La. Admin. Code tit. 7 § III-301
Current through Register Vol. 50, No. 11, November 20, 2024
Section III-301 - Farm and Agribusiness Recovery and Loan Program; Establishment of; Purpose; Limitations; TermsA. The Farm and Agribusiness Recovery and Loan Program is hereby established.B. The Farm and Agribusiness Recovery and Loan Program provides loans, grants, or a combination thereof to agricultural producers or agribusinesses for the purpose of aiding in the recovery from the 2008 hurricanes, Gustav and Ike, and to subsequently provide Louisiana agricultural producers and agribusinesses additional financial resources for recovery from any future disasters and for the maintenance and growth of agriculture in Louisiana.C. The limits on loans and grants from the Farm and Agribusiness Recovery and Loan Program are as follows: 1. Agricultural producers may receive a minimum of $10,000 and up to a maximum of $100,000. The amount provided shall be a combination of an 80 percent loan and 20 percent grant.2. Agribusinesses may receive a minimum of $10,000 and up to a maximum of $250,000 in the form of a direct loan.D. The general terms under which disbursements will be made are as follows. 1. Interest at the rate of 1 1/2 percent interest per annum will be charged on the unpaid balance of all loans made under this program.2. The maximum term of any loan shall be 10 years.3. Any grant given in combination with a loan shall be subject to being repaid if the loan plus interest is not paid in full or if the loan goes into default.4. Normal and customary terms of loans regarding notices, defaults, late fees, attorney fees, and other matters customarily spelled out in a promissory note or other negotiable instrument. Such terms, as authorized by LAFA, shall be in the negotiable instrument approved by LAFA.La. Admin. Code tit. 7, § III-301
Promulgated by the Department of Agriculture and Forestry, Agricultural Finance Authority, LR 36:466 (March 2010).AUTHORITY NOTE: Promulgated in accordance with R. S. 3:266.