An act to extend the Emergency Agricultural Credit Adjustment Act of 1978, and for other purposes.

(Conference report filed in House, H. Rept. 96-854)

Amends the Emergency Agricultural Credit Adjustment Act of 1978 to require as a prerequisite for a loan under such Act written indication of at least one declination of private credit for loans under $300,000 and two such declinations for loans over $300,000. Authorizes the Secretary of Agriculture to waive such requirement for loans under $300,000 upon determination that an undue burden would be placed on an applicant.

Limits loans for refinancing indebtedness on farm or home real estate under such Act to real estate purchased by an applicant at least one year prior to the date of the loan application.

Directs the Secretary to review insured loans under such Act three years after the loan is made and every two years thereafter to determine whether the borrower can obtain a loan at reasonable rates and terms for loans for similar purposes and periods of time from a production credit association, a Federal land bank, or other responsible cooperative or private credit source.

Prohibits insured loans for more than $300,000 under such Act, unless the Secretary determines that the applicant cannot obtain from a private or cooperative lending agency a sufficient guaranteed loan under such Act.

Raises from $4,000,000,000 to $6,000,000,000 the limit on the total principal balance outstanding at any time on loans insured or guaranteed under such Act. Extends the authority of the Secretary of Agriculture to make new contracts of insurance or guarantee under such Act until September 30, 1981.

Directs the Secretary to conduct a comprehensive study, with specified inclusions, of the operation and effectiveness of the financial assistance program authorized under such Act and to report, with recommendations, to Congress. Requires that any such recommendations for extending the authority to insure and guarantee loans under such Act shall evaluate possible alternatives.