Farmers Home Administration: Farm Loans to Delinquent Borrowers (Fact
Sheet, 02/08/94, GAO/RCED-94-94FS).
As of September 1993, the Farmers Home Administration's (FmHA)
outstanding direct and guaranteed loans to American farmers totaled
nearly $19 billion; about 29 percent of this, or $5.4 billion, was held
by delinquent borrowers who were behind on their loan payments. During
fiscal years 1991-93, FmHA lost $5 billion by reducing the delinquent
debt of direct loan borrowers and paid losses on guaranteed loans of
about $160 million. During this same period, FmHA made about $55
million in new direct loans to 936 borrowers after it had reduced or
forgiven about $133 on their previous loans. As of September 1993,
about 21 percent of these borrowers were delinquent on their new loans.
FmHA also made about $60 million in new guaranteed loans to 408
borrowers during fiscal years 1991-93 after it had lost $67 million on
their previous guaranteed and direct loans. As of September 1993, about
four percent of these borrowers were delinquent on their new guaranteed
loans. FmHA loaned another $90 million during fiscal years 1991-93
under a policy that allows delinquent borrowers to obtain new direct
loans for operating expenses.
--------------------------- Indexing Terms -----------------------------
REPORTNUM: RCED-94-94FS
TITLE: Farmers Home Administration: Farm Loans to Delinquent
Borrowers
DATE: 02/08/94
SUBJECT: Farm credit
Loan defaults
Direct loans
Government guaranteed loans
Risk management
Cost accounting standards compliance
Agricultural programs
Delinquent loans
Program abuses
IDENTIFIER: FmHA Guaranteed Farm Loan Program
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Cover
================================================================ COVER
Fact Sheet for the Honorable
Robert L. Livingston, House of Representatives
February 1994
FARMERS HOME ADMINISTRATION - FARM
LOANS TO DELINQUENT BORROWERS
GAO/RCED-94-94FS
FmHA Farm Loans
Abbreviations
=============================================================== ABBREV
FmHA - Farmers Home Administration
GAO - General Accounting Office
Letter
=============================================================== LETTER
B-255922
February 8, 1994
The Honorable Robert L. Livingston
House of Representatives
Dear Mr. Livingston:
This fact sheet responds to your August 5, 1993, request for selected
statistical information on the Farmers Home Administration's (FmHA)
direct and guaranteed farm loan programs. In particular, you asked
for data describing the (1) levels of outstanding debt,
delinquencies, and losses on farm loans and (2) extent to which FmHA
approved direct and/or guaranteed loans to previously or currently
delinquent borrowers.
In summary, we found the following:
OUTSTANDING DEBT,
DELINQUENCIES, AND LOSSES
---------------------------------------------------------- Letter :0.1
As of September 30, 1993, FmHA's outstanding direct and guaranteed
loans to the nation's farmers totaled $18.8 billion.
Of this amount, $5.4 billion, or about 29 percent, was held by
delinquent borrowers; that is, borrowers who are past due on
their loan payments.
In addition, during fiscal years 1991-93, FmHA lost $5 billion by
reducing the delinquent debt of direct loan borrowers and paid
losses on guaranteed loans of about $160 million.
NEW LOANS TO DELINQUENT
BORROWERS
---------------------------------------------------------- Letter :0.2
During fiscal years 1991-93, FmHA made about $55 million in new
direct loans to 936 borrowers after it had reduced or forgiven
about $133 million on their previous direct loans. As of
September 1993, about 21 percent of these borrowers were
delinquent on the new direct loans.
In the same period, FmHA made about $60 million in new guaranteed
loans to 408 borrowers after it had incurred about $67 million
of losses on their previous guaranteed and direct loans. As of
September 1993, about 4 percent of these borrowers were
delinquent on the new guaranteed loans.
FmHA made an additional $90 million in loans during fiscal years
1991-93 under a policy that allows delinquent borrowers to
obtain new direct loans for operating expenses.
Section 1 of this fact sheet contains information on FmHA's total
outstanding and delinquent debt and losses on direct and guaranteed
loans. Section 2 contains information on the agency's direct and
guaranteed loans to borrowers who had defaulted on previous loans.
Additionally, as you requested, appendixes I through V break down the
information presented in sections 1 and 2 on a state-by-state basis.
---------------------------------------------------------- Letter :0.3
To prepare this fact sheet, we analyzed information from computerized
data bases in FmHA's St. Louis Finance Office and from various FmHA
financial reports.\1 We did not verify the accuracy of the
information contained in the agency's data bases or reports. Our
work was performed from October 1993 through January 1994.
FmHA officials reviewed a draft of this fact sheet for technical
accuracy. However, as requested by your office, we did not obtain
written agency comments.
As arranged with your office, we are sending copies of this fact
sheet to the appropriate Senate and House committees; interested
Members of Congress; the Secretary of Agriculture; the Administrator
of FmHA; the Director, Office of Management and Budget; and other
interested parties. We will make copies available to others upon
request.
Please contact me at (202) 512-5138 if you or your staff have any
questions. Major contributors to this fact sheet are listed in
appendix VI.
Sincerely yours,
John W. Harman
Director, Food and
Agriculture Issues
--------------------
\1 The information contained in this fact sheet is an update of
information we reported in Farmers Home Administration's Farm Loan
Programs (GAO/HR-93-1, Dec. 1992) and in Farmers Home
Administration: Billions of Dollars in Farm Loans Are at Risk
(GAO/RCED-92-86, Apr. 3, 1992).
OUTSTANDING AND DELINQUENT DEBT
AND LOSSES
============================================================ Chapter 1
This section discusses FmHA's total outstanding and delinquent debt
and the losses that FmHA has incurred on direct and guaranteed loans.
