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PAG LIN
1 1 Amend House File 746, as amended, passed, and
1 2 reprinted by the House, as follows:
1 3 #1. Page 16, by inserting before line 7 the
1 4 following:
1 5 "Sec. 100. DEPARTMENT OF AGRICULTURE AND LAND
1 6 STEWARDSHIP – LIVESTOCK ECONOMIC EMERGENCY PROGRAMS.
1 7 There is appropriated from the general fund of the
1 8 state to the department of agriculture and land
1 9 stewardship for the fiscal year beginning July 1,
1 10 1998, and ending June 30, 1999, the following amount,
1 11 or so much thereof as is necessary, to be used for the
1 12 purpose designated:
1 13 For the purpose of supporting the livestock
1 14 economic emergency programs as provided in this Act:
1 15 .................................................. $ 9,000,000
1 16 1. The moneys appropriated pursuant to this
1 17 section shall be used to reduce the interest rate
1 18 charged on loans for purposes of satisfying or
1 19 restructuring existing debt obligations as provided in
1 20 this Act. Of the amount appropriated in this section,
1 21 not more than $2,000,000 shall be used to provide
1 22 emergency assistance to livestock producers under a
1 23 program administered in cooperation with the farm
1 24 service agency as provided in section 175A.7.
1 25 2. Notwithstanding the reversion date provisions
1 26 of section 8.33, unencumbered and unobligated moneys
1 27 appropriated pursuant to this section remaining on
1 28 June 30, 1999, shall remain available until the close
1 29 of the following fiscal year.
1 30 Sec. 101. IOWA STATE UNIVERSITY – LIVESTOCK
1 31 ECONOMIC EMERGENCY PROGRAMS. There is appropriated
1 32 from the general fund of the state to the state board
1 33 of regents for the fiscal year beginning July 1, 1998,
1 34 and ending June 30, 1999, the following amount, or so
1 35 much thereof as is necessary, to be used for the
1 36 purpose designated:
1 37 For the purpose of supporting a program
1 38 administered by the Iowa cooperative extension service
1 39 in agriculture and home economics at Iowa state
1 40 university of science and technology to provide
1 41 financial management and counseling services to
1 42 individual farm operators as provided in section
1 43 266.36:
1 44 .................................................. $ 500,000
1 45 Notwithstanding the reversion date provisions of
1 46 section 8.33, unencumbered and unobligated moneys
1 47 appropriated pursuant to this section remaining on
1 48 June 30, 1999, shall remain available until the close
1 49 of the following fiscal year.
1 50 Sec. 102. DEPARTMENT OF JUSTICE – LIVESTOCK
2 1 ECONOMIC EMERGENCY PROGRAMS. There is appropriated
2 2 from the general fund of the state to the department
2 3 of justice for the fiscal year beginning July 1, 1998,
2 4 and ending June 30, 1999, the following amount, or so
2 5 much thereof as is necessary, to be used for the
2 6 purpose designated:
2 7 For the purpose of supporting the farm mediation
2 8 service as provided in section 13.13 in conducting
2 9 farmer-creditor mediation as provided in chapter 654A:
2 10 .................................................. $ 500,000
2 11 Notwithstanding the reversion date provisions of
2 12 section 8.33, unencumbered and unobligated moneys
2 13 appropriated pursuant to this section remaining on
2 14 June 30, 1999, shall remain available until the close
2 15 of the following fiscal year."
2 16 #2. Page 18, by inserting after line 31 the
2 17 following:
2 18 "Section 201. NEW SECTION. 175A.1 PURPOSE.
2 19 The purpose of this chapter is to assist this
2 20 state's livestock producers during periods of severe
2 21 financial hardship that threaten the economic
2 22 viability of this state's livestock producers.
2 23 Sec. 202. NEW SECTION. 175A.2 DEFINITIONS.
2 24 As used in this section, unless the context
2 25 otherwise requires:
2 26 1. "Authority" means the agricultural development
2 27 authority established in section 175.3.
2 28 2. "Cash flow requirement" means the availability
2 29 of money adequate to provide for obligations that
2 30 become due during the term of a loan for expenses
2 31 related to livestock production.
2 32 3. "Family farm entity" means the same as defined
2 33 in section 10.1.
2 34 4. "Farm service agency" means the farm service
2 35 agency of the United States department of agriculture.
2 36 5. "Farming" means the same as defined in section
2 37 175.2.
2 38 6. "Livestock" means cattle or swine.
