Farm Credit developed the Rural America Bond Program to help meet the ever-expanding and changing needs of agricultural enterprises, agribusinesses, and rural communities by providing a flow of money to rural areas. Under the program, AgriLand, FCS can invest in debt instruments call Rural America Bonds. These include debt obligations issued by:

• Public and private entities
• Corporations and cooperatives
• Rural lenders and other financial institutions

Why Invest in Rural Communities?

AgriLand is committed to improving the quality of life in rural America for farmers and ranchers, as well as for those who choose to live and work in the country. The success of farm families and American agriculture depends to a large extent on having strong, supportive rural communities. Farmers and ranchers rely on the economic vitality of their rural communities for off-farm jobs, markets for their products, farm-related services, and high-quality education and other public services for their families. However, rural enterprises have been underserved by traditional sources of capital.

By investing in activities that sustain, revitalize and develop rural communities, AgriLand is helping to keep producers on the land and attract new families to rural America.

What Types of Projects Qualify?

AgriLand can invest in two major types of projects: those that support rural communities and those that support agriculture and agribusiness.

Some eligible purposes include:

• Rural infrastructure improvements, such as water and utilities (public or private)
• Infrastructure for agricultural production, such as a farmers’ market or grain storage facilities
• Commercial enterprises that create or maintain jobs in rural areas
• Rural community services, such as schools, hospitals and public administrative facilities like police and fire halls
• Rural housing for low- and moderate-income families
• Agribusinesses, regardless of farm ownership
• Alternative energy projects, including ethanol and biodiesel plants and wind energy facilities
• Rural community redevelopment and revitalization projects
• Young, beginning and small farmers

What Is a Rural Area?

A rural area, for purposes of this program, is defined as an area outside a standard metropolitan statistical area or within a community that has a population of 50,000 or less

Contact your loan officer for more information about Rural America Bonds.