3 More Counties Become Eligible for USDA Emergency Loans - UNL CropWatch, Aug. 4, 2011
August 4, 2011
Family farmers in Banner, Scotts Bluff, and Sioux counties are eligible to apply for low interest Emergency (EM) loans due to physical and production losses caused by severe storms, flooding, and landslides that occurred May 18 through July 8, 2011. Farm Service Agency (FSA) State Executive Director Dan Steinkruger made the announcement this week.
These counties became eligible for assistance because they are contiguous to one or more of the 15 Wyoming counties and the Wind Ridge Indian Reservation. In July these areas were declared a Presidential Major Disaster.
Emergency loan applications are available from and must be submitted through the local FSA county office from any applicant who qualifies for a physical or production loss (at least a 30% reduction from normal) in a single enterprise from this disaster. To qualify for an EM loan, an applicant must
- be an established family farm operator;
- provide evidence of having suffered a qualifying physical or production loss; and
- be unable to obtain suitable credit from a source other than FSA.
The low interest loans may cover up to 100% of actual production or physical losses, to a maximum amount of $500,000. Loan applicants must show ability to repay the loan and the loan must be adequately secured. FSA loans for production losses may be used to buy feed, seed, fertilizer, livestock, or to refinance certain debts. FSA loans for physical losses may be used to repair or replace property that was damaged or lost. The current interest rate for the EM loans is 3.75%. The deadline for submitting applications is March 22, 2012.
In addition to the Emergency (EM) Loan Program, the FSA has other Direct and Guaranteed Farm Operating and Farm Ownership Loan Programs, which can be considered in assisting farmers to recover from their losses.
Additional information about FSA Farm Loan Programs is available at www.fsa.usda.gov/dafl.
Farm Service Agency News Release