FSA loans for farm storage facilities

Link the storage proposal to eligible commodities

The FSA Farm Storage Facility Loan program finances qualifying storage and handling assets associated with eligible agricultural commodities. Grain bins, hay storage and certain refrigerated facilities can fall within its scope, but the exact asset and production use must be checked. Prepare a description of the commodity, expected storage requirement, equipment specifications and site arrangements. Storage capacity should be justified by the farm’s production and marketing plan rather than by the largest facility the supplier can install.

Confirm the application sequence before construction

Ask FSA about approval, security, down-payment and disbursement requirements before purchasing equipment or starting construction. A project that mixes storage with substantial processing or retail activity may require separate funding for some costs. Include foundations, electricity, safety equipment and maintenance in the financial comparison, together with interest and any application expenses. Where an agricultural facility lender offers an alternative, compare the complete cost and flexibility of both routes. The federal program’s name should not be taken as confirmation that every farm building is eligible.