FRANKFORT, Ky. (May 14, 2021) – The Kentucky Agricultural Finance Corporation (KAFC) approved $2,464,250 in 12 agricultural loans for projects across the commonwealth at its board meeting today.
The loans approved this month bring the total awarded by the KAFC to over $156 million for more than 1,140 loans to farmers and agribusinesses to help grow and diversify Kentucky’s agricultural economy.
Agricultural Infrastructure Loan Program (AILP)
Two Agricultural Infrastructure loans totaling $180,000 were approved for recipients in Wayne ($150,000) and Hart ($30,000) counties. KAFC participates with lenders to provide financing to producers making capital expenditures for agricultural projects through the AILP. Eligible projects include permanent farm structures with attached equipment that improves the profitability of farming operations. Producers may be eligible for up to $150,000 not to exceed 50 percent of the project.
Agricultural Processing Loan Program (APLP)
Four Agricultural Processing loans totaling $1,265,000 were approved for recipients in Greenup ($255,000), Fleming ($160,000), Nelson ($350,000), and Pulaski ($500,000) counties. APLP is designed to provide loan opportunities to companies and individuals in Kentucky interested in adding value to Kentucky-grown agricultural commodities through further processing. Agricultural processors may qualify for financing for acquisition of equipment, construction of new facilities, renovation/expansion of existing facilities and permanent working capital up to 50 percent of the project cost.
Beginning Farmer Loan Program (BFLP)
Five Beginning Farmer loans totaling $869,250 were approved for recipients in Anderson ($202,500), Barren ($236,250), Garrard ($114,000), Graves ($234,000), and Warren ($82,500) counties. BFLP is designed to assist individuals with some farming experience who desire to develop, expand or buy into a farming operation. Beginning farmers may qualify for financing to purchase livestock, equipment or agriculture facilities; to secure permanent working capital; for the purchase of farm real estate; or to invest in a partnership or LLC.
Large/Food Animal Veterinary Loan Program (VET)
A Large/Food Animal Veterinary Loan was approved for a recipient in Monroe ($150,000) County. The Vet Loan program is designed to assist individuals licensed to practice veterinary medicine in Kentucky who desire to construct, expand, equip or buy into a practice serving large animal producers, including goat, sheep, swine, and other smaller food animals.
For more information on the programs offered by the KAFC, contact Ali Hulett, loan programs manager, at 502-782-1760 or email kafc@ky.gov.
