South Dakota Administrative Rules
Title 12 - Department of Agriculture
Article 12:21 - Beginning farmer loan program
Chapter 12:21:01 - General provisions
Section 12:21:01:06 - Eligibility

(1) The first-time farmer must be a resident of South Dakota at the time the bond is issued to finance the loan and must be at least 18 years of age;

(2) The first-time farmer must document to the lender and the authority sufficient training and experience for the anticipated farm operations;

(3) The first-time farmer must, as a condition of loan closing, demonstrate to the satisfaction of the lender and the authority access as needed to working capital, farm machinery, livestock, and agricultural land;

(4) Individuals must be first-time farmers regardless of the purpose of the loan as defined in § 147(C) of the Internal Revenue Code as amended to July 1, 2008;

(5) The agricultural land and agricultural improvements may be used for farming only by the individual, the individual's spouse, the individual's minor children, or any of them;

(6) The first-time farmer must meet net worth requirements as described in § 12:21:01:04;

(7) The first-time farmer must meet the requirements of § 267(a), (b), and (c)(4) of the Internal Revenue Code, as amended to July 1, 2008, concerning related persons.