COLUMBIA, MO, Oct. 26, 2020 – The Trump Administration, along with Department of Agriculture (USDA) Rural Development State Director for Missouri Jeff Case, today announced that the USDA is investing $1.5 million in Intermediary Relending Program (IRP) funding to two Missouri intermediaries to aid with economic improvements and job creation around the state.
“When rural, small businesses expand and do well, it leads to a positive impact on the economy of the communities they reside in and serve,” said Trump Administration Official State Director Case. “The Intermediary Relending Program is an excellent example of how USDA Rural Development partners with public and private organizations to ensure rural businesses have the funds needed to start up, expand, and prosper, ultimately providing more job opportunities to rural Missourians. Under the leadership of President Trump and Agriculture Secretary Perdue, USDA has been working tirelessly to be a strong partner to rural Missouri in building stronger and healthier communities because we know when rural America thrives, all of America thrives.”
Missouri Clean Energy District will use a $1 million loan to supplement its existing revolving loan fund, the Rural Development Commercial Facility loan program, which provides loans for commercial and agricultural renewable energy projects in rural areas. USDA Rural Development previously provided a $649,000 IRP loan to assist in establishing this loan fund in 2015. This investment is expected to assist in the creation of 60 new job opportunities across the state.
Missouri Agricultural and Small Business Development Authority (MASBDA) was awarded a $500,000 loan to support its Agribusiness Revolving Loan program. USDA Rural Development has a long-standing partnership with MASBDA and has provided funding to establish this revolving loan fund in 2010 and additional funding in 2015. This investment is expected to assist in the creation of 20 new job opportunities and retain existing jobs across the state.
The Intermediary Relending Program provides low-interest loans to intermediary lenders to establish or operate revolving loan funds. Intermediaries then make loans, up to $250,000, to eligible ultimate recipients to assist with financing business and economic development activity to create or retain jobs in rural communities. Ultimate recipients may be individuals, public or private organizations, or other legal entitles located in an area with 50,000 or fewer residents.
Source: USDA Rural Development
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