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USDA Invests $26.8 Million to Expand Market Opportunities for Businesses and Entrepreneurs in 12 Rural Iowa Counties

Name
Cecilia Lynch
Release Date
Dec 07, 2022

State Director Greenfield announces investments in Calhoun, Cedar, Dickinson, Greene, Grundy, Hamilton, Marion, Mitchell, Pottawattamie, Sac, Winneshiek & Woodbury counties

DES MOINES, Iowa, Dec. 7, 2022 – U.S. Department of Agriculture (USDA) Rural Development State Director in Iowa Theresa Greenfield today announced that the Department is investing $5,225,944 in grants and $21,662,000 in loans to promote rural economic development and job creation projects in 12 Iowa counties.

“The investments announced today demonstrate how USDA is supporting rural businesses to create and retain jobs,” said Director Greenfield. “Thanks to the leadership of President Biden, Vice President Harris, and Agriculture Secretary Vilsack, we are helping expand access to capital, which will help build a brighter future for our rural Iowa neighbors.”

Today’s projects are part of a larger nation-wide announcement.

The Iowa recipients of the Rural Economic Development Loan and Grant Program investments are:

-Calhoun County Electric Cooperative Association is receiving a $1,500,000 loan to fund a pass-through loan to Dobson Pipe Organ Builders LTD. This project will help provide funding to construct a new workshop in Lake City for the company which lost its organ-building facility in a fire last year. The project is expected to create three new jobs and spur economic development in rural Calhoun County.

-Eastern Iowa Light & Power Cooperative is receiving a $1,500,000 loan to fund a pass-through loan to Brand New Engines Inc. in Tipton for a new building. This project will help provide funding to construct a new 48,000 square foot facility for the business specializing in gasoline-powered equipment in Cedar County, Iowa. This project is expected to create 14 jobs and promote economic development in this rural community.

-Iowa Lakes Electric Cooperative is receiving a $1,500,000 loan to fund a pass-through loan to Custom Assembly Inc./M.B.K. LLC. This project will renovate and customize a manufacturing facility in Spirit Lake, Iowa. This project is expected to create 10 new jobs and promote economic development in rural Dickinson County.

-Grundy Center Municipal Utilities is receiving a $300,000 grant to establish a new revolving loan fund. This project will assist Maroon & White Inc. in renovating a former school building into a preschool and childcare facility. The project is expected to create 11 new jobs and promote economic development in rural Grundy County. 

-Corn Belt Power Cooperative is receiving a $1,500,000 loan to fund a pass-through loan to Mary Ann's Specialty Foods, Inc., in Webster City in Hamilton County. This project will help the food company expand its meat processing facility and purchase equipment. The project is expected to create 30 jobs and promote economic development in this rural area.

-Corn Belt Power Cooperative is receiving a $1,500,000 loan to fund a pass-through loan to Western Iowa Energy LLC, an energy company with a biodiesel plant in Wall Lake in Sac County. This project will expand the biodiesel facility and purchase equipment.

-Pella Cooperative Electric Association is receiving a $1,500,000 loan to fund a pass-through loan to LDJ Manufacturing Inc., a manufacturer of mobile fueling equipment near Pella in Marion County. This project will help expand the manufacturing facility. The project is expected to increase employment opportunities for residents of this rural area and promote economic development.

-Heartland Power Cooperative is receiving a $1,500,000 loan to provide a pass-through loan to Northern Country Cooperative Company in Stacyville in Mitchell County. This project will support construction of a new three million gallon capacity liquid fertilizer storage tank and a 40,000 square foot chemical and seed warehouse.

-Raccoon Valley Electric Cooperative is receiving a $1,500,000 loan to fund a pass-through loan to Western Iowa Energy LLC, an energy company with a biodiesel plant in Wall Lake in Sac County. This project will expand the production facility and purchase equipment.

-Allamakee-Clayton Electric Cooperative is receiving a $1,500,000 loan to fund a pass-through loan to Sunflower Child Care Center Inc. This project will help the childcare company fund construction of a 29,000 square foot childcare facility in Decorah in Winneshiek County to replace an outdated facility. The project will also include the purchase of equipment. Once in operation, the new facility will have capacity for 215 children and space to expand to 308 children.

-Woodbury County Rural Electric Cooperative is receiving a $1,500,000 loan and a $300,000 grant to help fund construction of a new medical clinic for Moville Area Medical Clinic Inc. in Woodbury County. Once built, this clinic will increase patient access, assist medical professionals in delivering quality healthcare, and promote employment and economic development in this rural area. The project is expected to create 12 new jobs, help provide healthcare for county residents, and promote economic development.

-Woodbury County Rural Electric Cooperative is receiving a $300,000 grant to replenish an existing revolving loan fund. This project will help fund construction of a new city hall for the city of Lawton, which will include a community room and maintenance facility. This project is expected to create employment and enhance job training opportunities in this rural area.

Other Iowa recipients are:

Ottumwa Hospitality LLC is receiving a $6,662,000 Business and Industry Loan Guarantees program loan to help Ottumwa Hospitality LLC construct an 84-room hotel next to the Bridge View Center, an events venue in Ottumwa. This project will fill a critical need for modern lodging accommodations for travelers in town for business or activities at the adjacent events center. This project is expected to create 15 jobs and will help spur economic growth and employment opportunities in Ottumwa and surrounding rural areas.

Native360 Loan Fund, Inc. is receiving a $9,005 Rural Microentrepreneur Assistance Program grant to provide business-based training and technical assistance to rural microentrepreneurs and microenterprises. Native360 provides services in two Iowa counties—Woodbury and Pottawattamie. Native360 is in Charles Mix County, South Dakota, and is also in twelve Nebraska counties; Boyd, Burt, rural Douglas, Hall, Holt, Knox, rural Lancaster, Madison, Platte, rural Sarpy, Stanton and Wayne.

Louis Dreyfus Company LLC is receiving a $4,316,939 grant from USDA’s Biofuel Producer’s Relief Program to help recover from unexpected market losses suffered as a result of COVID-19. The ethanol diesel production facilities impacted are located in Iowa, including Greene County, and Nebraska.

Contact USDA Rural Development

USDA Rural Development has 11 offices across the state to serve the 1.7 million Iowans living in rural communities and areas. Office locations include a state office in Des Moines, along with area offices in Albia, Atlantic, Humboldt, Indianola, Iowa Falls, Le Mars, Mount Pleasant, Storm Lake, Tipton and Waverly.

To learn more about investment resources for rural areas in Iowa, call (515) 284-4663 or visit www.rd.usda.gov/ia. If you’d like to subscribe to USDA Rural Development updates, visit our GovDelivery subscriber page.

Under the Biden-Harris Administration, Rural Development provides loans and grants to help expand economic opportunities, create jobs, and improve the quality of life for millions of Americans 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, Tribal, and high-poverty areas.

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USDA is an equal opportunity provider, employer and lender.