In addition to the definitions set out in the Texas Agriculture Code, Chapter 58, as amended, and in subchapter A of this chapter (relating to Financial Assistance Rules) the following words and terms, when used in this subchapter, shall have the following meanings, unless the context clearly indicates otherwise.

1. (1) Act--Texas Agriculture Code, Chapter 58, Subchapter F, Texas Agriculture Code §§58.071 - 58.075.
2. (2) Eligible borrower--A person that is 18 years of age or older but younger than 46 years of age at the time of submitting a loan application and who is approved for participation in the program.

3. (3) Linked deposit--A time deposit governed by a written deposit agreement between the state and the lender that provides that:

   1. (A) the lender pay interest on the deposit at a rate that is not less than the greater of:

      1. (i) the current market rate minus 3%; or
      2. (ii) .5%;
   2. (B) the state does not withdraw any part of the deposit before the expiration of a period set by a written advance notice of the intention to withdraw; and
   3. (C) the lender agrees to lend the value of the deposit to an eligible borrower at a rate not to exceed the linked deposit rate plus 4%.
4. (4) Program--The Young Farmer Interest Rate Reduction Program.

Source Note:The provisions of this §28.42 adopted to be effective September 1, 2009, 34 TexReg 5902; amended to be effective July 12, 2021, 46 TexReg 4134.