USDA Invests $4 Million in Rural Community Facilities

Nikki Gillespie
Release Date
Jul 20, 2020

ST. PAUL, Minn., July 20, 2020 – U.S. Department of Agriculture Rural Development State Director for Minnesota today announced USDA is investing $4 million to build and improve critical community facilities to benefit nearly 9,000 rural residents.

“Modern, safe infrastructure is essential the continued prosperity of rural communities,” Finstad said. “Whether it’s helping a community finance a new assisted living center or replacing expired fire trucks, each plays a substantial role in furthering economic prosperity for these small, rural communities. Under the leadership of Agriculture Secretary Perdue and USDA Deputy Under Secretary for Rural Development Bette Brand, USDA is dedicated to the partnerships that make projects like these a reality. Because when rural America thrives, all of America thrives.”


Tracy Ambulance Service in Tracy, Minn., is receiving a $100,000 loan and a $50,000 grant to purchase a new ambulance vehicle and replace a 2009 vehicle that requires regular costly maintenance. The new vehicle will allow the nonprofit ambulance service to continue providing service with state-of-the-art equipment and efficiency.

Clinton Community Clinic in Clinton, Minn., is receiving a $3,477,000 loan to build a 23,000-square-foot assisted living facility. The new facility will house 20 private units with in-room bathrooms, a commercial kitchen, dining area, gathering spaces, laundry, beauty parlor, storage and more.

The city of Blackduck, Minn., is receiving a $30,000 loan and a $50,000 grant to purchase a new skid steer loader machine and accompanying attachments. The maintenance vehicle will allow the city to more efficiently manage snow, sand and debris throughout year.

The city of Canby, Minn., is receiving a $100,000 loan and a $50,000 grant to purchase a fire truck for the Canby Fire Department. The new fire truck will allow the city to replace an older 1993 pumper truck that was experiencing regular maintenance issues. With the new vehicle, the Canby Fire Department will be able to address a wider range of calls outside the city limits.

USDA is investing in 94 projects through the Community Facilities Direct Loan and Grant Program in the following states: Alabama, Colorado, Delaware, Georgia, Iowa, Kansas, Kentucky, Maine, Michigan, Minnesota, Missouri, North Carolina, North Dakota, New York, Ohio, Pennsylvania, South Carolina, South Dakota, Tennessee, Texas, Utah, Virginia and Wyoming. The investments can be used to build or upgrade a wide range of rural community facilities such as schools, libraries, clinics and public safety facilities.

Examples of projects receiving funding in other states, include:

Stewart Memorial Community Hospital in Lake City, Iowa, is receiving a $29 million loan to build a 24,000-square-foot addition to the emergency department and rehabilitation services area. The expansion will include a helipad and improvements to hospital spaces, the receiving dock, the main entrance, and administrative offices.

Ohio Hills Health Services, in Barnesville, Ohio, is receiving a $735,000 loan and a $172,700 grant to expand the Monroe Family Health Center (MFHC). USDA also is helping to finance new clinic equipment. The new building will improve accessibility and enable more rural residents to receive care. MFHC served 3,500 rural residents in 2019.

More than 100 types of projects are eligible for Community Facilities funding. Eligible applicants include municipalities, public bodies, nonprofit organizations and federally recognized Native American tribes. Projects must be in rural areas with a population of 20,000 or less.

Interested parties should contact their USDA Rural Development state office for information about additional funding, application procedures and eligibility details. Also see the Community Facilities Direct Loan Program Guidance Book for Applicants (PDF, 669 KB), a detailed overview of the application process.

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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