Jim Brownlee

Jim Brownlee (202) 720-4623

Tim McNeilly (202) 690-0498

USDA INVESTS $15.5 MILLION IN BUSINESS DEVELOPMENT

FOR RURAL AMERICA

Funding will Create or Save Over 2,000 Rural Jobs/ 189 Rural Business Ventures

WASHINGTON , April 21, 2004 — Agriculture Secretary Ann M. Veneman today announced that $15.5 million will be invested in 24 organizations in 16 states and the Virgin Islands for business development and job creation. This investment further supports President Bush’s goal to create jobs and improve economic opportunities in rural communities.

“The Bush Administration is working to promote economic growth in rural communities,” Veneman said. “These investments will help community leaders improve rural business opportunities.”

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 Loan Program is about returning federal taxpayer dollars back home to help power the local economy,” said Marlene Elliott, USDA Rural Development State Director. “In general terms, it means creating job opportunities in rural communities that will help people find and keep jobs and provide for their families.”

In 2003, $39.7 million in 61 revolving loan funds supported 212 businesses and created or saved over 30,000 jobs. Since 2001, the Bush Administration has invested over $110 million to support local revolving loan funds.

The following applicants were selected to receive loan funds:

Applicant	Funds to Serve	State	Loan Amount
Arcata EDC	Humboldt County	CA	$500,000
Appalachian Community Enterprises, Inc.	Lumpkin County	GA	$750,000
Small Business Assistance Corporation	Chatham County	GA	$750,000
Cape & Islands Community Development	Barnstable	MA	$750,000
Western Maryland Rural Lending Corporation	Garrett, Allegany , Washington , Montgomery and Frederick Counties	MD	$750,000
Midwest Energy Cooperative	Berrien, Cass, Kalamazoo , Lenawee, Monroe , St. Joseph and Van Buren Counties	MI	$600,000
Butte Local Development Corporation	Southwest Montana	MT	$750,000
East Carolina Development Company	Duplin, Edgecombe, Lenior, Onslow, Pitt, Wayne and Wilson Counties	NC	$750,000
Lumbee River Electric Membership Corporation	Robeson , Scotland , Hoke and Cumberland Counties	NC	$750,000
Mid East Certified Development Corporation	Beufort, Beries, Hereford , Martin and Pitt Counties	NC	$750,000
Piedmont Development Company	13 Counties in Service Area	NC	$750,000
Dakota Certified Development Corporation	Cass County	ND	$500,000
Nebraska EDC (NEDCO)	14 Counties in South Central Nebraska	NE	$450,000
Cooperative Business Assistance Corporation	Cumberland County	NJ	$800,000
North Country Alliance , LDC	St. Lawrence, Franklin and Jefferson Counties	NY	$750,000
Mahoning Valley EDC	Youngstown	OH	$500,000
West Central Partnership, Inc.	Eight Northwest Counties	OH	$750,000
Greater Eastern Oregon Development Corporation	Gillian, Grant, Umatilla, Wheeler, Harney and Malheur Counties	OR	$750,000
Mid-Columbia Economic Development District	Hood River , Sherman and Wasco Counties	OR	$600,000
Deadwood EDC	Deadwood	SD	$500,000
West River Foundation for Economic Development	Sturgis	SD	$750,000
Cen-Tex CDC	Counties in CDC’s Service Area	TX	$680,283
Vermont Development Credit Union	Vermont	VT	$500,000
St. Croix Foundation	Entire Territory	USVI	$200,000

Funding of selected applicants will be contingent upon meeting the conditions of the loan agreement. USDA Rural Development's mission is to deliver programs that will support increasing economic opportunity and improve the quality of life for 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. Additional information about rural programs is available at a local USDA Rural Development office or on USDA's Web site at http://www.rurdev.usda.gov.

Vermont