Farmers: Let LILAC Help You
Low Interest Loans for Agricultural Conservation (LILAC) are available to help you install best
management practices (BMPs) on your farm, purchase conservation equipment, and adopt new
technologies to protect natural resources and safeguard water quality in streams, rivers, and
the Chesapeake Bay.
Although federal and state cost-share programs are available to help you install protective
BMPs, most do not cover 100 percent of the installation costs. What’s more, most programs do
not pay until the project is completed. Equipment purchases, new technologies, and start-up
costs for major projects are not usually covered. That’s where LILAC can help. LILAC loans can
provide you with up-front funds needed to pay for equipment or construction costs as a project
is being installed.
Many farmers use LILAC loans for high dollar BMPs such as animal waste management systems or
stream protection practices. LILAC loans may also be used to purchase certain types of equipment
to control soil erosion, inject manure into the soil, or manage crop nutrients. In addition, you
can use LILAC loans to adopt new technologies such as integrated optical sensing equipment,
nutrient application equipment, and global positioning systems that
manage agricultural nutrient applications.
Guaranteed by the Maryland Water Quality Revolving Loan Fund,
LILAC loans are typically offered at three to four percent below
market rates and are available at lending institutions statewide.
Read on to learn more.
Maryland’s Soil Conservation Districts
DISTRICT PHONE WEBSITE
Allegany 301-777-1747, ext. 3 alleganyscd.com
Anne Arundel 410-571-6757 aascd.org
Baltimore Co. 410-527-5920, ext. 3 bcscd.org
Calvert 410-535-1521, ext. 3 calvertsoil.org
Caroline 410-479-1202, ext. 3
Carroll 410-848-8200, ext. 3 carrollsoil.com
Catoctin and
Frederick
301-695-2803, ext. 3
catoctin
frederickscd.com
Cecil 410-398-4411, ext. 3 cecilscd.com
Charles 301-638-3028 charlesscd.com
Dorchester 410-228-5640, ext. 3
Garrett 301-501-5856, ext. 3 garrettscd.org
Harford 410-638-4828 harfordscd.org
Howard 410-313-0680 howardscd.org
Kent 410-778-5150, ext. 3
kentsoilandwater
conservationdistrict.org
Montgomery 301-590-2855 montgomeryscd.org
Prince George’s 301-574-5162, ext. 3 pgscd.org
Queen Anne’s 410-758-3136, ext. 3
St. Mary’s 301-475-8402, ext. 3 stmarysscd.com
Somerset 410-621-9310
Talbot 410-822-1577, ext. 5 talbotscd.com
Washington Co. 301-797-6821, ext. 3 conservationplace.com
Wicomico 410-546-4777, ext. 3 wicomicoscd.org
Worcester 410-632-5439, ext. 3
Conservation Grants Program
50 Harry S. Truman Parkway
Annapolis, MD 21401
mda.maryland.gov/conservation
MDA 15.15.22
Recycled Paper
We Help
Farmers Bridge
the Cost-Share Gap
Maryland’s Low Interest Loans
for Agricultural Conservation
Participating Agricultural Lending Institutions
EASTERN SHORE
MidAtlantic Farm Credit
Chestertown 888-339-3334
Denton 888-339-3334
Salisbury 888-339-3334
SOUTHERN MARYLAND
Colonial Farm Credit
Hughesville 301-274-3167
CENTRAL MARYLAND
MidAtlantic Farm Credit
Bel Air 888-339-3334
Frederick 888-339-3334
Westminster 888-339-3334
WESTERN MARYLAND
Farm Credit of the Virginias
Oakland 301-334-8542
What’s Covered
All of the BMPs cost-shared by the Maryland Agricultural
Water Quality Cost-Share (MACS) Program are eligible
for LILAC loans. In addition, certain types of conservation
equipment used to store, handle, transport, or apply
animal manure may be eligible. Following are examples of
BMPs and equipment commonly nanced through LILAC:
e Animal waste storage or management systems
e Heavy use areas
e Manure spreaders, loaders, pumps, agitators,
and related hardware
e Equipment needed to inject or incorporate
manure into the soil
e Conservation tillage equipment such as deep
no-till rippers and no-till planters or drills
e Technical equipment used for the precision
application of nutrients
e Erosion control structures
e Sediment control ponds
e Composting facilities
e Stream protection practices
e Grazing land management
e Wetland creation and enhancement
How to Apply
Contact your local soil conservation district (SCD) for free
technical assistance to design or verify eligible BMPs or
equipment needed to address water quality issues. The
SCD can help you apply for cost-share grants and obtain a
certication from the Maryland Departments of Agriculture
and Environment conrming that the BMPs or equipment
meet all technical criteria for LILAC. This certicate must
be presented to a participating bank when applying for a
LILAC-supported loan.
LILAC Eligibility Requirements
Qualifying projects must be located on a farm and
designed to address nonpoint source pollution related
to agricultural sources. Individuals, partnerships,
corporations, trusts or other business enterprises may
qualify for a LILAC loan if an owner, landlord or tenant
participates in the operation of a farm. Additionally:
e Applicants must have an existing or potentially
critical condition on agricultural land with a high
potential for movement of nutrients, sediment,
wastes or agricultural chemicals into State waters.
e The proposed BMP(s) must comply with standards
and specications established by the USDA
Natural Resources Conservation Service (NRCS)
or the Maryland Department of Agriculture’s
Conservation Grants Program.
Terms and Conditions
The terms and conditions of LILAC loans are set by
the lender. The interest rate is discounted typically
three to four percent below the lender’s normal cost
of funds. These loans are guaranteed by the Maryland
Water Quality Revolving Loan Fund and administered
by the Maryland Department of the Environment
in coordination with the Maryland Department of
Agriculture and the state’s 24 soil conservation districts.
ADDITIONAL LENDERS
Bank of America
BayVanguard
Capital One, N.A.
Citibank
Community Bank of the Chesapeake
EagleBank
First National Bank
First United Bank and Trust
Frederick County Bank
Fulton Bank, N.A.
Farmers may apply to any branch ofce of a participating lender and
are encouraged to shop for the best rate/terms. Certain bank branches
may be unaware of program details. Work with your soil conservation
district to identify lenders familiar with LILAC. A complete and updated
list of all lenders may be found at https://www.treasurer.state.md.us
Click on “Designated State Depositories” on the top menu bar. Then
click on “Current State of Maryland Designated Depositories for State
Agency Funds”.
Manure Injection Equipment Stream Protection Practices Heavy Use Areas Composting FacilitiesAnimal Waste Storage Structures
Maryland Partners Bank
PNC Bank
Provident State Bank
Sandy Spring Bank
Shore United Bank
TD Bank
Truist
Wells Fargo Bank
WesBanco Bank
