S. 5526
Agricultural Act of 2026
Sponsor: John Boozman · 0 cosponsors
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Text of the bill
I Commodities
A Commodity Policy
B Dairy
C Supplemental Agricultural Disaster Assistance
D Administration
II Conservation
A Conservation Reserve Program
B Environmental Quality Incentives Program
C Conservation Stewardship Program
D Funding and administration
E Agricultural Conservation Easement Program
F Regional Conservation Partnership Program
G Forest Conservation Easement Program
H Other Conservation programs
III Trade
A Food for Peace Act
B Agricultural Trade Act of 1978
C Other agricultural trade laws
D Reports
IV Nutrition
A Supplemental nutrition assistance program
B Commodity distribution programs
C Miscellaneous
V Credit
A Farm Credit System
B Farm ownership and operating loans
Section 303 of the Consolidated Farm and Rural Development Act (7 U.S.C. 1923) is amended by adding at the end the following:
(d) Refinancing of guaranteed loans into direct loans
(1) In general. Not later than 1 year after the date of enactment of this subsection, the Secretary shall promulgate regulations allowing certain loans guaranteed by the Farm Service Agency to be refinanced into direct loans issued by the Farm Service Agency, in accordance with this subsection.
(2) Requirements
(A) In general. The regulations promulgated under paragraph (1) shall provide that a guaranteed loan described in that paragraph may be refinanced into a direct loan described in that paragraph only if the Secretary, in consultation with the lender holding the guaranteed loan, determines that—
(i) the guaranteed loan is distressed due to its status as a non-performing loan that does not have a positive cashflow;
(ii) the borrower on the guaranteed loan has attempted to work with the lender and has been unsuccessful;
(iii) the borrower on the guaranteed loan is in default and the lender has notified the borrower of a pending liquidation or foreclosure action;
(iv) a reasonable chance for the success of the operation financed by the guaranteed loan exists; and
(v) all other criteria established by the Secretary for purposes of this section to protect taxpayer funds and the loan programs of the Farm Service Agency have been satisfied.
(B) Reasonable chance of success. For purposes of subparagraph (A)(iv), the Secretary may determine that a reasonable chance for the success of an operation exists if the Secretary determines that—
(i) all relevant problems with the operation financed by the guaranteed loan—
(I) have been identified; and
(II) can be corrected; and
(ii) on correction of those problems, the operation can achieve, or be returned to, a sound financial basis.
(3) Loan programs. In making direct loans pursuant to the regulations promulgated under paragraph (1), the Secretary may refinance a loan guaranteed under 1 program of the Farm Service Agency into a direct loan issued under another program of the Farm Service Agency, as the Secretary determines to be appropriate and in accordance with the laws applicable to the program under which the new direct loan is issued.
(4) Maximum amount of direct refinancing loans. A direct loan issued by the Farm Service Agency pursuant to the regulations promulgated under paragraph (1) shall be subject to any otherwise applicable limitation on the maximum amount of a direct loan issued by the Farm Service Agency, including, if applicable, the limitations described in sections 305 and 313.
C Administrative provisions
VI Rural Development
A Rural Electrification Act of 1936
I Rural broadband access
II Additional amendments
B Consolidated Farm and Rural Development Act
C Miscellaneous
I Rural care economy
II Other miscellaneous provisions
VII Research, Extension, and Related Matters
A National Agricultural Research, Extension, and Teaching Policy Act of 1977
B Food, Agriculture, Conservation, and Trade Act of 1990
C Agricultural Research, Extension, and Education Reform Act of 1998
D Food, Conservation, and Energy Act of 2008
I Agricultural security
II Miscellaneous provisions
E Other Matters
VIII Forestry
A Forest data modernization
B Forest health and management
I Forest Service management
II State and private partnerships
III Timber innovation
C Forest conservation
D Land designations
E White oak resilience
F Other matters
IX Energy
X Horticulture
A Horticulture marketing and information
B Regulatory reform
XI Crop insurance
XII Miscellaneous
A Livestock
B National security
C Fertilizer
D United States grain standards reauthorization
E Year-Round E15 and RFS reform
F Other miscellaneous provisions