PENNSYLVANIA   Dennis Hall and Jared Grissinger Pennsylvania Department of Agriculture 2301 North Cameron Street Harrisburg, PA 17110-9408 Telephone: (717) 705-9513 FAX (717) 787-5643 Website: www.agriculture.state.pa.us E-mail Address: jgrissinge@state.pa.us Program/Project Title: Next Generation Farmer Loan Program Program Began: March 20, 1998 Contact Person: Cheryl Cook and Jared Grissinger Cost/Funding: $6 million Target Group: Next generation farmers Description: Provide an effective means for federal-state-industry partnerships and provide next generation farmers the opportunity to purchase land and other capital-intensive assets to begin their agriculture enterprise. This collaborative program is a partnership between the Pennsylvania Department of Agriculture and the Pennsylvania Department of Community and Economic Development. The program uses federal tax-exempt finances to reduce a farmer’s interest rate for capital purchases. Program/Project Title: PA grows Contacts: Dennis Hall--(717) 787-2376—denhall@state.pa.us Jared Grissinger--(717) 705-9513—jgrissinge@state.pa.us Description: Technical assistance initiative to help farmers understand new program opportunities, paperwork on state programs as well as other lenders such as Farm Service Agency, SBA 504, Farm Credit and private lenders to develop the best possible financing package. PENNSYLVANIA Gary W. Smith and Suzanne Milshaw Chester County Economic Development Council (CCEDC) 737 Constitution Drive P.O. Box 959 Exton, PA 19341 Telephone: (610) 458-5700 Fax: (610) 458-7770 E-mail Address: gsmith@cceconomicdevelopment.com; smilshaw@cceconomicdevelopment.com Organization Began: 1960 Program: First Industries Fund--Machinery and Equipment Loan Fund (MELF) Contact Person: Jared Grissinger, Gary W. Smith, and Suzanne Milshaw Program Began: 2005 Target Group: New and existing farmers, agricultural processing Description: This program is designed to stimulate growth and assist the retention of business in Pennsylvania by providing low-interest loan financing for a portion of the cost of machinery, equipment and livestock purchases to eligible farmers in the Commonwealth. MELF is administered by the Pennsylvania Department of Community and Economic Development and has been adapted to meet specific needs of farmers. Program: Next Generation Farmers (NGF) Program Began: 1999 Contact Person: Jared Grissinger, Gary W. Smith, and Suzanne Milshaw Cost/Funding: PDA, PADCED and other sources Target Group: New farmers Description: This program assists farmers in the purchase of land, buildings, improvements, machinery and equipment. Borrowers must be a permanent resident of Pennsylvania and at least 18 years of age. The potential borrower must first meet lender credit standards and document to the satisfaction of the lender that they will have access to adequate working capital, farm equipment and livestock, if appropriate. The owner must be the sole owner and principal of the project. The borrower must not have had any prior direct or indirect ownership interest in a substantial amount of land. A substantial amount of land is a parcel, which exceeds 30 percent of the median farm size in the county in which the land is located. Program: First Industries Fund--Small Business First Fund (SBFF) Program Began: 2005 Contact Person: Jared Grissinger, Gary W. Smith, and Suzanne Milshaw Target Group: New and existing farmers, ag processors Description: This loan can be used to acquire land and buildings, construct and renovate buildings, and acquire machinery and equipment. Loan amounts are $200,000 or 50 percent of the total project cost, whichever is less. The term of the loan matches the life of the asset. Program: First Industries Fund—Loan Guarantee Program Program Began: 2005 Contact Person: Jared Grissinger, Gary W. Smith, and Suzanne Milshaw Target Group: Existing and new farmers; ag processors Description: The First Industries Loan Guarantee Program provides a 50 percent guarantee on a lending institution’s loan(s) to an eligible borrower. The maximum guarantee amount is $2,500,000 and can be used on loans for land and buildings, machinery and equipment, and/or working capital and can include the refinance of existing debt. Program: Small Business Administration (SBA 504) Program Began: 1983 Contact Person: Gary W. Smith and Suzanne Milshaw Target Group: Existing and new farmers; ag processors Description: The 504 Loan Program is a fixed asset financing program for expanding farms. It is the first federal financing tool to recognize the importance of small businesses in the job creation process through their physical expansion. The “504” is the Economic Development Program of the U.S. Small Business Administration. A farmer must have less than 500 employees. Net worth must not exceed $6 million and its average net income after taxes for the preceding two years must not exceed $2 million.   Choose another state ...

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