Davis, CA, Mar 30, 2010 -- USDA Rural Development State Director Glenda Humiston announced today four loan guarantees being provided to California businesses to promote job creation and economic opportunities. The funding is made available through the American Recovery and Reinvestment Act (Recovery Act).
"Strong, healthy businesses are the backbone of rural economies," said Humiston. "With today's investment of over $11 million to California businesses we are helping to ensure they have the tools they need to expand and create jobs. Some of these guarantees will also support President Obama's comprehensive renewable energy strategy by promoting renewable fuel production."
For example, Viscon California, LLC has been selected to receive a $4.25 million guaranteed loan to continue manufacturing and distributing environmentally beneficial fuel additives and related products at a plant in Bakersfield. The patented hydrocarbon additive reduces nitrogen oxides and particulate matter emissions, improves engine efficiency and increases horsepower when added to diesel or biodiesel.
Other projects announced today include:
Alta & Saginaw Associates, LLC received a $3,055,000 guaranteed loan to provide financing for a shopping center which includes a Rite Aid drug store among other retail stores in Dinuba. This project will allow for the creation of high quality jobs in the community.
MSKB Tahoe Properties, LP received a $2,242,000 guaranteed loan to purchase two adjacent motels in South Lake Tahoe that will benefit the community by adding to the tourism infrastructure as well as creating and retaining jobs.
Aghaloo DDS, LLC; Midwest Business Capital/UMWSB received a $1,600,000 guaranteed loan to purchase an existing dental practice in El Centro. This project will allow the dentist to continue to provide much needed dental services to the community as well as create high paying jobs in the region.
In addition to the $11.1 million in guaranteed loans provided to California businesses, an additional 40 projects in 23 other states received funding totaling $101.6 million. USDA Rural Development's Business and Industry Guaranteed Loan Program received $1.57 billion in
Recovery Act funding from Congress 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. Funding is contingent upon borrowers meeting conditions in the loan agreement.
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.
USDA Rural Development's mission is to increase economic opportunity and improve the quality of life for rural residents. Rural Development fosters growth in homeownership, finances business development, and supports the creation of critical community and technology infrastructure. Further information on rural programs is available at a local USDA Rural Development office or by visiting USDA Rural Development's web site at http://www.rurdev.usda.gov.
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, S.W.,
Washington, D.C. 20250-9410, or call (800) 795-3272 (voice), or (202) 720-6382 (TDD).