MN SF236

Appropriates $35,000,000 from bond proceeds to the Rural Finance Authority for agricultural lending programs including beginning farmer loans, loan restructuring, seller-sponsored programs, agricultural improvement loans, and livestock expansion loans.

Funds must be used to purchase participation interests in or make direct agricultural loans to farmers under Minnesota Statutes chapter 41B.

Establishes loan priority order: first to basic beginning farmer loans, second to seller-sponsored loans, and third to agricultural improvement loans.

Loan participations must be priced to provide full interest and principal coverage plus reserves for potential losses, with debt service repaid by the Rural Finance Authority.

Appropriates $35,000 for bond sale expenses and authorizes the Commissioner of Management and Budget to sell and issue up to $35,035,000 in state bonds.