business and industry loan guarantee

One of the foundations of our work here in Rural Development is the close partnership we've developed with private sector entities like community and economic development organizations. A recent trip to Montana underscored that point as I visited several communities across the north central portion of the state.

Big Sandy, Montana is a salt-of-the-earth ag community, and also happens to be the home town of U.S. Senator Jon Tester. Senator Tester and I visited a newly completed wastewater project, as well as Big Sandy Activities - a center that helps developmentally disabled people build skills to allow them to live and work in the community. Both received funding support from USDA Rural Development, and have an enormous impact in this tiny rural town.

Small town Oroville, California sits on the banks of the Feather River at the foothills of the Sierra Nevada mountains. It was established to supply the thousands of prospectors headed to Bidwell Bar, one of the first gold rush mines in the state. Today, this community of 16,260 people produces much more than just gold dust.

At the edge of town, what started in 1989 as a backyard blacksmith shop by owners Michael Phulps and Sean Pierce has become a 82-employee steel manufacturing company called Metal Works, thanks to a little help from USDA Rural Development. Fourteen years ago, Metal Works received their first Business & Industry loan guarantee to purchase a 20,000 square foot fabrication shop and office building on a little over 18 acres. Since then, they’ve converted their original 9,400 square foot building to a retail steel shop, and added another 20,000 square foot fabrication shop, burn table, and a modern, high-precision drill and beam line. Now, they’ve leveraged a new Rural Development guaranteed loan to refinance, save tens of thousands of dollars annually, and hire 10 new employees as a direct result of those savings.

Teens across the country are looking forward to the school year and many new experiences that will enrich their lives and start them on their way to future success. Those who struggle with mental health and addiction issues during this critical time of life, however, face tremendous challenges that not only threaten their present well-being, but can also limit their options well into adulthood.

USDA and the Obama Administration are committed to ensuring these youth, and all of our young people, have the support they need to grow and thrive – whether they live in large metropolitan areas or the most rural areas. An example of this support is a recently awarded USDA Business and Industry loan guarantee to finance the renovation and expansion of Rimrock Trails Adolescent Treatment Services in remote Prineville, Oregon. Last week, I joined professionals working in youth recovery and their many community partners to break ground on the project.

What do 13 doctors in Southern Illinois, hundreds of outpatients and a bilingual library have in common?  USDA Rural Development! Deputy Under Secretary for Rural Development Doug O’Brien recently visited the Monroe County Surgical Center in Waterloo and the Fairmont City Library Center in the Illinois Metro East area near St. Louis.  Both were recipients of Rural Development funding during the last two years.  O’Brien saw in person what the two have in common…success of two local projects that are models for other businesses and communities eligible for Rural Development funding.