U.S. Department of Commerce Invests $3 Million in CARES Act Recovery Assistance to Capitalize Revolving Loan Fund to Serve Small Businesses in 17-County Region of Kentucky
WASHINGTON – Today, U.S. Secretary of Commerce Gina Raimondo announced that the Department’s Economic Development Administration (EDA) is awarding a $3 million CARES Act Recovery Assistance grant to Community Ventures Corporation, Lexington, Kentucky, to provide critical gap financing to small businesses economically impacted by the coronavirus pandemic in the Bluegrass Region of Kentucky. This EDA grant will be matched with $600,000 in local investment.
“President Biden is working to deliver bold action and immediate relief for American businesses as the nation continues to respond to the coronavirus pandemic,” said Secretary of Commerce Gina Raimondo. “This EDA investment in Community Ventures Corporation will support a Revolving Loan Fund that will assist small businesses with their capital needs and help Kentucky communities build back stronger.”
“The Economic Development Administration is committed to helping communities across the nation implement strategies to mitigate economic hardships brought on by the coronavirus pandemic,” said Dennis Alvord, Acting Assistant Secretary of Commerce for Economic Development. “This EDA investment will support capital investment, strengthen the regional economy, and create and retain jobs.”
“Small businesses are a critical part of the economic engine powering our commonwealth,” said Governor Andy Beshear. “Thanks to the EDA’s investment in Community Ventures Corporation, I am grateful we can provide relief to the small business community in Central Kentucky and ensure they build a stronger future as we sprint out of the COVID-19 pandemic this year.”
“In writing the CARES Act in my office, we set out to rescue small businesses and help workers stay afloat. I’m proud of the historic legislation we crafted continues to deliver for Kentucky,” said Senate Republican Leader Mitch McConnell. “Through reinvestment and gap financing, these federal funds will help Lexington’s job creators champion our economic recovery. Kentucky is revving up to come roaring back after this crisis, and the bipartisan federal rescue packages I negotiated last year are helping fuel our new growth.”
“I voted for the Coronavirus Aid, Relief, and Economic Security (CARES) Act at the onset of the COVID-19 pandemic to assist struggling small businesses in Central and Eastern Kentucky,” said Congressman Andy Barr (KY-06). “This EDA award to the Community Ventures Corporation will provide additional financial relief to businesses continuing to struggle with the economic effects of the past year’s government mandated shutdowns. This will serve as a lifeline to our small business owners to keep their doors open and their employees on the payroll.”
This project is funded under the Coronavirus Aid, Relief, and Economic Security (CARES) Act (Public Law 116-136 PDF), which provided EDA with $1.5 billion for economic assistance programs to help communities prevent, prepare for, and respond to coronavirus. 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.
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.