Funds may be loaned by the authority to a borrower under the
Cattle Working Loan Program if the borrower is engaged in agricultural
operations in this state and the borrowed funds will be used for construction
of improved cattle working facilities for use on farms and ranches in this
state; enables increased efficiency in handling cattle, along with better
monitoring of cattle herd health; and improves production practices.
(a) Applicants are subject to a $50 loan
application fee for each application submitted.
(b) All borrowers seeking loans under this
rule are subject to credit checks by the authority.
(c) All structures proposed to be built with
funds loaned under this rule must meet certain standard criteria as determined
by the authority and all building plans for any proposed project must be
approved by an authority representative prior to award of a loan pursuant to
this program.
(d) $20,000 is the
maximum amount that will be loaned under this rule.
(e) An inspection of applicant's agricultural
operation by an authority representative is required prior to loan
approval.
(f) Application fee for
each application submitted. All amounts borrowed under this rule shall be
repaid to the authority, plus interest at the applicable rate, no later than 3
years from the date loan proceeds are issued to the borrower.
(g) Interest charged on funds borrowed under
this rule is 3%.
(h) All borrowed
amounts must be full collateralized.
(i) All loans issued pursuant to this rule
require personal guaranty by an individual with sufficient assets to fully
satisfy the borrowed amount in the event of default.
(j) All borrowed amounts must be fully
collateralized.
(k) The authority
reserves the right to deny any loan application.
