$771,000 to fund two Upper Cumberland projects

August 28, 2008 05:12 pm

— Rural Development Area Director Joe Woody recently announced federal investments totaling $771,000 for two projects to benefit 14 Upper Cumberland counties. The announcement was made at Upper Cumberland Development District’s annual meeting in Gatlinburg where a ceremonial check was presented to Cumberland Area Investment Corporation (CAIC) President Stephen Briley and Executive Director Wendy Askins.
“It is great to partner on projects like these where federal funding is leveraged by strong local support to deliver a lasting impact on the economic health of our rural communities,” said Woody.
A Rural Development low-interest loan of $750,000 will help establish a new revolving loan fund for small business development in a 14 county Upper Cumberland area. The loan fund will provide business capital for the expansion of existing businesses and to support start-up companies. The federal Economic Development Administration and the Tennessee Department of Economic and Community Development (ECD) are also contributing an additional $750,000 to capitalize the fund at $1.5 million for area business development.
USDA Rural Development has invested $4.5 million in CAIC revolving loan funds for business development since 1991. The funds have helped fund low interest loans for 75 businesses, impacting more than 3,300 jobs in the Upper Cumberland area so far.
CAIC is an arm of Upper Cumberland Development District. The district serves 14 counties including Cannon, Clay, Cumberland, DeKalb, Fentress, Jackson, Macon, Overton, Pickett, Putnam, Smith, Van Buren, Warren and White.
A separate Rural Development grant of $21,000 will fund development of a new web-based marketing tool for communities across the area. These My Hometown web modules will be designed to demonstrate the community's strengths through the words of the people who live and work there. The modules will be created by MMA Creative to help capture the attention and interest of potential visitors, entrepreneurs and industry. ECD is providing an additional $7,000 for a total investment of $28,000 in business and tourism development.
Rural Development’s rural business enterprise grant program provides funding to public or not-for-profit entities for community economic development programs that assist small businesses in developing local business infrastructure, providing job training, conducting feasibility studies and providing technical assistance to businesses and community leaders. The RD community facilities program provides rural areas with the financial resources needed to construct or improve essential services. Education, healthcare, assisted living and civic facilities, along with local government buildings for police and fire protection are examples of projects typically funded through this program.
Others participating in the Gatlinburg presentation included Warren County Mayor John Pelham, Fentress County Mayor John Mullinix, Overton County Mayor Kenneth Copeland, Clay County Mayor Dale Reagan, Van Buren County Mayor Kelly Dishman, Dekalb County Mayor Mike Foster, and Smith County Mayor Michael Nesbitt.
USDA Rural Development is committed to the future of rural communities in Tennessee by investing financial and technical assistance through housing, community and business development programs. In Fiscal Year 2007 Rural Development assisted more than 600,000 Tennessee families and businesses with more than $308 million in financial assistance through loans, loan guarantees and grants.
For more information on community facilities, homeownership or business development programs available in the Upper Cumberland area, contact the Rural Development Area Office in Cookeville at 931-528-6539 ext. 2, toll free at 800-342-3149 ext. 1493 or visit us online at www.rurdev.usda.gov/tn.