Ag BMP Loan Program
The AgBMP Loan Program was created in 1994 to provide low interest financing to farmers, agribusiness, and rural landowners for the implementation of practices that reduce or treat runoff from farm fields.
 
Access to Loans:
The AgBMP loan program is intended to implement projects that prevent or mitigate nonpoint source pollution.  Access to loan funds by potential borrowers depends on the following factors:
  • Whether Faribault County has applied for and received an allocation
  • The amount available through the County's revolving accounts
  • The priorities in the Local Water Plan
  • Credit decisions by the local lender

Eligible projects:
Projects include feedlot improvements, manure storage basins, spreading equipment, terraces, grass waterways, conservation tillage equipment, and other agricultural best management practices (BMP's) that reduce or treat runoff from farm yards and fields.  BMP's that receive cost share funding and projects needed to comply with water related rules or laws are eligible.

Ineligible projects: 
Projects which are not eligible include projects already completed, improving feedlots over 1,000 animal units, and constructing a new facility.

To apply for a loan:
Potential borrowers should contact the SWCD at (507) 526-2388 for information regarding the implementation of the AgBMP Program.  The SWCD will refer eligible borrowers to the appropriate local lender.  Local lenders will make credit decisions based on the borrowers ability to repay the loan.

Loan Terms:

  • Maximum loan length is 10 years.
  • Maximum loan amount is $100,000.
  • Maximum interest rate is 3%.
  • Lender may charge customary fees.
  • Lender may require collateral.
  • Borrower must meet lending criteria.
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 Faribault County Ag Center • 415 S Grove Street, Suite 8 Blue Earth MN 56013 • Phone 507-526-2388 • Fax 507-526-2508 • M-F 7:00AM-4:30PM Site Designed by BEVCOMM