INTEREST RATE REQUIREMENTS.

SEC. 604. INTEREST RATE REQUIREMENTS. Section 307(a)(3) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1927(a)(3)) is amended— (1) in subparagraph (B), by inserting “subparagraph (D) and in” after “Except as provided in”; and (2) by adding at the end the following: “(D) Joint financing arrangement.— If a direct farm ownership loan is made under this subtitle as part of a joint financing arrangement and the amount of the direct farm ownership loan does not exceed 50 percent of the total principal amount financed under the arrangement, the interest rate on the direct farm ownership loan shall be at least 4 percent annually.”.