The total project cost with local match will be $1 million. The local match will be funded from the EDA's 2012 Disaster Relief Opportunity Program, which specifically targets regions that suffered damage from Hurricane Irene and Tropical Storm Lee.
The LCLGRPB manages two revolving loan funds capitalized by the EDA in 1985 and 1988. The funding available was not enough to meet existing need and anticipated demand from businesses seeking post-disaster recovery aid.
Generally speaking, the loan funds will be used to finance fixed asset loans for the acquisition and improvement of land, buildings, plant and equipment, including new construction or renovation of existing facilities; and working capital loans for the start-up of new business or expansion of existing business.
There is a limit of $150,000 financing per project, which carries a 5 percent fixed rate. Equipment and working capital loans typically carry terms of five to 10 years with 10-15 years on real estate loans.
Applicants are encouraged to contribute at least 30 percent toward total project financing. Projects are evaluated based on community need, local capacity, project impact and project readiness.
Priority consideration will be given to businesses that were impacted from Hurricane Irene flooding. Additional businesses in the region, unaffected by damage from Hurricane Irene, would be eligible for revolving loan fund assistance following the first cycle of funding.
Applications may be obtained through the website at LCLGRPB.org or by calling (518) 668-5773.