12 2 STA T . 1 907PUBLIC LA W 110 – 2 46—J U NE 1 8, 2008 ‘ ‘ (2)MAXIMU M P U RCH A SE PRICE .—TheS e cr e ta r ys ha l l no t p ro vid ealoan gu arantee under su b section (a) i f the purchase price or the appraisal value of the far m or ranch that is the sub j ect of the contract land sale is greater than $50 0 , 000. ‘‘(d) P ERI OD O FG UARA NT EE.—The period during w hich a loan guarantee under this section is in effect shall be the 1 0 - year period beginning with the date the guarantee is provided. ‘‘(e) GUARANTEE P L AN.— ‘‘(1) SELECTION OF PLAN.— A private seller of a farm or ranch who ma k es a loan that is guaranteed by the Secretary under subsection (a) may select— ‘‘(A) a prompt payment guarantee plan, which shall cover— ‘‘(i) 3 amorti z ed annual installments
or ‘‘(ii) an amount e q ual to 3 annual installments (including an amount equal to the total cost of any ta x and insurance incurred during the period covered by the annual installments); or ‘‘( B ) a standard guarantee plan, which shall cover an amount equal to 9 0 percent of the outstanding principal of the loan. ‘‘(2) E LI G I B LIT Y FOR STANDARD GUARANTEE PLAN.— I n order for a private seller to be eligible for a standard guarantee plan referred to in paragraph (1)(B), the private seller shall— ‘‘(A) secure a commercial lending institution or similar entity, as determined by the Secretary, to serve as an escrow agent; or ‘‘(B) in cooperation with the farmer or rancher, use an appropriate alternate arrangement, as determined by the Secretary. ‘‘(f) TRANSITION F ROM PILOT PROGRAM.— ‘‘(1) IN GENERAL.—The Secretary may phase-in the implementation of the changes to the Beginning Farmer and R ancher and Socially D isadvantaged Farmer or Rancher C on- tract L and Sales Program provided for in this section. ‘‘(2) LIMITATION.—All changes to the Beginning Farmer and Rancher and Socially Disadvantaged Farmer or Rancher Contract Land Sales Program must be implemented for the 2011 Fiscal Y ear. ’ ’. Subti t leB—Op e ra ti ngLo an sSEC.510 1. FARMING E XP ERIENCE AS E L IGI B ILI TY RE QU IREMENT. Section 311 of the Consolidated Farm and Rural Development Act ( 7U .S.C. 19 4 1) is amended— (1) by striking the section designation and all that follows through ‘‘(a) The Secretary is authorized to’’ and inserting the following
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‘SEC. 3 11. PERS O NS ELIGIBLE FOR LOANS. ‘‘(a) IN GENERAL.—The Secretary may’’; (2) in subsection (a)(2), by inserting ‘‘, taking into consider- ation all farming experience of the applicant, without regard to any lapse between farming experiences’’ after ‘‘farming oper- ations’’.
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