Farm Credit developed the Rural America Bond Program to help meet the ever-expanding and changing needs of agricultural enterprises, agribusinesses and rural communities by providing a flow of money to rural areas. Under the program, Farm Credit Bank of Texas can invest in debt instruments call Rural America Bonds. These include taxable debt obligations issued by:

• Public and private entities
• Corporations and cooperatives
• Rural lenders and other financial institutions

Why Invest in Rural Communities?

Farm Credit is committed to improving the quality of life in rural America for farmers and ranchers, as well as for those who choose to live and work in the country.

The success of farm families and American agriculture depends to a large extent on having strong, supportive rural communities. Farmers and ranchers rely on the economic vitality of their rural communities for off-farm jobs, markets for their products, farm-related services, and high-quality education and other public services for their families. However, rural enterprises have been underserved by traditional sources of capital.

By investing in activities that sustain, revitalize and develop rural communities, Farm Credit Bank of Texas is helping to keep producers on the land and attract new families to rural America.

What Types of Projects Qualify?

Farm Credit Bank of Texas can invest in two major types of projects: those that support rural communities and those that support agriculture and agribusiness.

Some eligible purposes include:

• Infrastructure for agricultural production, such as a farmers’ market or grain storage facilities
• Commercial enterprises that create or maintain jobs in rural areas
• Essential community services, such as public administrative facilities like police and fire halls, schools, hospitals and other health-care facilities
• Rural housing for low- and moderate-income families
• Agribusinesses, regardless of throughput or ownership
• Alternative energy
• Rural community redevelopment and revitalization projects

What Is a Rural Area?

A rural area is defined as an area outside a standard metropolitan statistical area or within a community that has a population of 50,000 or less.

To find out more about Rural America Bonds, call us at (512) 465-0400.