7 C.F.R. § 761.205

Current through September 30, 2024
Section 761.205 - Computing the formula allocation
(a) The formula allocation for FO, CL, or OL loan funds is equal to:
(1) The amount available for allocation by the Agency minus the amounts held in the National Office reserve and distributed by base and administrative allocation, multiplied by
(2) The State Factor, which represents the percentage of the total amount of the funds for a loan program that the National Office allocates to a State Office.

formula allocation = (amount available for allocation-national reserve-base allocation-administrative allocation) * State Factor

(b) To calculate the State Factor, the Agency:
(1) Uses the following criteria, data sources, and weights:

CriteriaLoan type criterion is used forData sourceWeight for
FO loans
(percent)
Weight for
OL loans
(percent)
Farm operators with sales of $2,500-$39,999 and less than 200 days work off the farmFO, CL, and OL loansU.S. Census of Agriculture1515
Farm operators with sales of $40,000 or more and less than 200 days work off farmFO, CL, and OL loansU.S. Census of Agriculture3535
Tenant farm operatorsFO, CL, and OL loansU.S. Census of Agriculture2520
3-year average net farm incomeFO, CL, and OL loansUSDA Economic Research Service1515
Value of farm real estate assetsFOs and CLsUSDA Economic Research Service10N/A
Value of farm non-real estate assetsOL loansUSDA Economic Research ServiceN/A15

(2) Determines each State's percentage of the national total for each criterion;
(3) Multiplies the percentage for each State determined in paragraph (b)(2) of this section by the applicable weight for that criterion;
(4) Sums the weighted criteria for each State to obtain the State factor.

7 C.F.R. §761.205

72 FR 63285, Nov. 8, 2007, as amended at 75 FR 54013, Sept. 3, 2010