USDA’s Farm Service Agency Administrator Val Dolcini says their loan guarantees and direct loan programs are effective. He says the program has a great track record of helping farmers and ranchers and that trickles down to rural communities in economic activity.

Dolcini’s comments come after ag bankers at the ABA Ag Bankers Conference expressed a concern that the $1.399 million loan limit is becoming prohibitive because of the changing structure of farming and the cost to do business. He admits the cap can be a problem and they are trying to address it. However, he says it will take a Congressional fix.
He says with the return to lower commodity prices in agriculture he thinks there actually will be more need and use of the FSA loan programs.

Dolcini says he likes to refer to FSA as the lender of first opportunity in keeping farmers farming and helping beginning farmers get into the business.