The amount of debt held by borrowers who were delinquent on direct
and guaranteed farm loans continues to be a significant portion of
FmHA's total outstanding debt--$5.4 billion, as of September 30,
1993. Also, FmHA's losses in the direct and guaranteed loan programs
totaled $5.2 billion during fiscal years 1991-93.
TOTAL OUTSTANDING AND
DELINQUENT DEBT
-------------------------------------------------------- Chapter 1:0.1
As table 1.1 shows, as of September 30, 1993, the total outstanding
principal on FmHA's farm loans was about $18.8 billion, of which 28.8
percent was held by delinquent borrowers.
Table 1.1
Outstanding Principal and Amount Owed by
Delinquent Borrowers, by Loan Type, as
of September 30, 1993
(Dollars in billions)
Lo
an Percentage
ty Number of Number of Percentage of
pe Amount borrowers Amount borrowers of debt borrowers
-- ----------- ----------- ----------- ----------- ----------- -----------
Di $13.8 137,977 $5.2 30,806 37.6 22.3
r
e
c
t
Gu 5.0 35,857 0.2 1,840 4.8 5.1
a
r
a
n
t
e
e
d
To $18.8 173,834 $5.4 32,646 28.8 18.8
t
a
l
\
b
--------------------------------------------------------------------------------
Note: See appendix I for a state-by-state breakdown of the
information in this table.
\a Percentages are based on whole numbers.
\b The total number of borrowers may include some borrowers who are
counted more than once because they have both direct and guaranteed
loans.
Source: GAO's analysis of FmHA Finance Office records.
DIRECT AND GUARANTEED LOAN
LOSSES
-------------------------------------------------------- Chapter 1:0.2
When borrowers experience trouble repaying their loans, FmHA's direct
loan policies provide various types of relief assistance that result
in losses. This assistance includes two debt-relief options mandated
by the Agricultural Credit Act of 1987 (P.L. 100-233, Jan. 6,
1988): reducing borrowers' debts so that the borrowers can maintain
viable farming operations--referred to as restructuring with
write-down, and satisfying debts entirely by allowing borrowers to
pay an adjusted amount based on the value of collateral security that
is less than the outstanding debt--referred to as net recovery value
buy-out with write-off. FmHA also has a third option when one of
these two approaches does not resolve a borrower's delinquency: debt
settling with borrowers who are generally no longer farming by
writing off part or all of the unpaid loans.
FmHA also incurs losses as a result of guaranteeing farm loans.
Specifically, FmHA agrees, if a borrower defaults, to reimburse a
commercial lender for up to 90 percent of the lost principal, accrued
interest, and liquidation costs.
As table 1.2 shows, FmHA incurred losses of about $5.2 billion during
fiscal years 1991-93--about $5 billion on direct loans and about $160
million on guaranteed loans. According to FmHA officials, some of
the agency's losses in recent years involve loans that were made many
years ago.
Table 1.2
FmHA's Direct Loan Debt Relief and
Guaranteed Loan Losses, Fiscal Years
1991-93
(Dollars in billions)
Amount of
debt Number of
Loan type relief borrowers
------------------------------------ ---------- ----------
Direct
Restructured with write-down $0.4 2,722
Net recovery value buy-out with
write-off 0.6 3,047
Debt settled with write-off 4.0 20,582
============================================================
Subtotal $5.0 26,351
Guaranteed (payments on loss claims) 0.2 2,168
============================================================
Total\a $5.2 28,519
------------------------------------------------------------
Note: See appendix II for a state-by-state breakdown of the
information in this table.
\a The total number of borrowers may include some borrowers who are
counted more than once because they received more than one type of
loan-servicing action.
Source: GAO's analysis of FmHA Finance Office records.
DIRECT AND GUARANTEED LOANS TO
DELINQUENT BORROWERS
============================================================ Chapter 2
This section discusses FmHA's direct and guaranteed loans to
borrowers who have been or currently are delinquent.
BORROWERS WHO RECEIVED
ADDITIONAL DIRECT LOANS
AFTER DEBT RELIEF
-------------------------------------------------------- Chapter 2:0.1
Borrowers who received debt relief under the debt-servicing
provisions of the Agricultural Credit Act of 1987 are not barred from
obtaining additional direct farm loans. Many borrowers who obtained
additional direct loans after having received debt relief became
delinquent again. As table 2.1 shows, 199 such borrowers who
received new loans in fiscal years 1991-93 were again delinquent in
September 1993.
Table 2.1
Borrowers Who Became Delinquent Again on
New Direct Loans, Fiscal Years 1991-93
(Dollars in millions)
Number
of
borrower
Number Amount s
of of new Amount delinque
Action on borrower's borrower direct of debt nt
previous loan s loans relief again\a
-------------------- -------- -------- -------- --------
Restructured with 917 $53.1 $130.2 194
debt write-down
Net recovery value 19 1.8 2.5 5
buy-out with debt
write-off
============================================================
Total 936 $54.9 $132.7 199
------------------------------------------------------------
Note: See appendix III for a state-by-state breakdown of the
information in this table.
\a Delinquent as of September 30, 1993.
Source: GAO's analysis of FmHA Finance Office records.
BORROWERS WHO PREVIOUSLY
DEFAULTED RECEIVED NEW
GUARANTEED LOANS
-------------------------------------------------------- Chapter 2:0.2
Borrowers who have previously defaulted on guaranteed or direct loans
are also allowed to receive new guaranteed loans. As shown in table
2.2, we identified 408 borrowers who received new guaranteed loans
during fiscal years 1991-93 after FmHA had incurred losses on their
previous loans.
