Agricultural Bond Improvement Act of 2004

The Agricultural Bond Improvement Act of 2004 (H.R. 5114) was designed to make it easier and more affordable for beginning farmers to secure financing for land and equipment. The bill proposed changes to the federal tax code to increase the maximum loan amount for "Aggie Bonds" to $450,000 and tied that limit to inflation to ensure the program kept pace with rising land costs. Additionally, the legislation aimed to remove certain regulatory hurdles, such as volume caps and land-size restrictions, to expand the availability of low-interest, tax-exempt loans for new agricultural operations.