,,ii  #aaith ,,congress  #ast ,session  
,s4 #hii  ,,in ,,the ,,senate ,,of ,,the
 ,,united ,,states  ,march #f1 #bjbe,mr4
 ,hoeven 7for himself and ,ms4          
,klobuchar7 introduced the following    
bill2 which was read twice and referred 
to the ,committee on ,agriculture1      
,nutrition1 and ,forestry  ,a ,,bill    
,to amend the ,consolidated ,farm and   
,rural ,development ,act to modify      
limitations on amounts of farm ownership
 loans and operating loans1 and for     
other purposes4  #a4 ,short title ,this 
,act may be cited as the ,producer and  
,agricultural ,credit ,enhancement ,act 
of #bjbe4  #b4 ,limitations on loan     
amounts  7a7 ,limitations on amount of  
farm ownership loans ,section           
#cje7;a77#b7 of the ,consolidated ,farm 
and ,rural ,development ,act 7#g        
,u4,s4,c4 #aibe7;a77#b77 is amended by  
striking #fjj1jjj1 or1 in the case of a 
loan guaranteed by the ,secretary1      
#a1gej1jjj 7increased1 beginning with   
fiscal year #bjai and inserting         

#hej1jjj1 or1 in the case of a loan     
guaranteed by the ,secretary1 #c1jjj1jjj
 7increased1 beginning with fiscal year 
#bjbe4  7b7 ,limitations on amount of   
operating loans ,section #cac7;a77#a7 of
 the ,consolidated ,farm and ,rural     
,development ,act 7#g ,u4,s4,c4         
#aidc7;a77#a77 is amended by striking   
#djj1jjj1 or1 in the case of a loan     
guaranteed by the ,secretary1 #a1gej1jjj
 7increased1 beginning with fiscal year 
#bjai and inserting #gej1jjj1 or1 in the
 case of a loan guaranteed by the       
,secretary1 #b1fjj1jjj 7increased1      
beginning with fiscal year #bjbe4  #c4  
,inflation percentage ,section #cje7;c7 
of the ,consolidated ,farm and ,rural   
,development ,act 7#g ,u4,s4,c4         
#aibe7;c77 is amended-- 7#a7 in         
paragraph 7#a71 by striking of the      
,prices ,paid ,by ,farmers ,index 7as   
compiled by the ,national ,agricultural 
,statistics ,service of the ,department 
of ,agriculture7 for the #ab-month      
period ending on ,july #ca of the       

immediately preceding fiscal year and   
inserting of the per acre average       
,united ,states farm real estate value1 
the per acre average ,united ,states    
cropland value1 and the per acre average
 ,united ,states pasture value for the  
preceding year 7as published in the     
applicable ,agricultural ,land ,values  
report of the ,national ,agricultural   
,statistics ,service of the ,department 
of ,agriculture71 weighted equally2 and 
7#b7 in paragraph 7#b71 by striking of  
such index 7as so defined7 for the      
#ab-month period that immediately       
precedes the #ab-month period described 
in paragraph 7#a7 and inserting of the  
per acre average ,united ,states farm   
real estate value1 the per acre average 
,united ,states cropland value1 and the 
per acre average ,united ,states pasture
 value for the year immediately         
preceding the year described in         
paragraph 7#a7 7as so published71       
weighted equally4  #d4 ,down payment    
loan program ,section #caj;,e7b77#a7 of 

the ,consolidated ,farm and ,rural      
,development ,act 7#g ,u4,s4,c4         
#aice7;b77#a77 is amended-- 7#a7 in the 
matter preceding subparagraph 7,a71 by  
striking exceed #de percent of the least
 and inserting exceed1 subject to       
section #cje7;a71 #de percent of the    
lesser2  7#b7 in subparagraph 7,a71 by  
adding or after the semicolon2  7#c7 in 
subparagraph 7,b71 by striking 2 or and 
inserting a period2 and  7#d7 by        
striking subparagraph 7,c74  #e4        
,limitation on microloan amounts        
,section #cac7;c77#b7 of the            
,consolidated ,farm and ,rural          
,development ,act 7#g ,u4,s4,c4         
#aidc7;c77#b77 is amended by striking   
#ej1jjj and inserting #ajj1jjj4  #f4    
,refinancing of guaranteed loans into   
direct loans  7a7 ,in general ,not later
 than #a year after the date of         
enactment of this ,act1 the ,secretary  
of ,agriculture1 acting through the     
,administrator of the ,farm ,service    
,agency 7referred to in this section as 

the ,secretary71 shall promulgate       
regulations allowing certain loans      
guaranteed by the ,farm ,service ,agency
 to be refinanced into direct loans     
issued by the ,farm ,service ,agency1 in
 accordance with this section4  7b7     
,requirements  7#a7 ,in general ,the    
regulations promulgated under subsection
 7a7 shall provide that a guaranteed    
loan described in that subsection may be
 refinanced into a direct loan described
 in that subsection only if the         
,secretary determines that-- 7,a7 the   
guaranteed loan is distressed2  7,b7 the
 borrower on that guaranteed loan has   
attempted to work with the lender and   
has been unsuccessful2  7,c7 a          
reasonable chance for the success of the
 operation financed by the guaranteed   
loan exists2 and  7,d7 all other        
criteria established by the ,secretary  
for purposes of this section to protect 
taxpayer funds and the loan programs of 
the ,farm ,service ,agency have been    
satisfied4  7#b7 ,reasonable chance of  

success ,for purposes of paragraph      
7#a77;,c71 the ,secretary may determine 
that a reasonable chance for the success
 of an operation exists if the          
,secretary determines that-- 7,a7 all   
relevant problems with the operation    
financed by the guaranteed loan-- 7i7   
have been identified2 and  7ii7 can be  
corrected2 and  7,b7 on correction of   
those problems1 the operation can       
achieve1 or be returned to1 a sound     
financial basis4  7c7 ,no effect on     
subsidies ,in carrying out this section1
 the ,secretary shall ensure that the   
refinancing of guaranteed loans into    
direct loans has no impact on the       
subsidy rate of-- 7#a7 loans guaranteed 
by the ,farm ,service ,agency2 or  7#b7 
direct loans issued by the ,farm        
,service ,agency4  7d7 ,loan programs   
,in making direct loans pursuant to the 
regulations promulgated under subsection
 7a71 the ,secretary may refinance a    
loan guaranteed under #a program of the 
,farm ,service ,agency into a direct    

loan issued under another program of the
 ,farm ,service ,agency1 as the         
,secretary determines to be appropriate 
and in accordance with the laws         
applicable to the program under which   
the new direct loan is issued4  7e7     
,maximum amount of direct refinancing   
loans ,a direct loan issued by the ,farm
 ,service ,agency pursuant to the       
regulations promulgated under subsection
 7a7 shall be subject to any otherwise  
applicable limitation on the maximum    
amount of a direct loan issued by the   
,farm ,service ,agency1 including1 if   
applicable1 the limitations described   
in-- 7#a7 section #cje of the           
,consolidated ,farm and ,rural          
,development ,act 7#g ,u4,s4,c4 #aibe72 
and  7#b7 section #cac of that ,act 7#g 
,u4,s4,c4 #aidc74  #g4 ,sense of        
,congress ,it is the sense of ,congress 
that-- 7#a7 access to credit is         
essential to the success of farmers and 
ranchers2 and  7#b7 microloans1 direct  
loans1 and guaranteed loans provided by 

the ,farm ,service ,agency should be    
fully funded to meet producer demand1   
help beginning farmers and ranchers1 and
 support family farms4