Boll Weevil Eradication Loan Program
Published on AidPage by IDILOGIC
on Jun 24, 2005
Purpose of this program:
To assist producers and State governmental agencies to eradicate boll weevils from the United States.
Possible uses and use restrictions...
Funds may be used to purchase or lease supplies and equipment, to pay entity operating expenses and to pay salaries and benefits. Loan funds may not be used to pay for lobbying, public relations, or related activities.
Who is eligible to apply...
Applicants may be determined eligible if the organization: (a) Meets the Animal and Plant Health Inspection Service (APHIS) cost-sharing requirements; (b) possesses a legal nonprofit corporate authority; (c) possesses the legal authority to enter into a contract; (d) operates in an area approved by a majority of cotton producers via referendum; (e) is unable to obtain funds elsewhere; and (f) may pledge producer assets as loan collateral.
All applicants must be nonprofit entities, authorized to operate under the appropriate State law and for the specific purpose of eradicating boll weevils from the nation's agricultural community.
Note:This is a brief description of the credentials or documentation required prior to, or along with, an application for assistance.
About this section:
This section indicates who can apply to the Federal government for assistance and the criteria the potential applicant must satisfy.
For example, individuals may be eligible for research grants, and the criteria to be satisfied may be that they have a professional or scientific degree,
3 years of research experience, and be a citizen of the United States. Universities, medical schools, hospitals, or State and local governments may also be eligible.
Where State governments are eligible, the type of State agency will be indicated (State welfare agency or State agency on aging) and the criteria that they
Certain federal programs (e.g., the Pell Grant program which provides grants to students) involve intermediate levels of application processing, i.e., applications
are transmitted through colleges or universities that are neither the direct applicant nor the ultimate beneficiary. For these programs,
the criteria that the intermediaries must satisfy are also indicated, along with intermediaries who are not eligible.
How to apply...
Complete applications will be accepted by the National Office accompanied by documentation showing the entity's authority to borrow and the operation's ability to make the scheduled loan payment(s).
Note: Each program will indicate whether applications are to be submitted to the Federal headquarters, regional or local office, or to a State or local government office.
Loans will be written within specific credit guidelines as well as within the borrowing entity's documented ability to repay the loan.
Note: Grant payments may be made by a letter of credit, advance by Treasury check, or reimbursement by Treasury check.
Awards may be made by the headquarters office directly to the applicant, an agency field office, a regional office,
or by an authorized county office. The assistance may pass through the initial applicant for further distribution by
intermediate level applicants to groups or individuals in the private sector.
Deadlines and process...
Initial loan request should be reviewed with APHIS prior to the funding year with a complete loan package submitted to FSA 90 days prior to the anticipated disbursal of funds.
When available, this section indicates the deadlines for applications to the funding agency which will
be stated in terms of the date(s) or between what dates the application should be received.
When not available, applicants should contact the funding agency for deadline information.
Range of Approval/Disapproval Time
Agency credit decisions will generally be issued within 60 days of the receipt of a complete loan package.
Applicants are eligible for loan consideration after pre-approved funding is established by APHIS. This program is excluded from coverage under E.O. 12372.
This section indicates whether any prior coordination or approval is required with governmental or nongovernmental units
prior to the submission of a formal application to the federal funding agency.
In some cases, there are no provisions for appeal. Where applicable, this section discusses appeal procedures or allowable rework time for resubmission
of applications to be processed by the funding agency. Appeal procedures vary with individual programs and are either listed in this section or
applicants are referred to appeal procedures documented in the relevant Code of Federal Regulations (CFR).
Boll weevil loans are term loans based upon certain procedural and program criteria. Although loans are not renewed, additional loan requests may be submitted by each entity for consideration.
In some instances, renewal procedures may be the same as for the application procedure, e.g., for projects of a non-continuing nature renewals will be treated as new, competing applications; for projects of an ongoing nature, renewals may be given annually.
Who can benefit...
The beneficiaries of this program include the local boll weevil organization and agricultural community as well as local, State, and national governments.
About this section:
This section lists the ultimate beneficiaries of a program, the criteria they must satisfy and who specifically is not eligible. The applicant and beneficiary will generally be the same for programs that provide assistance directly from a Federal agency. However, financial assistance that passes through State or local governments will have different applicants and beneficiaries since the assistance is transmitted to private sector beneficiaries who are not obligated to request or apply for the assistance.
What types of assistance...
Financial assistance provided through the lending of Federal monies for a specific period of time, with a reasonable expectation of repayment. Such loans may or may not require the payment of interest.
How much financial aid...
Range and Average of Financial Assistance
Loans for fiscal year 2001 ranged in size between $1,000,000 and $46,000,000. The median loan would total approximately $7,000,000.