2 39 7. "Livestock operation" means a farm or animal
2 40 feeding operation as defined in section 455B.161 where
2 41 livestock are produced.
2 42 8. "Livestock producer" means a person engaged in
2 43 producing livestock.
2 44 9. "Produce" means to breed, raise, or feed, and
2 45 care for livestock.
2 46 10. "Program" means a livestock economic emergency
2 47 program as provided in this chapter.
2 48 11. "Qualified lending institution" means a bank,
2 49 credit union, or savings and loan as defined in
2 50 section 12C.1.
3 1 12. "State assistance" means to grant a qualified
3 2 lending institution an amount foregone by the
3 3 qualified lending institution for reducing the
3 4 interest rate on a loan as provided in this chapter.
3 5 Sec. 203. NEW SECTION. 175A.3 GENERAL.
3 6 1. The agricultural development authority, in
3 7 cooperation with the department, shall establish and
3 8 administer livestock economic emergency programs as
3 9 provided in this chapter to provide state assistance
3 10 to livestock producers during a period of economic
3 11 emergency.
3 12 2. The authority shall adopt rules as provided in
3 13 chapter 17A necessary to establish and administer
3 14 livestock economic emergency programs.
3 15 3. A livestock producer shall apply for state
3 16 assistance under a program in a manner and according
3 17 to procedures required by the authority. The
3 18 authority shall adopt rules to enforce the provisions
3 19 of this section or the terms of a contract to which
3 20 the authority is a party. The authority may also
3 21 enforce the provisions of this chapter or terms of a
3 22 contract by bringing an action in any court of
3 23 competent jurisdiction for injunctive relief or to
3 24 recover damages.
3 25 Sec. 204. NEW SECTION. 175A.4 DECLARATION OF
3 26 ECONOMIC EMERGENCY.
3 27 The authority shall provide state assistance under
3 28 livestock economic emergency programs under this
3 29 chapter, to the extent that moneys are available. The
3 30 authority shall provide the state assistance upon a
3 31 declaration of livestock economic emergency issued by
3 32 the secretary. The secretary shall issue the
3 33 declaration if the secretary determines that the
3 34 market price paid for livestock threatens the economic
3 35 viability of this state's livestock producers. The
3 36 determination shall be made after consulting with the
3 37 authority's board and agricultural economists at Iowa
3 38 state university of science and technology, and upon
3 39 review of market news reports published by the
3 40 agricultural marketing service of the United States
3 41 department of agriculture.
3 42 Sec. 205. NEW SECTION. 175A.5 STATE ASSISTANCE.
3 43 1. The authority shall provide state assistance
3 44 under a livestock economic emergency program by
3 45 contracting with a qualified lending institution and a
3 46 livestock producer to reduce the interest rate charged
3 47 on a loan for purposes of satisfying or restructuring
3 48 existing debt obligations.
3 49 2. As part of the contract for state assistance,
3 50 the authority shall agree to grant a qualified lending
4 1 institution an amount foregone by the qualified
4 2 lending institution for reducing the interest rate on
4 3 a loan to the livestock producer as provided in this
4 4 chapter.
4 5 a. The authority may determine the amount that the
4 6 rate is reduced, by considering the qualified lending
4 7 institution's customary loan rate as certified to the
4 8 authority by the qualified lending institution.
4 9 b. The authority may require that a qualified
4 10 lending institution satisfy additional requirements in
4 11 order to participate in livestock economic emergency
4 12 programs, including by requiring the qualified lending
4 13 institution to partially reduce the interest rate on
4 14 loans subject to the contract for state assistance.
4 15 c. The authority shall not provide state
4 16 assistance to reduce the interest rate charged on a
4 17 loan for more than twelve months.
4 18 3. The authority shall not provide assistance
4 19 under both sections 175A.7 and 175A.8 to the same
4 20 livestock producer.
4 21 Sec. 206. NEW SECTION. 175A.6 ELIGIBILITY.
4 22 1. The authority shall provide state assistance to
4 23 a livestock producer under a livestock economic
4 24 emergency loan program only if the authority
4 25 determines that without such state assistance the
4 26 livestock producer could not reasonably be expected to
4 27 be able to obtain, retain, restructure, or service
4 28 loans or other financing.
4 29 2. A livestock producer is eligible to participate
4 30 in a livestock economic emergency program only if all
4 31 the following criteria are satisfied:
4 32 a. One of the following applies:
4 33 (1) The livestock producer is an individual or a
4 34 partnership. If the livestock producer is an
4 35 individual or partnership, all of the following must
4 36 apply:
4 37 (a) The individual or all partners must be
4 38 residents of this state.
