The Farm Credit System (FCS) is supposed to serve the entire country through its local associations, which are supposed to make sure that farmers, ranchers and producers have access to credit from a local source. That local source – the association – can best serve the needs of its clients because it’s close by; it understands the local economic pressures, the community and can keep an eye on things.
The Farm Credit System (FCS), as a government-sponsored enterprise (GSE) tasked with providing reliable access to credit for all American farmers, ranchers and producers, has special mandates. Arguably the most important mandate for the FCS is to provide reliable access to credit for young, beginning and small (YBS) farmers, ranchers and producers. The law is abundantly clear on this: “Each Federal land bank association and production credit association shall prepare a program for furnishing sound and constructive credit and related services to young, beginning, and small farmers and ranchers.” Continue Reading
Last year it issued a Notification of Non-Reliance on Previously Issued Financial Statements, which is as bad as it sounds. Financial statements from 2016 and the first quarter of 2017 were to be disregarded and no longer relied upon due to, in Lone Star’s words, “appraisal and accounting irregularities.” Continue Reading
Every five years, Congress revisits the federal government’s agricultural policy. The House has passed its version of the Farm Bill already, and Reform Farm Credit is proud to congratulate the Senate on passing its own version as well!
The Senate deserves huge credit for this Farm Bill because it holds the Farm Credit System (FCS) accountable and makes it more secure and reliable. Continue Reading
Farm Credit’s sure isn’t singin’ the Blues with all the money they’re making on questionable home loans. But they might be singing Folk.
The Farm Bill, which updates government agriculture policy every five years, has passed the House of Representatives. The Senate will soon begin to deliberate on its own version of the Farm Bill.
The Farm Bill is a large piece of legislation that, every five years, updates the federal government’s agricultural policy. And this year, the House and the Senate are working on their own versions of the Farm Bill, keeping good policy, getting rid of bad policy, and making improvements along the way.
The Farm Credit System (FCS) is renowned for its mission creep and lending outside the bounds of the law. One only needs to look at its loans to huge telecoms, technology real estate investment trusts (REITs) and customers looking to buy luxury houses. It’s pretty clear that Farm Credit is way out of bounds.
But is it also out of date too? Continue Reading
Compeer Financial – if you heard that name, would you think of a local Farm Credit association helping local young, beginning and small farmers and ranchers?
It may come as a surprise, but Compeer Financial is a Farm Credit System (FCS) association. And this $20 billion behemoth is posting record profits. Continue Reading
It’s too often that the Farm Credit System (FCS) and its constituent banks and associations get away with skirting the law either by taking deposits, lending to bail out foreign companies or lending to companies building “server farms.” The list could go on and on.