Friel, Lawrence: Bill modernizing lending for Pa. farmers moves from committee
H.B. 2207 would connect farmers with needed capital to grow, modernize
Rep. Paul Friel June 9, 2026 | 2:41 PM
HARRISBURG, June 9 – Legislation that would significantly expand access to low-interest financing for Pennsylvania farmers to grow and modernize their operations advanced unanimously from the state House Commerce Committee on Monday, announced the bill’s prime sponsors.
State Reps. Paul Friel and John Lawrence said that their H.B. 2207 would help augment critical agricultural operations and keep Pennsylvania competitive in an increasingly challenging economic environment.
Pennsylvania farmers face rising costs for land, equipment, buildings and other investments necessary to sustain and expand their operations. While the Pennsylvania Industrial Development Authority's Small Business First Fund provides valuable financing opportunities, agricultural businesses are limited to loans of $400,000, far below the $2 million cap available to non-agricultural enterprises.
"Our farmers are small business owners, job creators and essential contributors to Pennsylvania's economy," said Friel, D-Chester. "As costs continue to rise, access to affordable capital is more important than ever. This legislation would ensure that farmers have the same opportunities as other businesses to invest in their operations, create jobs, and strengthen our agricultural economy."
“I’m grateful for the strong bipartisan support to modernize agricultural lending at PIDA,” said Lawrence, R-Chester. “This legislation is a top priority for the Chester County Economic Development Council and the Chester Delaware County Farm Bureau, and it would greatly improve financing opportunities for small and midsize farming operations across the commonwealth.”
Through local Certified Economic Development Organizations, farmers can already access PIDA loans and lines of credit designed to support business development and expansion. However, the statutory cap often falls short of meeting the financial needs of modern agricultural operations.
By increasing the loan limit, the legislation would provide farmers with greater flexibility to purchase land, upgrade equipment, construct new facilities and make other long-term investments that improve productivity and sustainability.
"Agriculture remains one of Pennsylvania's leading industries, and we must ensure our policies reflect the realities facing today's farmers," Friel said. "This commonsense change will help family farms grow, remain competitive and continue contributing to our communities for generations to come."
The legislation is slated to be considered in the full House soon.