AgBMP Loan Program
What is the AgBMP Loan?
The Agricultural Best Management Practice (AgBMP) Loan Program is a water quality program that provides low interest loans to farmers, rural landowners and agriculture supply businesses. The purpose is to encourage agricultural Best Management Practices that prevent or reduce runoff from feedlots, farm fields and other pollution problems identified by the county in local water plans.
Loans can be for:
Well Relocating and Sealing
Various other projects to improve water quality
For a complete list see: AgBMP Practices Flyer
For more information on the AgBMP Loan Program visit the Minnesota Department of Agriculture
To begin the application process please contact Ron Otto: 507-702-7077 ~
AgBMP Loan Application
Septic Systems & Well Improvement
Sibley County Septic System
Low Interest Loan Program
Owners of a Subsurface Sewage Treatment System (SSTS) are eligible for low-interest loans to upgrade their non-conforming septic system. Furthermore, those in the High Island Creek Watershed are elgible for an additional $500 incentive from the High Island Creek Watershed District.
To be eligible the applicant must be a property owner of a non-conforming septic system as described in the septic loan application instructions.
**Additional septic system grant funding is available for low income applicants. Click Here
Sibley County Well Improvement Low Interest Loan Program
Owners of an existing well system are eligible for low-interest loans to replace and seal their existing wells and install a new well in compliance with MN Dept of Agriculture AgBMP Loan Regulations.
To be eligible the applicant must be a property owner of a parcel with an pre-existing well on site. All newly developed lots for new home construction and no existing well onsite are ineligible for this loan.
You must be the landowner in order to be eligible for a loan.
All property taxes must be current with no delinquencies on payment.
All loans have a fixed interest rate of 3% and must be repaid within 10 years, there is no penalty for paying off the entire loan amount at any given time within the repayment term.
Septic System and Well Improvement Loans are repaid as a line item under "Special Assessments" on your real estate/property taxes.
All loan applications with appropriate cost estimates must be filed with the Sibley SWCD.
Construction should not begin before the loan has been approved by the Sibley SWCD.