U.S. Department of Commerce Invests $2.6 Million in CARES Act Recovery Assistance to Capitalize Revolving Loan Fund to Serve Small Businesses in Five-County Region of New York
WASHINGTON – Today, U.S. Secretary of Commerce Gina Raimondo announced that the Department’s Economic Development Administration (EDA) is awarding a $2.6 million CARES Act Recovery Assistance grant to Hudson Valley Agribusiness Development Corporation, Hudson, New York, to capitalize and administer a Revolving Loan Fund, providing gap financing to farm and food businesses throughout Columbia, Dutchess, Greene, Orange, Sullivan and Ulster counties. This EDA grant is expected to create or retain nearly 300 jobs and generate $2 million in private investment.
“President Biden is working to deliver bold action and immediate relief for American businesses as the nation continues to respond to the coronavirus pandemic,” said Secretary of Commerce Gina Raimondo. “This EDA investment in Hudson Valley Agribusiness Development Corporation will support a Revolving Loan Fund that will assist small businesses with their capital and equipment needs and help communities in and around Hudson build back stronger.”
“The Economic Development Administration plays an important role in supporting community-led economic development strategies designed to boost coronavirus recovery and response efforts,” said Dennis Alvord, Acting Assistant Secretary of Commerce for Economic Development. “This EDA investment will support capital investment, strengthen the regional economy, and create and retain jobs.”
“The EDA’s Revolving Loan Fund, which is being provided to the Hudson Valley Agribusiness Development Corporation, is critical to helping our agricultural community to recover,” said Richard A. Ball, New York State Department of Agriculture and Markets Commissioner. “Our farms and food businesses faced unprecedented challenges this past year, including major market disruptions. This funding will ensure our farmers and producers have access to bridge funding to offset the financial difficulties incurred, allowing them to begin the process of building back better.”
“I am proud to deliver this critical $2.6 million in CARES Act funding so the Hudson Valley Agribusiness Development Corporation can invest in promising small businesses to spur recovery and job growth,” said Senator Charles Schumer. “With this new federal Economic Development Agency investment, HVADC will create and retain nearly 300 jobs in the Hudson Valley while also helping the region’s agricultural businesses maintain a robust local food system.”
“Now more than ever, we need to support our small businesses as we rebuild New York’s local economies. The COVID-19 pandemic strained businesses across New York State as costs surged and revenues dwindled,” said Senator Kirsten Gillibrand. “I am proud to have secured this CARES Act funding that will bring $2.6 million in federal relief to help our local business leaders stay afloat, grow small businesses, and build economic resilience in our communities. This funding is great news for the Hudson Valley Agribusiness Development Corporation, and will help create hundreds of jobs and opportunities in Columbia, Dutchess, Greene, Orange, Sullivan, and Ulster counties.”
This project is funded under the Coronavirus Aid, Relief, and Economic Security (CARES) Act (Public Law 116-136 PDF), which provided EDA with $1.5 billion for economic assistance programs to help communities prevent, prepare for, and respond to coronavirus. 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.
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.