Table 2.2
Borrowers Who Received New Guaranteed
Loans After Defaulting on Previous
Guaranteed and Direct Loans, Fiscal
Years 1991-93
(Dollars in millions)
Number
of
borrower
Number Amount Amount s
of of new of delinque
Action on borrower's borrower guarante FmHA's nt
previous loan s ed loans loss\a again\b
-------------------- -------- -------- -------- --------
Loss on previous
guaranteed loan 36 $6.7 $2.9 2
Restructured with
debt write-down 309 41.5 49.6 10
Net recovery value 63 11.4 14.6 4
buy-out with debt
write-off
============================================================
Total 408 $59.6 $67.1 16
------------------------------------------------------------
Note: See appendix IV for a state-by-state breakdown of the
information in this table.
\a These losses result from payments to commercial lenders on
guaranteed loans or debt relief provided on direct loans.
\b Delinquent as of September 30, 1993.
Source: GAO's analysis of FmHA Finance Office records.
CONTINUATION LOANS
-------------------------------------------------------- Chapter 2:0.3
Under FmHA's continuation policy, borrowers can obtain new FmHA
direct loans while they are delinquent on their existing FmHA debt.
The purposes of the policy, which was initially established in 1982,
were to continue lending money to financially stressed borrowers
until economic conditions improved and to slow the number of
liquidation cases. Following GAO's disclosure that many unsound
loans were being made, FmHA rescinded the policy in 1985. However,
the Congress directed FmHA to reinstate the continuation policy in
1987 (P.L. 100-71, July 11, 1987). FmHA made continuation loans
totaling $90 million to 1,458 delinquent borrowers during fiscal
years 1991-93. See appendix V for a state-by-state breakdown of this
information.
OUTSTANDING DIRECT AND GUARANTEED
LOANS OWED BY DELINQUENT BORROWERS
=========================================================== Appendix I
Table I.1
Amount and Percentage of Outstanding
Direct Loans Owed by Delinquent
Borrowers, by State, as of September 30,
1993
(Dollars in millions)
St Percentage
at Number of Number of Percentage of
e Amount borrowers Amount borrowers of debt borrowers
-- ----------- ----------- ----------- ----------- ----------- -----------
Al $141.7 2,627 $24.2 205 17.1 7.8
a
b
a
m
a
Al 0.5 6 0.3 3 60.0 50.0
a
s
k
a
Ar 145.6 596 110.8 288 76.1 48.3
i
z
o
n
a
Ar 431.1 5,191 184.8 1,161 42.9 22.4
k
a
n
s
a
s
Ca 585.1 2,210 371.5 752 63.5 34.0
l
i
f
o
r
n
i
a
Co 148.2 1,304 49.3 258 33.3 19.8
l
o
r
a
d
o
Co 17.4 154 7.0 44 40.2 28.6
n
n
e
c
t
i
c
u
t
De 12.3 133 2.0 13 16.3 9.8
l
a
w
a
r
e
Fl 213.9 1,593 135.3 592 63.3 37.2
o
r
i
d
a
Ge 357.0 2,823 189.1 885 53.0 31.3
o
r
g
i
a
Ha 40.3 309 16.7 88 41.4 28.5
w
a
i
i
Id 284.6 2,496 111.5 634 39.2 25.4
a
h
o
Il 415.6 5,098 79.3 614 19.1 12.0
l
i
n
o
i
s
In 322.4 2,795 103.0 618 31.9 22.1
d
i
a
n
a
Io 602.3 6,844 100.9 804 16.8 11.7
wa
Ka 351.0 4,693 70.6 672 20.1 14.3
n
s
a
s
Ke 342.8 4,920 55.5 426 16.2 8.7
n
t
u
c
k
y
Lo 436.0 4,116 308.0 2,173 70.6 52.8
u
i
s
i
a
n
a
Ma 105.1 933 33.1 221 31.5 23.7
i
n
e
Ma 44.7 428 11.1 95 24.8 22.2
r
y
l
a
n
d
Ma 40.2 348 7.6 61 18.9 17.5
s
s
a
c
h
u
s
e
t
t
s
Mi 333.3 2,770 108.1 644 32.4 23.2
c
h
i
g
a
n
Mi 491.1 5,091 137.6 981 28.0 19.3
n
n
e
s
o
t
a
Mi 585.0 6,027 374.0 1,879 63.9 31.2
s
s
i
s
s
i
p
p
i
Mi 462.9 5,532 110.2 868 23.8 15.7
s
s
o
u
r
i
Mo 347.5 2,385 125.8 556 36.2 23.3
n
t
a
n
a
Ne 459.9 4,802 113.2 779 24.6 16.2
b
r
a
s
k
a
Ne 26.8 215 10.1 62 37.7 28.8
v
a
d
a
Ne 12.6 118 1.3 12 10.3 10.2
w
H
a
m
p
s
h
i
r
e
Ne 61.7 454 24.4 149 39.5 32.8
w
J
e
r
s
e
y
Ne 98.2 936 41.4 211 42.2 22.5
w
M
e
x
i
c
o
Ne 366.7 3,383 152.1 1,018 41.5 30.1
w
Y
o
r
k
No 266.2 3,660 93.6 703 35.2 19.2
r
t
h
C
a
r
o
l
i
n
a
No 593.4 5,386 171.0 1,080 28.8 20.1
r
t
h
D
a
k
o
t
a
Oh 254.8 2,088 107.1 637 42.0 30.5
io
Ok 560.3 6,107 234.8 1,484 41.9 24.3
l
a
h
o
m
a
Or 165.9 1,279 52.8 289 31.8 22.6
e
g
o
n
Pe 243.9 2,122 36.1 246 14.8 11.6
n
n
s
y
l
v
a
n
i
a
Rh 5.3 40 1.4 9 26.4 22.5
o
d
e
I
s
l
a
n
d
So 193.8 1,932 98.4 488 50.8 25.3
u
t
h
C
a
r
o
l
i
n
a
So 597.7 6,589 164.5 1,042 27.5 15.8
u
t
h
D
a
k
o
t
a
Te 322.1 4,172 118.2 772 36.7 18.5
n
n
e
s
s
e
e
Te 1,051.9 9,291 570.4 3,432 54.2 36.9
x
a
s
Ut 93.5 1,187 12.6 106 13.5 8.9
ah
Ve 54.6 520 7.5 55 13.7 10.6
r
m
o
n
t
Vi 175.3 1,904 80.9 516 46.1 27.1
r
g
i
n
i
a
Wa 187.3 1,405 55.3 264 29.5 18.8
s
h
i
n
g
t
o
n
We 66.2 1,104 17.7 158 26.7 14.3
st
V
i
r
g
i
n
i
a
Wi 460.7 4,610 120.4 978 26.1 21.2
s
c
o
n
s
i
n
Wy 61.9 528 12.1 70 19.5 13.3
o
m
i
n
g
Ot 137.0 2,723 54.6 711 39.9 26.1
h
e
r
\
a
--------------------------------------------------------------------------------
\a Includes Puerto Rico, the U.S. Virgin Islands, and the Western
Pacific Island Territories.
