Helping America’s Farmers Act
Bill: H.R.4456 | Sponsor: Rep. Hayes, Jahana (D-CT)
Policy area: Agriculture and Food

Summary:
Helping America's Farmers Act
This bill provides financial assistance to certain agricultural entities.
Specifically, the bill directs the Farm Service Agency (FSA) of the Department of Agriculture (USDA) to carry out a program to provide economic disaster loans to certain agricultural entities with an adjusted gross income of less than or equal to $500,000. Under the program, such entities are eligible for zero-interest loans of up to $2 million and may seek loan forgiveness based on demonstrated economic hardship.	In making loans, priority must be given to (1) entities located in states most impacted by an economic disaster; and (2) minority, veteran, and women farmers and ranchers.
The FSA may also guarantee a loan to certain agricultural entities with an adjusted gross income of greater than $500,000 if such loan meets certain requirements.
Entities that apply for a loan or loan guarantee may request that the FSA provide an emergency grant of at least $20,000 upon application.
The bill also provides funding for USDA to carry out a program to provide FSA staff with appropriate training relating to economic injury loan processing and servicing.

To provide for agricultural economic injury disaster loans, and for 
                            other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Helping America's Farmers Act''.

SEC. 2. AGRICULTURAL ECONOMIC INJURY DISASTER LOAN.

