Across Washington State, Americans are taking a hard look at what it takes to bring about improvements to our infrastructure, quality of life and, of course, our economic vitality. What can we do to promote economic growth and create jobs? Sometimes, the far-reaching economic benefits of federal assistance are not always apparent. It is critical, however, that we recognize how government resources are helping create an environment for the success of private businesses and communities. That is especially true here in Washington State.
Although they can go unnoticed, USDA Rural Development programs are providing support that may otherwise be unavailable--but is absolutely necessary for communities to grow and thrive. USDA funding may be a critical component in your new hospital project, clinic construction, or sewer system improvement plan. It may be a contributing factor in your community's library construction project, or in a small energy conservation project undertaken by a local farmer or your grocer. It might have funded the ambulance used by the rescue squad to rush your neighbor to a medical facility. Our programs often supply the missing pieces needed to promote private investment, infrastructure build-out, affordable housing, and economic development in rural America. We also support business - helping with the capital funding they need to start, expand and hire new employees.
You might see the success of our programs when a small business adds jobs to their community, like Marysville Special Care Community, LLC, in Snohomish County. With a loan guarantee through USDA Rural Development's Business and Industry (B&I) program, a memory care facility is being constructed to serve residents suffering from dementia and Alzheimer's disease. The project will have a 50 bed capacity in a cottage like setting and will employ 30 people. Columbia State Bank is the lender financing the project.
B&I and several other USDA Rural Development programs have expanded capital markets in rural areas where employers driving job creation need business financing options. Last year, in Washington, Rural Development partnered with eight lenders to guarantee 13 loans totaling $21,552,000 to help rural businesses across the state move forward despite a difficult economy.
USDA programs are also often at work when construction workers are hired to build or rehabilitate homes and apartment complexes in small towns. In Fiscal Year 2011, USDA Rural Development Housing programs in Washington State provided low-interest loans, grants, guarantees and rental assistance to 9,020 households totaling $738,779,193. These funds were used to renovate and build apartment complexes that offer affordable rental options to low-income rural residents; build and construct homes for low and moderate income households; and repair homes for very low income homeowners and seniors, allowing them to stay in their residences. Rural Development funds were leveraged with significant investments from private property owners, nonprofits, state agencies and others to provide units of good, affordable rental housing and homeownership, stimulate sales of materials, and create or retain an estimated 16,055 construction and real estate industry jobs.
Let's not forget the important benefits of modern infrastructure and public facilities. To create an environment where economic development is possible, communities must offer reliable and affordable water, waste treatment, electric power, telecommunications health care, emergency services, schools and more. Not only do these critical services improve quality of life, they also ripple through the community with the creation of associated jobs and an improved ability to court new employers to the area. Last year, USDA Rural Development provided financial assistance for 46 projects. Funds were used to help Washington's rural communities upgrade hospitals and libraries, purchase emergency vehicles and equipment, install water and waste systems, and develop the capacity for growth.
Creating vibrant, economically sustainable communities is like trying to solve jigsaw puzzles. Success depends on interlocking pieces of supplies by local residents, leaders, businesses and institutions. Where gaps exist, USDA programs can be an important tool to provide linkage and fill the gaps to make the picture complete. USDA is proud to invest in our small towns, to help create jobs, support economic growth and build thriving communities where folks want to live, work, and raise their families.
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Mario Villanueva serves as the State Director for USDA Rural Development in Washington State. Villanueva has worked in affordable housing, community and economic development and social services in many rural communities in central and eastern Washington before being appointed to USDA Rural Development by President Obama in 2009.
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