Editors' Summary: In an effort to fulfill President Bush's no net loss of wetlands policy, the Department of the Army and the Environmental Protection Agency (EPA) in November 1989 entered into an agreement that clarified mitigation requirements of the Clean Water Act's §404(b)(1) guidelines. The implementation of the agreement was delayed three times in response to concerns raised by oil and gas interests and the development community. After much interagency debate and amidst continued controversy, the Army and EPA signed a new agreement on February 6, 1990. This Article explains the mitigation requirements and the differences between the November and February agreements. It concludes that the agreement supports the goal of no net loss of wetlands.