Exhibit B to Subpart A of Part 1943 - Target Participation Rates for Farmers Home Administration (FmHA) or Its Successor Agency Under Public Law 103-354 Direct Farm Ownership (FO) Loans to Members of Socially Disadvantaged Groups

I. General

The Farmers Home Administration (FmHA) or its successor agency under Public Law 103-354 is statutorily required to establish target participation rates for providing direct Farm Ownership (FO) loan funds to members of socially disadvantaged groups. These rates are established to ensure that members of socially disadvantaged groups are provided access to direct FO loan funds to purchase suitable farmland. The target participation rate established for each state, and each county within the state, is based on the proportion of minority rural population to the total rural population in the state, and for each county within the state.

II. Implementation Responsibilities

States will meet their target participation rates in use of direct FO loan funds as provided in this exhibit. The targeted portion of a state's fiscal year direct FO allocation, as outlined in exhibit A of subpart L of part 1940 of this chapter, will be used exclusively to enable members of socially disadvantaged groups to purchase suitable farmland. Additional funds will be available from the National Office Reserve to enable States to obligate loans for socially disadvantaged applicants should their targeted allocation be insufficient. This requirement does not prohibit States from using their allocation of regular direct FO funds for making loans to members of socially disadvantaged groups.

III. Other Information

The National Office will provide each State Director with a list of the target participation rates for each county by October 1 of each year. State Directors shall make available to each County and District Office the county(ies) target participation rates. State Directors will make every effort to provide the greater amount of direct FO loan funds to counties having the larger socially disadvantaged population.

Total U.S. Participation RateStateTarget Participation rate (percent)Alabama21Alaska34Arizona39Arkansas13California20Colorado11Connecticut3Delaware17Florida14Georgia20Hawaii68Idaho6Illinois2Indiana1Iowa1Kansas3Kentucky3Louisiana25Maine1Maryland14Massachusetts2Michigan3Minnesota2Mississippi37Missouri2Montana8Nebraska2Nevada12New Hampshire1New Jersey8New Mexico57New York3North Carolina21North Dakota5Ohio2Oklahoma12Oregon5Pennsylvania2Rhode Island2South Carolina34South Dakota9Tennessee6Texas22Utah7Vermont1Virginia2Washington7West Virginia3Wisconsin2Wyoming7U.S. Total10