Minnesota § 41B.055 LIVESTOCK EQUIPMENT LOAN PROGRAM

Minnesota Statutes

§ 41B.055 — LIVESTOCK EQUIPMENT LOAN PROGRAM

Minnesota § 41B.055

PartAGRICULTURE

Ch. 41BRURAL FINANCE AUTHORITY

This text of Minnesota § 41B.055 (LIVESTOCK EQUIPMENT LOAN PROGRAM) is published on Counsel Stack Legal Research, covering Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Minn. Stat. § 41B.055 (2026).

Text

Subdivision 1.Establishment. The authority must establish and implement a livestock equipment loan program to help finance the purchase of livestock-related equipment and make livestock facilities improvements. Subd. 2.Eligibility. Notwithstanding section41B.03, to be eligible for this program a borrower must:

(1)be a resident of Minnesota or general partnership or a family farm corporation, authorized farm corporation, family farm partnership, or authorized farm partnership as defined in section500.24, subdivision 2;

(2)be the principal operator of a livestock farm;

(3)have a total net worth, including assets and liabilities of the borrower's spouse and dependents, no greater than the amount stipulated in section41B.03, subdivision 3;

(4)demonstrate an ability to repay the loan; and

Free access — add to your briefcase to read the full text and ask questions with AI

Subdivision 1.Establishment.
The authority must establish and implement a livestock equipment loan program to help finance the purchase of livestock-related equipment and make livestock facilities improvements.

Subd. 2.Eligibility.
Notwithstanding section41B.03, to be eligible for this program a borrower must:
(1) be a resident of Minnesota or general partnership or a family farm corporation, authorized farm corporation, family farm partnership, or authorized farm partnership as defined in section500.24, subdivision 2;
(2) be the principal operator of a livestock farm;
(3) have a total net worth, including assets and liabilities of the borrower's spouse and dependents, no greater than the amount stipulated in section41B.03, subdivision 3;
(4) demonstrate an ability to repay the loan; and
(5) hold an appropriate feedlot registration or be using the loan under this program to meet registration requirements.

Subd. 3.Loans.
(a) The authority may participate in a livestock equipment loan equal to 90 percent of the purchased equipment value with an eligible lender to a farmer who is eligible under subdivision 2. Participation is limited to 45 percent of the principal amount of the loan or $100,000, whichever is less. The interest rates and repayment terms of the authority's participation interest may differ from the interest rates and repayment terms of the lender's retained portion of the loan, but the authority's interest rate must not exceed three percent. The authority may review the interest annually and make adjustments as necessary.
(b) Standards for loan amortization must be set by the Rural Finance Authority and must not exceed ten years.
(c) Security for a livestock equipment loan must be a personal note executed by the borrower and whatever other security is required by the eligible lender or the authority.
(d) Refinancing of existing debt is not an eligible purpose.
(e) The authority may impose a reasonable, nonrefundable application fee for a livestock equipment loan. The authority may review the fee annually and make adjustments as necessary. The initial application fee is $50. Application fees received by the authority must be deposited in the Rural Finance Authority administrative account established in section41B.03.
(f) Loans under this program must be made using money in the revolving loan account established in section41B.06.

Subd. 4.Eligible expenditures.
Money may be used for loans for the acquisition of equipment for animal housing, confinement, animal feeding, milk production, and waste management, including the following, if related to animal husbandry:
(1) fences;
(2) watering facilities;
(3) feed storage and handling equipment;
(4) milking parlors;
(5) milking equipment, including robotic equipment;
(6) scales;
(7) milk storage and cooling facilities;
(8) manure pumping and storage facilities;
(9) capital investment in pasture;
(10) hoop barns;
(11) portable structures;
(12) hay and forage equipment; and
(13) related structural work for the installation of equipment.