Current through Register Vol. 54, No.43, October 26, 2024
Section 138a.4 - Permissible uses of loan proceeds and maximum terms of loansLoan proceeds which are guaranteed by the Department or have received an interest deferral shall be used for the following eligible agricultural purposes:
(1) Acquisition, construction or rehabilitation of farmland and farm structures located on farmland within this Commonwealth owned or leased by a family farm enterprise. The term of the loan may not exceed 20 years.(2) Acquisition, repair or replacement of capital assets, such as equipment and livestock to be used on farmland within this Commonwealth by a family farm enterprise. The term of the loan may not exceed 7 years.(3) Working capital for the acquisition of fertilizer, seed, livestock feed and other supplies which will be used on farmland within this Commonwealth by a family farm enterprise. The term of the loan may not exceed 1 year. This section cited in 7 Pa. Code § 138a.6 (relating to condition of loan guarantees); and 7 Pa. Code § 138a.7 (relating to conditions on interest deferrals).