Texas Agriculture Code Title 4, Chapter 58 - Agricultural Finance Authority

SUBCHAPTER A GENERAL PROVISIONS

• Texas Section 58.001 - Short Title
  This chapter may be cited as the Texas Agricultural Finance Act. Added by Acts 1987, 70th Leg., 2nd C.S., ch. 32, art. 2, Sec. 1,...
• Texas Section 58.002 - Definitions
  In this chapter: (1) "Agricultural business" means: (A) a business that is or proposes to be engaged in producing, processing, marketing, or exporting an agricultural...

SUBCHAPTER B ADMINISTRATION

• Texas Section 58.003 - Venue
  A suit filed by or on behalf of the authority under this chapter may be brought in Travis County. Added by Acts 2001, 77th Leg.,...
• Texas Section 58.011 - Creation Of Authority; Public Purpose
  (a) The Texas Agricultural Finance Authority is created within the Department of Agriculture as a public authority. (b) The authority is created to provide financial...
• Texas Section 58.012 - Board Of Directors
  (a) The authority is governed by a board of directors composed of the commissioner of agriculture, the director of the Institute for International Agribusiness Studies...
• Texas Section 58.013 - Officers
  (a) The commissioner shall designate a member of the board as the chairman of the board to serve in that capacity at the pleasure of...
• Texas Section 58.014 - Meetings; Administrative Procedure
  (a) The board shall hold regular and special meetings at times specified by the chairman. (b) A majority of the voting membership of the board...
• Texas Section 58.015 - Administration
  (a) The commissioner with the assistance of the board shall administer the Texas Agricultural Finance Authority. The board shall reimburse the Department of Agriculture for...
• Texas Section 58.016 - Fiscal Accounting Of Administration
  (a) All funds acquired under this chapter may be used for administration of this chapter, except that funds representing the proceeds of bonds issued by...
• Texas Section 58.017 - Performance Measures
  The Board, in conjunction with the Legislative Budget Board and the Office of the Governor, shall develop a minimum of two performance measures that provide...
• Texas Section 58.0171 - Review Of Department Plans And Budget Request
  The department shall provide the board with sufficient opportunity to review and comment on the finance program-related portions of the department strategic plan and the...
• Texas Section 58.0172 - Board Conflict Of Interest
  (a) An officer, employee, or paid consultant of a Texas trade association in the field of agriculture may not be a member of the board....
• Texas Section 58.0173 - Removal Of Board Member
  (a) It is a ground for removal from the board if a member: (1) does not have at the time of appointment the qualifications required...
• Texas Section 58.0174 - Standards Of Conduct
  The commissioner or the commissioner's designee shall provide to members of the board, as often as necessary, information regarding their qualification for office under this...
• Texas Section 58.0175 - Separation Of Responsibilities
  The board shall develop and implement policies that clearly separate the policymaking responsibilities of the board and the management responsibilities of the commissioner and the...
• Texas Section 58.0176 - Board Member Training
  (a) Before a member of the board may assume the member's duties, the member must complete at least one course of the training program established...

SUBCHAPTER C PURPOSES AND POWERS

• Texas Section 58.0177 - Appointed Member Preparation Program
  The board shall provide each appointed member of the board financial training adequate to prepare the member for the responsibilities of board membership before the...
• Texas Section 58.021 - Purposes Of Authority
  (a) In order to promote the expansion, development, and diversification of production, processing, marketing, and export of Texas agricultural products and to promote the development...
• Texas Section 58.0211 - Loan Limits
  (a) The authority may make, guarantee, insure, coinsure, or reinsure a loan up to the limits in this section and Section 58.021 for a single...
• Texas Section 58.022 - Powers Of Authority
  The authority has all powers necessary to accomplish the purposes and programs of the authority, including the power: (1) to adopt and enforce bylaws, rules,...
• Texas Section 58.023 - Programs Rules
  (a) The board shall adopt rules to establish criteria for determining which eligible agricultural businesses may participate in programs that may be established by the...
• Texas Section 58.024 - Authority Exemption From Taxation
  The property of the authority, its income, and operations are exempt from all taxes and assessments imposed by the state and all public agencies and...
• Texas Section 58.025 - Public Hearings
  The administrator, the commissioner, or an individual designated by the commissioner may conduct public hearings relating to issuance of the authority's bonds or the implementation...