Source: GAO's analysis of FmHA Finance Office records.
Table I.2
Amount and Percentage of Outstanding
Guaranteed Loans Owed by Delinquent
Borrowers, by State, as of September 30,
1993
(Dollars in millions)
St Percentage
at Number of Number of Percentage of
e Amount borrowers Amount borrowers of debt borrowers
-- ----------- ----------- ----------- ----------- ----------- -----------
Al $34.4 256 $0.2 3 0.6 1.2
a
b
a
m
a
Al 0 0 0 0 0.0 0.0
a
s
k
a
Ar 6.2 26 0.2 1 3.2 3.8
i
z
o
n
a
Ar 108.7 792 2.9 27 2.7 3.4
k
a
n
s
a
s
Ca 59.2 359 3.5 19 5.9 5.3
l
i
f
o
r
n
i
a
Co 92.7 488 4.4 28 4.7 5.7
l
o
r
a
d
o
Co 5.8 31 0.1 3 1.7 9.7
n
n
e
c
t
i
c
u
t
De 10.1 66 0.2 1 2.0 1.5
l
a
w
a
r
e
Fl 31.3 177 2.9 14 9.3 7.9
o
r
i
d
a
Ge 105.2 736 2.1 24 2.0 3.3
o
r
g
i
a
Ha 0.4 1 0 0 0.0 0.0
w
a
i
i
Id 72.6 434 6.2 32 8.5 7.4
a
h
o
Il 238.2 1,846 10.5 83 4.4 4.5
l
i
n
o
i
s
In 104.3 686 3.7 26 3.5 3.8
d
i
a
n
a
Io 462.4 4,102 15.1 136 3.3 3.3
wa
Ka 229.9 1,692 14.9 127 6.5 7.5
n
s
a
s
Ke 92.9 878 2.5 27 2.7 3.1
n
t
u
c
k
y
Lo 177.1 1,745 7.4 82 4.2 4.7
u
i
s
i
a
n
a
Ma 8.4 60 2.1 8 25.0 13.3
i
n
e
Ma 20.6 140 0.7 4 3.4 2.9
r
y
l
a
n
d
Ma 14.8 64 1.2 4 8.1 6.3
s
s
a
c
h
u
s
e
t
t
s
Mi 186.5 1,040 7.6 65 4.1 6.3
c
h
i
g
a
n
Mi 270.4 2,053 12.0 120 4.4 5.8
n
n
e
s
o
t
a
Mi 160.6 830 5.5 37 3.4 4.5
s
s
i
s
s
i
p
p
i
Mi 139.5 1,054 2.7 33 1.9 3.1
s
s
o
u
r
i
Mo 91.5 572 5.7 31 6.2 5.4
n
t
a
n
a
Ne 287.3 2,129 15.0 123 5.2 5.8
b
r
a
s
k
a
Ne 5.7 33 \a 1 0.7 3.0
v
a
d
a
Ne 4.0 21 0.3 1 7.5 4.8
w
H
a
m
p
s
h
i
r
e
Ne 8.7 42 2.2 6 25.3 14.3
w
J
e
r
s
e
y
Ne 40.7 194 3.3 20 8.1 10.3
w
M
e
x
i
c
o
Ne 78.8 469 2.2 20 2.8 4.3
w
Y
o
r
k
No 99.5 768 0.8 8 0.8 1.0
r
t
h
C
a
r
o
l
i
n
a
No 158.8 1,154 11.2 87 7.1 7.5
r
t
h
D
a
k
o
t
a
Oh 70.9 507 3.5 30 4.9 5.9
io
Ok 223.6 1,254 18.7 117 8.4 9.3
l
a
h
o
m
a
Or 30.6 179 2.8 15 9.2 8.4
e
g
o
n
Pe 79.6 429 3.6 20 4.5 4.7
n
n
s
y
l
v
a
n
i
a
Rh 0.5 3 0.3 1 60.0 33.3
o
d
e
I
s
l
a
n
d
So 35.7 278 1.4 11 3.9 4.0
u
t
h
C
a
r
o
l
i
n
a
So 185.8 1,634 11.8 86 6.4 5.3
u
t
h
D
a
k
o
t
a
Te 53.8 527 3.6 25 6.7 4.7
n
n
e
s
s
e
e
Te 325.2 2,193 17.3 133 5.3 6.1
x
a
s
Ut 30.0 182 1.3 7 4.3 3.8
ah
Ve 49.4 343 5.8 49 11.7 14.3
r
m
o
n
t
Vi 31.7 200 1.1 3 3.5 1.5
r
g
i
n
i
a
Wa 67.7 387 2.5 19 3.7 4.9
s
h
i
n
g
t
o
n
We 29.0 185 0.6 2 2.1 1.1
st
V
i
r
g
i
n
i
a
Wi 371.9 2,250 15.5 105 4.2 4.7
s
c
o
n
s
i
n
Wy 43.3 295 2.7 16 6.2 5.4
o
m
i
n
g
Ot 8.8 73 0 0 0.0 0.0
h
e
r
\
b
--------------------------------------------------------------------------------
\a Less than $50,000.
