Emergency farm loan applications being accepted for damages due to April freeze

Applications for emergency farm loans for damages and losses caused by excessive snow, freeze and frost that occurred on April 6-8 are being accepted at the Farm Service Agency (FSA) office located in San Angelo, Paul S. Cline said recently. McCulloch County is one of 40 counties in Texas recently named by President George W. Bush as eligible for loans to cover part of actual production losses resulting from the April freeze. Cline said farmers may be eligible for loans of up to 100 percent of their actual losses or the operating loan needed to continue the agricultural business, whichever is less. For farmers unable to obtain credit from private commercial lenders, the interest rate is 3.75 percent. “As a general rule, a farmer must have suffered at least a 30 percent loss of production to be eligible for an FSA emergency loan,” Cline said. “Farmers participating in the Federal Crop Insurance Program will have to consider proceeds from those programs in determining their loss. “Applications for loans under this emergency designation will be accepted until March 25, 2008, but farmers should apply as soon as possible. Delays in applying could create backlogs in processing, with possible delays into the new farming season,” Cline added. FSA is a credit agency of the U.S. Department of Agriculture. It is authorized to provide disaster emergency loans to recognized farmers who work at and rely on farming for a substantial part of their living. Eligibility is extended to individual farmers who meet U.S. citizenship requirements and to farming partnerships, corporations or cooperatives in which U.S. citizenship requirements are met by individuals holding a majority interest. The FSA office in San Angelo is open from 8 a.m. to 5 p.m., Monday through Friday.

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