Definitions.

CFR · 2024-01-01 · US · Title 7

As used in this subpart, the following apply: (1) Is an eligible applicant for FO loan assistance in accordance with § 1943.12 of subpart A of part 1943 of this chapter or § 1980.180 of subpart B of part 1980 of this chapter. (2) Has not operated a farm or ranch, or who has operated a farm or ranch for not more than 10 years. This requirement applies to all members of an entity. (3) Will materially and substantially participate in the operation of the farm or ranch. (i) In the case of a loan made to an individual, individually or with the immediate family, material and substantial participation requires that the individual provide substantial day-to-day labor and management of the farm or ranch, consistent with the practices in the county or State where the farm is located. (ii) In the case of a loan made to an entity, all members must materially and substantially participate in the operation of the farm or ranch. Material and substantial participation requires that the individual provides some amount of the management, or labor and management necessary for day-to-day activities, such that if the individual did not provide these inputs, operation of the farm or ranch would be seriously impaired. (4) Agrees to participate in any loan assessment, borrower training, and financial management programs required by Rural Development regulations. (5) Does not own real farm or ranch property or who, directly or through interests in family farm entities, owns real farm or ranch propert

official document · source cfr-2024 · id 7:§ 1955.103