Missouri 



Under the Target State Deposit Program, Missouri 

 has made available $50 million in linked deposit loans. 

 The program is aimed at providing production loans. 

 There are no income/asset limits or debt/asset 

 requirements for eligibility under the program. Through 

 the program, $45.7 million has been issued in loans to 

 eligible farmers. Missouri initiated its program in 

 May 1985. 



Ohio 



In April 1985, Ohio established a program that 

 makes available $100 million from the Treasurer's 

 Investment Portfolio for the purchase of certificates of 

 deposit at below market rates from banks willing to 

 provide loans at 3-4% under the prevailing loan rate. 

 Loans are capped at $100,000 per applicant, and no 

 debt-to-asset requirements apply for purposes of 

 eligibility. Loans are not restricted to specified 

 uses, but are primarily intended for production or 

 operating loans. Under the program, 1,575 loans 

 totaling $100 million have been granted. The program 

 was authorized to run through May 1987. 



Option #3 



Amend state banking regulations to allow 

 prudently managed banks to amortize loan 

 • t losses on a multiple year basis as a means of 

 enabling banks to preserve their capital and 

 to maintain their capacity to extend credit 

 to agricultural borrowers. 



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