U.S. Department of Commerce Invests $5.7 Million in CARES Act Funding to Capitalize Revolving Loan Funds to Help Small Businesses Across Michigan Respond to Coronavirus
WASHINGTON – Today, U.S. Secretary of Commerce Wilbur Ross announced that the Department’s Economic Development Administration (EDA) is awarding $5.7 million in CARES Act Recovery Assistance grants to capitalize and administer Revolving Loan Funds (RLFs) that will provide critical gap financing to small businesses and entrepreneurs adversely affected by the coronavirus pandemic across Michigan.
“President Trump is working diligently every day to support our nation’s economy following the impacts of COVID-19 through the CARES Act,” said Secretary of Commerce Wilbur Ross. “These investments will provide small businesses across Michigan with the necessary capital to rebound from the coronavirus pandemic and, in turn, create a stronger and more resilient state economy for the future.”
“These investments come at a crucial time to help Michigan’s and our nation’s economy come roaring back and provide hard-working Americans with new opportunities,” said Dana Gartzke, Performing the Delegated Duties of the Assistant Secretary of Commerce for Economic Development. “Small businesses are the lifeblood of our communities, and EDA is pleased to invest these CARES Act funds so that Michigan businesses have access to capital to respond to and recover from the coronavirus pandemic.”
“Marquette County’s Economic Development Corporation and other EDCs are lifelines to our resilient small businesses in Northern Michigan and the Upper Peninsula,” said Congressman Jack Bergman (MI-01). “With the Department of Commerce’s announcement today on CARES Act investments in our communities, local employers and employees will be poised to overcome the pandemic’s obstacles and lead our Nation’s economic comeback.”
The EDA investments announced today are:
- Detroit Economic Growth Corporation (DEGC) will receive a $2.9 million EDA CARES Act Recovery Assistance grant to capitalize and administer an RLF to make loans to coronavirus impacted small businesses in Detroit. The EDA grant will strengthen DEGC’s ability to sustain and grow Detroit businesses through a variety of services that help businesses navigate economic trends, access financial resources, and create robust business models that can adapt to changes in the market.
- Iosco County will receive a $1.7 million EDA CARES Act Recovery Assistance grant to capitalize and administer an RLF to make loans to coronavirus impacted small businesses in Iosco and Alcona counties. The EDA grant will support the growth of the region’s aircraft maintenance economy, develop strategies to boost the region’s critical tourism sector, work to diversify the region’s agriculture-focused economy, implement strategies to grow the region’s critical manufacturing sector, and hire additional staff to support workforce needs.
- East Michigan Council of Governments will receive a $550,000 EDA CARES Act Recovery Assistance grant to capitalize and administer an RLF to make loans to coronavirus impacted small businesses in 14 counties: Arenac, Bay, Clare, Gladwin, Gratiot, Huron, Isabella, Iosco, Midland, Ogemaw, Roscommon, Saginaw, Sanilac, and Tuscola.
- Economic Development Corporation of the County of Marquette will receive a $550,000 EDA CARES Act Recovery Assistance grant to capitalize and administer an RLF to make loans to coronavirus impacted small businesses in Marquette County to support their recovery.
These current EDA RLF grantees are some of the more than 850 existing, high-performing EDA RLF, Economic Development District, University Center, and Tribal grant recipients invited to apply for supplemental funding under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
The CARES Act, signed into law by President Donald J. Trump, provides EDA with $1.5 billion for economic development assistance programs to help communities prevent, prepare for, and respond to the coronavirus pandemic.
On May 7, Secretary Ross announced that EDA is accepting applications for CARES Act Recovery Assistance funding opportunities.
EDA CARES Act Recovery Assistance, which is being administered under the authority of the bureau’s flexible Economic Adjustment Assistance (EAA) (PDF) program, provides a wide-range of financial assistance to eligible communities and regions as they respond to and recover from the impacts of the coronavirus pandemic. For complete information, please visit our recently updated EDA CARES Act Recovery Assistance page.
About the U.S. Economic Development Administration (www.eda.gov)
The mission of the U.S. Economic Development Administration (EDA) is to lead the federal economic development agenda by promoting competitiveness and preparing the nation's regions for growth and success in the worldwide economy. An agency within the U.S. Department of Commerce, EDA makes investments in economically distressed communities in order to create jobs for U.S. workers, promote American innovation, and accelerate long-term sustainable economic growth.