Descripción

The Missouri Agricultural and Small Business Development Authority (MASBDA) is now offering incentives to livestock farmers in the form of assistance with loans for energy efficiency. The "Missouri Agricultural Energy Saving Team – a Revolutionary Opportunity," or MAESTRO, offers assistance in the form of Interest Buy Downs, Cash Down Payments, and a Loan Loss Reserve.

Interest Buy Down
MASBDA will pay for a portion of the interest due on loans for energy efficiency technologies. The loan interest rate will be reduced to 3%. The lender receives the difference in interest payments in one lump sum. For example, if the loan was $25,000 at a 6.5% interest rate for 5 years, with monthly payments, the interest would have been $4,349.26. The same loan at 3% interest would be $1,953.02 in interest. Therefore, the lender would receive a payment of $2,386.24 ($4,349.26-$1,953.02).

Cash Down Payment
Farmers can also choose a Cash Down Payment. The payment is calculated as above, but instead of the lender receiving the payment, the farmer receives the payment. If the farmer chooses this option, the loan interest rate remains the same instead of decreasing to 3%.

Loan Loss Reserve
MASBDA has established a dedicated fund for the purpose of guaranteeing payments on defaulted loans. When farmers apply for a loan from a lender, the farmer and lender submit an application to the MASBDA for the Loan Loss Reserve. If approved, the program guarantees to the lender that if the farmer defaults on the loan, MASBDA will pay up to 75% of the loan.

To begin the application process for one of the above options, interested livestock farmers must first sign up for a comprehensive farm audit. Rebates are available to assist with audits – $500 for the farm and/or $250 for a farm home. The audit will identify efficiency technologies that should be installed at the farm or farm house. Only these technologies are eligible for the Interest Buy Down, Cash Down Payment, or Loan Loss Reserve programs. To participate in the program, interested farmers should contact EnSave at 1-800-732-1399 to set up an initial assessment.
In order to qualify for the MAESTRO program, applicants must be legal Missouri residents that operate animal agricultural farmers. Loans must be from a state or national bank, farm credit system, bank for cooperatives, federal or state chartered savings and loan association, federal or state building and loan association or a small business investment company. All energy efficiency technology must be installed and operational by November 30, 2012.