Family Farm Homestead Protection Act of 1985

[AI summary unavailable — showing source text] Family Farm Homestead Protection Act of 1985 - Provides that specified farmers or ranchers who have occupied and worked family homestead property for at least five years may retain possession of such residence and up to ten acres of land for up to five years following any bankruptcy or foreclosure resulting from inability to repay Department of Agriculture or Small Business Administration farm loans. Requires rental payments (of up to 20 percent of family income) during such occupancy period. Permits such farmers and ranchers to participate on a limited basis in any conservation set-aside programs. Requires payments received to be applied to reducing outstanding indebtedness. Provides for Federal guarantees (of at least 70 percent) of privately-held agricultural loans under a similar occupancy framework.…