1. Letitia Nichols, Director Bruce Weaver, Specialist
Rural Development
Dorchester County Economic Development Securing Business CASH: Capital, Acquisition, Start-up Help
Letitia Nichols, Director Bruce Weaver, Specialist
July 18, 2013 Cambridge, MD

2. Committed to the future of rural communities.
Rural Development
Mission:
Increase economic opportunity and improve quality of life for rural Americans.
The mission of Rural Development is to increase economic opportunity and improve the quality of life for people in rural America. USDA believes rural Americans deserve the same services enjoyed by people in suburban and urban areas while retaining the advantages of small town living.
Rural Development programs help rural communities build and improve community facilities, such as schools, health clinics and fire stations. Rural Development also has programs that help rural communities build or extend utilities, including water, electricity and telecommunications services. Rural Development is also working to eliminate substandard housing in rural America by helping people buy, build or rent decent housing. It also creates jobs by funding the growth and creation of rural businesses and cooperatives.
Program assistance (loans, grants, and payments) is provided in partnership with lenders, state, local and tribal governments, as well as agricultural producers, rural businesses, cooperatives and nonprofit agencies.
Committed to the future of rural communities.

3. Rural Area Eligibility:
Rural Development
Rural Area Eligibility:
Online Mapping Tool:
Of the many programs administered by the Secretary of Agriculture across the Department’s 7 Mission Areas, only those of the Rural Development Mission Area have geographic limitations that restrict eligibility in most cases to “rural areas”.
In short, the definition of rural currently varies among many programs offered by Rural Development. Decennial census data is generally used for rural area eligibility. We are currently using 2010 decennial census data. In addition, the provided website can be used to verify rural area eligibility:

4. Rural Development Business Loans:
Business and Industry (B&I) Guaranteed Loans
Improve, develop, or finance business, industry, and employment and improve economic and environmental climate through the guarantee of quality loans.
FY11
DE - $6,901,000
MD - $11,308,000
FY12
DE - $6,200,000
MD - $9,021,000
FY13

5. Rural Development Business Loans:
Business and Industry (B&I) Guaranteed Loans
Possible loan purposes
Business acquisitions, construction, expansion/land development, production when part of an integrated process and/or marketing operation.
Hotels, motels, bed & breakfast and other tourism & recreation facilities
Start-up costs, working capital, and refinancing of outstanding debt.
Aquaculture, commercial fishing, commercial nurseries, mushrooms, hydroponics, and education/training facilities.
Financing of housing developments under special circumstances.
FY11
DE - $6,901,000
MD - $11,308,000
FY12
DE - $6,200,000
MD - $9,021,000
FY13

6. Rural Development Business Loans: Intermediary Relending Program (IRP)
Alleviate poverty and increase economic activity and employment, through financing targeted primarily towards smaller and emerging businesses. Loans made to intermediaries that establish programs for the purpose of providing loans to ultimate recipients for business and economic development.
FY13 Funding:
Federal Register published the NOSA on April 8th.
Program level funding – approximately $17.7 million.
Applications had to be received by June 28th.
An intermediary may borrow up to $1 million.
FY11
DE - $156,000
MD - $169,000
FY12
DE - $151,000
MD - $152,000

7. Rural Development Energy Assistance Loans, Grants, and Payments:
Rural Energy for America Program (REAP)
Guaranteed loans, grants, or a combination grant and guaranteed loan to purchase and install renewable energy systems and energy efficiency improvements.
Grants for renewable energy system feasibility studies; and
Grants for energy audits and providing recommendations and information on renewable energy development assistance and improving energy efficiency.
FY13 Funding:
Federal Register published NOFA on March 29th.
Federal Register published an amended to the NOFA on June 11th.
Program level funding – approximately $173.3 million.
Applications had to be received by June 14th (grants/combos) and July 15th (loans).
Energy efficiency grants: $1,500 minimum; $250,000 maximum.
Renewable energy grants: $2,500 minimum; $500,000 maximum

8. Rural Development Business Grants: Value-Added Producer Grants (VAPGs)
Grants to enable viable agricultural producers to develop businesses that produce and market value-added agricultural products.
Planning grant (i.e., feasibility study, marketing plan) - $100,000
Working capital grant (i.e., labor, advertising) - $300,000
FY13 Funding:
Awaiting publication of Federal Register NOFA. Expected sometime in August or September. A series of webinars are planned for September, or as soon as the NOFA is released.

9. Rural Development Letitia Nichols, Director Bruce Weaver, Specialist
B&I, Energy Programs, VAPG
Jeff Williams, Specialist
IRP, Business Grants
Brandi Burwell, Specialist*
Community Programs, RBEG
Rhonda Selle, Technician

10. Rural Development
Business and Cooperative Programs | Delaware – Maryland Rural Development United States Department of Agriculture 1221 College Park Drive, Suite 200 Dover, DE Phone: | Fax: | TDD: | “Committed to the future of rural communities.” Stay Connected with USDA: USDA is an equal opportunity provider and employer.