90th General Assembly
Summary of HB1880
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House Sponsors:
NOLAND-WOOLARD-TURNER,JOHN-BRUNSVOLD-LAWFER AND BLACK.

Senate Sponsors:
O'DANIEL-SIEBEN

Short description: 
ILL FARM DEVELOP-ST GUARANTEES                                             

Synopsis of Bill as introduced:
        Amends the Illinois Farm  Development  Act.   Provides  that  the      
   Illinois  Farm  Development Authority shall not have outstanding State      
   Guarantees in an aggregate principal amount exceeding $50,000,000 (now      
   $35,000,000).  Provides that there shall be no income restriction  for      
   applicants  who  have previously used the guarantee program.  Provides      
   that guarantees shall not exceed $500,000 (now $300,000)  per  farmer.      
   Provides  that  in  those  cases where the borrower has not previously      
   used the guarantee program, the lender shall not  call  the  loan  due      
   during  the first 3 years for any reason except lack of performance or      
   insufficient collateral. Provides that interest  earned  from  amounts      
   invested  from  the  Illinois Agricultural Loan Guarantee Fund and the      
   Illinois  Farmer  and  Agribusiness  Loan  Guarantee  Fund  shall   be      
   deposited  into  those  funds  until  the  Funds  reach  their maximum      
   amounts.  Provides that after the Funds reach  their  maximum  amounts      
   the  interest  shall  be  deposited  into  the  General  Revenue Fund.      
   Provides that the Authority may transfer $15,000,000 (now $10,000,000)      
   from appropriations and the Farm Emergency Assistance Fund as of  June      
   30 of each year to the Illinois Farmer and Agribusiness Loan Guarantee      
   Fund. Makes other changes.  Effective immediately.                          
          FISCAL NOTE (Bureau of the Budget)                                   
          FY98 costs would be approximately $400 thousand in lost inter-       
          est. HB1880 could cost an additional $5 million over time if a       
          sufficient number of loans default.                                  
 
Last action on Bill: PUBLIC ACT.............................. 90-0325

   Last action date: 97-08-08

           Location: House

 Amendments to Bill: AMENDMENTS ADOPTED: HOUSE -   0     SENATE -   0


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