Office of the State Director Wally Hedrick Boise, Idaho Housing Programs Roni Atkins, Director Business Programs Daryl Moser, Director Community Programs.

Office of the State Director

Wally HedrickBoise, Idaho

Housing ProgramsRoni Atkins,

Director

Business Programs

Daryl Moser, Director

Community Programs

Dave Flesher, Director

IRP OCTOBER MEETINGOCTOBER 8, 2014

http://www.rurdev.usda.gov/ID_Home.html

USDA, RURAL DEVELOPMENT

• USDA, Rural Development• “the leading advocate for rural America at the federal level.”• Our mission: increase economic opportunity and improve the quality

of life in rural America.• Investment in Idaho 2013: over $319 million in rural Idaho through

our housing, infrastructure/community facilities & business programs

• Rural Development ProgramsBusiness ProgramsHousing ProgramsCommunity Programs

WATER & WASTEWATER (WEP)LOAN AND GRANT PROGRAM

• Provides funds to Public bodies (cities, counties, districts),Non-profit (homeowner associations) & Indian tribes in rural areas under 10,000 population

• Construct, enlarge, extend, and/or improve water or sewer systems

• No Davis Bacon or Buy American Requirements• FY 2014 Funding - $13,374,000 Loan; $6,336,000

Grant (Including $2,642,509 from 2014 Farm Bill)

Since 2001 over $290 Million in Assistance to Rural Idaho Communities

WEP LOAN AND GRANT ELIGIBILITY REQUIREMENTS

• Unable to get credit elsewhere at reasonable rates and terms• Cities -must pass bond election for the amount of the debt, or

if unable to pass bond, will accept judicial conformation if project is to correct a health or sanitary standard violation

• Associations –majority of member approval and repayment ability

• Interest rate and grant based on MHI of the community using 5-year (‘06-’10 -American Community Survey data)

• Regular Grants - Less than $39,648 and Health or Sanitary Standard Violation = up to 75%;

• Regular Grants - Between $39,648 and $49,651 = up to 45%; Greater than $49,561 = 0; • Similar system costs $42/user/month +• No “grant only” for regular program –

must be with an RD loan

WEP RATES AND TERMS

• Rates –fixed (2.375% - 4.00% - 10/1/14 – 12/31/14) depends on service area MHI and if there is a Health or Sanitary Standard Violation.

Updated quarterly.• Terms –Revenue bond - 40 years if w/ RD grant. 20-40 years if loan

only GO Bond or LID – 30 years maximum allowed per State Law

• Security - Cities & Districts - Revenue Bond or LID- HOA’s - mortgage /deed of trust and a promissory note

OTHER WEP PROGRAMS• Pre-development Planning Grant available state-

wide to low income communities. $74,000 + for Idaho in 2014

• SEARCH Planning Grant available state-wide to low income communities. $74,000 +for Idaho in 2014

• Emergency Community Water Assistance Grants (ECWAG) – natural disasters, or significant decline in quality and/or quantity of water as result of an emergency (limit of $150,000 or $500,000). Must be approved by June 30th of each year

• Native American Set-Aside Grant program ($2,000,000 limit per project)

GUARANTEED WEP LOANS

• Local bank makes the loan, USDA-RD guarantees it. Can also combine with a Direct Loan (but not a grant). We can finance water or sewer system upgrades for part-time and higher end homes using a Guaranteed Loan.

• Much less paperwork and oversight than our Direct Loan and Grant program if it is Guaranteed only.

• If made with a Direct Loan (to buy down the interest rate) – Agency treats entire project as a direct project.

COMMUNITY FACILITY DIRECT & GUARANTEED LOAN & GRANT PROGRAM

• To develop essential public community facilities in rural areas up to 20,000 population• Public bodies (cities, counties, special purpose districts)• Nonprofit organizations – broad based ownership and controlled by members of

the local community• Indian tribes

• FY 2014 Funding - $18,850,000 Loan, $108,000 Grant

Since 2001, over $60 million in Assistance provided to Rural Idaho Communities

ELIGIBLE APPLICANTS – RATES & TERMS• Unable to get credit elsewhere at reasonable rates and terms• Legal authority to incur debt, own, operate and maintain facility• Cities -must pass bond election for the amount of the debt• Hospitals – Revenue Bond or a GO Bond if a very large project• Nonprofits –majority of member approval and repayment ability• Term - useful life of the facility – typically 30 years or less• Rates – Fixed (4.00)% Effective 10/1/14 – 12/31/14 - Updated Quarterly• Security – Cities - General Obligation or LID Bonds

• Hospitals – Revenue Bond, GO Bond, or note and UCC-1 if small• Nonprofits – mortgage/deed of trust and a promissory note

• Grant funds are very limited – $108,000 in FY 2014

ECONOMIC IMPACT INITIATIVE (EII) CF GRANTS

• Special Set-Aside of CF Grant funds: $64,000 in FY 2014

• “Not Employed Rate” that exceeds 19.5% (Dept. of Labor)• Must also meet regular CF Grant eligibility requirements• Some Idaho Communities are eligible this FY.

