The U.S. Department of Agriculture’s Under Secretary for Rural Development, Lisa Mensah, joined U.S. Senator Patrick Leahy in St. Johnsbury Friday to award 33 Northeast Kingdom municipalities and non-profits more than $8 million in USDA Rural Development Rural Economic Area Partnership (REAP) Zone funding. Mensah announced the organizations would receive $8,017,558 in loans and grants to grow businesses, build and rehab community facilities and create more affordable housing.
“Today we are celebrating the recipients of the USDA REAP Zone loans and grants, and the collective impact they will have on communities across the Northeast Kingdom,” said Mensah. “Every dollar will benefit a resident of Vermont. These dollars will mean more affordable water and wastewater service, jobs at small businesses, first homes for families, more affordable rents, savings on energy bills, access to local foods, and new opportunities for children through investments in libraries and arts organizations.”
Mensah and Leahy presented award certificates to each grant recipient during a ceremony at the Kingdom Taproom in St. Johnsbury. The Kingdom Taproom opened in May 2014, and part owner Tara Robinson Holt said investments like those announced Friday help Northeast Kingdom businesses succeed.
“A restaurant like the Kingdom Taproom needs a vibrant arts scene to pull people downtown, reliable infrastructure to keep the water running, an engaged chamber of commerce, and a high-profile local food movement to be successful,” said Robinson Holt, who also serves as Director of the St. Johnsbury Chamber of Commerce. “USDA’s investments this year and in past years provide a business like ours with a network of people and things that help us be successful.”
“I am thrilled to partner with USDA in announcing new funding for economic development efforts in the Northeast Kingdom. While the money is critical to these projects, the stories behind this funding is what is truly important. Collectively these stories tell the tale of our Vermont communities. They show our priorities of investing in our local economies, supporting our neighbors and ensuring Vermonters can meet their basic needs,” said Senator Leahy (D-Vt.) the most senior member of the Senate Agriculture and Appropriations Committees. Leahy included a five year extension of the REAP Zone as part of the 2014 Farm Bill.
The REAP Zone is a designation bestowed on only four regions nationwide by USDA Rural Development (RD), an arm of USDA focused on helping rural communities thrive. The designation gives applicants to some of USDA RD’s 40 grant and loan programs access to a reserved set of funds only available to REAP Zones. Senator Leahy worked with the Northeast Kingdom Collaborative, a group of economic and community development organizations from across Caledonia, Essex and Orleans Counties, to create Vermont’s REAP Zone in 2000. There are three other active REAP Zones, one in North Dakota and two in New York.
Since the creation of the NEK REAP Zone, USDA has invested more than $200 million in Caledonia, Essex and Orleans Counties. Brady noted the REAP Zone designation accounted for more than $75 million of that total representing more than 3500 jobs saved or created, over 200 homes purchased or rented, and hundreds of pieces of essential community infrastructure – from water and wastewater systems to libraries – built or rehabilitated.
In 2015 USDA Rural Development invested $4,438,348 in loans and $3,579,210 in grants to 44 projects across the region. Of these investments, $2,188,717 was invested through USDA RD’s Business Program, $3,246,000 was invested through the Community Program, and $2,582,841 was invested through the agency’s Housing Program. For a complete listing of the 2015 REAP Zone projects, please see the attached table.
President Obama's historic investments in rural America have made our rural communities stronger. Under his leadership, these investments in housing, community facilities, businesses and infrastructure have empowered rural America to continue leading the way – strengthening America's economy, small towns and rural communities.
USDA, through its RD mission area, administers and manages housing, business and community infrastructure programs through a national network of state and local offices. Rural Development has an active portfolio of more than $212 billion in loans and loan guarantees. These programs are designed to improve the economic stability of rural communities, businesses, residents, farmers and ranchers and improve the quality of life in rural areas. For more information on Rural Development visit the Vermont Rural Development website (www.rd.usda.gov/vt) or contact USDA RD at (802) 828-6000.