BALE Act of 2023

Bill: 118-hr-541
Sponsor: full_name: Rep. Bost, Mike [R-IL-12]
Introduced: 2023-01-26
Policy area: Agriculture and Food
Latest action: action_date: 2023-02-13
text: Referred to the Subcommittee on General Farm Commodities, Risk Management, and Credit.

Summaries:
action_date: 2023-01-26
action_desc: Introduced in House
text: <p><b>Beginning Agriculturalist Lifetime Employment Act of 2023 or the BALE Act of 20</b><strong>2</strong><b>3</b></p> <p> This bill revises the limits for the Department of Agriculture (USDA) conservation loan guarantee program. </p> <p>The bill replaces the existing 80% limit on the portion of a loan that USDA may guarantee with limits that range from 80%-90%, depending on the principal amount of the loan.</p> <p>For socially disadvantaged or beginning farmers or ranchers, the bill replaces the existing 90% limit with limits that range from 85%-95%, depending on the principal amount of the loan. </p> <p>The bill also (1) prohibits USDA from guaranteeing a loan under the program that exceeds $4 million, and (2) requires USDA to adjust the limits annually for inflation. </p> <p> <p> <p>

tv_txt: I 118th CONGRESS 1st Session H. R. 541 IN THE HOUSE OF REPRESENTATIVES January 26, 2023 Mr. Bost (for himself, Ms. Kelly of Illinois , Mr. Newhouse , Mr. Walberg , and Mr. LaHood ) introduced the following bill; which was referred to the Committee on Agriculture A BILL To amend the Agricultural Act of 1961 to modify the limitations applicable to qualified conservation loan guarantees, and for other purposes.

1. Short title This Act may be cited as the Beginning Agriculturalist Lifetime Employment Act of 2023 or the BALE Act of 2023 . 2. Limitations applicable to qualified conservation loan guarantees (a) Limitations applicable to loan guarantees Section 304(e) of the Agricultural Act of 1961 ( 7 U.S.C. 1924(e) ) is amended to read as follows: (e) Limitations applicable to loan guarantees (1) Percentage of loan guaranteed The portion of a loan that the Secretary may guarantee under this section shall— (A) depend on the principal amount of the loan; and (B) except as provided in paragraph (2), may not exceed the percentage specified for that principal amount in the following table: Principal Amount More Than Principal Amount Equal To Or Less Than Maximum Percent $0 $3,000,000 90% $3,000,000 $3,100,000 89% $3,100,000 $3,200,000 88% $3,200,000 $3,300,000 87% $3,300,000 $3,400,000 86% $3,400,000 $3,500,000 85% $3,500,000 $3,600,000 84% $3,600,000 $3,700,000 83% $3,700,000 $3,800,000 82% $3,800,000 $3,900,000 81% $3,900,000 $4,000,000 80%. (2) Exception for certain producers In the case of a loan to a producer that is a qualified beginning farmer or rancher or a socially disadvantaged farmer or rancher (as the term is defined in section 355(e)), the portion of the loan the Secretary may guarantee under this paragraph may not exceed the percentage specified for the principal amount of the loan in the following table: Principal Amount More Than Principal Amount Equal To Or Less Than Maximum Percent $0 $3,000,000 95% $3,000,000 $3,100,000 94% $3,100,000 $3,200,000 93% $3,200,000 $3,300,000 92% $3,300,000 $3,400,000 91% $3,400,000 $3,500,000 90% $3,500,000 $3,600,000 89% $3,600,000 $3,700,000 88% $3,700,000 $3,800,000 87% $3,800,000 $3,900,000 86% $3,900,000 $4,000,000 85%. (3) Maximum amount The Secretary may not guarantee a loan under this section in an amount that exceeds $4,000,000. (4) Annual inflation adjustment The Secretary shall annually adjust the dollar figures under paragraphs (1), (2), and (3) to reflect the change in the Prices Paid By Farmers Index (as compiled by the National Agricultural Statistics Service of the Department of Agriculture). . (b) Applicability The amendments made by this section shall apply with respect to qualified conservation loans entered into by the Secretary of Agriculture under section 304 of the Agricultural Act of 1961 ( 7 U.S.C. 1924 ) on or after the date of the enactment of this Act.