FSA’s Farm Storage Facility Loan (FSFL) program provides low-interest financing to producers to build or upgrade storage facilities and to purchase portable (new or used) structures. The loan program also includes handling equipment such as (but not limited to): grain trailer, hay trailer, portable grain auger, front end loader attachment, grain cart, portable grain dryer, walk in cooler, bale accumulator, trailer, and many more handling equipment items.
The low-interest funds can be used to build or upgrade permanent facilities to store commodities. Eligible commodities include corn, grain sorghum, soybeans, oats, wheat, barley, minor oilseeds harvested as whole grain, pulse crops (lentils, chickpeas and dry peas), hay, honey, renewable biomass, fruits, nuts and vegetables for cold storage facilities, floriculture, hops, maple sap, rye, milk, cheese, butter, yogurt, meat and poultry (unprocessed), eggs, and aquaculture (excluding systems that maintain live animals through uptake and discharge of water). Qualified facilities include grain bins, hay barns and cold storage facilities for eligible commodities.
For FSFL loans approved during the month of September 2017, interest rates are:
• 3 year loan terms 1.500%
• 5 year loan terms 1.750%
• 7 year loan terms 2.125%
• 10 year loan terms 2.250%
Loans up to $50,000 can be secured by a promissory note/security agreement and loans between $50,000 and $100,000 may require additional security. Loans exceeding $100,000 require additional security.
Producers do not need to demonstrate the lack of commercial credit availability to apply.
The loans are designed to assist a diverse range of farming operations, including small and mid-sized businesses, new farmers, operations supplying local food and farmers markets, non-traditional farm products, and underserved producers.
To learn more about the FSA Farm Storage Facility Loan, contact the Clermont County Farm Service Agency at (513) 732-2181 or (937) 378-6173.