Program Origins\u00a0<\/span><\/b>\u00a0<\/span><\/h2>\n

In 2011, the Fairbanks Community Cooperative Market (Co-Op Market) approached GVEA to request the utility to submit an application to the Rural Economic Development Loan and Grant Program. The program, administered through the USDA Rural Business \u2013 Cooperative Service (RBS), is designed to support rural areas by offering grants and loans to electric cooperatives and other eligible entities to spur economic development.\u00a0<\/span>\u00a0<\/span><\/p>\n

GVEA was awarded a $300,000 grant from RBS, which was then supplied to the Co-Op Market as funding to open their business and strengthen the local economy by providing greater access to fresh, locally sourced food. The funds have since been repaid by the Co-Op Market, replenishing the program.<\/span>\u00a0<\/span><\/p>\n

Interior Economic Growth Fund Applications<\/span><\/b>\u00a0<\/span><\/h2>\n

In partnership with the Fairbanks Economic Development Corporation, GVEA accepted the first round of applications for funding through the Interior Economic Growth Fund for eligible projects.<\/span><\/p>\n

*The application period for the current round of funding is now CLOSED.*<\/strong><\/span> The deadline was Monday, September 30, 2024.<\/span>\u00a0<\/span><\/p>\n

FEDC Partnership\u00a0<\/span><\/b>\u00a0<\/span><\/h2>\n

GVEA is partnering with FEDC to administer this program to leverage the organization\u2019s expertise in local economic development. This collaboration ensures that the program effectively supports business growth and job creation in the region. By working together, GVEA and FEDC aim to maximize the program\u2019s impact and stimulate long-term economic benefits for the community.<\/span>\u00a0<\/span><\/p>\n

This program has no effect on GVEA members rates. All inquiries shall be directed to the Fairbanks Economic Development Corporation, which oversees the application review process.<\/p>\n

Questions<\/strong><\/h2>\n

All questions related to applications should be directed to the Fairbanks Economic Development Corporation.<\/p>\n

\n
• Email: economicfunding@investfairbanks.com<\/a><\/li>\n<\/ul>\n

  Additional Information<\/strong><\/h2>\n\n\n\t

  \n\n\t\t\n\t\t\t

  \n\n\t\t\t\t\n\t\t\t\t\t<\/i><\/button>\n\t\t\t\t\tRoles of FEDC and GVEA in Administration of the Interior Economic Growth Fund<\/span><\/a>\n\n\t\t\t\t

  \n\t\t\t\t\t\t\t\t\t\t\t

  FEDC\u2019s role in this process is solely administrative and does not involve decision-making regarding project selection for funding. Among other administrative tasks, the organization will screen and review funding applications for eligibility and completeness, and ultimately provide recommendations to GVEA\u2019s Board of Directors as to which project(s) have the greatest potential for economic impact.<\/span>\u00a0<\/span><\/p>\n

  GVEA\u2019s Board of Directors will review the recommendations and applications provided by the FEDC and make final decisions on funding selections.\u00a0<\/span>\u00a0<\/span><\/p>\n\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t<\/div>\n\n\t\t\t<\/article>\n\n\t\t\n\t\t\t

  \n\n\t\t\t\t\n\t\t\t\t\t

  <\/i><\/button>\n\t\t\t\t\tEligible Projects<\/span><\/a>\n\n\t\t\t\t

  \n\t\t\t\t\t\t\t\t\t\t\t

  In general, eligible projects can include any business venture, governmental public body, or non-profit entity involved in a community or economic development project that promotes job creation and\/or provides needed community services that benefit rural Interior Alaska, including funds to for-profit businesses and not-for-profit entities. Funds may be for land, fixed assets, machinery and equipment, or working capital needs. Working capital loans will only be considered in conjunction with the purchase of other assets as previously specified.<\/span>\u00a0<\/span><\/p>\n

  Projects must be within GVEA\u2019s service territory.<\/span>\u00a0<\/span><\/p>\n\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t<\/div>\n\n\t\t\t<\/article>\n\n\t\t\n\t\t\t

  \n\n\t\t\t\t\n\t\t\t\t\t

  <\/i><\/button>\n\t\t\t\t\tSpecial Funding Limits<\/span><\/a>\n\n\t\t\t\t

  \n\t\t\t\t\t\t\t\t\t\t\t

  Residential Housing Projects: Recognizing the link between economic development, workforce availability and housing development and <\/span>in accordance with<\/span> USDA program limits, up to 20% of the <\/span>total Interior Economic Growth<\/span>\u00a0<\/span>F<\/span>und<\/span> may be used for residential housing projects.<\/span><\/p>\n\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t<\/div>\n\n\t\t\t<\/article>\n\n\t\t\n\t\t\t

  \n\n\t\t\t\t\n\t\t\t\t\t

  <\/i><\/button>\n\t\t\t\t\tIneligible uses<\/span><\/a>\n\n\t\t\t\t

  \n\t\t\t\t\t\t\t\t\t\t\t

  Ineligible uses of funds include pre-development costs<\/span>;<\/span> refinances of existing debts; <\/span><\/span>illegal activities; legal activities that may adversely affect the Interior Economic Growth<\/span>\u00a0Fund<\/span>; general improvement related to normal replacement needs of a business and unrelated to business expansion\/job creation; and <\/span>projects which have alternative sources of financing at reasonable interest rates.<\/span><\/span>\u00a0<\/span><\/p>\n\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t<\/div>\n\n\t\t\t<\/article>\n\n\t\t\n\t\t\t

