Bipartisan, bicameral legislation offered by U.S. Rep. Randy Feenstra (R-IA) and U.S. Sen. Deb Fischer (R-NE) would establish the nation’s first-ever federal loan program for precision agriculture within the U.S. Department of Agriculture’s Farm Service Agency.
“Thanks to cutting-edge research at our nation’s top universities like Iowa State and other scientific advancements, precision agriculture technology has become an important component of modern farming,” Rep. Feenstra said on Tuesday. “From sustainability efforts to improved yields, precision agriculture simultaneously helps Iowa farmers be profitable and successful, protects our environment, and powers our rural economy.”
“Precision agriculture equipment can help farmers and ranchers expand on the work they already do as good stewards of our land,” said Sen. Fischer. “High upfront costs, however, often limit producers’ ability to use these cutting-edge technologies.”
Rep. Feenstra on March 9 sponsored the Precision Agriculture Loan Program (PAL) Act of 2023, H.R. 1495, with four original cosponsors, including U.S. Rep. Jimmy Panetta (D-CA). Sen. Fischer on March 8 sponsored the same-named companion bill, S. 720, with original cosponsor U.S. Sen. Amy Klobuchar (D-MN) in their chamber.
“I am proud to help introduce the Precision Agriculture Loan Program Act with my colleague Congressman Jimmy Panetta to ensure our agricultural community can access low-interest loans to expand their precision agriculture operations,” said Rep. Feenstra.
If enacted, the bill would offer loans up to $500,000 between three and 12 years in length at interest rates of less than 2 percent, according to a bill summary provided by the lawmakers.
The measure also would create a list of acceptable precision agriculture technologies approved by the Farm Service Agency and covered by the USDA, the summary says, and would allow farmers to retrofit existing equipment with new technologies.
Numerous organizations and companies endorsed the bill, including the American Farm Bureau Federation, the American Seed Trade Association, the American Sugarbeet Growers Association, the American Soybean Association, the Association of Equipment Manufacturers, the Environmental Defense Fund, Hop Growers of America, ISK Biosciences, Lindsay Corp., the Association of Equipment Manufacturers, the National Cotton Council, the National Council of Farmer Cooperatives, The Nature Conservancy, and USA Rice, among many others.