The above named joined REPS 4 in January 2010 and has received payment for the first two years of his plan. The applicant was selected for inspection in 2011. On inspection it was found that bovines were not excluded from a watercourse on the farm and a 35% penalty was applied. The person named was notified in writing on 6 February 2012 of the application of the penalty and of his right of appeal. On 27 February 2012 the person named was informed in writing that as no appeal of the penalty was received by the Department the amount due would be deducted from his next REPS payment. The person named was also informed of his right to appeal to the Agricultural Appeals Office. An appeal has yet been received in the Agricultural Appeals Office.