Portland, OR, Sep 25, 2012 -- Agriculture Secretary Tom Vilsack recently announced the selection of Greater Eastern Oregon Development Corporation (GEODC) for a low-interest $400,000 loan to create and save jobs and boost rural economies. Funding is provided through USDA Rural Development's Intermediary Relending Program (IRP).
“This funding is part of the Obama Administration's ongoing effort to expand economic opportunity for rural entrepreneurs, helping businesses in our small towns and rural communities grow and create more jobs" Vilsack said. "These loans will continue our work to leverage private investment and help the rural economy grow."
USDA's Intermediary Relending Program is designed to bring economic opportunity to rural residents and businesses. Through the program, USDA provides a one-percent, 30-year loan to an eligible organization operating a revolving loan fund. In turn, those funds are loaned to finance emerging businesses enterprises and development projects.
“USDA’s IRP program is helping to capitalize revolving loan funds in every corner of Oregon,” said USDA Rural Development State Director Vicki Walker, who notes there are a total of 14 IRP lenders in the state. “Since the mid-1990s, these lenders have received approximately $40 million to finance projects to stimulate economic activity with firms that might not otherwise be able to obtain affordable financing.”
GEODC, which serves Gilliam, Grant, Umatilla, Wheeler, Harney and Malheur Counties, is the most active IRP lender in the state with a current portfolio of more than $3.5 million in loans awarded across the region using USDA IRP funds over past years.
Under the recent announcement, USDA is providing $6.3 million for projects in 17 communities across the nation. Funding is contingent upon the recipient meeting the terms of the loan agreement. Click here for a complete listing.
President Obama's plan for rural America has brought about historic investment and resulted in stronger rural communities. Under the President's leadership, these investments in housing, community facilities, businesses and infrastructure have empowered rural America to continue leading the way – strengthening America's economy, small towns and rural communities. USDA's investments in rural communities support the rural way of life that stands as the backbone of our American values. President Obama and Agriculture Secretary Tom Vilsack are committed to a smarter use of Federal resources to foster sustainable economic prosperity and ensure the government is a strong partner for businesses, entrepreneurs and working families in rural communities.
USDA, through its Rural Development mission area, has an active portfolio of more than $172 billion in loans and loan guarantees. 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.