The Farm Credit System will need 3-4.5 billion dlrs in federal assistance to cover losses over the next three years a member of the board of the Systems regulatory agency said. Jim Billington member of the three-person board of directors of the Farm Credit Administration said he intended to ask the board on May 5 to vote to certify that the ailing farm lending network needs federal aid. Billington the sole Democrat on the board said the System would need federal aid sooner than suggested by a FCA report which said assistance would be required by the end of 1987. I would say the System will require outside financial assistance possibly by July 1 if System districts dont lend unsecured credit to one another to meet collateral problems he said. FCA officials today disclosed that efforts by the Systems districts to reach a collateral-sharing agreement has been suspended.
FARM CREDIT SEEN NEEDING UP TO 4.5 BILLION DLRS