West Sacramento, Calif. — In the quarter ending Dec. 31, 2018, Rural Community Assistance Corporation (RCAC) closed 22 loans totaling nearly $8 million to support rural communities in Alaska, California, Idaho, New Mexico and Washington.
In Alaska, one loan will support a seafood processing barge’s completion and another will help a small town in the Yukon pay for road maintenance renovations for its only school. Northline Seafoods LLC, based in Sitka Borough, Alaska, will use its more than $4.8 million loan to equip its processing barge and purchase a new holding barge. The loan will also provide initial working capital needed for the 2019 salmon season, which begins in June. The company plans to use an innovative salmon preservation technique that involves flash-freezing freshly harvested salmon. Improved quality should allow Northline to charge more for its fish and increase profit margins. The company is expected to retain four full-time jobs, and create 13 full-time jobs and 35 part-time jobs.
A $400,000 loan to the City of Tanana in central Alaska will pay for unexpected road maintenance following an unusually harsh 2017 winter and to cover short-term debts. Tanana’s city leaders also plan to use the funds for economic development and community facilities projects. The loan will help create and retain jobs.RCAC created its Loan Fund in 1988 and was later certified as a CDFI. As of December 31, 2018, RCAC closed 1,048 loans which totaled $542,238,323 and leveraged more than $2.103 billion for projects in rural communities. These loans supported 88,293 individual water and wastewater connections for rural citizens, 14,342 housing units; 11,226,769 feet of community facility space; and created or retained 18,771 jobs. RCAC currently has 326 loans under management, totaling more than $113.3 million. Additionally, RCAC manages 55 loans totaling more than $52.3 million on behalf of other lenders and investors.
Founded in 1978, RCAC provides training, technical and financial resources and advocacy so rural communities can achieve their goals and visions. RCAC serves rural communities in 13 western states and western Pacific islands. Services are available to communities with populations of fewer than 50,000, other nonprofit groups, Tribal organizations, farmworkers, colonias and other specific populations. RCAC staff provides direct services in collaboration with local and community partnerships in three program areas: affordable housing, environmental services, and lending. RCAC provides loans, including small business loans, technical and economic development assistance to rural communities and nonprofit organizations in its service region. RCAC’s lending >>
Contact: Juanita Hallstrom
RCAC Lending & Housing
916/447-9832 ext. 1065