HARRISBURG, Pa., July 6, 2016 /PRNewswire-USNewswire/ -- Department of Community and Economic Development Secretary Dennis Davin today announced the creation of a new loan program to be administered through the Pennsylvania Industrial Development Authority (PIDA), dedicated to improving diverse small business participation, and the approval of new state investments projected to create and retain 117 jobs.
"Governor Wolf recognizes that diversity, inclusion, and small business opportunities are essential to ensuring jobs that pay and to restoring a thriving Pennsylvania economy," Davin said. "Today the PIDA board approved four strong projects, and we look forward to even greater participation through the changes announced today for years to come."
The Small Diverse Business Capital Access (SDBCA) Program is administered by the Pennsylvania Industrial Development Authority and provides low-interest loans and lines of credit to small diverse businesses located within the commonwealth that commit to creating and/or retaining jobs. A small diverse business is defined as a minority-owned, woman-owned, veteran-owned, or service-disabled veteran-owned business that has 100 or fewer full-time employees worldwide and is certified by the Pennsylvania Department of General Services (DGS). Loan applications are packaged by Certified Economic Development Organizations that service the county in which the business is, or will be, located.
Additionally, over the last month PIDA approved more than $2 million in low-interest loans for four projects in Bedford, Luzerne, and Northampton counties that will generate more than $3.4 million in private investments.
In 2016, PIDA has approved $30.5 million in low-interest loans that have resulted in $60.4 million in private investment and supported 1,217 created and retained jobs.
The following PIDA loans were approved over the last month:
The Bedford County Development Association was awarded a $199,500, 15-year loan at 2.25 percent for the first seven years, on behalf of Lampire Biological Labs, Inc., a manufacturer of biopharmaceuticals, specifically polyclonal antiserum, to construct an 8,704-square-foot sheep barn and a 240-square-foot pump and utility room. The added capacity will provide large quantities of sheep polyclonal antiserum for use in diabetes testing. Total project cost is projected to be $500,000, and will retain six existing positions.
CAN DO, Inc. was awarded an $180,000, 15-year loan at 2.25 percent for the first seven years, on behalf of Dylan and Dena Briggs, to assist with the acquisition of an 83 acre parcel of farmland located in Nescopeck. The property will be used to grow corn. Total project cost is projected to be $360,000.
The Northampton County New Jobs Corporation was award a $450,000, 15-year loan at 2.25 percent for the first seven years, on behalf of Everson Tesla, Inc., a manufacturer of coils, motors, magnets, and superconductor magnets and systems, to construct a 10,290-square-foot addition at their current facility located in the Salvaggio Industrial Park in Nazareth. Total project cost is projected to be $900,000, and will create five new jobs and retain 75 existing positions.
The Northampton County New Jobs Corporation was also awarded a $1,205,000, 15-year loan at 2.25 percent for the first seven years, on behalf of Vastex International, Inc., a leading manufacturer of screen printing machines, to acquire 8.25 acres in Lehigh Valley Industrial Park VII to construct a 45,000-square-foot building. Total project cost is projected to be $3,750,000, and will create eight new jobs and retain 23 existing positions.
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.
Qualified applicants are eligible to select either a reset rate of 2.25 percent for the first seven years or a fixed rate of 3.00 percent for real estate financing, 3.00 percent fixed rate for equipment loans, 3.00 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 September 30, 2016.
MEDIA CONTACT: Heidi Havens, 717-783-1132
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SOURCE Pennsylvania Department of Community & Economic Development