DES MOINES, Iowa, Aug. 3, 2021 – United States Department of Agriculture (USDA) State Director for Rural Development in Iowa Darin Leach today announced nearly $6.6 million in rural economic development projects in 12 rural Iowa communities.
“USDA has long been an advocate for investments in economic development in rural areas and nurturing the partnerships that help us achieve this mission.,” Leach said. “Whether it’s helping a dental business to get established, a meat facility purchase processing equipment or building a new women’s housing and health facility, infrastructure investments are essential to a community’s growth and prosperity.”
Funding is being provided through the Rural Economic Development Loan and Grant (REDLG) program, which provides zero-interest loans and grants to utilities. The utilities then lend funds to local businesses for projects that create and retain employment in rural areas. Eligible applicants are USDA’s Electric Program and Telecom Program borrowers. Listed below are some of the ways the REDLG program is creating opportunities in Iowa’s rural communities.
- Greenfield Municipal Utilities is receiving a $300,000 grant to help Greenfield Family Dentistry acquire a rural dental practice.
- In Cedar County, Eastern Iowa Light & Power Cooperative is receiving a $1 million loan to help the JJ Nichting Company construct a new facility that will allow the business to save 26 jobs and create six new ones. Eastern Iowa Light & Power is also receiving a $300,000 grant to help Wilton Dental acquire a dental practice, make necessary renovations and update equipment.
- T.I.P. Rural Electric Cooperative is receiving a $300,000 grant to replenish an existing revolving loan fund. The initial loan will assist Mayflower Homes, Inc. in Grinnell, IA with the renovation of an assisted living facility, creating 15 new jobs. Repayment of this loan will be used for future business and community development loans.
- In Spencer, the Iowa Lakes Electric Cooperative and Spencer Municipal Utilities are each receiving a $300,000 grant to convert an existing facility into the Oneota Environmental Learning Center.
- Linn County Rural Electric Cooperative Association is receiving a $300,000 grant to help the city of Marion expand a sewer line to a new industrial park.
- Central Iowa Power Cooperative is receiving a $1 million loan to help livestock harvesting facility Edgewood Locker Inc. expand a meat locker and purchase equipment and a $1 million loan to help Naeve Family Beef LLC construct a meat processing facility and purchase equipment in Camanche. Central Iowa Power Cooperative is also receiving a $300,000 grant to help Godspeed Equine construct an equine therapy center near Dallas Center.
- Grundy County Rural Electric Cooperative is receiving a $1 million loan to help Snittjer South LLC construct a four-million-bushel grain storage facility in rural Grundy County.
- In Lenox, Lenox Municipal Utilities is receiving a $209,000 grant to help Fuller Family Dental PLC purchase equipment and renovate a dental clinic.
- Pella Cooperative Electric Association is receiving a $300,000 grant to help 818 Forward with Faith Inc. construct a women’s housing and health care facility in Pella, Iowa.
Today’s investments are in coordination with USDA Deputy Under Secretary for Rural Development Justin Maxson’s recent announcement that USDA is investing $14 million in rural economic development projects in 10 states, including: Illinois, Iowa, Kansas, Kentucky, Minnesota, Missouri, Montana, North Carolina, Ohio and Tennessee.
To learn more about investment resources for rural areas, interested parties should contact their USDA Rural Development state office.
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Rural Development provides loans and grants to help expand economic opportunities, create jobs, and improve the quality of life for millions of Americans in rural areas. This assistance supports infrastructure improvements; business development; housing; community facilities such as schools, public safety and health care; and high-speed internet access in rural, Tribal and high-poverty areas. For more information, visit www.rd.usda.gov/ia.
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