  \n\n\t\t\t\t\n\t\t\t\t\t

  <\/i><\/button>\n\t\t\t\t\tFunding Amounts and Supplemental Financing Requirements<\/span><\/a>\n\n\t\t\t\t

  \n\t\t\t\t\t\t\t\t\t\t\t

  There is a $50,000 minimum requirement for funding. <\/span>\u00a0<\/span><\/p>\n

  Projects must include a minimum of 20% funding from other sources; greater leveraging of outside resources enhances the chances for approval of a funding request.<\/span>\u00a0<\/span><\/p>\n\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t<\/div>\n\n\t\t\t<\/article>\n\n\t\t\n\t\t\t

  \n\n\t\t\t\t\n\t\t\t\t\t

  <\/i><\/button>\n\t\t\t\t\tInterest Rate and Fees<\/span><\/a>\n\n\t\t\t\t

  \n\t\t\t\t\t\t\t\t\t\t\t

  Interest rates on awarded funds (except the initial award) will not exceed the prevailing prime rate as published in the Wall Street Journal and will be determined based on the evaluation of ability to repay and the necessity of below market financing to make the project happen. Interest earned on any funding amount must stay in the Interior Economic Growth Fund for use in dispersing funds for additional projects. An annual servicing fee of up to 1% of the unpaid balance may be charged to help cover administrative costs of the Interior Economic Growth Fund.<\/span>\u00a0<\/span><\/p>\n

  In addition to accrued interest and servicing fee, the Interior Economic Growth Fund may charge recipients for closing costs, attorney\u2019s fees, filing fees, etc., as necessary to complete\u00a0 funding documentation. All fees will be addressed in the funding agreement between the Interior Economic Growth Fund and the recipient.<\/span>\u00a0<\/span><\/p>\n\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t<\/div>\n\n\t\t\t<\/article>\n\n\t\t\n\t\t\t

  \n\n\t\t\t\t\n\t\t\t\t\t

  <\/i><\/button>\n\t\t\t\t\tFunding Terms<\/span><\/a>\n\n\t\t\t\t

  \n\t\t\t\t\t\t\t\t\t\t\t

  The term of funding from the Interior Economic Growth Fund shall not exceed 10 years and may be less than 10 years. Deferments of up to 2 years may be considered on a project-by-project basis.<\/span>\u00a0<\/span><\/p>\n

  The term may be based upon project need, the expected life of the security, and the applicant\u2019s ability to repay. However, funding will not exceed the expected life of the asset being used as collateral. While not mandatory requirements, the following maturities will be used as a general guideline:<\/span>\u00a0<\/span><\/p>\n

  \n
  • Building 10 Years<\/span>\u00a0<\/span><\/li>\n
  • Real Estate 10 years<\/span>\u00a0<\/span><\/li>\n
  • Equipment 5 to 7 Years<\/span>\u00a0<\/span><\/li>\n
  • Working Capital 1 to 3 Years<\/span>\u00a0<\/span><\/li>\n<\/ul>\n\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t<\/div>\n\n\t\t\t<\/article>\n\n\t\t\n\t\t\t
    \n\n\t\t\t\t\n\t\t\t\t\t

  <\/i><\/button>\n\t\t\t\t\tUSDA Rural Business \u2013 Cooperative Service Website<\/span><\/a>\n\n\t\t\t\t

  \n\t\t\t\t\t\t\t\t\t\t\t

  Click HERE<\/a> to visit the USDA <\/span><\/span>Rural Business \u2013 Cooperative Service<\/span><\/span><\/span> website for more information on the Rural Economic Development Loan and Grant <\/span>Program<\/span><\/span><\/span><\/p>\n\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t\t\n\t\t\t\t<\/div>\n\n\t\t\t<\/article>\n\n\t\t\n\t<\/div>\n\n\n","protected":false},"excerpt":{"rendered":"

  Program Origins\u00a0\u00a0 In 2011, the Fairbanks Community Cooperative Market (Co-Op Market) approached GVEA to request the utility to submit an application to the Rural Economic Development Loan and Grant Program. The program, administered through the USDA Rural Business \u2013 Cooperative Service (RBS), is designed to support rural areas by offering grants and loans to electric […]\n","protected":false},"author":45,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"inline_featured_image":false,"footnotes":""},"class_list":["post-41223","page","type-page","status-publish","hentry"],"_links":{"self":[{"href":"http:\/\/uifc.kllkj.net\/wp-json\/wp\/v2\/pages\/41223"}],"collection":[{"href":"http:\/\/uifc.kllkj.net\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"http:\/\/uifc.kllkj.net\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"http:\/\/uifc.kllkj.net\/wp-json\/wp\/v2\/users\/45"}],"replies":[{"embeddable":true,"href":"http:\/\/uifc.kllkj.net\/wp-json\/wp\/v2\/comments?post=41223"}],"version-history":[{"count":15,"href":"http:\/\/uifc.kllkj.net\/wp-json\/wp\/v2\/pages\/41223\/revisions"}],"predecessor-version":[{"id":41331,"href":"http:\/\/uifc.kllkj.net\/wp-json\/wp\/v2\/pages\/41223\/revisions\/41331"}],"wp:attachment":[{"href":"http:\/\/uifc.kllkj.net\/wp-json\/wp\/v2\/media?parent=41223"}],"curies":[{"name":"wp","href":"http:\/\/api.w.org\/{rel}","templated":true}]}}