U.S. Department of Commerce Invests $7.2 Million in CARES Act Funding to Capitalize Revolving Loan Funds to Help Small Businesses Across Louisiana Respond to Coronavirus
WASHINGTON – Today, U.S. Secretary of Commerce Wilbur Ross announced that the Department’s Economic Development Administration (EDA) is awarding $7.2 million in CARES Act Recovery Assistance grants to capitalize and administer Revolving Loan Funds (RLFs) that will provide critical gap financing to small businesses and entrepreneurs adversely affected by the coronavirus pandemic across Louisiana.
“President Trump is working diligently every day to support our nation’s economy following the impacts of COVID-19 through the CARES Act,” said Secretary of Commerce Wilbur Ross. “These investments will provide small businesses across Louisiana with the necessary capital to rebound from the coronavirus pandemic and, in turn, create a stronger and more resilient state economy for the future.”
“These investments come at a crucial time to help Louisiana’s and our nation’s economy come roaring back and provide hard-working Americans with new opportunities,” said Dana Gartzke, Performing the Delegated Duties of the Assistant Secretary of Commerce for Economic Development. “Small businesses are the lifeblood of our communities, and EDA is pleased to invest these CARES Act funds so that Louisiana businesses have access to capital to respond to and recover from the coronavirus pandemic.”
“With the CARES Act, Congress committed to helping our small businesses through the unprecedented challenges caused by this pandemic,” said Senator Bill Cassidy, M.D. “These federal funds allow Louisiana businesses the flexibility they need to be as successful as possible during this tough time.”
“The coronavirus outbreak hit small businesses hard, and this funding will help our economy get back on track in communities across Louisiana,” said Senator John Kennedy. “I’m grateful for the Trump Administration’s commitment to helping our state bounce back like never before.”
“President Trump continues to provide crucial support to accelerate Louisiana’s recovery from the Coronavirus pandemic,” said Congressman Steve Scalise (LA-01). “As our local economies continue to safely reopen, this CARES Act funding will help Louisiana small businesses, whose day-to-day operations have been disrupted through no fault of their own, stay afloat and come back stronger than ever. I applaud the Trump Administration for their ongoing efforts to ensure workers, families, and small businesses can survive and recover from this crisis.”
“Over and over again, Louisianans rise to the challenge when things get tough – this pandemic is no exception,” said Congressman Garret Graves (LA-06). It’s been amazing to see how many of our business owners and entrepreneurs have been able to adapt or pivot their operations to keep their doors open and their people employed, but I also know the challenge grows every day. This infusion of federal resources will help fill the gap for many of our job creators, but it is not the solution. We’ve got to stay focused on doing whatever it takes reopen and resurge Louisiana and America’s economy.”
The EDA investments announced today are:
- New Orleans Regional Business Development Loan Corporation, New Orleans, Louisiana, will receive a $3 million EDA CARES Act Recovery Assistance grant to capitalize and administer an RLF that will provide loans to coronavirus-impacted businesses in St. Bernard, Plaquemines, St. Tammany, Washington, Tangipahoa, St. Charles, St. John the Baptist, St. James, Assumption, Terrebonne, Lafourche, Jefferson, and Orleans parishes.
- South Central Planning and Development Commission, Houma, Louisiana, will receive a $2.1 million EDA CARES Act Recovery Assistance grant to capitalize and administer an RLF that will provide loans to coronavirus-impacted businesses in Assumption, Lafourche, St Charles, St James, St John the Baptist, St Mary, and Terrebonne parishes.
- JEDCO, Avondale, Louisiana, will receive a $1.5 million EDA CARES Act Recovery Assistance grant to capitalize and administer an RLF to provide loans to coronavirus-impacted small businesses in Jefferson Parish.
- LiftFund Inc., based in San Antonio, Texas, will receive a $550,000 EDA CARES Act Recovery Assistance grant to capitalize and administer an RLF to provide loans to coronavirus-impacted small businesses in Acadiana, Evangeline, Iberia, Lafayette, Jefferson, Lincoln, St. Landry, St. Martin, St. Mary, Vermilion, Allen, Beauregard, Calcasieu, Cameron, and Jefferson Davis parishes.
These current EDA RLF grantees are some of the more than 850 existing, high-performing EDA RLF, Economic Development District, University Center, and Tribal grant recipients invited to apply for supplemental funding under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
The CARES Act, signed into law by President Donald J. Trump, provides EDA with $1.5 billion for economic development assistance programs to help communities prevent, prepare for, and respond to the coronavirus pandemic.
On May 7, Secretary Ross announced that EDA is accepting applications for CARES Act Recovery Assistance funding opportunities.
EDA CARES Act Recovery Assistance, which is being administered under the authority of the bureau’s flexible Economic Adjustment Assistance (EAA) (PDF) program, provides a wide-range of financial assistance to eligible communities and regions as they respond to and recover from the impacts of the coronavirus pandemic. For complete information, please visit our recently updated EDA CARES Act Recovery Assistance page.
About the U.S. Economic Development Administration (www.eda.gov)
The mission of the U.S. Economic Development Administration (EDA) is to lead the federal economic development agenda by promoting competitiveness and preparing the nation's regions for growth and success in the worldwide economy. An agency within the U.S. Department of Commerce, EDA makes investments in economically distressed communities in order to create jobs for U.S. workers, promote American innovation, and accelerate long-term sustainable economic growth.