To be eligible for assistance under this chapter, the applicant must:
- (1) Be a resident of South Dakota and be at least eighteen years of age at the time the bond is issued to finance the loan;
- (2) Demonstrate to the lender and the authority sufficient training and experience for the anticipated farm operations;
- (3) As a condition of loan closing, demonstrate to the satisfaction of the lender and the authority that the applicant has access as needed to working capital, farm machinery, livestock, and agricultural land;
- (4) Be a first-time farmer as defined in 26 U.S.C. § 147(c)(2)(C) (December 31, 2024);
- (5) Establish the agricultural land and agricultural improvements will be used for farming only by the applicant, the applicant's spouse, or the applicant's minor children;
- (6) Meet the net worth requirements set forth in § 12:21:01:04; and
- (7) Meet the requirements of 26 U.S.C. § 147(c)(2)(G) and 26 U.S.C. § 144(a) (December 31, 2024), concerning related persons.
Source: 22 SDR 97, effective January 22, 1996; 23 SDR 91, effective December 9, 1996; 35 SDR 67, effective September 30, 2008 ; 52 SDR 49, effective November 17, 2025 .
General Authority: SDCL 1-16B-70 .
Law Implemented: SDCL 1-16B-1 (3), 1-16B-57 .
Prior versions effective: 2008-09-30.