Agriculture Loan Programs

(801) 538-7179
FAX (801) 538-4940

The Agriculture Loans Section of the Utah Department of Agriculture and Food is involved in four agriculture and rural loan programs:

• Agriculture Resource Development Loans (ARDL)
• Rural Rehabilitation Loans
• Petroleum Storage Tank Loans
• SRF Water Quality Loans

General information on UDAF's loan programs

ARDL Program

Low-interest ARDL loans are available through the Utah Conservation Commission in cooperation with the division's program. ARDL loans are made for a maximum of 12 years at 3 percent interest with a one-time administration fee of 4 percent.

The objectives of the program are to:

• Conserve soil and water resources
• Increase agricultural yields for croplands, orchards, pasture, range, and livestock
• Maintain and improve water quality
• Conserve and/or develop on-farm energy
• Reduce damages to agriculture as a result of flooding, drought, or other natural disasters

The ARDL program currently has $27.6 million in assets and nearly $20 million out in loans. More than $40 million has been advanced for improvement projects by the ARDL since its beginning. The program continues to grow as loan funds are repaid with interest. The portfolio contains nearly 900 loans.

• About the ARDL Program
• ARDL Policy Manual

Rural Rehabilitation Loans

The Rural Rehabilitation Loan Program is another source of low-interest loans for farms and ranches. The purpose of this program is to help those who want to buy, begin or improve an agricultural operation but who cannot qualify for conventional financing. The current interest rates for these loans are from 5-6 percent. This loan fund was augmented by the Legislature to assist distressed farmers in 1992, and has since grown as a result of additional appropriations and internal growth through earnings.The program contains both state and federal funds.Total assets for this fund are $8.5 million with $7.7 million out in individual loans. Delinquencies in all loan programs are very low.

Petroleum Storage Tank Loans

In addition to the agriculture loans, the loans section manages the Petroleum Storage Tank Loan program in cooperation with the Division of Environmental Response and Remediation (DERR) of the Utah Department of Environmental Quality (DEQ).

Loan applications and more information on the PST Program can be found here.

State Revolving Fund Water Quality Loans

The section also cooperates with the Division of Water Quality in underwriting non-point source pollution prevention loans funded by the State Revolving Fund.

Utah Code and Administrative Rules Relating to Agriculture Loans

• Rural Rehabilitation (Utah Code Annotated: Title 4, Chapter 19)
• Agriculture Resource Development Loans (ARDL) (R64-1)
• Petroleum Storage Tank Loan Program (Utah Code Annotated: Title 19, Chapter 6, Section 405)