FOR IMMEDIATE RELEASE
ICBA Applauds Legislation Blocking New USDA Guaranteed Loan User Fees
House Appropriations Committee Legislation Would Block New User Fee
Washington, D.C. (May 10, 2006)—The Independent Community Bankers of America (ICBA) today applauded legislation adopted by the House Agriculture Appropriations committee to block proposed new user fees on USDA guaranteed loan programs. The action was taken during a markup of fiscal year 2007 agriculture appropriations legislation.
“This effort to impose new user fees and raise existing fees on USDA guaranteed loan programs would only make credit more expensive to many of America's farmers and ranchers,” said Terry J. Jorde, ICBA chairman, and president and CEO of CountryBank USA, Cando, N.D. “Using user fees to fund USDA's guaranteed loan programs, which serve borrowers unable to get credit without such guarantees, is a fundamental change and would be a fundamental mistake. The administration's user fee proposal should not see the light of day,” Jorde added.
The administration indicated in its FY-2007 budget request that it would significantly raise existing user fees and impose new ones on USDA guaranteed loan programs.