(1) A complete application must be made to the Montana department of agriculture.

(2) Each applicant must provide evidence and/or sign a written statement that they are unable to acquire the needed funds from another source at reasonable rates or terms.

(3) Active membership in the FFA, 4-H, or other recognized rural youth organization is desired. Parents or guardians must be willing to cooperate with the borrower and have ample facilities available for implementation of the project.

( 4) A three-member loan committee must be established in the local community from which an application is received. This committee should be composed of any three of the following: agriculture education instructors, county extension agents, agricultural loan officers, and others. This committee is established to make recommendations concerning the making and servicing of the loan proposal.