Farmer Mac, the government-sponsored enterprise that buys and guarantees loans backed by rural housing and agricultural real estate, now can purchase and guaranty securities backed by rural utilities as well. Congress expanded Farmer Mac's authority in the recently passed Food, Conservation and Energy Act of 2008. The utility loans are made by cooperative lenders including the National Rural Utilities Cooperative and the Farm Credit System to finance electric and telecommunications systems in rural areas. The 2008 farm bill was enacted into law after Congress voted to override a veto from President Bush. Farmer Mac is officially named the Federal Agricultural Mortgage Corp.
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