IL HB5117

Creates the Rural Natural Gas Expansion Loan Guarantee Program under the Illinois Finance Authority to issue State Guarantees to lenders for loans to agribusinesses expanding or upgrading natural gas lines.

Limits State Guarantees to a maximum of $5,000,000 per agribusiness with a term not exceeding 15 years, subject to annual review and renewal.

Requires lenders to charge interest rates below market rate as determined by the Authority, with provisions allowing conversion to fixed rates if both lender and borrower agree.

Mandates lenders pay a 25 basis point annual fee on loans, assume responsibility for collection efforts on delinquent loans, and bear the first 15% of outstanding principal as their own risk.

Authorizes use of the Illinois Farmer and Agribusiness Loan Guarantee Fund to secure State Guarantees, with the Authority empowered to establish eligibility requirements and program procedures by rule.