COMMUNITY PROGRAM CONTACTS THROUGHOUT IDAHO

• North Idaho, Coeur d’Alene (208) 762-4939, • serving: Benewah, Bonner, Boundary, Clearwater, Idaho, Kootenai,

Latah, Lewis, Nez Perce and Shoshone counties ( Howard Lunderstadt x 126; John Lynn x 122; Shirley Quakkelaar x 116)[email protected] ; [email protected] ;

[email protected]

• Western Idaho, Boise (208) 327-6473, Serving: Ada, Adams, Boise, Canyon, Gem, Owyhee, Payette, Valley and Washington counties (Carol Garrison).

[email protected]

• South Central Idaho, Twin Falls (208) 733-5380, Serving: Blaine, Camas, Cassia, Elmore, Gooding, Jerome, Lincoln, Minidoka and Twin Falls counties (Rob Lanford x 118, Diane Shigihara x114).

[email protected] ; [email protected]

• Eastern Idaho, Blackfoot (208) 785-5840, • serving: Bannock, Bear Lake, Bingham, Bonneville, Butte, Caribou,

Clark, Custer, Franklin, Fremont, Jefferson, Lemhi, Madison, Oneida, Power and Teton counties (Julie Neff x 115; Patricia Casella x101). [email protected] ; [email protected]

David A. FlesherDirector, Community Programs9173 W. Barnes Dr., Suite A1

Boise, Idaho 83709(P) 208-378-5617

(Fax) [email protected]

B. Heath PriceCommunity Programs Specialist

[email protected]

Noel LaRoque, P.E.Civil Engineer208-378-5619

[email protected]

Kent Erickson, P.E.Civil Engineer208-327-6462

[email protected]

STATE OFFICE CP CONTACTS

Jill MarxCommunity Programs

Technician208-378-5618

[email protected]

USDA, RURAL DEVELOPMENTBUSINESS PROGRAMS

Rural Business Enterprise Grant (RBEG)

RURAL BUSINESS ENTERPRISE GRANT (RBEG)

PURPOSE:Support the Development of Small & Emerging Private Business Enterprises in Rural Areas (< 50,000 population).

PURPOSE ACHIEVED BY:grants made to public bodies and non-profit organizations (grants are not made directly to the private business) for:¨ Technical assistance, e.g., feasibility study.¨ Training in connection with technical assistance.¨ Acquisition of machinery & equipment for use by private

business.¨ Utility and service extensions, such as water lines or phone

lines.¨ Establishment or funding of revolving loan programs.

RBEG: HISTORICAL IDAHO INVESTMENT

• Annual Idaho Allocation:• ’14: $201,000 (’13: $181,000)

• ’13: Idaho approved 13 projects for $181,000• avg. grant (Idaho allocation): $13,900

• Since ’03:• over $4.1 million in grants awarded• 199 projects funded• Agency investment has leveraged

additional investment of $7.9 million• Estimated jobs saved/created: 3,730

• Serves rural communities where broadband service is least likely to be available, but where it can make a tremendous difference in the quality of life for citizens. The projects funded by these grants will help rural residents tap into the enormous potential of the Internet.

• Grant funds may be used to for:o Construction, acquisition, or leasing (for a limited period) of facilities,

including spectrum, land or buildings., used to deploy service at the Broadband Grant Speed to all residential and business customers located within the Proposed Funded Service Area (PFSA) and all participating Critical Community Facilities. All buildings constructed with grant funds must reside on property owned by the awardee.

o The improvement, expansion, construction, or acquisition of a Community Center and provision of up to 10 Computer Access Points. Grant funds for the Community Center is limited to 10% of the requested grant amount.

o The cost of providing the necessary bandwidth for service free of charge to the Critical Community Facilities for 2 years

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The Community Connect Grant Program

The Distance Learning and Telemedicine (DLT) Grant Program

• Distance learning means a curriculum delivered via telecommunications and stresses the connection of students and teachers at remote sites. (Idaho just had 2 successful applications that totaled over $950,000!)

• Telemedicine means the delivery of health care from medical professionals at one site to patients at other sites via telecommunications. Telemedicine shows benefit to rural residents either in reduced travel or access to services.

• Eligible Applicants - Corporation or a partnership, Tribal nation or organization, State or local unit of government, Consortium; or other legal entity. For or not-for profit able to contract with the US Government.

DLT Grant Program

Typical Projects• Video-conferencing is the most common application for distance learning

• Telemedicine: Visiting nurse links from patient homes to health professionals elsewhere, Tele-radiology, Tele-dentistry, Tele-pharmacy, Virtual ICU etc…

RUS Telecommunications GFR Contact InformationJoe D. Bradley, General Field Representative

[email protected]

DLT Program Websitehttp://www.rurdev.usda.gov/UTP_DLT.html

Community Connect websitehttp://www.rurdev.usda.gov/utp_commconnect.html

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USDA, RURAL DEVELOPMENT

Questions?

Idaho Rural Development Website:

http://www.rurdev.usda.gov/ID_Home.html