USDA to accept applications for loans and grants

Published 9:30 am Friday, August 14, 2015

The United States Department of Agriculture Rural Development Agency is currently accepting applications for loans and grants offered through the Community Facilities Loan and Grant Program. Public Entities such as counties, townships and communities, non-profit organizations and tribal communities with a population of 20,000 or less can be considered for this program. Interest rates for this program are at historically low levels and are currently at 3.625 percent as of August of 2015. The terms for these loans are based on the useful life of the security and can be up 40 years. The loan and grant purpose under this program is for essential community facilities. Some examples of essential community facilities include:

Health care facilities: hospitals, medical clinics, dental clinics, nursing homes, assisted living facilities, rehabilitation centers or boarding homes for the elderly.

Public facilities: town halls, city or county offices, courthouses, airport hangars or street improvements, bridges, dams, sidewalks, parking lots, or parks

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Community support services: child care centers, community centers, fairgrounds or transitional housing.

Public safety services: fire departments, fire trucks, emergency warning systems, police stations, rescue vehicles and equipment, prisons, police vehicles, public works vehicles or equipment.

Educational services: libraries, schools, museums, educational camps, or colleges.

Utility services and energy transmission & distribution: telemedicine & distance learning equipment, natural gas distribution, electrical system related improvements & buildings.

Local food systems: such as community gardens, food pantries, community kitchens, food banks, food hubs or greenhouses.

Funding is based upon an annual appropriation. Currently significant loan funding and limited grant funding is available. Loans may be made for up to 100 percent of the appraised value of the home.

For more information contact Laurie Balata or Charles Phillips at the USDA, Rural Development office at 1810 30th Street NW Suite 3 in Faribault or call 507-332-7418 ext. 4. Information is also available on the web at