|Copyright:||(c) 2011 Targeted News Service|
|Source:||Targeted News Service|
Dear Chairs and Ranking Members:
Guaranteed Farm Loans -
This is particularly true for the guaranteed farm ownership loan program. Therefore, we support the following changes: o Significantly Increase the Size of Guaranteed Loan Limits - ICBA would support doubling the size of the current loan limits, now approximately
Significantly higher production costs, both this year and throughout the life of the farm bill, will result in a higher demand for credit as producers seek to keep pace with higher costs. Raising the loan limit size would have no budgetary impact on program costs for the guaranteed farm ownership loan program and very little cost for guaranteed operating loans. Given the overall budget constraints, this is an ideal time to raise the loan limits for guaranteed farm loans.
o Term Limits - ICBA supports removing term limits completely. Whether a producer needs a guaranteed loan or not is a decision best made between the farmer and his local lender and should not be based on arbitrary timeframes established in
o Guaranteed Loan Volumes - Although outside of the farm bill's purview, ICBA urges
Resist Farm Credit System Expansion - ICBA will strongly oppose any expansion of the Farm Credit System or its indulging regulator, the
This is an issue that ICBA believes needs further examination by
Thank you for considering our requests.
Senior Vice President
Agriculture and Rural Policy
TNS mv45 111104-3664637