    (a) Definitions.--In this section:
            (1) Eligible entity.--The term ``eligible entity'' means--
                    (A) a producer--
                            (i) of horticulture, nursery crops, 
                        floriculture, non-specialty crops, wool, 
                        livestock, dairy, aquaculture, or specialty 
                        crops; or
                            (ii) engaged in the production of food and 
                        fiber; or
                    (B) a farmer or rancher.
            (2) Large eligible entity.--The term ``large eligible 
        entity'' means an eligible entity with an adjusted gross income 
        of greater than $500,000.
            (3) Secretary.--The term ``Secretary'' means the Secretary 
        of Agriculture, acting through the Administrator of the Farm 
        Service Agency.
            (4) Small eligible entity.--The term ``small eligible 
        entity'' means an eligible entity with an adjusted gross income 
        of less than or equal to $500,000.
    (b) Agricultural Economic Injury Disaster Loan Program.--
            (1) In general.--The Secretary shall carry out a program to 
        make loans under this subsection to small eligible entities for 
        the purposes described in paragraph (3).
            (2) Terms of loans.--
                    (A) Amount of loan.--In carrying out this 
                subsection, the Secretary shall make loans to small 
                eligible entities in an amount less than or equal to 
                $2,000,000.
                    (B) Interest rate.--A loan under subparagraph (A) 
                shall have an interest rate equal to zero percent.
                    (C) Repayment.--The Secretary shall establish the 
                repayment terms with respect to each loan to a small 
                eligible entity under this subsection, except that such 
                repayment may not--
                            (i) begin before the date that is 1 year 
                        after the date on which such loan is made to 
                        such small eligible entity; and
                            (ii) be for a period of less than 10 years 
                        or a period of greater than 15 years; and
                    (D) Waiver of certain requirements.--With respect 
                to a loan made under this subsection in response to an 
                economic disaster, the Secretary shall waive--
                            (i) any rules related the personal 
                        guarantee on advances and loans of not more 
                        than $200,000 for all applicants;
                            (ii) any requirement that the small 
                        eligible entity exhaust other loan options 
                        before applying for a loan under this 
                        subsection; and
                            (iii) any requirement that an applicant 
                        needs to be in business for the 1-year period 
                        before the disaster, except that no waiver may 
                        be made for a business that was not in 
                        operation on January 31, 2020.
                    (E) Priority.--In making loans under this 
                subsection the Secretary shall give priority to--
                            (i) small eligible entities located in 
                        States most impacted by an economic disaster, 
                        as determined by the Secretary;
                            (ii) minority, veteran, and women farmers 
                        and ranchers; and
                            (iii) such other small eligible entities as 
                        the Secretary determines appropriate.
            (3) Use of funds.--A small eligible entity that receives a 
        loan under this subsection shall use the loan funds to--
                    (A) provide paid sick leave to employees unable to 
                work due to the direct effect of an economic disaster;
                    (B) maintain payroll to retain employees during 
                business disruptions or substantial slowdowns;
                    (C) meet increased costs to obtain materials 
                unavailable from the applicant's original source due to 
                interrupted supply chains;
                    (D) make rent or mortgage payments;
                    (E) purchase personal protective equipment; and
                    (F) repay obligations that cannot be met due to 
                revenue losses.
            (4) Forgiveness.--A small eligible entity shall be eligible 
        for forgiveness of indebtedness on a loan under this subsection 
        in an amount determined by the Secretary based on the losses of 
        the small eligible entity--
                    (A) due to commodity price decreases during an 
                economic disaster; or
                    (B) revenue loss due to an economic disaster, 
                including from--
                            (i) canceled purchasing contracts or 
                        agreements with schools, institutions, food 
                        hubs, and restaurants;
                            (ii) loss of recurring deliveries of farm 
                        products to schools, institutions, food hubs, 
                        and restaurants; or
                            (iii) any other unexpected source during 
                        such economic disaster.
    (c) Loan Guarantees.--The Secretary may guarantee a loan made by 
lenders approved by the Farm Service Agency to large eligible entities 
if--
            (1) such loan--
                    (A) is for the purposes described in subsection 
                (b)(3);
                    (B) is in an amount greater than $2,000,000;
                    (C) has an interest rate equal to or less than 1 
                percent; and
                    (D) has a repayment term that--
                            (i) begins after the date that is 1 year 
                        after the date on which such loan is made an 
                        eligible entity; and
                            (ii) is for a period of not less than 15 
                        years and not greater than 20 years; and
            (2) the lender making such loan offers forgiveness of 
        indebtedness on such loan under such terms as the Secretary 
        determines are commensurate with the loan forgiveness under 
        subsection (b)(4).
    (d) Approval and Ability To Repay for Small Dollar Loans.--With 
respect to a loan made under subsection (b) in response to an economic 
disaster, the Secretary may--
            (1) approve an applicant based solely on the credit score 
        of the applicant and shall not require an applicant to submit a 
        tax return or a tax return transcript for such approval; or
            (2) use alternative appropriate methods to determine an 
        applicant's ability to repay.
    (e) Emergency Grant.--
            (1) In general.--An eligible entity that applies for a loan 
        under subsection (b) or a loan guarantee under subsection (c) 
        in response to an economic disaster may request that the 
        Secretary provide an advance that is, subject to paragraph (3), 
        in the amount requested by such applicant to such applicant 
        within 3 days after the Secretary receives an application from 
        such applicant.
            (2) Verification.--Before disbursing amounts under this 
        subsection, the Secretary shall verify that the applicant is an 
        eligible entity by accepting a self-certification from the 
        applicant under penalty of perjury pursuant to section 1746 of 
        title 28 United States Code.
            (3) Amount.--The amount of an advance provided under this 
        subsection shall be not less than $20,000.
            (4) Use of funds.--An advance provided under this 
        subsection may be used to address any allowable purpose for a 
        loan made under subsection (b) or a loan guarantee made under 
        subsection (c).
            (5) Repayment.--An applicant shall not be required to repay 
        any amounts of an advance provided under this subsection, even 
        if subsequently denied a loan under subsection (b) or a loan 
        guarantee under subsection (c).
    (f) Other Benefits.--Receipt of a grant, loan, or loan guarantee 
under this section shall not be construed as to prohibit receipt of any 
Federal grant, loan, or other aid.
    (g) Taxability.--For purposes of the Internal Revenue Code of 
1986--
            (1) any amount which would be includible in gross income of 
        the eligible entity by reason of forgiveness described in this 
        paragraph shall be excluded from gross income; and
            (2) any amount received under this section shall be 
        excluded from gross income.
    (h) Funding.--There is hereby appropriated, out of any amounts in 
the Treasury not otherwise appropriated--
            (1) $6,000,000,000, to remain available until September 30, 
        2021, to make loans to small eligible entities under this 
        section;
            (2) $6,000,000,000, to remain available until September 30, 
        2021, to make loan guarantees to large eligible entities under 
        this section;
            (3) $4,000,000,000, to remain available until September 30, 
        2021, to make grants under subsection (e) to small eligible 
        entities; and
            (4) $4,000,000,000, to remain available until September 30, 
        2021, to make grants under subsection (e) to large eligible 
        entities.

SEC. 3. TRAINING FOR LOAN SERVICERS.

    There is hereby appropriated, out of any amounts in the Treasury 
not otherwise appropriated, $300,000,000, to the Secretary of 
Agriculture to carry out a training program to provide Farm Service 
Agency staff with appropriate training relating to economic injury loan 
processing and servicing under section 2.
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