1-A.__Authority.__"Authority" means the Finance Authority of Maine.

3. Fund.__"Fund" means the Agricultural Marketing Loan Fund established in Title 10, section 1023-J.

Sec. C-3. 7 MRSA §435, as amended by PL 2003, c. 168, §§1 to 3, is repealed.

Sec. C-4. 7 MRSA §§435-A, 435-B and 435-C are enacted to read:

§435-A.__Administration of Agricultural Marketing Loan Fund

The commissioner shall administer the Agricultural Marketing Loan Fund established under Title 10, section 1023-J in accordance with this subchapter.__The commissioner may contract with the authority to assist in the administration of this subchapter.

1. Fee for administrative costs. The commissioner may establish by rule in accordance with section 437 a fee for administrative costs on loans made under this subchapter in excess of $100,000.__This fee may not exceed 1% of the loan.

2. Interest rate.__The interest rate for loans made under this subchapter is 5% per year.

3. Operating account.__The Agricultural Marketing Loan Fund Operating Account is established.__This account draws funds from the fund on a periodic basis to be determined by the commissioner to cover costs of administering the fund and any loans or grants made from the fund.

4. Report.__The commissioner shall submit a report on or before March 1st of each year to the joint standing committee of the Legislature having jurisdiction over agricultural matters.__ The report must include a summary of loans made during the previous fiscal year and loans outstanding, categorized by the types of agricultural enterprises receiving the loans.

§435-B.__Use of fund

1. Money from issuance of bonds. Any money credited to the fund from the issuance of bonds on behalf of the State for financing loans for agricultural enterprises may be used only for the following purposes: