SF 3537

as introduced - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to agriculture; authorizing state bonds; 
  1.3             appropriating money for rural finance authority 
  1.4             programs. 
  1.5   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.6      Section 1.  [APPROPRIATION.] 
  1.7      $50,000,000 is appropriated from the bond proceeds fund to 
  1.8   the rural finance authority to purchase participation interests 
  1.9   in or to make direct agricultural loans to farmers under 
  1.10  Minnesota Statutes, chapter 41B.  This appropriation is for the 
  1.11  beginning farmer program under Minnesota Statutes, section 
  1.12  41B.039, the loan restructuring program under Minnesota 
  1.13  Statutes, section 41B.04, the seller-sponsored program under 
  1.14  Minnesota Statutes, section 41B.042, the agricultural 
  1.15  improvement loan program under Minnesota Statutes, section 
  1.16  41B.043, and the livestock expansion loan program under 
  1.17  Minnesota Statutes, section 41B.045.  All debt service on bond 
  1.18  proceeds used to finance this appropriation must be repaid by 
  1.19  the rural finance authority under Minnesota Statutes, section 
  1.20  16A.643.  Loan participations must be priced to provide full 
  1.21  interest and principal coverage and a reserve for potential 
  1.22  losses. 
  1.23     Loans for capital projects from this appropriation are 
  1.24  exempt from Minnesota Statutes, section 16B.335.  Priority for 
  1.25  loans must be given first to basic beginning farmer loans; 
  2.1   second, to seller-sponsored loans; and third, to agricultural 
  2.2   improvement loans. 
  2.3      Sec. 2.  [BOND SALE.] 
  2.4      To provide the money appropriated in this act from the bond 
  2.5   proceeds fund, the commissioner of finance, on request of the 
  2.6   governor, shall sell and issue bonds of the state in an amount 
  2.7   up to $50,000,000 in the manner, upon the terms, and with the 
  2.8   effect prescribed by Minnesota Statutes, sections 16A.631 to 
  2.9   16A.675, and by the Minnesota Constitution, article XI, sections 
  2.10  4 to 7. 
  2.11     Sec. 3.  [EFFECTIVE DATE.] 
  2.12     Sections 1 and 2 are effective the day following final 
  2.13  enactment.