LAIC awarded 3.7 million in loans

The Lake Area Improvement Corporation has been awarded two separate Rural Economic Development Loan and Grant loans, facilitated in partnership with Heartland Energy, totaling $3.7 million.

These financing awards consist of 10-year loans at 0% interest with a 1% annual fee, and will help fund two current LAIC projects. 

One of those projects is Madison’s Lakeview Industrial Park expansion. This past summer, the LAIC held a groundbreaking ceremony for an expansion project which will enhance the park’s infrastructure and provide additional space for future tenants.

The LAIC received 80% of the necessary funding for the expansion through a $3.6 million grant from the U.S. Economic Development Administration (EDA). The additional 20% of the project’s cost, including engineering expenses, is being funded through a collaborative effort between the LAIC, City of Madison, and Lake County to improve and expand local roads. This local investment was financed through a $1.4 million Rural Development loan. 

The other project is Madison’s new Early Learning Center. The LAIC celebrated the groundbreaking of that center in October. It was brought to life financially through a combination of grants, gifts, and pledges. While gifts and grants provide immediate funding, pledges span the next 10 years. The LAIC says a successful $2.3 million Rural Development loan maximizes the impact of those funds, reducing financing costs so more resources can go directly into the project.

The United States Department of Agriculture’s Rural Economic Development Loan and Grant program provides low-interest loans to rural areas, empowering organizations like the LAIC to tackle large-scale initiatives that may otherwise be out of reach. 

As the wholesale power supplier to the City of Madison, Heartland Energy is eligible to apply for the funding from USDA.