Producer and Agricultural Credit Enhancement Act of 2025

This bill increases loan limits for farmers under the Farm Service Agency. It raises farm ownership loan caps from $600,000/$1.75 million to $850,000/$3.5 million (for direct/guaranteed loans) and operating loan caps from $400,000/$1.75 million to $750,000/$3 million, effective 2025. It also creates a refinancing program allowing distressed guaranteed loans to convert to direct loans if borrowers prove problems can be fixed and the farm can return to financial stability. Additionally, it doubles the microloan limit from $50,000 to $100,000 and updates inflation calculations for loan adjustments using USDA land value data instead of previous metrics.