HARRISBURG, Pa., Jan. 6, 2016 /PRNewswire-USNewswire/ -- Department of Community and Economic Development Secretary Dennis Davin today announced that new state investments through the Pennsylvania Industrial Development Authority (PIDA) program will support the continued growth of Pennsylvania small businesses that are projected to create 165 new jobs and retain 152 jobs, supporting private sector growth.
Over the last month, PIDA approved more than $7 million in low-interest loans for eight projects in Adams, Allegheny, Bradford, Huntingdon, Lancaster, and York counties that will generate more than $22.5 million in total investments.
"The loans approved over the last month will provide support to several agricultural businesses across the commonwealth," said Davin. "Our investment in this key industry will spur further growth and advancement."
This month marks the first PIDA board meeting in 2016. In 2015, PIDA approved $55.1 million in low-interest loans that resulted in $126 million in private investment and supported 2,650 created and retained jobs.
PIDA is an independent authority staffed and regulated through the Department of Community and Economic Development. The Authority provides capital for building acquisition, construction and renovation work, machinery and equipment loans along with working capital line of credit loans, primarily for manufacturers, industrial developers, research and development firms, agricultural processors and employers looking to establish national or regional headquarters in Pennsylvania.
PIDA is continuing to offer extremely competitive interest rates due to recent market changes.
Qualified applicants are eligible to select either a reset rate of 2.75 percent for the first seven years or a fixed rate of 3.75 percent for real estate financing, 3.75 percent fixed rate for equipment loans, 3.75 percent fixed rate loans for a 12-month period for working capital and accounts receivable lines of credit, and 2.00 percent fixed rate for pollution prevention and energy efficient loans. Rates will be in effect for loan applications received through March 31, 2016.
The following PIDA loans were approved over the last month:
The Adams County Economic Development Corporation was awarded a $200,000, 15-year loan at 2.5 percent fixed rate for the first seven years, on behalf of Jeffrey and Lyndsey Weikert to acquire a 112-acre farm parcel in Orrtanna to start a crop and beef cattle operation. Total project cost is projected to be $520,000.
The Regional Development Corporation of Southwestern Pennsylvania was awarded a $2,250,000, 15-year loan at 2.5 percent fixed rate for the first seven years, on behalf of Almono LP, for the development of The Almono Industrial Park at Hazelwood located along the Monongahela River and Second Avenue in Pittsburgh. Phase one of the development involves the construction of the main, interior roadway for the park. In addition, subsurface utilities will be installed to include storm water and sanitary wastewater conveyance, potable water, natural gas, electric, and telecommunication duct banks. Sidewalks, curbing, parking and bike lanes will also be constructed. Total project cost is projected to be $11,856,222.
American Wire Research, Inc. was awarded a $3,176,500, 7-year loan at 1.5 percent fixed rate for the purchase of machinery and equipment that will be utilized at their Wilmerding facility to manufacture carbon coated and non-carbon coated solid and flux cored wires and other cut length stainless steel products. The project is expected to create 150 new jobs. The total project cost is project to be $6,353,000.
Northern Tier Regional Planning and Development Commission was awarded a $253,000, 15-year loan at 2.5 percent for the first seven years, on behalf of Oak Hill Veneer, Inc. to construct a building on the existing project property located in Troy in response to increased production of spliced veneer cuts and new veneer board products. The project will create 13 new jobs and retain 62 jobs. The total project cost is project to be $561,977.
Huntingdon County Business and Industry, Inc. was awarded a $278,413, 15-year loan at 2.5 percent for the first seven years, on behalf of Cody Musser and Dustin Musser to purchase an existing 112-acre crop farm located in Saxton. Grain raised on the new property will be used to feed livestock at their Mount Joy operations and sold within the Lancaster area. The total project cost is projected to be $556,825.
The EDC Finance Corporation was awarded a $400,000, 15-year loan at 2.5 percent fixed rate for the first seven years, on behalf of Maplehofe Dairy, Inc. to construct a 5,600-square-foot expansion at their store and processing facility in Quarryville. The expansion will allow the business to update their equipment and milk process and meet the growing demand for hormone free products. The project will retain 10 existing positions and will create two new positions. The total project cost is projected to be $1,700,000.
The EDC Finance Corporation was awarded a $187,500, 15-year loan at 2.5 percent fixed rate for the first seven years, on behalf of Rhoads Energy Corporation to assist with the acquisition and renovation of a 17,954-square-foot building located in the city of Lancaster. The project will retain 80 full-time positions and is projected to cost $375,000.
York County Economic Development Corporation was awarded a $330,000, 15-year loan at 2.5 percent fixed rate for the first seven years, on behalf of Stewhills Farm, LLC to construct a 18,144-square-foot hog finishing barn on a 90 acre farm in Airville. The new barn will house 2,400 hogs. Total project cost is projected to be $660,000.
For more information about the Pennsylvania Industrial Development Authority, visit www.newpa.com.
Heidi Havens, DCED, 717-783-1132
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SOURCE Pennsylvania Department of Community & Economic Development