\b Includes Puerto Rico, the U.S. Virgin Islands, and the Western
Pacific Island Territories.
Source: GAO's analysis of FmHA Finance Office records.
DEBT RELIEF ON DIRECT LOANS AND
LOSS PAYMENTS ON GUARANTEED LOANS
========================================================== Appendix II
Table II. 1
Debt Relief Provided on Direct Loans, by
State, Fiscal Years 1991-93
(Dollars in millions)
St
at Number of Number of Number of
e Amount borrowers Amount borrowers Amount borrowers
-- ----------- ----------- ----------- ----------- ----------- -----------
Al $4.2 36 $10.2 56 $38.0 227
a
b
a
m
a
Al 0 0 0 0 0.1 1
a
s
k
a
Ar 1.7 5 5.8 6 30.4 78
i
z
o
n
a
Ar 12.2 101 35.1 172 131.0 722
k
a
n
s
a
s
Ca 3.1 9 5.8 17 202.0 372
l
i
f
o
r
n
i
a
Co 3.6 31 4.9 32 40.2 244
l
o
r
a
d
o
Co 0.2 1 0.6 1 2.1 14
n
n
e
c
t
i
c
u
t
De 0 0 0.2 1 0.6 8
l
a
w
a
r
e
Fl 2.2 9 2.8 10 73.4 342
o
r
i
d
a
Ge 10.4 30 40.7 110 371.2 1,130
o
r
g
i
a
Ha 0.1 1 \a 1 \a 2
w
a
i
i
Id 10.1 68 15.9 82 67.4 333
a
h
o
Il 10.6 100 10.8 93 71.4 551
l
i
n
o
i
s
In 13.5 108 14.1 77 119.0 556
d
i
a
n
a
Io 11.5 111 6.9 57 110.8 812
wa
Ka 5.5 61 3.4 29 46.4 475
n
s
a
s
Ke 6.2 69 6.4 42 67.0 480
n
t
u
c
k
y
Lo 6.4 62 59.3 388 334.3 1,532
u
i
s
i
a
n
a
Ma 3.2 27 2.8 15 12.5 81
i
n
e
Ma 0.3 4 0.4 4 7.2 56
r
y
l
a
n
d
Ma \a 1 0 0 0.4 10
s
s
a
c
h
u
s
e
t
t
s
Mi 13.0 95 20.0 76 77.1 411
c
h
i
g
a
n
Mi 11.4 117 21.1 117 169.8 913
n
n
e
s
o
t
a
Mi 15.6 80 63.3 215 303.1 1,019
s
s
i
s
s
i
p
p
i
Mi 23.9 204 33.3 231 128.6 810
s
s
o
u
r
i
Mo 11.9 61 12.8 54 53.7 253
n
t
a
n
a
Ne 4.5 39 4.5 34 89.9 527
b
r
a
s
k
a
Ne 0.4 6 0.3 2 2.8 20
v
a
d
a
Ne 0 0 0.2 1 \a 2
w
H
a
m
p
s
h
i
r
e
Ne \a 1 0.3 2 3.0 35
w
J
e
r
s
e
y
Ne 0.8 7 1.6 10 15.3 92
w
M
e
x
i
c
o
Ne 7.0 41 5.9 32 42.9 336
w
Y
o
r
k
No 4.0 30 6.9 46 90.1 549
r
t
h
C
a
r
o
l
i
n
a
No 35.7 323 38.9 236 116.3 738
r
t
h
D
a
k
o
t
a
Oh 2.3 15 7.9 47 107.0 485
io
Ok 24.0 173 33.7 151 139.5 736
l
a
h
o
m
a
Or 3.3 22 2.3 9 31.5 159
e
g
o
n
Pe 2.2 19 2.7 15 17.4 132
n
n
s
y
l
v
a
n
i
a
Rh 0 0 0 0 0.6 2
o
d
e
I
s
l
a
n
d
So 6.8 50 13.8 64 55.9 289
u
t
h
C
a
r
o
l
i
n
a
So 8.6 83 11.8 60 109.8 718
u
t
h
D
a
k
o
t
a
Te 5.1 38 15.6 82 181.0 1,110
n
n
e
s
s
e
e
Te 36.7 201 34.5 115 322.5 1,512
x
a
s
Ut 1.1 10 0.5 4 7.3 51
ah
Ve 0 0 0.3 2 0.8 11
r
m
o
n
t
Vi 2.2 16 4.6 25 39.5 275
r
g
i
n
i
a
Wa 2.1 15 1.8 8 38.9 216
s
h
i
n
g
t
o
n
We 0.9 9 0.3 2 5.0 79
st
V
i
r
g
i
n
i
a
Wi 20.3 191 29.6 199 90.0 849
s
c
o
n
s
i
n
Wy 3.7 34 1.3 9 11.9 82
o
m
i
n
g
Ot 0.7 8 0.8 6 6.2 145
h
e
r
\
b
--------------------------------------------------------------------------------
\a Less than $50,000.
\b Includes Puerto Rico, the U.S. Virgin Islands, and the Western
Pacific Island Territories.
Source: GAO's analysis of FmHA Finance Office records.
