The South Dakota Farm Service Agency Farm Loan Program Division provided 1,249 loans totaling $108,749,706 to South Dakota's farmers and ranchers during Fiscal Year 2007, according to FSA State Executive Director Steve Cutler.

Those numbers were up from Fiscal Year 2006, when the division provided 1,156 loans totaling $101,521,540, according to an FSA news release.

In FY 07, 686 of the 1,249 loans went to beginning farmers and socially disadvantaged applicants for a total of $40,081,294.

In FY 06, there were 617 beginning farmer and socially disadvantaged loans totaling $45,210,426.

As an agency that targets funds to beginning farmers and socially disadvantaged operators, Cutler said it's gratifying to see these dollars going to those who need them the most.

The FSA provides direct and guaranteed loans to beginning farmers and ranchers who are unable to obtain financing from commercial credit sources. Each fiscal year, the agency targets part of its direct and guaranteed farm ownership (FO) and operating loan (OL) funds to beginning farmers and ranchers.

FSA also helps established farmers who have suffered financial setbacks from natural disasters, or whose resources are too limited to maintain profitable farming operations.

A beginning farmer or rancher is an individual or entity who (1) has not operated a farm or ranch for more than 10 years; (2) meets the loan eligibility requirements of the program to which he/she is applying; (3) substantially participates in the operation; and, (4) for FO loan purposes, does not own a farm greater than 30 percent of the average size farm in the county. (Note: all applicants for direct FO loans must have participated in business operation of a farm for at least three years.) If the applicant is an entity, all members must be related by blood or marriage, and all stockholders in a corporation must be eligible beginning farmers.

A socially disadvantaged farmer, rancher or agricultural producer is one of a group whose members have been subjected to racial, ethnic or gender prejudice because of his or her identity as a member of the group without regard to individual qualities. SDA groups are women, African Americans, Native Americans, Alaskan Natives, Hispanics, Asian Americans and Pacific Islanders.

Applications for all FSA direct loan programs are made through FSA local offices and USDA Service Centers. Guaranteed loan applications are made with the lender. In cases where a lender is not known to an applicant, local office personnel will assist the applicant.

For more information, call Cutler at 352-1160 or go to the Web site.