HRS §155-8
Direct loans for farmers and food manufacturers
The agriculture department can lend money directly to qualified farmers and food manufacturers who cannot get loans elsewhere. These loans have set interest rates and follow certain rules. The department decides how to give out the money.
The statute, as written — Direct loans
(a) The department of agriculture and biosecurity may make loans directly to qualified farmers, qualified new farmers, or qualified food manufacturers who are unable to obtain sufficient funds at reasonable rates from private lenders either independently or under sections 155-5, 155-5.5, and 155-6. (b) Loans made under this section shall be limited by sections 155-9 to 155-13; provided that class "E" loans to food manufacturers shall not be subject to [section] 155-10. (c) Loans made under this section shall bear simple interest on the unpaid principal balance, charged on the actual amount disbursed to the borrower. The interest rate on loans of class "A", "B", "C", "E", "G", and "J" shall be at a rate of four per cent a year. The interest rate of class "D", "F", "H", "I", and "K" loans shall be three per cent a year. If the money loaned is borrowed by the department, then the interest on loans of the classes shall be the rate as determined above or one per cent over the cost to the State of borrowing the money, whichever is greater. Interest on loans made under this chapter shall not be less than three per cent a year. (d) For loans made under this section, funds shall be disbursed in accordance with regulations of the department.
Sections this one refers to
§155-5 State loan insurance for farmers and food makers
§155-9 Farm loan types, purposes, terms, and who can apply
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