The district shall adopt rules:
(1) prescribing the form and content of applications for loans and plans for the resource conservation practice;
(2) governing the application of the criteria and preferences for awarding loans;
(3) providing for the servicing of loans, including arrangements for obtaining security interests and the establishment of reasonable fees or charges;
(4) providing for the confidentiality of financial statements submitted;
(5) prescribing the conditions for making loans;
(6) establishing the interest rate, if any, for the loans; and
(7) determining the type and amount of security interest in real estate that will be accepted and any conditions to be made upon the security interest.