,,ii  #aahth ,,congress  #ast ,session  
,s4 #bcga  ,,in ,,the ,,senate ,,of     
,,the ,,united ,,states  ,july #ai1     
#bjbc,mr4 ,moran 7for himself and ,mr4  
,king7 introduced the following bill2   
which was read twice and referred to the
 ,committee on ,finance  ,a ,,bill  ,to 
amend the ,internal ,revenue ,code of   
#aihf to exclude from gross income      
interest received on certain loans      
secured by rural or agricultural real   
property4  #a4 ,short title ,this ,act  
may be cited as the ,access to ,credit  
for our ,rural ,economy ,act of #bjbc or
 as the ,,acre ,act of #bjbc4  #b4      
,exclusion of interest on loans secured 
by rural or agricultural real property  
7a7 ,in general ,part ,,iii of          
subchapter ,b of chapter #a of the      
,internal ,revenue ,code of #aihf is    
amended by inserting after section      
#aci;,i the following new section3      
#aci;,j4 ,interest on loans secured by  
rural or agricultural real property  7a7
 ,in general ,gross income shall not    

include interest received by a qualified
 lender on any qualified real estate    
loan4  7b7 ,qualified lender ,for       
purposes of this section1 the term      
qualified lender means-- 7#a7 any bank  
or savings association the deposits of  
which are insured under the ,federal    
,deposit ,insurance ,act 7#ab ,u4,s4,c4 
#ahaa et seq471 and  7#b7 any entity    
wholly owned1 directly or indirectly1 by
 a company that is treated as a bank    
holding company for purposes of section 
#h of the ,international ,banking ,act  
of #aigh 7#ab ,u4,s4,c4 #cajf7 if-- 7,a7
 such entity is organized1 incorporated1
 or established under the laws of the   
,united ,states or any ,state of the    
,united ,states1 and  7,b7 the principal
 place of business of such entity is in 
the ,united ,states4  7c7 ,qualified    
real estate loan ,for purposes of this  
section-- 7#a7 ,in general ,the term    
qualified real estate loan means any    
loan-- 7,a7 secured by rural or         
agricultural real estate or by a        

leasehold mortgage 7with a status as a  
lien7 on rural or agricultural real     
estate1 and  7,b7 in the case of any    
loan with respect to single family      
residence described in paragraph        
7#b77;,b7-- 7i7 the proceeds of which   
are used to purchase or improve such    
residence1 and  7ii7 the principal of   
which 7when added to the principal of   
all other such loans with respect to    
such residence7 does not 7as of the time
 the interest income on such loan is    
accrued7 exceed #gej1jjj4  ,for purposes
 of the preceding sentence1 the         
determination of whether property       
securing such loan is rural or          
agricultural real estate shall be made  
as of the time the interest income on   
such loan is accrued4  7#b7 ,rural or   
agricultural real estate ,the term rural
 or agricultural real estate means--    
7,a7 any real property which is         
substantially used for the production of
 one or more agricultural products1     
7,b7 any single family residence-- 7i7  

which is the principal residence 7within
 the meaning of section #aba7 of its    
occupant1 and  7ii7 which is located in 
a rural area within the meaning of      
section #a4aa7;b77#c7 of the            
,agricultural ,credit ,act of #aihg 7#ab
 ,u4,s4,c4 #bjai7;b77#c771 and  7,c7 any
 aquaculture facility4  7#c7            
,aquaculture facility ,the term         
aquaculture facility means any land1    
structure1 or other appurtenance that is
 used for aquaculture 7including any    
hatchery1 rearing pond1 raceway1 pen1 or
 incubator7 that is located in any      
,state4  7d7 ,coordination with section 
#bfe ,qualified real estate loans shall 
be treated as obligations described in  
section #bfe7;a77#b7 the interest on    
which is wholly exempt from the taxes   
imposed by this subtitle4  4  7b7       
,clerical amendment ,the table of       
sections for such part ,,iii is amended 
by inserting after the item relating to 
section #aci;,i the following new item3 
,sec4 #aci;,j4 ,interest on loans       

secured by rural or agricultural real   
property4  4  7c7 ,effective date ,the  
amendments made by this section shall   
apply to taxable years beginning after  
the date of the enactment of this ,act4