4 39 (b) The individual or all partners must be at
4 40 least eighteen years old.
4 41 (2) The livestock producer is a family farm entity
4 42 organized in this state.
4 43 b. The facilities involved in livestock production
4 44 must be located in this state.
4 45 c. The livestock producer does not produce
4 46 livestock under a contract with an owner of the
4 47 livestock.
4 48 d. The gross income received by the livestock
4 49 producer from farming for the last completed calendar
4 50 year was more than fifty thousand dollars.
5 1 e. Fifty percent or more of the livestock
5 2 producer's income attributable to farming is derived
5 3 from the sale of livestock.
5 4 f. All of the following apply:
5 5 (1) The livestock producer is not classified as a
5 6 habitual violator under section 455B.191.
5 7 (2) The livestock producer has not committed a
5 8 violation of chapter 455B or of a rule adopted
5 9 pursuant to chapter 455B regulating animal feeding
5 10 operations during the twelve-month period immediately
5 11 prior to the date of submission of the application.
5 12 Sec. 207. NEW SECTION. 175A.7 LIVESTOCK ECONOMIC
5 13 EMERGENCY PROGRAM – COOPERATION WITH THE FARM SERVICE
5 14 AGENCY.
5 15 1. The authority shall cooperate with the farm
5 16 service agency if the farm service agency provides
5 17 emergency assistance to livestock producers under a
5 18 program administered by the farm service agency.
5 19 a. The authority shall provide state assistance to
5 20 livestock producers who apply to the farm service
5 21 agency for emergency assistance in order to retain,
5 22 restructure, or service loans or other financing.
5 23 b. The authority shall approve an application for
5 24 state assistance only if a livestock producer is
5 25 provided emergency assistance by the farm service
5 26 agency. The authority shall provide state assistance
5 27 to the extent necessary to allow livestock producers
5 28 to qualify for emergency federal assistance by
5 29 enhancing the livestock producer's cash flow
5 30 requirement.
5 31 2. The authority shall grant a qualified lending
5 32 institution not more than two percent of the amount
5 33 foregone by the qualified lending institution in
5 34 reducing the interest rate on the loan as provided in
5 35 this chapter.
5 36 Sec. 208. NEW SECTION. 175A.8 LIVESTOCK ECONOMIC
5 37 EMERGENCY PROGRAM – INDEPENDENT PROGRAM.
5 38 1. The authority shall provide state assistance to
5 39 livestock producers under the livestock economic
5 40 emergency program independent of assistance provided
5 41 by the farm service agency as provided in section
5 42 175A.7.
5 43 2. The authority shall provide state assistance to
5 44 livestock producers who apply to the authority in
5 45 order to retain, restructure, or service loans or
5 46 other financing.
5 47 a. The authority may require that the livestock
5 48 producer and the qualified lending institution
5 49 restructure existing debt.
5 50 b. A livestock producer must participate in a
6 1 program administered by the Iowa cooperative extension
6 2 service in agriculture and home economics at Iowa
6 3 state university of science and technology that
6 4 provides financial management and counseling services
6 5 to individual farm operators as provided in section
6 6 266.36.
6 7 3. The application shall contain financial
6 8 information regarding the livestock producer as
6 9 required by the authority. The application must
6 10 include all of the following:
6 11 a. The livestock producer's projected cash flow
6 12 requirements if the application is approved.
6 13 b. A statement by Iowa state university certifying
6 14 that the livestock producer is participating in the
6 15 program provided in section 266.36.
6 16 4. The authority shall grant a qualified lending
6 17 institution not more than three percent of the amount
6 18 foregone by the qualified lending institution in
6 19 reducing the interest rate on the loan as provided in
6 20 this chapter."
6 21 #3. Page 20, by inserting before line 34 the
6 22 following:
6 23 " . Sections 100 through 102, relating to
6 24 appropriations for livestock economic emergency
6 25 programs."
6 26 #4. Page 21, by inserting before line 3 the
6 27 following:
6 28 " . Sections 201 through 208 relating to
6 29 livestock economic emergency programs."
6 30 #5. By renumbering as necessary.
6 31
6 32
6 33
6 34 EUGENE S. FRAISE
6 35 JOHN P. KIBBIE
6 36 HF 746.710 78
6 37 da/sc
Text: S03457 Text: S03459 Text: S03400 - S03499 Text: S Index Bills and Amendments: General Index Bill History: General Index
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