PIERRE, S.D. - Producers and bankers can benefit by utilizing tax-exempt bond programs for livestock development projects through the Value Added Finance Authority (VAFA).
Tax-exempt bond programs through the VAFA can be utilized to obtain lower interest rates on bank financing for solid waste disposal projects. Any expenses for the collection, storage, treatment and utilization of manure are eligible for the Livestock Nutrient Management Bond.
“This program has been widely used in the dairy industry and can be used in the swine industry as well to help producers get lower interest rates on bank financing” said Terri LaBrie, executive director for the VAFA. “These bond programs enable the bank to save money on taxes while passing on some of those savings to the borrowers in the form of lower interest rates.”
Application forms are located on the South Dakota Department of Agriculture’s website, sdda.sd.gov, and are due at least a week prior to the VAFA board meeting. The board meets the last Thursday of each month to consider applications.