Agriculture Secretary Vilsack Announces Recovery Act Efforts Aimed at Creating Jobs and Supporting Local Economies
WASHINGTON, Aug. 6, 2010, 2010 – Agriculture Secretary Tom Vilsack today announced that USDA is providing loan guarantees to 128 businesses in 35 states, the territory of American Samoa, and the Commonwealth of Puerto Rico to provide economic opportunities and create jobs. The funding is made available through the American Recovery and Reinvestment Act of 2009 (Recovery Act).
"Today's announcement is an example of how the Obama Administration is working to create jobs and rebuild and revitalize rural America to ensure the working people in small communities throughout the country have a brighter future," Vilsack said. "The loan guarantees we are announcing will help businesses to grow and promote job creation to promote economic opportunity in rural communities."
In Cortland, NY, R.D. Palmer Enterprises, Inc., which owns a gas station that sells E-85 blended gasoline, has been selected to receive a $1.85 million USDA loan guarantee to expand the business by installing additional gas pumps and incorporating a national franchise. The franchise is expected to bring 18 associated jobs. The guaranteed loan will allow the business to remain in the community of Cortland.
In Jackson, Mich., the Center for Family Health, Inc. has been selected to receive a $7.2 million loan to consolidate its services in one central location. Currently the Center operates out of two leased facilities which are at capacity. Rural Development funds will be used to construct a 54,100 square foot building that will house the center's main medical, dental and administrative offices. The funding will create 45 and save 161 jobs for the center, which is a major area employer.
In Hardy, W.Va., the Moorefield Training Center has been selected to receive an $8 million loan to construct a training center for military, law enforcement, government and private sector security personnel. Moorefield Training Center has a training capacity to train over 300 students and is important to the overall local economy as it will create 15-20 full time and 30 part time high quality jobs. Established businesses will also benefit from this project through the training center participants coming into the area.
The loan guarantees announced today support 128 projects and total $413 million. USDA Rural Development's Business and Industry Guaranteed Loan Program received $1.57 billion to help rural businesses stimulate their economies and support their communities. Eligible applicants include private businesses, cooperative organizations, corporations, partnerships, non-profit groups, Federally-recognized Indian tribes, public bodies and individuals. The funds are targeted to create and retain quality jobs and serve difficult-to-reach populations and areas hardest hit by the current economic downturn.
More information about USDA's Recovery Act efforts is available at www.usda.gov/recovery. More information about the Federal Government's efforts on the Recovery Act is available at www.recovery.gov.
A list of borrowers receiving loan awards is shown below. Funding is contingent upon borrowers meeting conditions in the loan agreement.
Donald Smith Company, Inc.; The Headland National Bank: $4,486,500 loan
President Obama signed The American Recovery and Reinvestment Act of 2009 into law on Feb. 17, 2009. It is designed to jumpstart the nation's economy, create or save millions of jobs, and put a down payment on addressing long-neglected challenges so our country can thrive in the 21st century. The Act includes measures to modernize our nation's infrastructure, enhance energy independence, expand educational opportunities, preserve and improve affordable health care, provide tax relief, and protect those in greatest need.
USDA, through its Rural Development mission area, administers and manages more than 40 housing, business and community infrastructure and facility programs through a national network of 6,100 employees located in 500 state and local offices. These programs are designed to improve the economic stability of rural communities, businesses, residents, farmers and ranchers and improve the quality of life in rural America. Rural Development has an existing portfolio of more than $138 billion in loans and loan guarantees.
USDA is an equal opportunity provider, employer and lender. To file a complaint of discrimination, write: USDA, Director, Office of Civil Rights, 1400 Independence Avenue, SW, Washington, DC 20250-9410 or call (800) 795-3272 (voice), or (202) 720-6382 (TDD).