USDA INVESTS $6.9 MILLION IN BUSINESS DEVELOPMENT FOR RURAL AMERICA
Funding will Create or Save Over 550 Rural Jobs-53 Rural Business Ventures
WASHINGTON, Feb. 22, 2005 - Agriculture Secretary Mike Johanns today announced that $6.9 million will be invested in 13 organizations in 10 states for business development and job creation. This investment further supports President Bush's goal to create jobs and improve economic opportunities in rural communities.
"Increasing the number of entrepreneurs is part of President Bush's commitment toward enhancing America's Ownership Society - most notably by increasing business and home ownership opportunities for more Americans," said Johanns. "These grants will help create jobs and expand the economic base of their community."
Loans are made available through the USDA Rural Development Intermediary Relending Program. The aim of business revolving loan funds is to finance business facilities and community development projects in rural areas. This is achieved through loans made to intermediaries who in turn re-lend funds locally to support businesses or community development. Loans from intermediaries to the recipients must be used to establish new businesses, expand existing businesses, create employment opportunities, save jobs or complete community development projects.
The Intermediary Relending Program is an important tool in USDA Rural Development's overall toolbox of loan and grant programs," said Agriculture Acting Under Secretary for Rural Development Gilbert Gonzalez. "We are working with rural communities across the nation to enhance their economic opportunities and improve their quality of life by providing an array of investment programs that when put together bring a holistic approach to rural economic development."
In 2004, $39.7 million in 63 revolving loan funds supported 223 businesses and created or saved over 30,000 jobs. Since 2001, the Bush Administration has invested over $149 million to support local revolving loan funds.
The following applicants were selected to receive loan funds:
Applicant
Funds to Serve
State
Loan Amount
Valley Economic Development Corporation
Los Angeles County
CA
$500,000
Clearwater Economic Development Association, Inc
Nez Perce County
ID
$400,000
Prairie Hills Resource Conservation and Development,Inc
McDonough County
IL
$750,000
Mountain Microenterprise Fund, Inc.
Buncombe County
NC
$250,000
Lewis and Clark Regional Development Council
Burleigh County
ND
$450,000
Ho-Chunk Community Development Corporation
Thurston County
NE
$200,000
Mount Washington Valley Economic Council
Carroll County
NH
$500,000
Northern Community Investment Corporation
Coos and Carroll Counties
NH
$750,000
Rural Nevada Development Corporation
White Pine County
NV
$500,000
Columbia-Pacific Economic Development District
Columbia, Clatsop, Tillamook and Western Washington Counties
OR
$400,000
Eden Economic Development Corporation
Concho County
TX
$750,000
Palmview Economic Development Corporation
Hidalgo County
TX
$750,000
Roma Economic Development Corporation
Starr County
TX
$750,000
USDA Rural Development's mission is to deliver programs in a way that will support increasing economic opportunity and improve the quality of life of rural residents. As a venture capital entity, Rural Development has invested over $50 billion since the beginning of the Bush Administration to provide equity and technical assistance to finance and foster growth in homeownership, business development, and critical community and technology infrastructure. As a result, over 800,000 jobs have been created or saved through these investments. Further information on rural programs is available at a local USDA Rural Development office or by visiting USDA's web site at http://www.rurdev.usda.gov.
