Cedar and Knox Counties Eligible for USDA Emergency Loans - CropWatch, June 17, 2011
June 17, 2011
Family farmers in Cedar and Knox counties are eligible to apply for low interest Emergency (EM) loans due to physical and production losses from flooding on March 11 and since then.
Nebraska Farm Service Agency (FSA) State Executive Director Dan Steinkruger said these two counties are eligible because they are contiguous to Yankton County, South Dakota. It was declared a Presidential Major Disaster on June 10, 2011.
Emergency loan applications are available 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 in these counties. 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 their actual production or physical losses, to a maximum amount of $500,000. The 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 the property that was damaged or lost. The current interest rate for the EM loans is 3.75%. The deadline for submitting applications is February 10, 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.
Nebraska Farm Service Agency