Table II. 2
Loss Payments on Guaranteed Loans, by
State, Fiscal Years 1991-93
(Dollars in millions)
Amount of loan Number of
State loss payments borrowers
-------------------- ------------------ ------------------
Alabama $0.7 11
Alaska 0 0
Arizona 0.2 1
Arkansas 6.4 108
California 0.9 10
Colorado 3.0 22
Connecticut 0.4 1
Delaware 0 0
Florida 0.7 11
Georgia 2.8 52
Hawaii 0 0
Idaho 1.8 19
Illinois 4.5 92
Indiana 2.4 26
Iowa 6.9 138
Kansas 3.7 68
Kentucky 2.6 34
Louisiana 26.0 372
Maine 0 0
Maryland 0.7 7
Massachusetts 0.1 1
Michigan 6.2 58
Minnesota 6.6 103
Mississippi 6.8 83
Missouri 2.3 44
Montana 3.6 31
Nebraska 2.3 43
Nevada 0 0
New Hampshire \a 1
New Jersey 0 0
New Mexico 4.0 24
New York 1.0 10
North Carolina 1.3 18
North Dakota 4.5 79
Ohio 1.9 23
Oklahoma 13.5 131
Oregon 1.4 13
Pennsylvania 1.6 11
Rhode Island 0 0
South Carolina 1.6 23
South Dakota 1.4 30
Tennessee 2.4 37
Texas 19.1 240
Utah 0.3 6
Vermont 0.2 9
Virginia \a 2
Washington 1.9 17
West Virginia 0.7 8
Wisconsin 8.7 132
Wyoming 0.9 14
Other\b 0.8 5
------------------------------------------------------------
\a Less than $50,000.
\b Includes Puerto Rico, the U.S. Virgin Islands, and the Western
Pacific Island Territories.
Source: GAO's analysis of FmHA Finance Office records.
NEW DIRECT LOANS TO PREVIOUSLY
DELINQUENT BORROWERS WHO RECEIVED
DEBT RELIEF
========================================================= Appendix III
Table III.1
New Direct Loans and Debt Relief
Provided to Previously Delinquent
Borrowers Whose Loans Were Restructured
With Debt Write-Down, by State, Fiscal
Years 1991-93
(Dollars in millions)
Number Number of
of Amount of Amount borrowers
borrower new direct of debt delinquent
State s loans relief again\a
------------ -------- ------------ -------- ------------
Alabama 14 $1.1 $1.9 4
Alaska 0 0 0 0
Arizona 0 0 0 0
Arkansas 24 1.5 3.9 7
California 2 0.3 0.4 1
Colorado 6 0.4 0.4 3
Connecticut 0 0 0 0
Delaware 0 0 0 0
Florida 2 0.2 0.3 0
Georgia 10 0.9 1.9 3
Hawaii 0 0 0 0
Idaho 30 2.0 4.4 2
Illinois 40 1.3 4.7 3
Indiana 44 2.6 6.2 5
Iowa 36 1.5 3.4 9
Kansas 20 0.9 1.4 2
Kentucky 13 0.7 1.4 0
Louisiana 35 2.8 4.4 12
Maine 12 1.1 1.4 2
Maryland 1 \b \b 0
Massachusett 0 0 0 0
s
Michigan 42 3.0 9.3 11
Minnesota 57 2.8 5.6 13
Mississippi 55 4.3 9.4 21
Missouri 21 0.5 2.2 0
Montana 15 0.7 3.4 1
Nebraska 9 0.4 0.7 1
Nevada 3 0.1 0.2 0
New 0 0 0 0
Hampshire
New Jersey 0 0 0 0
New Mexico 4 0.3 0.5 2
New York 17 1.3 2.4 4
North 12 0.8 1.9 5
Carolina
North Dakota 61 2.5 5.8 6
Ohio 2 0.2 0.3 1
Oklahoma 58 3.4 9.5 18
Oregon 9 0.7 1.1 3
Pennsylvania 6 0.5 1.4 1
Rhode Island 0 0 0 0
South 14 1.2 2.7 3
Carolina
South Dakota 26 1.0 2.9 4
Tennessee 5 0.3 0.7 1
Texas 145 8.6 24.6 39
Utah 2 0.1 0.3 0
Vermont 0 0 0 0
Virginia 10 0.7 2.1 6
Washington 6 0.3 0.9 0
West 2 0.2 0.6 0
Virginia
Wisconsin 40 1.5 4.6 0
Wyoming 6 0.3 0.6 0
Other\c 1 \b \b 1
------------------------------------------------------------
\a Delinquent as of September 30, 1993.
\b Less than $50,000.
\c Includes Puerto Rico, the U.S. Virgin Islands, and the Western
Pacific Island Territories.
Source: GAO's analysis of FmHA Finance Office records.
Table III.2
New Direct Loans and Debt Relief
Provided to Previously Delinquent
Borrowers Whose Loans Were Bought Out at
Net Recovery Value, by State, Fiscal
Years 1991-93
(Dollars in millions)
Number Number of
of Amount of Amount borrowers
borrower new direct of debt delinquent
State s loans relief again\a
------------ -------- ------------ -------- ------------
Alabama 0 $0 $0 0
Alaska 0 0 0 0
Arizona 0 0 0 0
Arkansas 0 0 0 0
California 0 0 0 0
Colorado 0 0 0 0
Connecticut 0 0 0 0
Delaware 0 0 0 0
Florida 0 0 0 0
Georgia 0 0 0 0
Hawaii 0 0 0 0
Idaho 0 0 0 0
Illinois 0 0 0 0
Indiana 1 \b 0.2 0
Iowa 0 0 0 0
Kansas 0 0 0 0
Kentucky 0 0 0 0
Louisiana 8 0.9 0.8 4
Maine 0 0 0 0
Maryland 0 0 0 0
Massachusett 0 0 0 0
s
Michigan 1 0.1 0.6 0
Minnesota 1 0.2 0.1 0
Mississippi 1 0.2 0.1 0
Missouri 2 0.1 \b 0
Montana 0 0 0 0
Nebraska 0 0 0 0
Nevada 0 0 0 0
New 0 0 0 0
Hampshire
New Jersey 0 0 0 0
New Mexico 0 0 0 0
New York 1 0.1 \b 0
North 0 0 0 0
Carolina
North Dakota 0 0 0 0
Ohio 0 0 0 0
Oklahoma 2 0.2 0.3 1
Oregon 0 0 0 0
Pennsylvania 0 0 0 0
Rhode Island 0 0 0 0
South 0 0 0 0
Carolina
South Dakota 0 0 0 0
Tennessee 0 0 0 0
Texas 1 0.1 0.2 0
Utah 0 0 0 0
Vermont 0 0 0 0
Virginia 0 0 0 0
Washington 0 0 0 0
West 0 0 0 0
Virginia
Wisconsin 1 \b 0.3 0
Wyoming 0 0 0 0
Other\c 0 0 0 0
------------------------------------------------------------
\a Delinquent as of September 30, 1993.
