Loans to Full-Time Farmers
Marginal note:Assistance loans to full-time farmers
(a) has requested that contemporaneously with the making of a Part I contract there be advanced by way of a loan to him supplementary financial assistance under or in respect of that contract, or
(b) has a subsisting Part I contract with the Director and has requested additional financial assistance,
the Director may, upon the veteran’s complying with such terms and conditions as the Governor in Council may prescribe, advance by way of a loan to that veteran for one or more of the purposes specified in subsection (2) amounts that, together with the balance then outstanding on any loan previously made under this Part to that veteran and the amount of any cost to the Director outstanding on any contract made under Part I with that veteran do not exceed the lesser of
(c) forty thousand dollars, and
(d) three-quarters of the security value as determined by the Director of the land, basic herd livestock and farm equipment held by the Director as security for the repayment of amounts owing by that veteran under this Act or to be acquired or taken by the Director as additional security for the repayment of amounts advanced to that veteran under this section.
Marginal note:Purposes for which loan may be made
(2) The Director may, subject to subsection (3), make an advance by way of a loan to a veteran for one or more of the following purposes:
(a) the purchase of farm land to form part of or to be used in connection with the land to which a Part I contract relates;
(b) the erection or improvement of buildings or the providing of additions thereto on the lands mentioned in paragraph (a);
(c) the clearing, breaking, draining, fencing or irrigating of the lands mentioned in paragraph (a) or the effecting of other improvements of a permanent nature that, in the opinion of the Director, will tend to increase the productive value or promote the conservation of the soil thereof;
(d) the purchase of cattle, sheep or swine to be used as basic herd livestock;
(e) the purchase of farm equipment necessary for the economic operation of the veteran’s farm;
(f) the payment of debts that, in the opinion of the Director, were reasonably incurred by the veteran; or
(g) the development on land to which a contract under this Act relates, on such terms and conditions as the Governor in Council may prescribe, of a secondary enterprise not being a farming enterprise.
Marginal note:Loans only for establishment of economic farm unit
(3) No advance shall be made under this section for any of the purposes specified in paragraphs (2)(a) to (e) by the Director unless the financial assistance requested by the veteran is, in the opinion of the Director, necessary for the development and proper operation by that veteran of an economic farm unit.
- 1953-54, c. 66, s. 10;
- 1959, c. 37, s. 21;
- 1962, c. 29, s. 12;
- 1965, c. 19, s. 18.
- Date modified: