USDA Rural Development has recently been awarded over $60 million in additional funding to be dispersed for community facility projects throughout Texas. Funding is authorized through the department’s Community Facilities Direct and Guaranteed Loan Program.
“We are very pleased to announce available funding in the form of low-interest loans used to develop or improve essential facilities and equipment in rural communities that have experienced a lack of capital during these challenging times,” said Paco Valentin, Rural Development Texas state director.
“Funds to promote local and regional food systems, healthcare and education broadband protocol, renewable energy/energy-efficiency projects, public safety/ public service facilities and equipment, are in much demand these days.”
USDA Rural Development's community programs enhance the quality of life for rural Texans by providing funds to governmental entities, nonprofit organizations and Indian tribes for essential community facilities and services. Funds may be used for a wide range of various community projects.
These include, but are not limited to, projects such as those which will enlarge, improve or construct schools, libraries, farmers markets, medical clinics, assisted-living centers, public buildings, and community centers. Funding can also be used for new and improved water and wastewater facilities or to purchase public safety equipment such as ambulances, firefighting equipment, and other emergency required implements.
Community Programs can make and guarantee loans to develop essential community facilities in rural areas and towns of up to 20,000 in population.
Loans and guarantees are available to public entities such as municipalities, counties, and special-purpose districts, as well as to non-profit corporations and tribal governments. Community Programs can guarantee loans made and serviced by lenders such as banks, savings and loans, mortgage companies which are part of bank holding companies, banks of the Farm Credit System, or insurance companies regulated by the National Association of Insurance Commissioners.
Community Programs may guarantee up to 90 percent of any loss of interest or principal on the loan. Community Programs can also make loans to applicants who are unable to obtain commercial credit.
Applications are now being accepted to fund projects meeting the criteria for community facility loan programs, as outlined on http://www.rurdev.usda.gov/HCF_ CF.html.
For further information regarding this program or any other USDA Rural Development programs, contact thenearest Rural Development office, all listed on the Web site, http://rurdev.usda.gov.tx.