Trump Administration Provides $300,000 to the City of Gothenburg to Promote Economic Development

Vicki Schurman
Release Date
Sep 28, 2020

The Trump Administration today announced that the United States Department of Agriculture (USDA) is providing funding to the city of Gothenburg for establishment of a revolving loan fund.  This is the second award provided to the city under the Rural Economic Development Loan and Grant program in fiscal year 2020.  The funds are used to support rural economic development.

Gothenburg Memorial Hospital is the recipient of the initial loan from the revolving loan fund.  The first award was used to purchase and install new information technology equipment and server in order to make required software updates.  The second award was used to replace their existing outdated medication dispensing system.  The hospital’s service area includes Dawson county, and portions of Custer, Frontier, and Lincoln counties.

“Today’s funding announcement to the city of Gothenburg to establish a revolving loan fund is a great asset for the city to keep and save jobs.  Through the revolving loan fund, Gothenburg Memorial Hospital will make equipment updates that will modernize its medical services,said USDA Rural Development Nebraska State Director Karl Elmshaeuser.  “Under the leadership of President Trump and Agriculture Secretary Perdue, USDA has been working tirelessly to be a strong partner to rural Nebraska in building stronger and healthier communities, because we know when rural America thrives, all of America thrives.”

The funding is being provided through USDA Rural Development’s Rural Economic Development Loan and Grant (REDLG) Program which provides zero-interest loans to local utilities that they, in turn, pass through to local businesses (ultimate recipients) for projects that will create and retain employment in rural areas. The ultimate recipients repay the lending utility directly. The utility then is responsible for repayment to USDA.

The REDLG program also provides grants to local utility organizations that use the funding to establish a Revolving Loan Fund (RLF).  Loans are made from the revolving loan funds to projects that will create or retain rural jobs.

For more information contact Kelley Messenger, 308-455-9837

USDA Rural Development provides loans and grants to help expand economic opportunities and create jobs 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 areas.  For more information, visit

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USDA is an equal opportunity provider, employer and lender.