\b Less than $50,000.
\c Includes Puerto Rico, the U.S. Virgin Islands, and the Western
Pacific Island Territories.
Source: GAO's analysis of FmHA Finance Office records.
NEW GUARANTEED LOANS AND LOSSES
PROVIDED TO PREVIOUSLY DELINQUENT
BORROWERS
========================================================== Appendix IV
Table IV.1
New Guaranteed Loans and Losses
Involving Borrowers Who Defaulted on
Previous Guaranteed Loans, by State,
Fiscal Years 1991-93
(Dollars in millions)
Number Amount of Prior Number of
of new guarante borrowers
borrower guaranteed ed loan delinquent
State s loans losses again\a
------------ -------- ------------ -------- ------------
Alabama 0 $0 $0 0
Alaska 0 0 0 0
Arizona 0 0 0 0
Arkansas 1 0.3 \b 0
California 0 0 0 0
Colorado 1 0.2 0.2 0
Connecticut 0 0 0 0
Delaware 0 0 0 0
Florida 0 0 0 0
Georgia 1 0.3 0.2 0
Hawaii 0 0 0 0
Idaho 0 0 0 0
Illinois 0 0 0 0
Indiana 0 0 0 0
Iowa 1 0.1 0.1 0
Kansas 0 0 0 0
Kentucky 0 0 0 0
Louisiana 16 3.0 1.1 1
Maine 0 0 0 0
Maryland 0 0 0 0
Massachusett 0 0 0 0
s
Michigan 3 0.7 0.6 1
Minnesota 2 0.3 0.1 0
Mississippi 2 0.3 0.1 0
Missouri 0 0 0 0
Montana 0 0 0 0
Nebraska 0 0 0 0
Nevada 0 0 0 0
New 0 0 0 0
Hampshire
New Jersey 0 0 0 0
New Mexico 0 0 0 0
New York 0 0 0 0
North 0 0 0 0
Carolina
North Dakota 2 0.1 \b 0
Ohio 0 0 0 0
Oklahoma 1 0.4 0.1 0
Oregon 0 0 0 0
Pennsylvania 0 0 0 0
Rhode Island 0 0 0 0
South 0 0 0 0
Carolina
South Dakota 0 0 0 0
Tennessee 1 0.1 \b 0
Texas 4 0.7 0.3 0
Utah 0 0 0 0
Vermont 0 0 0 0
Virginia 0 0 0 0
Washington 0 0 0 0
West 1 0.3 0.1 0
Virginia
Wisconsin 0 0 0 0
Wyoming 0 0 0 0
Other\c 0 0 0 0
------------------------------------------------------------
\a Delinquent as of September 30, 1993.
\b Less than $50,000.
\c Includes Puerto Rico, the U.S. Virgin Islands, and the Western
Pacific Island Territories.
Source: GAO's analysis of FmHA Finance Office records.
Table IV.2
New Guaranteed Loans and Debt Relief
Provided to Previously Delinquent
Borrowers Whose Loans Were Restructured
With Debt Write-Down, by State, Fiscal
Years 1991-93
(Dollars in millions)
Number Amount of Number of
of new Amount borrowers
borrower guaranteed of debt delinquent
State s loans relief again\a
------------ -------- ------------ -------- ------------
Alabama 3 $0.4 $0.3 0
Alaska 0 0 0 0
Arizona 0 0 0 0
Arkansas 5 1.0 1.0 0
California 1 0.1 \b 0
Colorado 1 \b 0.1 0
Connecticut 0 0 0 0
Delaware 0 0 0 0
Florida 0 0 0 0
Georgia 12 1.8 4.5 0
Hawaii 0 0 0 0
Idaho 4 0.8 0.5 0
Illinois 14 1.2 1.9 0
Indiana 10 1.3 2.1 0
Iowa 16 1.1 1.6 0
Kansas 11 1.4 1.4 2
Kentucky 15 0.9 2.1 0
Louisiana 66 12.8 10.3 2
Maine 0 0 0 0
Maryland 0 0 0 0
Massachusett 0 0 0 0
s
Michigan 12 2.0 2.9 0
Minnesota 24 2.4 3.2 0
Mississippi 13 2.5 2.2 1
Missouri 16 1.0 2.3 1
Montana 2 0.2 0.4 0
Nebraska 3 0.3 0.7 0
Nevada 0 0 0 0
New 0 0 0 0
Hampshire
New Jersey 0 0 0 0
New Mexico 0 0 0 0
New York 0 0 0 0
North 2 0.1 0.4 1
Carolina
North Dakota 13 2.1 1.7 0
Ohio 5 0.6 1.2 0
Oklahoma 7 1.1 1.0 0
Oregon 0 0 0 0
Pennsylvania 0 0 0 0
Rhode Island 0 0 0 0
South 3 0.3 0.3 0
Carolina
South Dakota 23 2.0 2.9 1
Tennessee 4 0.5 0.6 0
Texas 10 1.5 1.8 2
Utah 0 0 0 0
Vermont 0 0 0 0
Virginia 0 0 0 0
Washington 0 0 0 0
West 1 0.1 0.1 0
Virginia
Wisconsin 8 1.4 1.0 0
Wyoming 5 0.6 0.9 0
Other\c 0 0 0 0
------------------------------------------------------------
\a Delinquent as of September 30, 1993.
