The Collaborative International Dictionary of English v.0.48:

Grassy \Grass"y\a.
   1. Covered with grass; abounding with grass; as, a grassy
      lawn. --Spenser.
      [1913 Webster]

   2. Resembling grass; green.
      [1913 Webster]

WordNet (r) 3.0 (2006):

grassy
    adj 1: abounding in grass [ant: grassless]