SUBCHAPTER D BONDS

• Texas Section 58.026 - Limitation Of Liability For Certain Recreational Activities
  Nothing in this chapter shall affect the applicability of Chapter 75, Civil Practice and Remedies Code. Added by Acts 1999, 76th Leg., ch. 1459, Sec....
• Texas Section 58.031 - Issuance Of General Obligation Bonds
  (a) The board by resolution may periodically provide for the issuance of general obligation bonds as authorized by the Texas Constitution for the establishment of...
• Texas Section 58.032 - Texas Agricultural Fund
  (a) The Texas agricultural fund is a fund in the state treasury. (b) The Texas agricultural fund may, at the direction of the board, receive...
• Texas Section 58.033 - Issuance Of Revenue Bonds
  (a) In addition to the authority to issue general obligation bonds, the authority may issue not more than $500 million of revenue bonds for the...
• Texas Section 58.034 - General Provisions Relating To Bonds
  (a) The authority's bonds may be issued from time to time in one or more series or issues, in bearer, registered, or any other form,...
• Texas Section 58.035 - Refunding Bonds
  The authority may issue, sell, and deliver bonds to refund all or any part of its outstanding bonds, including the payment of any redemption premium...
• Texas Section 58.036 - Payment Enforceable By Mandamus
  Payment of the bonds and performance by the authority or the commissioner of its or his functions and duties under this chapter and the Texas...
• Texas Section 58.037 - Bonds As Investments
  (a) The bonds are legal and authorized investments for: (1) banks; (2) trust companies; (3) savings and loan associations; (4) insurance companies of all kinds...
• Texas Section 58.038 - Tax Status Of Bonds
  The bonds issued by the authority, any transaction relating to the bonds, and any profits made in the sale of the bonds are free from...
• Texas Section 58.039 - Review Board
  (a) The bond review board is composed of: (1) the governor; (2) the lieutenant governor; (3) the speaker of the house of representatives; and (4)...
• Texas Section 58.040 - Considerations In Financing
  In determining whether to provide financing under this chapter, the board shall consider the likelihood of success of the applicant and the effect of the...

SUBCHAPTER E AGRICULTURAL LOAN GUARANTEE PROGRAM

• Texas Section 58.041 - Issuance Of Debt By Texas Public Finance Authority
  (a) In this section, "debt instrument" means a note, debenture, bond, or other evidence of indebtedness. (b) The Texas Public Finance Authority has the exclusive...
• Texas Section 58.051 - Definitions
  In this subchapter: (1) "Commercial lender" means a commercial lending institution chartered by the state or federal government, including a savings and loan association, a...
• Texas Section 58.052 - Agricultural Loan Guarantee Program
  (a) The board shall administer a loan guarantee program that benefits eligible applicants who desire to establish or enhance a farming or ranching operation or...
• Texas Section 58.053 - Application For Loan Guarantee
  (a) An eligible applicant's documentation shall include the following for the board's review: (1) the plan, as submitted to the lender, for the applicant's proposed...
• Texas Section 58.054 - Board Consideration Of Loan Guarantee Application
  After reviewing the material submitted under Section 58.053, the board shall consider the following factors in deciding whether to approve an application for a loan...
• Texas Section 58.055 - Default
  If the recipient of a loan guarantee defaults on a loan that is guaranteed under this subchapter and the authority is required to honor its...

SUBCHAPTER F YOUNG FARMER INTEREST RATE REDUCTION PROGRAM

• Texas Section 58.056 - Money For Loan Guarantee Program
  The authority may accept gifts and grants of money from the federal government, local governments, private corporations, or other persons for use in the agricultural...
• Texas Section 58.071 - Definitions
  In this subchapter: (1) "Eligible lending institution" means a financial institution that makes commercial loans, is either a depository of state funds or an institution...
• Texas Section 58.072 - Young Farmer Interest Rate Reduction Program
  (a) The board shall establish a young farmer interest rate reduction program to promote the creation and expansion of agricultural businesses by young people in...
• Texas Section 58.073 - Compliance
  (a) On accepting a linked deposit, an eligible lending institution must loan money to eligible applicants in accordance with the deposit agreement and this subchapter....
• Texas Section 58.074 - State Liability Prohibited
  The state is not liable to an eligible lending institution for payment of the principal, interest, or any late charges on a loan made under...

SUBCHAPTER G YOUNG FARMER GRANT PROGRAM

• Texas Section 58.075 - Limitations In Program
  (a) The maximum amount of a loan under this subchapter is $500,000. (b) A loan granted under this subchapter may be used for any agriculture-related...
• Texas Section 58.091 - Grant Program
  (a) The authority shall administer a young farmer grant program. A grant must be for the purpose of fostering the creation and expansion of agricultural...
• Texas Section 58.092 - Eligibility
  To be eligible to receive a grant under this subchapter, a person must: (1) be an agricultural producer who is at least 18 years of...
• Texas Section 58.093 - Amount Of Grants
  A grant under the young farmer grant program may not be less than $5,000 or more than $20,000. Added by Acts 2009, 81st Leg., R.S.,...
• Texas Section 58.094 - Applications
  (a) The authority shall accept grant applications during two application periods each year. (b) Applicants shall submit an application on a form approved by the...
• Texas Section 58.095 - Funding
  The source of funds for the young farmer grant program is the Texas agricultural fund. Added by Acts 2009, 81st Leg., R.S., Ch. 506 (S.B....

Last modified: September 28, 2016