USDA PUBLISHES FINAL RULES FOR FARM LOAN PROGRAMS

News Date: 12/08/2008

USDA has published its final rule amending the Farm Service Agency (FSA) regulations for direct and guaranteed Farm Operating loans and Farm Ownership loans, and the lease and disposal of inventory property. This rule implements changes required by the 2008 Farm Bill. The effective date of the rule is January 7, 2009.

The maximum loan amount authorized for direct Farm Ownership loans and direct Farm Operating loans is being increased. The existing Beginning Farmer Down payment Loan Program is being amended to include socially disadvantaged farmers and to reduce the size of the required down payment. Regulations governing lease and disposal of FSA's real estate inventory, which currently give priority to beginning farmers, are being amended to also give socially disadvantaged farmers priority. The new rules can be found at: http://edocket.access.gpo.gov/2008/pdf/E8-28903.pdf.

(Contact: Amy Mann)