Public Works and Facilities Grant

     Grants are provided to help distressed communities attract new industry, encourage business expansion, diversify their economies and generate long-term private-sector jobs. Priority consideration generally will be given to projects that:

(a) improve opportunities for the successful establishment or expansion of industrial or commercial plants or facilities.

(b) assist in creating or retaining private sector jobs in the near term, as well as additional long-term employment if the jobs are not transferred from other areas and will result in a low cost per job in relation to total EDA project cost;

(c) benefit the long-term unemployed and members of low-income families residing in the area served by the project;

(d) fulfill both an economic and physical need of the project area and can be started and completed in a timely manner;

(e) demonstrate maximum practicable local funding support, with evidence that such support is firmly committed and available.

Advantages

•A grant.

Use of funds

•Water and sewer facilities serving industry and commerce.

•Access roads to industrial sites or parks.

•Port improvements.

•Business incubator buildings.

Source of funds

•Economic Development Administration.

Interest rates

•N/A--this is a grant.

Maturity Term

•N/A--this is a grant.

Limits

•Average 1997 grant: $886,031.

•Range of 1990 grants: $100,000-$2,000,000.

Eligibility

•Projects must be consistent with an overall economic development program.

•Applicant may be:

—state.

—subdivision of state.

—Indian tribe.

—special-purpose unit of government.

—public or private non-profit organization or association representing a redevelopment area or an economic development center.

General

•Contact Economic Development Administration (EDA) office in Alabama (205-221-0409) or

Atlanta (404-230-3020).

•EDA representative will describe program and provide guidance for pre-application preparation.

•EDA screens proposals prior to making decision on formal application invitation.

•Approximately five-month interval between application submission and final funding decision.

Job Creation

•Each project must meet EDA criteria as established by the EDA Act of 1965 as amended.

Source: Alabama Development Office