In June 2020, the Minnesota State Legislature established and set aside $175,000 to fund the Farm Loan Guarantee Fee Grant Program. The program officially ends December 30, 2020.
Am I eligible to apply?
- Have closed on a qualifying FSA restructure loan between May 28, 2020 and November 15th, 2020.
- Have a net worth of $800,000 or less.
- Be a resident of Minnesota.
- Regularly participate in the physical labor or operations in your farming operation.
- Preference given to farmers in active Mediation
- Between November 10th and November 15th we will only process application where the farmer was in Mediation. Once that window has passed we will process non-Mediation applications in the order in which they were received in that timeframe.
How do I apply?
To participate in the program, you must submit the following documents to the Minnesota Department of Agriculture:
- Completed application form with your signature.
- Completed and signed W-9 Form.
- Lender’s Balance Sheet or FSA Form 2037 demonstrating a net worth of under $800,000.
- (If applicable) Copy of Mediation Request or proof of mediation proceedings.
- Copy of Conditional Commitment from the lender or FSA Form 2232 or 2236 that shows FSA Guarantee Fee amount.
- Loan Commitment showing the primary purpose of the loan is debt restructuring (over 50% of loan amount).
Applications must be received by November 15th, 2020.
Send your application and documentation to:
Minnesota Department of Agriculture
625 Robert Street North
St. Paul, MN 55155
Or email fillable application and documentation to Matthew.McDevitt@state.mn.us
How much of a grant can I receive and when?
Eligible farmers will receive 50 percent of the amount of the loan guarantee fee paid to close an eligible FSA restructure loan. Grants will be processed with first priority going to farmers currently in mediation.