H.R.6779

USDA Loan Modernization Act

Introduced·12/17/25

Expands eligibility for USDA direct loans to include operators with at least a 50% interest in farm real estate.

The USDA Loan Modernization Act amends the Consolidated Farm and Rural Development Act to expand eligibility for direct loans to individuals or entity members holding at least a 50% interest in farm real estate. It also modifies the eligibility criteria for operating-only entities and embedded entities, requiring that at least 75% of the ownership interests be held by qualified operators. This change aims to provide more flexibility and support for farm operators seeking financial assistance.

Included in complete analysis

  • Overview
  • Core Provisions
  • Implementation
  • Impact
  • Legal Framework
  • Critical Issues

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Where it stands

Current
Subcommittee on General Farm Commodities, Risk Management, and Credit Committee
Next
Committee decision

Sponsors

Democratic CaucusRepublican Caucus

History

May 20

House

Referred to the Subcommittee on General Farm Commodities, Risk Management, and Credit.

Dec 17, 2025

House

Introduced in House

Dec 17, 2025

House

Referred to the House Committee on Agriculture.