About Rural Development, Alaska
Over the eight years of the Bush Administration USDA Rural
Development has invested an estimated $1.2 billion in rural Alaska. As a
taxpayer, I’m proud to say we’ve spent the Federal money entrusted to us by
Congress wisely. By increasing the percentage of loans and loan guarantees made
to eligible applicants, we are making the funds we receive go farther and
promoting substantial economic activity.
You can’t enter a rural community in Alaska without seeing evidence of our
investments. We fund large projects like a water tank and water lines for
Kotzebue, sewer and water lines for the Mat-Su Regional Medical Center and a new
power plant in Nome. With the support of our Congressional delegation, we
provide up to $30 million a year for the Alaska Village Safe Water program.
Renewable energy and energy efficiency is a top priority. We provide funds for
wind generation projects in Western Alaska. We fund small hydro projects to
reduce power costs in communities like Tok. We provide limited income Alaskans
with grant and loan funds to make energy-saving improvements to their homes.
Rural Development guarantees loans for small businesses. Over the years we’ve
guaranteed loans on a wide variety of business endeavors including a motorcycle
shop in Fairbanks, a construction firm in Western Alaska, a lumber company in
Southeast, a Susitna Valley newspaper, a chain of discount grocery stores and a
retail store in Juneau.
Through our Community Facilities program we also generate employment
opportunities: Rural Development has helped to fund a food bank in Kenai, a
recycling center in Kodiak, public radio in Talkeetna and a thrift store in
Wasilla. These endeavors and others like them fill a community need and create
jobs. Many of the jobs we help create are provided to adults with special needs.
We also have played a vital role in the construction of mental health facilities
in Fairbanks, Mat-Su and on the Kenai Peninsula.
Demand for single family housing remains strong. Working with Alaska’s lenders
we have, in 2008 alone, provided guarantees for over 170 loans valued at over
$34 million. Our direct program, coupled with our “Self Help” program, also
remains extremely popular. Families on the Kenai Peninsula and in the Mat-Su
Valley, working under the direction of non-profit USDA partners, are building
their own homes. It takes a year but when they’re done their labor becomes
“sweat equity” and reduces the amount of their mortgage.
Community health and public safety are vital to rural communities. Working with
our partners we’ve funded clinics in communities like Sand Point, Angoon,
Unalakleet and Sunshine. We’ve funded the purchase of police cars and an
ambulance in Fort Yukon, diagnostic equipment for the hospital in Kodiak, and
fire suppression equipment to towns like Kotlik. This year we are assisting the
Southeast community of Yakutat as it builds a public safety building.
Broadband service and access to knowledge is a key to quality rural life. That’s
why Rural Development helped to fund construction of new libraries in Haines and
Homer, improved community buildings in Metlakatla, and funded distance learning
programs for communities like Anderson and Galena. Rural Development distributes
grant funds to provide broadband Internet service in Native communities as
diverse as Kasaan, Ruby and Tatitlek. We’re also working with the Regulatory
Commission of Alaska to extend broadband service to communities where there is
currently only dial up Internet service.
Every Alaskan is touched every day in some way by USDA Rural Development. As
much as we’ve accomplished, there is still more to do. Priorities include
improving rural hospitals, sanitation services, working with community
organizations including the faith community to establish child care centers, and
providing funds for energy efficiency and renewable energy initiatives which
will blunt the effect of high energy prices.
Finally, I want to acknowledge the incredible effort of the 40 Alaska employees
who work for Rural Development. At Rural Development we are committed to the
future of rural communities, but we are also committed to ensuring that people’s
hopes and dreams come true.
Sincerely.
Chad B. Padgett
Acting State Director
USDA Rural Development
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