An Act To Improve Farmer Participation in the Agricultural Marketing Loan Fund
Maine Legislature, Session 121, LD 1430
Committee: AgriCUlture, Conservation and Forestry
Sponsors: PINEAU, YOUNGBLOOD, HONEY, LUNDEEN, BRY ANT, KNEELAND
Amends: 7 MRSA §43

12lst MAINE LEGISLATURE 
Legislative Document 
No. 1430 
H.P.1049 
House of Representatives, March 25, 2003 
An Act To Improve Farmer Participation in the Agricultural 
Marketing Loan Fund 
Submitted by the Department of Agriculture, Food and Rural Resources pursuant to Joint 
Rule 204. 
Reference to the Committee on AgriCUlture, Conservation and Forestry suggested and 
ordered printed. 
Presented by Representative PINEAU of Jay. 
Cosponsored by Senator YOUNGBLOOD of Penobscot and 
1r/~/J1.~ 
MILLICENT M. MacFARLAND 
Clerk 
Representatives: HONEY of Boothbay, LUNDEEN of Mars Hill, McKEE of Wayne, Senators: 
BRY ANT of Oxford, KNEELAND of Aroostook. 
Printed on recycled I'"P'r 
Be it enacted by the People of the State of Maine as follows: 
Sec. 1. 7 MRSA §43S, sub-§2, "A and B, as enacted by PL 1995, 
c. 658, §1, are amended to read: 
A. 
An agricultural marketing loan for any project under 
this subchapter, the total cost of which exceE!ds $§9 T 999 
$100,000, may not exceed 4§% 75'\ of the project cost. 
A 
loan from the fund may not be provided for such a project 
unless the applicant demonstrates a commitment of private 
funds of at least 19% ~ of the total cost of the project: 
except that, 
in order 
to 
encourage 
the 
unde'rtaking 
of 
cooperative projects by 2 or more agricultural emterprises, 
an agricultural marketing loan may not be provided unless 
the 
cooperating 
agricultural 
enterprises 
as 
a 
group 
demonstrate a commitment of private funds of at least 5% of 
the total cost of the project. 
B. 
An agricultural marketing loan for any project under 
this subchapter, the total cost of which is $§9 T G99 $100,000 
or less, may not exceed §§% 90% of the total cost of the 
project. 
Sec. 2. 7 MRSA §43S, sub-§2, 111 is enacted to read: 
I. 
The 
commissioner shall make 
available 
a 
mlnlmum of 
$1,000,000 from the Agricultural Marketing Loan Fund for the 
purpose of providing loans to agricultural enterprises that 
are engaged primarily in direct marketing as defined in 
section 434, 
subsection 2. 
Eligibility criteria for 
an 
agricultural marketing loan under this paragraph must allow 
agricultural 
enterprises 
that 
are 
engaged 
pr.imarily 
in 
direct 
marketing 
to 
apply 
for 
loans 
for 
traditional 
eguipment and other capital expenses as provided in Title 
10, section 1023-J. 
Notwithstanding paragraphs A and B, an 
agricultural loan for a project under this paragraph may not 
exceed $100,000. 
This paragraph is repealed December 
31, 
2004. 
Sec. 3. 7 MRSA §43S, sub-§4, as enac ted by PL 1995, c . 658, 
§1, is amended to read: 
4. Administrative costs. 
The commissioner may establish, by 
rule, 
a 
fee for administrative costs on loans in excess of 
$§9 T 999 $100,000. 
This fee may not exceed 1,\ of the loan. 
The 
commissioner may contract with the Finance Authority of Maine to 
assist in the administration of this subchapter. 
Page l-LR1897(1) 
SUMMARY 
This bill increases the amount of an agricultural marketing 
loan that would be covered by the State.