Farm Bureau will connect owners with potential buyers and facilitate negotiations and the exchange of the credits. After a credit is sold, the landowner retains ownership of the land indefinitely and can even enjoy approved recreation on it such as hunting.
No, existing wetlands do not qualify for the program. Credits must be made available by restoring, enhancing or creating wetlands to offset the loss of another wetland.
The asking price of a wetland credit is determined by the seller of the credit. The final price is negotiated between the buyer and seller but typically ranges between $12,000 - $21,000 per credit. The seller retains 75-80% of the sale, while the rest is set aside to be used to fund future enhancements or updates needed for the wetland.
After the credit is sold, the seller retains ownership of the land itself and is responsible for any upkeep to the wetland. Once a credit is sold, it may not be sold again.
Investigation of potential bank site and estimate of credit yield
Preparation of Bank Site Plans
Facilitation of NRCS approval of Bank Site Plans
Oversight of implementation of Bank Site Plans (restoration, construction, vegetation establishment)
Credit marketing, sales, and credit ledger tracking
Long-term management of mitigation bank
Posting and maintaining operational life and long-term financial assurances
Establishing and holding the real estate protection instrument (Warranty Easement Deed)
Allows Sponsor and Consultant to access site to conduct investigations to prepare Bank Site Plan
Signs Warranty Easement Deed and comply with list of restricted uses identified in document (cropping, unauthorized mowing/grazing, modification of structures, etc.
Complete the restoration work according to Bank Site Plan approved by NRCS (under Stantec oversight)
Agrees to complete the establishment within an agreed-upon timeline (6-9 months)
Pays the costs associated with restoration construction and vegetation establishment (estimated costs provided upon plan approval)
Funding of monitoring of bank site and maintenance work during the establishment period (likely 3-4 years)