Working Capital to Benefit Agricultural, Tourism, Retail and Manufacturing Projects; Create Opportunities in 23 Counties
HARRISBURG, Pa., April 24 /PRNewswire-USNewswire/ -- Governor Edward G. Rendell today said a Westmoreland County dairy farmer will be able to buy cattle, a Lackawanna County ski resort will be able to buy new equipment and a York County restaurant will be able to improve its operation with the help of more than $13 million in new investment approved today.
The projects are three of 47 grants, low-interest loans and loan guarantees that were approved today by the Commonwealth Financing Authority through the First Industries Fund and Second Stage Loan Guarantee programs - two vital parts of the Governor's economic stimulus package.
From production agriculture and tourism, to retail and manufacturing, Governor Rendell said Pennsylvania is leveraging its resources to generate growth in a diversified economy.
"In every corner of the state, we are making investments in the future of Pennsylvania," said Governor Rendell. "From an electro-mechanical products manufacturer in Centre County, to a family restaurant and farmers' market in McKean County, we're working to create new opportunities for Pennsylvania's hardworking men and women in a wide array of fields.
"These projects build on the strengths of our heritage. They will attract additional development, and they will position us for growth in the future."
The Governor said projects in 23 counties were approved for more than $13.6 million in grants, low-interest loans, and loan guarantees. Since the inception of the First Industries Fund, or FIF, $71 million has been allocated, resulting in the commitment of almost 2,100 new jobs.
These targeted investments have helped bring the state's unemployment rate to a 30-year low in March, down by eight-tenths of a percentage point since last year at this time.
Today's action by the Commonwealth Financing Authority, or CFA:
- The CFA, through the First Industries Tourism Loan Program, will guarantee 50 percent of a $1.15 million loan that will be used by The Union Partnership for the acquisition and renovation of the Union Hotel in Bedford County.
- The CFA, through the First Industries Tourism Loan Program, will guarantee half of a $950,000 loan from Portage National Bank. The money will be used by Snowberger Enterprises LLC and Country Traditions LLC in Blair County to construct a new restaurant and retail facility.
- The CFA, through the First Industries Tourism Loan Program, will guarantee half of a $235,000 loan from The Progress Fund. The money will be used by Arkat Inc. of Centre County to acquire the Garman Opera House Theatre.
- The CFA, through the First Industries Tourism Loan Program, will supply 50 percent of a $1 million loan from Omega Bank to K4G L.P. in Northumberland County. K4G will use the loan to purchase existing buildings, a golf course and equipment.
- The CFA, through the First Industries Agriculture Loan Program, will provide half of a $500,000 line of credit to Clark's Feed Mills Inc. The Northumberland County-based company will use the money to buy rolling stock.
- The CFA, through the Second Stage Loan Program, will guarantee $350,000 of the $700,000 loan provided by Kish Bank to Intuitive Control Systems LLC. The Centre County company will use the line of credit for financing inventory and receivables to be used in the manufacturing of its electro-mechanical products for the public safety industry.
The Second Stage Loan Guarantee program covers loans made by commercial lending institutions to life science, advanced technology or manufacturing businesses. Because many early to mid-stage companies lack a business history, banks are often reluctant to extend lines of credit or other forms of working capital. This program helps those firms meet those financing needs during the early years of operation.
The First Industries Fund is a grant and loan program aimed at strengthening Pennsylvania's agriculture and tourism industries. FIF is part of PA Grows, the Pennsylvania Department of Agriculture's new initiative designed to help agricultural producers gain access to the capital they need to begin, continue or expand their businesses. Visit http://www.pagrows.com for more information.
The Commonwealth Financing Authority is a seven-member board created to administer and fund projects from programs created by the stimulus package and it oversees key portions of the economic stimulus package, including the First Industries Fund, the Second Stage Loan, Business in Our Sites, the Tax Increment Financing Guarantee, New PA Venture Capital Investment, New Pennsylvania Venture Guarantee, Building PA, and PennWorks programs.
For more details on Governor Rendell's economic stimulus package, visit http://www.newpa.com or call 1-866-GO-NEWPA (1-866-466-3972).
The Rendell administration is committed to creating a first-rate public education system, protecting our most vulnerable citizens and continuing economic investment to support our communities and businesses. To find out more about Governor Rendell's initiatives and to sign up for his weekly newsletter, visit his Web site at: http://www.governor.state.pa.us.
CONTACT:
Michael Smith 717-783-1116
Neil Weaver (DCED) 717-783-1132
EDITOR'S NOTE: A list of loans approved by the Department of Community and Economic Development and ratified by CFA follows. First Industries Fund loans are provided through the Small Business First, or SBF, program or the Machinery and Equipment Loan Fund (MELF).
FIRST INDUSTRIES FUND - AGRICULTURE LOANS (RATIFIED)
Adams County
- Penn Wood Products Inc., a molding, flooring and wood fuel pellets manufacturer, received a $200,000 SBF loan to expand its facility and purchase machinery and equipment.
- A $110,894 SBF loan was awarded to Apple Valley Creamery LLC for expansion of its dairy farm operation to include a milk processing facility and farm store.
- A $92,000 SBF loan was approved for the Matthew Showers Farm to acquire more than 34 acres for an apple orchard business.
Berks County
- A $76,668 MELF loan was awarded to Harvest Fresh Farms Inc. The mushroom farm will use the funding to convert its boiler to burn coal rather than oil.
Blair County
- Mary Ann Kulp received a $200,000 SBF loan for the purchase of 102 acres of tillable farmland for her dairy operation.
- A $200,000 SBF loan was awarded to Rebecca M. Kulp for the purchase of a nearly 60-acre dairy farm in Martinsburg.
