Governor appoints Carol Anderson to Minnesota Rural Finance Authority

Carol Anderson
Carol Anderson

Carol Anderson, executive director of Community Development of Morrison County, was appointed by Gov. Mark Dayton to the Minnesota Rural Finance Authority (RFA).

The Rural Finance Authority (RFA) partners with local lenders to provide affordable credit to eligible farmers. Loan participations are purchased by the RFA under the following programs: The Basic Farm and Seller-Assisted help younger and beginning farmers purchase ag land; agricultural Improvement finances improvements to the farm for any ag related purpose, such as grain handling facilities, machine storage and manure systems; Restructure II is to help farmers reorganize their farm debt to improve cash flow; and Livestock Expansion creates affordable financing for new state-of-the-art livestock production facilities.

More than $177 million has been invested in 2,472 participations by the RFA in these programs.

The Aggie Bond Program creates a federal tax exemption for banks and a federal and state tax exemption on interest income to an individual seller in exchange for offering below market interest rates to eligible beginning farmers to purchase farm real estate, agricultural improvements, breeding livestock and machinery. Two hundred seventy-nine farmers have benefited on over $39 million loans.

Revolving accounts have been established to support certain loan activities. The RFA has provided more than $2.9 million in loans to 195 lower equity farmers to purchase stock in cooperatives that own and operate value-added agricultural processing facilities. The Livestock Equipment Loan Program is designed to help finance the first purchase of livestock-related equipment and make livestock facilities improvements. The Sustainable Agriculture and Manure digester loan programs are administered jointly by the Finance and Budget and Ag Marketing and Development Divisions.

“This is a Board that I wanted to serve on and I’m pleased the governor appointed me to it,” said Anderson. “I think having me on the Board will help Morrison County farmers by making them more aware of the programs that are available to them.”

She said Smude Enterprises in Pierz has some financing through RFA. “This would be an example of how we all work together. Smude’s needed financing for equipment such as grain bins for the sunflowers,” she said. “Community Development came in with the funding for the crushing equipment. So this is a way our programs can work together.”

The Community Development of Morrison County office is located in Little Falls. Anderson and her husband, Steve, live in Foley.