With a loan guarantee by a federal agency, the loan participation may not exceed $700,000. The loan participation with a lender for a loan to an individual may be for up to 80 percent of the loan amount or up to the percentage of the guaranty by a federal agency, whichever is the larger percentage. A loan participation with a lender for a loan to a corporation, cooperative, or other entity may be for up to 80 percent of the loan or for up to the percentage of the loan for which there is a federal guarantee times the percentage of eligible farmers in the entity.

With no loan guarantee by a federal agency, the loan participation may not exceed $500,000. The loan participation with a lender for a loan to an individual may be for up to 80 percent of the loan amount. A loan participation with a lender for a loan to a corporation, cooperative, or other entity may be for up to 80 percent of the loan amount times the percentage of eligible farmers in the entity.

Source: 17 SDR 141, effective March 25, 1991; 38 SDR 45, effective September 22, 2011; SL 2019, ch 235, § 37 and 38, effective April 14, 2019.

General Authority: SDCL 1 -53-30 .

Law Implemented: SDCL 1-53-24, 1-53-29 .

Prior versions effective: 2011-09-22.