To amend the Consolidated Farm and Rural Development Act to modify limitations on amounts of farm ownership loans and operating loans, and for other purposes.
Summary
What This Bill Does
The bill defines increase in farm ownership loan limits from $600K to $850K (direct) and $1.75M to $3M (guaranteed), and operating loan limits from $400K to $750K (direct) and $1.75M to $2.6M (guaranteed), with inflation, defines change in inflation adjustment index for farm loan limits from Prices Paid By Farmers Index to weighted average of farm real estate, cropland, and pasture land values published by NASS, and defines modification to down payment loan program by linking loan cap to Section 305(a) limits and removing the $667K appraised value cap (subparagraph C) as a constraint. It relies on loan guarantees, definition changes, and compliance mandates. The main policy areas are Agriculture and Finance.
Who Benefits and How
Farmers and ranchers seeking federal farm ownership and operating loans could gain revenue opportunities, Small-scale and beginning farmers eligible for microloans could gain revenue opportunities, and Farmers with distressed guaranteed loans could see lower costs.
Who Bears the Burden and How
USDA Farm Service Agency could face higher costs, Farm Service Agency would take on compliance duties, and Private agricultural lenders holding guaranteed loans could lose revenue opportunities.
Key Provisions
- Defines increase in farm ownership loan limits from $600K to $850K (direct) and $1.75M to $3M (guaranteed), and operating loan limits from $400K to $750K (direct) and $1.75M to $2.6M (guaranteed), with inflation...
- Defines change in inflation adjustment index for farm loan limits from Prices Paid By Farmers Index to weighted average of farm real estate, cropland, and pasture land values published by NASS.
- Defines modification to down payment loan program by linking loan cap to Section 305(a) limits and removing the $667K appraised value cap (subparagraph C) as a constraint.
- Defines doubling the microloan limit from $50,000 to $100,000 under Section 313(c)(2) of the Consolidated Farm and Rural Development Act.
- Requires new authority for Secretary of Agriculture to refinance distressed FSA guaranteed loans into direct loans, with safeguards requiring borrower distress, failed lender workout, reasonable chance of success...
Evidence Chain:
This summary is generated from the full bill text using AI analysis. Expand "Detailed Analysis" below for identified beneficiaries/burden bearers with clause-level evidence links.
At a Glance
What This Bill Does
The bill defines increase in farm ownership loan limits from $600K to $850K (direct) and $1.75M to $3M (guaranteed), and operating loan limits from $400K to $750K (direct) and $1.75M to $2.6M (guaranteed), with inflation, defines change in inflation adjustment index for farm loan limits from Prices Paid By Farmers Index to weighted average of farm real estate, cropland, and pasture land values published by NASS, and defines modification to down payment loan program by linking loan cap to Section 305(a) limits and removing the $667K appraised value cap (subparagraph C) as a constraint.
Key Policy Areas
Agriculture, Finance
Primary Purpose
The bill defines increase in farm ownership loan limits from $600K to $850K (direct) and $1.75M to $3M (guaranteed), and operating loan limits from $400K to $750K (direct) and $1.75M to $2.6M (guaranteed), with inflation, defines change in inflation adjustment index for farm loan limits from Prices Paid By Farmers Index to weighted average of farm real estate, cropland, and pasture land values published by NASS, and defines modification to down payment loan program by linking loan cap to Section 305(a) limits and removing the $667K appraised value cap (subparagraph C) as a constraint.
Policy Domains
Section 2 - Limitations on Loan Amounts
Identified Gains
- Farmers and ranchers seeking federal farm ownership and operating loans
- Small-scale and beginning farmers eligible for microloans
- Farmers with distressed guaranteed loans
- Beginning farmers using the FSA down payment loan program
- Farmers and ranchers
Identified Costs
- USDA Farm Service Agency
- Farm Service Agency
- Private agricultural lenders holding guaranteed loans
- Federal government
- USDA National Agricultural Statistics Service
Sponsors
John Hoeven
R-ND | Primary Sponsor
Legislative Progress
IntroducedMr. Hoeven (for himself and Ms. Klobuchar) introduced the following …
Stakeholder Effects
cui bono?How this legislation distributes effects. Mention counts reflect frequency, not effect magnitude.
Beginning farmers using the FSA down payment loan program, Farmers and ranchers, Farmers and ranchers seeking federal farm ownership and operating loans
Farm Service Agency, Federal government, USDA Farm Service Agency
Agricultural lenders issuing guaranteed loans, Private agricultural lenders holding guaranteed loans
Positive-direction: Agricultural lenders issuing guaranteed loans
Negative-direction: Private agricultural lenders holding guaranteed loans
Bill Structure & Actor Mappings
Who is "The Secretary" in each section?
- "the_secretary"
- → Secretary of Agriculture
- "the_secretary"
- → Secretary of Agriculture, acting through the Administrator of the Farm Service Agency
We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.
Learn more about our methodology