H.R. 3211: Precision Agriculture Loan Program Act of 2025

This bill, known as the Precision Agriculture Loan Program Act of 2025, aims to establish a loan program to assist agricultural producers in purchasing precision agriculture equipment. Here is a breakdown of key components of the bill:

Definitions

The bill defines precision agriculture as a method of managing agricultural production that focuses on improving efficiency and reducing waste through precise monitoring and application of inputs such as seeds, fertilizers, and water. Precision agriculture equipment includes a variety of technologies that aid this process, such as:

• GPS-based mapping systems
• Satellite or aerial imagery
• Yield monitoring tools
• Soil mapping technologies
• Sensors to gather agricultural data
• Internet of Things devices
• Data management and analytics software
• Network connectivity products
• Auto-steer systems for tractors
• Variable rate input technology

Loan Program

The bill mandates the establishment of a precision agriculture loan program by the Secretary of Agriculture, aimed at encouraging producers of crops and livestock to adopt precision agriculture practices through financial assistance. Key details include:

• Loans are intended for the purchase of precision agriculture equipment.
• The program will be administered by the Secretary through the Deputy Administrator for Farm Programs of the Farm Service Agency.

Eligibility Criteria

To qualify for a loan, producers must:

• Have a satisfactory credit history.
• Use the loan funds specifically for purchasing precision agriculture equipment.
• Demonstrate the ability to repay the loan.

Loan Terms and Conditions

Details related to the terms of the loans include:

• The maximum term for any loan is 12 years.
• The maximum total loan amount can be up to $500,000.
• Borrowers must provide security for the loans, which can include a lien on the purchased equipment.

Reporting and Accountability

The bill requires the Secretary to prepare annual reports that detail:

• The number of loans issued and their amounts.
• Demographic information of the recipients, including age, gender, and ethnicity.
• The agricultural commodities for which loans were provided.
• Aggregate data on loan defaults and their rates.

These reports are to be submitted to several Congressional committees and made publicly available within 90 days of submission.

Funding

The bill authorizes necessary appropriations for its implementation, enabling the Secretary to allocate funds to carry out the provisions outlined in the legislation.

Relevant Companies

• DE (Deere & Company) - As a major manufacturer of agricultural machinery and precision agriculture technology, this company might see an increase in demand for its products due to the loan program.
• AGCO (AGCO Corporation) - Another key player in agricultural equipment that could benefit from an increase in precision farming practices funded by the loan program.
• MU (Micron Technology) - Involved in manufacturing memory and storage solutions, their products may be essential for data management technologies utilized in precision agriculture.