AgBMP Loan Program Available

The AgBMP Loan Program provides needed funding for local implementation of clean water practices at an extremely low cost, is unique in its structure and is not duplicated by any other source of funding. The AgBMP loan program provides three percent loans through local lenders to farmers, rural landowners, and agriculture supply businesses. Funds are used for proven practices that prevent non-point source water pollution or solve existing water quality problems.

The program provides low interest financing for capital improvements that improve water quality through: Feedlot Improvements, Conservation Tillage Equipment, Septic System Replacements / Upgrades, Erosion Control Structures, Shoreline Stabilization, and Wetland Restoration. This program helps landowners purchase equipment that results in less erosion and/or runoff to rivers and streams. It helps landowners fix septic systems that are discharging to surface or groundwater. It provides funds to seal old wells and relocate new wells in areas that are less environmentally sensitive. It helps landowners fix and stabilize gullies, waterways, shorelines and riverbanks. Any practice that solves a water quality problem is eligible!

There are many great attributes of the AgBMP Loan program. Loans support local implementation of conservation practices. Loans fund proven practices that improve water quality. Loans can be used with cost share programs and funds are available statewide. The cost to the state is very low, averaging less than $200.00 per loan in administrative costs. The AgBMP loan program is a revolving fund, money is used, repaid and used again and again to provide a perpetual funding source for continued financing of more projects to support conservation.

This program bases the eligibility of practices on recommendations of the University of Minnesota, MPCA, Minnesota Department of Agriculture, United States Department of Agriculture-Natural Resources Conservation Service (USDA NRCS), and the knowledge and skills of local Soil and Water Conservation Districts.