USDA ANNOUNCES $250 MILLION IN RURAL ELECTRIC LOANS
Electric Service Expanded in Seven States to Serve 9,800 Future Consumers
WASHINGTON, August 19, 2004 - Agriculture Secretary Ann M. Veneman today announced the approval of $250 million for ten loan applications to expand rural electric service in seven states. These funds further bolster the President's goal to improve the quality of life in rural communitie
"Upgraded or expanded electric infrastructure is important for rural communities to ensure economic opportunities for their residents," said Veneman. "These funds further demonstrate this Administration's dedication in supporting local job-creating business opportunities."
Through USDA Rural Development's utilities program, loans are made available to finance the construction or replacement of electric transmission and generation facilities in rural areas. This program provides reliable, affordable electricity to the nation's rural communities. Funding of selected applicants will be contingent upon meeting the conditions of the loan agreements.
In fiscal year 2003, the Bush Administration invested over $6.3 billion in grants, loans and loan guarantees to support the development and/or improvements to rural electric, telephone and water/wastewater infrastructure that helped create or save an estimated 150,000 jobs. The funds announced today will serve 9,842 future customers, build 626 miles of new line and fund general system-wide modernization.
The following electric loan applications have been approved:
Applicant: Central Iowa Power Cooperative - To construct a generation unit.
Funds to Serve: 50 counties in central Iowa
State: IA
Loan Amount: $101,681,000
Applicant: Corn Belt Power Cooperative - To construct a generation unit.
Funds to Serve: 34 counties west-central Iowa
State: IA
Loan Amount: $74,026,000
Applicant: Franklin Rural Electric Cooperative - Construct 14 miles of new distribution lines - Serving 80 new consumers
Funds to Serve: Butler, Cerro, Gordo, Floyd, Franklin, Hardin and Wright Counties
State: IA
Loan Amount: $956,000
Applicant: Blue Grass Energy Cooperative Corporation - Construct 106 miles of new distribution line- Serving 3,200 new consumers
Applicant: South River Electric Membership Corporation - Construct 132 miles of new distribution line - Serving 2,312 new consumers
Funds to Serve: Harnett, Johnston, Cumberland, Sampson and Bladen County
State: NC
Loan Amount: $15,000,000
Applicant: KBR Rural Public Power District - Construct 20 miles of distribution lines - Serving 200 new consumers
Funds to Serve: Brown, Cherry Holt, Keya Paha, Loup and Rock Counties
State: NE
Loan Amount: $4,000,000
Applicant: Fergus Electric Cooperative, Inc. - Construct 71 miles of new distribution line - Serving 380 new consumers
Funds to Serve: Cascade, Choteau, Fergus, Golden Valley, Judith Basin, Meagher, Mussellshell, Petroleum, Stillwater, Treasure, Wheatland, and Yellowstone Counties
State: MT
Loan Amount: $5,938,000
Applicant: Big Horn Rural Electric Company - Construct seven miles of new distribution line - Serving 319 new consumers
Funds to Serve: Montana: Big Horn and Carbon Counties
State: MT
Funds to Serve: Wyoming: Big Horn, Park, Sheridan and Washakie Counties
State: WY
Loan Amount: $3,704,000
Applicant: Bartlett Electric Cooperative, Inc. - Construct 124 miles of new distribution line- Serving 1,491 new consumers
Funds to Serve: Bell, Milam, Williamson and Burleson Counties
State: TX
Loan Amount: $6,843,000
Applicant: Central Texas Electric Cooperative - Construct 152 miles of new distribution lines - Serving 1,860 new consumers
Funds to Serve: San Saba, McCulloch, Blanco, Gillespie, Kerr, Kendall, Kimble, Llano, Menard, Mason and Real Counties
State: TX
Loan Amount: $9,000,000
USDA Rural Development's mission is to deliver programs that will support increasing economic opportunity and improve the quality of life of rural residents. As a venture capital entity, Rural Development provides equity and technical assistance to finance and foster growth in homeownership, business development and critical community and technology infrastructure. Additional information about rural programs is available at a local USDA Rural Development office or on USDA's Web site at http://www.rurdev.usda.gov.
