North Dakota Rural Rehabilitation Corporation

Real estate loans--nd Rural Rehabilitation corporation (ndrrc) participates with the farm service agency (fsa) in providing real estate loans to North Dakota farmers and ranchers who are unable to secure conventional credit. These loans have been for borrowers with fsa loans where fsa subordinates their lien to this corporation. Ndrcc also provides direct real estate loans to farmers and ranchers who are unable to secure conventional credit. Some of these loan requests are submitted by credit counselors on behalf of their clients and some farmers and ranchers come directly to the corporation themselves. The loans may involve refinance of existing first mortgage loans which are either being terminated or have such high interest rates that the operators no longer have an adequate cash flow to succeed. Loans for the purchase of land are also made. Ndrcc requires a first mortgage. Ndrcc had approximately 190 loans to farmers and ranchers outstanding during the current year with an outstanding balance in excess of $29,647,035

Starting farmer loans: these loans are made to individuals starting farm and ranch operations and are secured by a first morgage on real estate. Ndrrc had loans to approximately 77 farmers and ranchers in the current year.

Ndrrc provides numerous grants and scholarships throughout the year. Ndrrc gives tuition assistance to farmers and ranchers to participate in farm business management programs sponsored by the North Dakota vocational agricultural schools. Tuition assistance is also given for artificial insemination schools throughout the state. Ndrrc supports the ambassadors program of the North Dakota 4-h foundation as well as the North Dakota ffa foundation. Ndrrc also provides individual grants on a case-by-case basis as well as grants to institutional entities benefitting individual farmers and ranchers to rehabilitate their farming operations. The ndrrc also has a freshman career scholarship which is available to family members of ndrrc's borrowers who are intending to continue their education after graduation from high school. Ndrrc provided grants to over 100 individuals and organizations during the current year.