\b Less than $50,000.
\c Includes Puerto Rico, the U.S. Virgin Islands, and the Western
Pacific Island Territories.
Source: GAO's analysis of FmHA Finance Office records.
Table IV.3
New Guaranteed Loans and Debt Relief
Provided to Previously Delinquent
Borrowers Whose Loans Were Bought Out at
Net Recovery Value, by State, Fiscal
Years 1991-93
(Dollars in millions)
Number Amount of Number of
of new Amount borrowers
borrower guaranteed of debt delinquent
State s loans relief again\a
------------ -------- ------------ -------- ------------
Alabama 0 $0 $0 0
Alaska 0 0 0 0
Arizona 0 0 0 0
Arkansas 1 0.1 0.7 0
California 0 0 0 0
Colorado 2 0.2 0.4 0
Connecticut 0 0 0 0
Delaware 0 0 0 0
Florida 0 0 0 0
Georgia 2 0.8 0.1 0
Hawaii 0 0 0 0
Idaho 2 0.2 0.6 0
Illinois 1 0.2 0.1 0
Indiana 0 0 0 0
Iowa 2 0.1 0.3 0
Kansas 1 0.1 0.3 1
Kentucky 1 0.1 0.1 0
Louisiana 23 4.5 5.6 2
Maine 0 0 0 0
Maryland 0 0 0 0
Massachusett 0 0 0 0
s
Michigan 2 0.3 0.9 0
Minnesota 2 1.3 0.4 0
Mississippi 4 0.4 0.9 0
Missouri 1 0.2 0.2 0
Montana 0 0 0 0
Nebraska 0 0 0 0
Nevada 0 0 0 0
New 0 0 0 0
Hampshire
New Jersey 0 0 0 0
New Mexico 0 0 0 0
New York 0 0 0 0
North 3 0.5 0.7 1
Carolina
North Dakota 1 \b \b 0
Ohio 0 0 0 0
Oklahoma 3 0.7 0.6 0
Oregon 0 0 0 0
Pennsylvania 0 0 0 0
Rhode Island 0 0 0 0
South 1 0.1 0.1 0
Carolina
South Dakota 0 0 0 0
Tennessee 1 0.1 0.2 0
Texas 4 0.6 1.2 0
Utah 0 0 0 0
Vermont 0 0 0 0
Virginia 0 0 0 0
Washington 1 0.1 0.1 0
West 0 0 0 0
Virginia
Wisconsin 5 0.8 1.2 0
Wyoming 0 0 0 0
Other\c 0 0 0 0
------------------------------------------------------------
\a Delinquent as of September 30, 1993.
\b Less than $50,000.
\c Includes Puerto Rico, the U.S. Virgin Islands, and the Western
Pacific Island Territories.
Source: GAO's analysis of FmHA Finance Office records.
NEW DIRECT LOANS TO DELINQUENT
BORROWERS, BY STATE, FISCAL YEARS
1991-93
=========================================================== Appendix V
(Dollars in millions)
Number of Amount of direct
State borrowers loans
-------------------- ------------------ ------------------
Alabama 17 $1.1
Alaska 0 0
Arizona 0 0
Arkansas 95 7.3
California 6 0.3
Colorado 6 0.4
Connecticut 1 \a
Delaware 0 0
Florida 5 0.5
Georgia 14 1.2
Hawaii 0 0
Idaho 23 1.5
Illinois 91 4.1
Indiana 24 1.2
Iowa 96 4.7
Kansas 31 1.7
Kentucky 15 0.7
Louisiana 74 6.2
Maine 13 0.7
Maryland 0 0
Massachusetts 0 0
Michigan 30 1.6
Minnesota 51 3.0
Mississippi 91 7.5
Missouri 55 2.5
Montana 78 4.8
Nebraska 34 2.5
Nevada 4 0.3
New Hampshire 0 0
New Jersey 1 \a
New Mexico 10 1.0
New York 1 0.1
North Carolina 35 2.4
North Dakota 90 4.7
Ohio 9 0.4
Oklahoma 20 0.9
Oregon 19 1.4
Pennsylvania 2 \a
Rhode Island 0 0
South Carolina 13 0.7
South Dakota 24 0.7
Tennessee 8 0.5
Texas 330 21.2
Utah 1 \a
Vermont 2 0.1
Virginia 18 1.0
Washington 10 0.7
West Virginia 1 \a
Wisconsin 7 0.1
Wyoming 3 0.2
Other\b 0 0
------------------------------------------------------------
\a Less than $50,000.
\b Includes Puerto Rico, the U.S. Virgin Islands, and the Western
Pacific Island Territories.
Source: GAO's analysis of FmHA Finance Office records.
MAJOR CONTRIBUTORS TO THIS FACT
SHEET
========================================================== Appendix VI
RESOURCES, COMMUNITY, AND ECONOMIC
DEVELOPMENT DIVISION, WASHINGTON,
D.C.
Robert E. Robertson, Assistant Director
Patrick J. Sweeney, Assignment Manager
LaSonya R. Roberts, Evaluator-in-Charge
KANSAS CITY REGIONAL OFFICE
Robert C. Sommer, Computer Analyst