Release No. 0381.04                                                                           Ed Loyd (202) 720-4623

                                                                                                    Tim McNeilly (202) 690-0498

VENEMAN ANNOUNCES $6.3 MILLION IN RURAL COOPERATIVE DEVELOPMENT GRANTS TO FOSTER ECONOMIC DEVELOPMENT IN 24 STATES

WASHINGTON, Sept. 16, 2004 – Agriculture Secretary Ann M. Veneman announced $6.3 million in economic development grants in 24 states.  The grant investment in rural cooperative development is part of the ongoing effort by the Bush Administration to increase economic opportunities in rural areas.

“Viable cooperative ventures are important to increasing economic development in rural areas,” said Veneman. “These funds are important to ensuring farmers and ranchers have added opportunity to fully utilize their natural resources to create value-added ventures.”

The cooperative development grant program is administered through USDA Rural Development. The grants were awarded on a competitive basis and are intended to foster rural cooperative development through projects that provide rural residents with education and technical assistance in areas of cooperative startup, marketing and managing, and other self-help tools. In Pennsylvania for example, Veneman said the Bush Administration is providing grant funds to the Keystone Development Center of State College who is working to support the formation of 11 farmer alliances and cooperatives, including developing cooperatives for forest-owners, bio-diesel production and other natural resource based ventures.

Here in Maryland $296,500 in grant funding was awarded to the Rural Development Center at the University of Maryland Eastern Shore.  “The Rural Development Center has served an important role in helping to bring new business opportunities to the Lower Eastern Shore,” said Marlene Elliott, USDA Rural Development State Director.  “The Center is a valuable resource that private firms, public agencies, and non-profit groups can turn to for help in carrying out special projects that benefit the economy and improve the quality of life for rural residents.”

A complete list of selected recipients can be viewed at USDA Rural Development’s website at: http://www.rurdev.usda.gov.  Funding of selected applicants will be contingent upon meeting the conditions of the grant agreements.   

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 provides equity and technical assistance to finance and foster growth in homeownership, business development, and critical community and technology infrastructure. 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.

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