USDA Rural Development Highlights Investment in Caledonia

Rep. Gutknecht sees impact of Rural Development programs in area

 CALEDONIA, Minn., Aug. 22 – Steve Wenzel, Minnesota State Director of Rural Development in the U.S. Department of Agriculture (USDA), welcomed U.S. Congressman Gil Gutknecht to Sno Pac today to highlight Rural Development funding in the city of Caledonia.

    USDA Rural Development has invested $754,000 in various projects throughout Caledonia. Rep. Gutknecht, who works closely with Rural Development in the 1^st Congressional District, wanted to see first-hand the impact that Rural Development programs have on a rural community.

    “We thought Caledonia was the perfect town to highlight for Congressman Gutknecht,” Wenzel said. “They’ve used a variety of our programs, and have been a valuable partner.”

    USDA Rural Development awarded a $250,000 low-interest loan to the city of Caledonia in 1994 through its Intermediary Relending Program (IRP). The city leveraged the loan with other funding sources and made loans to area businesses for business development and job creation.

    It is estimated that this funding created or saved 105 jobs in the area. Sno Pac, an organic vegetable farm and processing plant, received funding to purchase a building in 1994 and a new freezer in 2003.

    Caledonia has also benefited from Rural Development’s Community Facilities (CF) program. The CF program provides funding for hospitals, fire trucks, day care buildings and other essential community facilities.

    In 2002, Caledonia was awarded low-interest loans to renovate its city hall ($249,000), and purchase a fire truck ($180,000) and ambulance ($75,000).

    “When used together, these programs are even more effective,” Gutknecht said. “Rural Development programs need to play a prominent role in our next Farm Bill. I congratulate the city of Caledonia for all of the work it’s done to improve the area quality of life.”

    Rural Development staff highlighted the investments made throughout Caledonia and answered questions from the Congressman.

    During the Bush administration, USDA Rural Development has invested about $3 billion throughout rural Minnesota – more than twice the national average. The agency has funding for renewable energy, high-speed Internet, hospitals, clean water, and other essential community infrastructure.

    For more information, visit www.rurdev.usda.gov/mn, or call the local office in Austin at (507) 437-8247.

 

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Last modified: November 01, 2007