2025 Session Last amended: 1987 session

§ 41A.035 — Agricultural Resources Loan Participation

Plain-Language Summary

The board can participate in agricultural resource loans by purchasing up to 75 percent of each eligible loan from a lender. For loans of $500,000 or less, the loan can cover the full project cost. For larger loans, it can cover up to 80 percent of the project cost.

Practical Notes
This loan participation program reduces risk for private lenders, making it easier for agricultural projects to get financing. The lender remains responsible for servicing the loan and must protect both the lender’s and the board’s interests equally.