Emergency Loan for Seed Producers

 

To assist seed producers adversely impacted by the bankruptcy filing of AgriBioTech.

Deleted 05/23/2006 (This is a 1-Time program with Obligations\loans available in FY 2001 only) 10.076 FARM SERVICE AGENCY, DEPARTMENT OF AGRICULTURE Direct Loans. Based on review of eligible producers the Agency expects up to 2001 may apply and receive program assistance. Agricultural Risk Protection Act of 2000, Public Law 106-224. A loan applicant and anyone who will execute the promissory note, including all members of an entity, must meet the following eligibility criteria to obtain an Emergency Loan for Seed Producers loan. An eligible applicant must not be delinquent on any Federal debt; not have any outstanding recorded judgments obtained by the United States in a Federal court; be a citizen of the United States or an alien lawfully admitted to the United States for permanent residence; have the legal capacity to incur the obligations of the loan; have an acceptable credit history demonstrated by debt repayment; and has not provided the Agency with false or misleading documents or statements in past or present dealings with the Agency. Applicants/borrowers are the direct beneficiaries when they meet all eligibility criteria. Families, individuals and entities who have filed a valid proof of claim for seed produced under contract to AgriBiotech in 1999 are the beneficiaries. To be eligible, an applicant must have filed a valid proof of claim for seed produced under contract to AgriBiotech in 1999, in the United States or a United States territory. In the case of a lease arrangement, the producer and not owner is eligible. None. This program is excluded from coverage under OMB Circular No. A-102 and E.O. 12372. FSA application form provided by the Farm Service Agency must be presented, with supporting information, to the FSA county office serving the applicant's county. FSA personnel assist applicants in completing their application forms. FSA Farm Loan Officer, Farm Loan Manager, District Directors, State Executive Directors, and the Administrator or his designee are authorized to approve these loans, subject to certain administrative requirements, after applicants are determined eligible. Applications will be accepted for Emergency Loan for Seed Producers assistance until such time as the funding is exhausted. Applicants should consult the FSA county office serving their area for funding availability. Applications must be approved or disapproved within 60 calendar days after the receipt of a completed application by the County Office. Applicants for loans may appeal adverse actions taken. The applicant is given an opportunity to appeal the decision to the National Appeals Division. Rescheduling, reamortization, consolidation and deferment: The term of the loan will be no more than 12 months from the original date of the note. Loan applicants will be required to provide a valid proof of claim in the AgriBioTech bankruptcy to be eligible for FSA Emergency Loans for Seed Producers assistance. Loan funds may be used for any purpose, except those specifically prohibited as contributing to the conversion of wetlands, excessive erosion of Highly Erodible (HEL) lands, or for use in lobbying. Borrowers are required to account for all security property. All account reviews and servicing will be in accordance with FSA's non-program loan requirements found in 7 CFR 1951.468. All requirements are in accordance with the Agency's non-program loans. The maximum amount of assistance will be limited to not more than 65% of the amount of the applicant's valid claim in bankruptcy court, based on seed produced under contract to AgriBioTech in 1999. Will not be more than 18 months from the date of the original promissory note. Applicants should consult the FSA county office serving their area for specific information. Consult the appropriate FSA State office listed in Appendix IV of the Catalog. Department of Agriculture, Farm Service Agency, Director, Loan Making Division, Ag Box 0522, Washington, DC 20250. Telephone: (202) 720-1632. http://www.fsa.usda.gov 12-1140-0-1-351. (Direct Loans) FY 02 $0; FY 03 est $35,000,000; and FY 04 est $0. Program is new, there are no existing loans in this program. Administrative regulations will be published in the Federal Register at 7 CFR 774. Federal Register volume and page number will only be available when the rule is published. Not applicable.