Utah Administrative Code

The Utah Administrative Code is the body of all effective administrative rules as compiled and organized by the Division of Administrative Rules (see Subsection 63G-3-102(5); see also Sections 63G-3-701 and 702).

NOTE: For a list of rules that have been made effective since April 1, 2019, please see the codification segue page.

NOTE TO RULEFILING AGENCIES: Use the RTF version for submitting rule changes.


R64. Agriculture and Food, Conservation Commission.

Rule R64-1. Agriculture Resource Development Loans (ARDL).

As in effect on April 1, 2019

Table of Contents

R64-1-1. Authority and Purpose.

Pursuant to Section 4-18-105, this rule establishes general operating practices by which the Agriculture Resource Development Loan (ARDL) program shall function.

R64-1-2. Definitions.

(1) "Commission" means the Utah Conservation Commission created by Section 4-18-4, which directs and implements the Agriculture Resource Development Loan program throughout the State of Utah, chaired by the Commissioner of the Utah Department of Agriculture and Food.

(2) "ZEC" means a zone executive committee representing several conservation districts in a geographic area consisting of one member from each of the conservation districts in that zone to coordinate ARDL activities.

(3) "CD Board" means a conservation district board consisting of five elected supervisors within each conservation district created by Section 4-18-105, to coordinate ARDL activities at the district level.

(4) "ARDL Program Coordinator or Loan Administrator" means the staff administrator of the ARDL program employed by the Department of Agriculture and Food.

(5) "Technical Assistance" or "Technical Assistance Agency" means such individuals or group of individuals, including administrative services, who may be requested by an applicant client to provide specialized input for proposed projects.

(6) "Executive Committee" means a committee, made up of the commission chair and at least two other members selected from and approved by the commission, who approve applications for presentation to the commission.

(7) "Application" means a project proposal which is prepared by an individual seeking ARDL funds through the process established by the commission and in accordance with Section 4-18-105.

(8) "Resource Improvement and Management Plan" means a plan providing a schedule of operations, implementation and cost estimates, and other pertinent information prepared by a technical assistant, or technical assistance agency, which has been approved by the commission.

R64-1-3. Administration of Agriculture Resource Development Fund.

(1) The objectives of the ARDL program are to conserve agricultural resources of the state, increase agriculture yields and efficiency for croplands, orchards, pastures, range and livestock, maintain and improve water quality, conserve and improve wildlife habitat, prevent flooding, conserve or develop on-farm energy resources, mitigate damages to agriculture as a result of flooding, drought, or other natural disasters, and provide and maintain protection of a crop or animal resource. The commission shall annually allocate funds appropriated for projects that further these objectives.

(2) Applicant clients shall submit finalized project proposals to the loan administrator through the conservation districts for review. Applications shall be reviewed for funding by the executive committee if they exceed loan limits established by policy. Applicant clients shall comply with district, zone and commission application procedures, which are available at the district level. Applicant clients shall be investigated for credit and security as may be required by the commission including repayment capability, past and current financial holdings, fiscal obligations, and debt history. When requests are expected to exceed available funds, projects shall be rated and prioritized according to levels of quality of improvement(s) sought. Rating and approval information from ZEC committees and CD boards shall be duly considered.

(3) Loan contracts will be awarded upon receipt of executed documents, generally consisting of promissory notes and other documents that are agreed to and signed by the borrower to perfect liens on required security.

(4) When proposed projects include technical issues that are sufficiently complex, loan and technical assistance fees may be charged to clients. Some projects may require supervision by commission designated personnel.

(5) Contracts with applicant clients shall be based on repayment ability or defined collateral. Contracts shall include schedules for loan repayment according to the agreed upon interest rates and related fiscal conditions. The loan administrator may acquire appraisals and estimates of collateral values, and is authorized to obtain security or collateral in order to meet the provisions of the contract until agreed upon amounts have been collected.

(6) Projects for which funds are loaned shall be inspected and certified by commission designated personnel for compliance with contractual provisions.

(7) Under direction of the commission the loan administrator shall manage the program; interpret guidelines, administer record-keeping operations, research financial collateral security information, process and service contracts associated with program functions, recommend loan approvals to the commission, analyze resource improvement and management plans, and administer loan servicing/collection activities.

KEY

loans

Date of Enactment or Last Substantive Amendment

October 8, 2014

Notice of Continuation

July 23, 2014

Authorizing, Implemented, or Interpreted Law

4-18-105


Additional Information

Contact

For questions regarding the content or application of rules under Title R64, please contact the promulgating agency (Agriculture and Food, Conservation Commission). A list of agencies with links to their homepages is available at http://www.utah.gov/government/agencylist.html or from http://www.rules.utah.gov/contact/agencycontacts.htm.