Indian Tribal Land Acquisition Loan Program

FSA's Indian Tribal Land Acquisition Loan Program is a valuable resource to help Tribes become owners of additional property within the reservation to advance and increase current operations, provide financial prospects for Native American Communities, increase agricultural productivity, and save farmland for future generations. Through FSA’s innovative programming, American Indian and Alaska Native tribal governments have the ability to create sustainable and community-driven solutions to rural community challenges. This loan program is financed and serviced by the Farm Service Agency. Funding comes from Congressional appropriations as part of the USDA budget.

An ultimate recipient is a Native American tribe, tribal entity, or a member of either that receives a loan from an intermediary lender's HFIL revolving fund. To receive a loan from the intermediary, they must:

• Comply with highly erodible land conservation and wetland conservation requirements on all their land;

• Agree to continue to use the land for agricultural purposes during the term of the loan;

• Agree to comply with the requirements of the intermediary lender;

• Funds may be used to pay costs incidental to land acquisition, including, but not limited to, title clearance, legal services, archeological or land surveys, and loan closing;

• May be used to pay for costs of an appraisal conducted for this loan; and

• Be able to purchase fractionated interests resulting in at least 51 percent ownership.

FSA publishes the loan structure but not a rate:

• Size: "Loan Amounts: There is no specified maximum loan amount; the amount is based on the tribe's financial needs and repayment ability."

• Rate: "Interest Rates: Competitive interest rates set by the FSA, generally lower than conventional loans." The actual number is not on this page — FSA posts current farm loan interest rates separately, and they change monthly.

• Term: "Repayment Terms: Up to 30 years, with the possibility of annual installments."

• Use of funds: "Funds can be used to purchase land within the reservation, promote agricultural activities, and support economic development projects."

No down payment percentage, origination fee, or match requirement is published. Apply on form FSA-2620 through the local FSA office; a tribe must document the land to be purchased, a detailed plan for its use, and evidence of ability to repay.

Follow the instructions to complete the FSA-2620 form. Submit the finished form to your local FSA office. At that time, you may be asked to complete additional FSA forms.

• USDA Office of Tribal Relations

• USDA Council for Native American Farming and Ranching

• National Agricultural Library: Tribal Communities Resources and Planning Tools

• Indian Land Tenure Foundation

• Alaska Federation of Natives