2007 Minnesota Statutes

41B.02 DEFINITIONS.
    Subdivision 1. Scope. For the purposes of sections 41B.01 to 41B.23, the terms defined in
this section have the meanings given them.
    Subd. 1a. Amortized restructured loan. "Amortized restructured loan" means a loan after it
has been modified pursuant to section 41B.04, subdivision 9, paragraph (d).
    Subd. 2. Authority. "Authority" means the Minnesota Rural Finance Authority created
in section 41B.025.
    Subd. 3.MS 1986 [Renumbered subd 10]
    Subd. 3. Basic interest. "Basic interest" means that part of interest on primary principal that
is payable while the loan is in effect.
    Subd. 4.MS 1987 Supp [Renumbered subd 8]
    Subd. 4. Bonds. "Bonds" means bonds, notes, or other obligations issued by the authority.
For the purposes of section 41B.19, "bonds" also includes bonds or other obligations issued by
the state.
    Subd. 5.MS 1987 Supp [Renumbered subd 9]
    Subd. 5. Borrower. "Borrower" means the person or persons liable on a qualified agricultural
loan.
    Subd. 6.MS 1987 Supp [Renumbered subd 13]
    Subd. 6. Current market value. "Current market value" means, for the purposes of section
41B.04, the value determined by an appraisal considering comparable sales in the area where
the real estate is located and the reasonable productive value of the property based on past
production history. The state and the eligible agricultural lender must mutually agree on the
current market value.
    Subd. 7.MS 1986 [Renumbered subd 4]
    Subd. 7. Deferred interest. "Deferred interest" means that portion of the interest on primary
principal and secondary principal the payment of which is deferred for the term of the deferred
restructured loan. The deferred interest on primary principal may accrue at a different rate from
the deferred interest on secondary principal as described in section 41B.04.
    Subd. 7a. Direct loan. "Direct loan" means a loan originated and serviced by the authority
without involvement of an eligible lender.
    Subd. 7b. Deferred restructured loan. "Deferred restructured loan" means a loan after it
has been modified pursuant to section 41B.04, subdivision 9, paragraph (a).
    Subd. 8.MS 1986 [Renumbered subd 16]
    Subd. 8. Eligible agricultural lender; eligible lender. "Eligible agricultural lender" or
"eligible lender" means a bank, credit union, or savings association chartered by the state or federal
government, a subdivision of the Farm Credit System, the Federal Deposit Insurance Corporation,
the Federal Savings and Loan Insurance Corporation, or any insurance company, fund, or other
financial institution doing business as an agricultural lender within the state, if the authority
determines that the agricultural lender has sufficient personnel and other resources to efficiently
and properly originate and service qualified agricultural loans. An eligible agricultural lender must
enter into one or more agreements with the authority providing for the origination and servicing of
qualified agricultural loans on the terms and conditions the authority determines to be appropriate.
    Subd. 9. Eligible borrower. "Eligible borrower" means a borrower who meets the eligibility
criteria for a program in section 41B.03.
    Subd. 10.MS 1986 [Renumbered subd 15]
    Subd. 10. Farm. "Farm" means a family farm as defined in section 500.24, located in
Minnesota.
    Subd. 10a. Livestock expansion. "Livestock expansion" means improvements to a livestock
operation, including the purchase and construction or installation of improvements to land,
buildings, and other permanent structures, including equipment incorporated in or permanently
affixed to the land, buildings, or structures, which are useful for and intended to be used for the
purpose of raising livestock.
    Subd. 11.MS 1987 Supp [Renumbered subd 3]
    Subd. 11. Original loan. "Original loan" means a loan prior to restructuring as provided in
section 41B.04.
    Subd. 12.MS 1986 [Renumbered subd 7]
    Subd. 12. Primary principal. "Primary principal" means that portion of the outstanding
balance on a loan covered by section 41B.04 that is equal to the current market value of the
property secured by the loan or such lesser amount as may be established by the authority by rule.
    Subd. 13.MS 1987 Supp [Renumbered subd 6]
    Subd. 13. Qualified agricultural loan. "Qualified agricultural loan" means a loan to an
eligible borrower made under agricultural programs established and implemented by the authority.
    Subd. 14.MS 1987 Supp [Renumbered subd 5]
    Subd. 14. Restructured loan. "Restructured loan" means both a deferred restructured loan
and an amortized restructured loan after it is modified pursuant to section 41B.04.
    Subd. 15.MS 1987 Supp [Renumbered subd 11]
    Subd. 15. Secondary principal. "Secondary principal" means that portion of the outstanding
balance of a deferred restructured loan covered by section 41B.04 that is in excess of the primary
principal.
    Subd. 16.MS 1986 [Renumbered subd 14]
    Subd. 16. Security account. "Security account" means the Rural Finance Authority security
account established in section 41B.19, subdivision 5.
    Subd. 17.MS 1986 [Repealed, 1987 c 396 art 1 s 32]
    Subd. 18. Seller-sponsored loan. "Seller-sponsored loan" means a loan in which part or all
of the price of a farm is financed by a loan from the seller of the farm who is a natural person, a
partnership, or a family farm corporation as defined in section 500.24, located in Minnesota.
    Subd. 19. Agricultural improvements. "Agricultural improvements" means improvements
to a farm, including the purchase and construction or installation of improvements to land,
buildings, and other permanent structures, including equipment incorporated in or permanently
affixed to the land, buildings, or structures, which are useful for and intended to be used for the
purpose of farming. "Agricultural improvements" includes wind energy conversion facilities, as
defined in section 216C.06, subdivision 19, each with an output capacity of one megawatt or
less, as determined by the nameplate capacity. "Agricultural improvements" does not include
equipment not affixed to real estate or improvements or additions to that equipment.
    Subd. 20. Ethanol production facility. "Ethanol production facility" means a facility
that ferments, distills, dewaters, or otherwise produces ethanol as defined in section 41A.09,
subdivision 2a , paragraph (a).
History: 1986 c 398 art 6 s 2; 1Sp1986 c 3 art 2 s 45; 1987 c 396 art 1 s 4-11,31; 1988 c
688 art 10 s 2; 1989 c 273 s 1-3; 1992 c 602 s 8; 1993 c 298 s 1; 1993 c 342 s 1-7; 1994 c 619 s
5; 1995 c 202 art 1 s 25; 1995 c 220 s 49; 1995 c 245 s 1