MN HF12

Appropriates $175,000 in fiscal year 2020 from the coronavirus relief federal fund to the Commissioner of Agriculture for grants to eligible farmers with approved farm debt restructuring loans from USDA Farm Service Agency or Rural Finance Authority.

Grant amount equals 50 percent of the loan origination fee required for the farmer to obtain the guaranteed or administered loan.

Eligible farmers must have a total net worth less than $800,000 in calendar year 2020 and be either in mediation proceedings under Minnesota Statutes, chapter 583, or have received a mediation notice.

Commissioner must prioritize grant applicants currently in mediation first, then those who have received a mediation notice.

If funds remain unencumbered by November 15, 2020, the commissioner may award grants up to $5,000 per farmer to eligible farmers demonstrating COVID-19 financial need who lack farm debt restructuring loan approval, with preference to farmers in mediation.