Welcome
Obtaining enough capital to pursue a career in production agriculture can be a real challenge. But if you have set your horizons on owning and managing your own crop or livestock operation, the Iowa Agricultural Development Authority (IADA) may be able to lend a helping hand.
The IADA was established by the Iowa General Assembly in 1980 to provide financial assistance to Iowa’s grain and livestock producers. Operating expenses for the IADA are derived from modest application and service fees paid by program participants. The IADA also earns interest from a trust fund, but it does not receive any state tax dollars.
The Beginning Farmer Loan Program and Loan Participation Program help Iowa farmers purchase agricultural land, depreciable machinery or equipment, breeding livestock or buildings. The IADA loans may also be used to improve existing buildings or farmland.
The Beginning Farmer Tax Credit Program encourages owners of capital agricultural assets to lease them to Iowa’s qualifying beginning farmers. The program provides the agricultural asset owner a credit against Iowa income taxes owed.
| IADA Brochure 2009 Semi-Annual MAPS Report |
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Tax Credit Harvest Reporting |
IADA News
Important Adjustments to the Beginning Farmer Loan Program
Effective January 1, 2010!
- Maximum Net Worth will DECREASE from $600,000 to $555,600
- Maximum loan/bond amount will INCREASE from $469,200 to $470,100
Beginning Farmer Loan Program
Beginning January 1, 2010 applications will be due on the first of the month, rather than the 15th of the month. Due to this change, applications can now be approved and the sale of the bond approved at the same meeting. The net result of this is the time to approve an application will be reduced from the current 45 days, to 20 – 25 days.
Loan Participation Program
Several banks have inquired as to using both the IADA participation loan and the FSA 50/45/5 beginning farmer loan program. Previously this was not possible as the IADA participation loan had a maximum 20 year amortization, while the FSA loan required a 30 year amortization on any companion financing. At the August meeting, the IADA board approved a 30 year amortization on IADA participation loans only when the FSA program is also utilized. The change will become effective sometime in September.
The median size farm has been updated.
Median Farm Size Limits (Effective February 4, 2009)
Median Farm Size Limits Map (Effective February 4, 2009)
Deadlines
| Loan Participation Applications | 1st of the Month |
| BFLP Applications | 1st of the Month |
| Tax Credit Applications | 15th of the Month |
last modified: 03/27/09
Jeff Ward, Executive Director
515-281-6444
email: jeff.ward@iowa.gov