Bill > S3936

This bill, titled the "USDA Loan Modernization Act," aims to expand eligibility for certain farm loans by amending the Consolidated Farm and Rural Development Act. Specifically, it lowers the ownership requirement for individuals or entity members to qualify for guaranteed and direct loans from a majority interest to at least a 50 percent interest, provided they are or will become qualified operators of the farm real estate. The bill also introduces special rules for "qualified operators," defined by the Secretary, allowing them to meet operator requirements, and for "operating-only entities" where at least one owner holds a 50 percent interest in the applicant entity. Furthermore, it addresses "embedded entities," which are entities owned by other entities, by requiring at least 75 percent of their ownership interests to be held by qualified operators to meet direct ownership requirements for farm ownership, operating, and emergency loans.

Agriculture and Natural Resources

https://www.congress.gov/bill/119th-congress/senate-bill/3936/all-info