- Snowberger Enterprises LLC and Country Traditions LLC will receive a $180,000 SBF tourism loan to expand retail space and add a new restaurant. The companies are a retail shop and Pennsylvania Dutch restaurant.
Centre County
- Center Hardwood Inc. was awarded a $108,800 SBF loan for the expansion of its current unfinished hardwood flooring and newel posts manufacturing facility, as well as for the purchase of machinery and equipment.
Chester County
- A MELF loan totaling $69,560 was awarded to landscaping business W.D. Wells and Associates Inc. to purchase machinery and equipment for the nursery and greenhouse.
- The Organic Mechanics Soil Company LLC received a $15,750 MELF loan to buy machinery and equipment for its premium organic potting soil manufacturing business.
Columbia County
- A $300,000 MELF loan was awarded to Dillon Floral Corporation for the wholesale flower distributor to replace its existing oil burner with a wood fueled heating system.
Crawford County
- SBF funds totaling $175,000 will go to Log Hard Premium Pellets Inc., a processor and manufacturer of wood fuel pellets, for construction and equipment.
Cumberland County
- Triple L. Farm, a dairy, hog and crop operation, was granted $200,000 in SBF funding to buy 113 acres of land and construct a free stall barn in Boiling Springs.
- MELF funds totaling $113,100 was awarded to a separate Triple L. Farm dairy and crop operation for purchasing 55 cows, milking equipment and a milk tank.
Franklin County
- A SBF loan totaling $200,000 was provided to G. Buckwalter Family Limited Partnership. The shell and hard-cooked egg processor will build a 10,000-square-foot addition to the company's main building and construct a new barn.
- A $143,000 in SBF funding was awarded to Paul and Linda Fisher to purchase an existing greenhouse, for the operation of a produce shop and greenhouse in Newburg.
Fulton County
- Jason and Stephanie Shives received a $199,000 SBF loan for costs associated with building a swine finishing facility and related expenses.
Lancaster County
- A $200,000 SBF loan was awarded to Bryan and Monica Byers to construct two duck finishing houses, allowing the dairy farm to diversify its operations.
- $200,000 in SBF funding was awarded to Edgefield Farms, a crop farm, to acquire a 120-acre farm in Quarryville. Philip and Kristen Rutt, doing business as Edgefield Farms, also received a $50,750 MELF loan for the purchase of machinery and equipment for the business.
- A SBF loan in the amount of $200,000 was awarded to Samuel and Sadie Mae Smucker Farm to purchase the farm Samuel's father currently owns. Samuel and Sadie's farm will consist of crop and dairy products.
- A MELF loan totaling $49,500 was granted to Golden Glen Inc., an alpaca farm, to buy four breeding alpacas.
Lebanon County
- Bryan and Tammy Balmer received a $200,000 SBF loan for the acquisition of the 122-acre dairy farm they are currently leasing.
- A MELF loan for $98,292 was awarded to the manure application and hauler Agri-Applicators Inc. for the purchase of machinery and equipment for farming operations.
- $200,000 in SBF funding was awarded to Jacob and Brooke Frazier, poultry farmers, for the purchase of a farm.
- Jeffrey and Susan Werner received a $200,000 SBF loan to construct a new turkey barn for their turkey farming operations in Jonestown. The Werners also received a $93,315 MELF loan to purchase machinery and equipment for the new barn.
Lycoming County
- A SBF loan for $90,400 was awarded to David D. Bower to construct a 48- by-500-foot broiler house on Mr. Bower's poultry farm.
Snyder County
- A $200,000 SBF loan was awarded to Jeffrey and Karen Cook to build a layer house facility for their poultry farm in Selinsgrove.
Westmoreland County
- Victoria and Michael Scott Baker were awarded an $85,850 MELF loan to purchase dairy cattle and a TMR mixer for their dairy farm in Scottdale.
York County
- Tayacres Farm received a $200,000 SBF loan to construct a free stall barn, milk house and holding area for its dairy and soybean crop farm.
FIRST INDUSTRIES FUND - TOURISM LOANS (RATIFIED)
Bedford County
- Village News LLC was awarded an $115,500 SBF loan to purchase a restaurant, newsstand, and retail shop with the same name.
Blair County
- A SBF loan for $100,000 was awarded to the Hotel Belmar Inc., for the purchase of the business located in Altoona.
Butler County
- Slippery Rock Industries Inc., a full-service restaurant, received an $86,000 SBF loan for the renovations to install a microbrewery in the Harmony facility.
Cumberland County
- A MELF loan totaling $676,000 was awarded to Coliseum Entertainment Group Inc. The family entertainment company will purchase machinery and equipment for its restaurant, bowling alley and gaming areas.
Fayette County
- Adventure Foods Inc., the operator of two full service restaurants and a concession stand, received $135,000 in SBF funding for the purchase a building and property where the BBQ restaurant is currently being leased.
Lackawanna County
- Sno Mountain LP was awarded a $5 million MELF loan to purchase machinery and equipment for the ski resort and water park.
McKean County
- Allegany Valley Management LLC was provided a $200,000 SBF loan to renovate a former assisted living facility into a 16-guestroom inn, Heritage Suites.
Potter County
- A SBF loan for $200,000 was awarded to Timothy Haley for the purchase of Erway's Restaurant and Market, a family-style restaurant and farmer's market.
Westmoreland County
- D&A Operations LLC and JCERT Properties LLC received $158,000 in SBF funding. The deli operation will purchase a building in West Newton.
York County
- The restaurant and banquet facility, Bentley's Inc., will use a $100,000 MELF loan to purchase machinery and equipment to upgrade its restaurant operations in Hanover.