This section lists the representative range (smallest to largest) of the amount of financial assistance available. These figures are based upon funds awarded in the past fiscal year and the current fiscal year to date. Also indicated is an approximate average amount of awards which were made in the past and current fiscal years.
(Interest Free Loan) FY 03 $99,000,000; FY 04 $100,000,000; and FY 05 $60,000,000.
The dollar amounts listed in this section represent obligations for the past fiscal year (PY), estimates for the current fiscal year (CY), and estimates for the budget fiscal year (BY) as reported by the Federal agencies. Obligations for non-financial assistance programs indicate the administrative expenses involved in the operation of a program.
Note: This 11-digit budget account identification code represents the account which funds a particular program.
This code should be consistent with the code given for the program area as specified in Appendix III of the Budget of the United States Government.
Examples of funded projects...
Tennessee Boll Weevil Eradication Foundation.
About this section
This section indicates the different types of projects which have been funded in the past. Only projects funded under Project Grants or Direct Payments for Specified Use should be listed here. The examples give potential applicants an idea of the types of projects that may be accepted for funding. The agency should list at least five examples of the most recently funded projects.
The FSA Boll Weevil Eradication program is in its third year. Loans have been made or are in the process of being made in most all cotton producing States. Although the eradication of the boll weevil is difficult, where implemented, the program is highly successful. Full implementation is anticipated within the next five years and general eradication accomplished within the next decade. Maintenance programs will be required perpetually. In fiscal year 2001, 11 boll weevil loans were made; in fiscal year 2002, 13 boll weevil loans were made.
Criteria for selecting proposals...
The criteria for selecting applications are based upon area boll weevil infestation, APHIS recommendation, individual State and Charter authority, and the ability of the entity to repay the loan.
Length and Time Phasing of Assistance
Loans can be applied for at anytime during the year. The loan term varies anywhere from one to seven years.
Formula and Matching Requirements
While there are eligibility requirements, there are no formula or matching fund requirements.
A formula may be based on population, per capita income, and other statistical factors. Applicants are informed whether there are any matching requirements to be met when participating in the cost of a project. In general, the matching share represents that portion of the project costs not borne by the Federal government. Attachment F of OMB Circular No. A-102 (Office of Management and Budget) sets forth the criteria and procedures for the evaluation of matching share requirements which may be cash or in-kind contributions made by State and local governments or other agencies, institutions, private organizations, or individuals to satisfy matching requirements of Federal grants or loans.
Cash contributions represent the grantees' cash outlay, including the outlay of money contributed to the grantee by other public agencies, institutions, private organizations, or individuals. When authorized by Federal regulation, Federal funds received from other grants may be considered as the grantees' cash contribution.
In-kind contributions represent the value of noncash contributions provided by the grantee, other public agencies and institutions, private organizations or individuals. In-kind contributions may consist of charges for real property and equipment, and value of goods and services directly benefiting and specifically identifiable to the grant program. When authorized by Federal legislation, property purchased with Federal funds may be considered as grantees' in-kind contribution.
Maintenance of effort (MOE) is a requirement contained in certain legislation, regulations, or administrative policies stating that a grantee must maintain a specified level of financial effort in a specific area in order to receive Federal grant funds, and that the Federal grant funds may be used only to supplement, not supplant, the level of grantee funds.
Post assistance requirements...
Profit and loss statements may be required monthly, but are always required quarterly and annually. Income and expense deviations in excess of ten percent must be reported immediately.
This section indicates whether program reports, expenditure reports, cash reports or performance monitoring are required by the Federal funding agency, and specifies at what time intervals (monthly, annually, etc.) this must be accomplished.
Audited financial statements and profit and loss statements will be annually submitted for review and analysis.
This section discusses audits required by the Federal agency.
The procedures and requirements for State and local governments and nonprofit entities are set forth in OMB Circular No. A-133.
These requirements pertain to awards made within the respective State's fiscal year - not the Federal fiscal year,
as some State and local governments may use the calendar year or other variation of time span designated as the fiscal year period,
rather than that commonly known as the Federal fiscal year (from October 1st through September 30th).
Detailed records will be maintained by each entity in the respective offices. These same records will be made available to the Agency for review upon demand.
This section indicates the record retention requirements and the type of records the Federal agency may require.
Not included are the normally imposed requirements of the General Accounting Office.
For programs falling under the purview of OMB Circular No. A-102, record retention is set forth in Attachment C.
For other programs, record retention is governed by the funding agency's requirements.
Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Appropriations Act, Public Law 104- 180, 7 U.S.C. 1989.
This section lists the legal authority upon which a program is based (acts, amendments to acts, Public Law numbers, titles, sections, Statute Codes, citations to the U.S. Code, Executive Orders, Presidential Reorganization Plans, and Memoranda from an agency head).
Regulations, Guidelines, And Literature
The Federal regulations are found at 7 CFR Part 1941, Subpart C.