Milford chronicle., 1961-12-22
Cong. Mcdowell Has
Reviewed The FILA
Continued from page one)

1IO1u page OQo1
ing lOans-an amount far greater
than any previous year Farm op-
Grating loans also reached a new
high of $2335 million. The total
loans advanced by Farmers Home
Administration in the fiscal year
ended June 80, 1861, were 1896
million-the largest amount loan
ed in any fiscal year"
Congressman Mcdowell said:
Loans made and insured in fis-
cal year 1861 in Delaware totaled
S233,980, compared with $97, ,461
the preceding year These loans
were used to pay for equipment,
livestock, feed, seed, fertilizer
other farm and home operating
needs; to enlarge, develop, and
buy farms not larger than family
farms; to develop water supply
systems for irrigation, household
use and livestock, drain farm land,
carry out soil conservation mea-
sures; to construct and repair
homes and essential farm build
lngs; to refinance certain types
of indebtedness; and to aid far
mers hit by a natural disaster
such as flood, hail, or drought
Borrowers repaid S141,275."
Congressman Mcdowell went on
to say that:
Last June, following recon-
mendations made by President
Kennedy, the Congress passed an
Omnibus Housing Bill which ex-
panded FHA's program so that
families living in rural areas and
small rural communities as we'll
as farmers could provide them
selves with decent, safe, and san-
itary housing Approximately
S430 million was made available
for these types of loans. The
Housing Act marks another ad-
vance in housing legislation by
authorizing the Farmers Home
Administration to make small i'm
provement loans without taking a
mortgage on the farm for security,
and permits the making of rural
housing loans without taking a
mortgage on the entire farm. This
will cut down closing costs and
speed up loan making"
New legislation contained in the
Agricultural Act of 1861, signed
by President Kennedy on August
s modernized Farmers Home Ad-
ministration authorities to meet
changing conditions in agricul-
ture and enable it to meet the
credit needs of small farmers who
need a bigger base to build on and
young farmers who must over
come fantastic barriers to enter
farming on sound and secure
basis. Established farmers who
need to make large scale adjust
ments to keep up with changing
times and farmers hit with ma
tural disasters such as hail,
drought or flood will be better SER
we'd now because of the new leg
islation.
Operating loans can now be
made for up to $4,000 compared
to the previous limit of $4,000
and loans scheduled for repay
ment over years may be renew
ed in some situations for an ad-
ditional years. Loans to buy and
enlarge farms may now be made
on any family farm if the total
Indebtedness on the farm is not
more than 100000 when the loan
is closed. Previously these loans
had been limited to farms whose
value was no greater than that of
the average family farm in the
county. Loans may now be made |
to farmers with off-farm income |
to buy and enlarge small farms. |
Previously such loans could be |
made only on farms large enough |
to support a family.
Congressman Mcdowell added: |
These and other credit author
tiles contained in the legislation |
permit the Farmers Home Admin |
istration to fill the gap long ex-
listing in agricultural credit. The |
agency has approximately $780, |
100000 available for loans during !
the 1862 fiscal year.