WASHINGTON — Chuck Grassley said today that the U.S. Department of Agriculture, Office of Rural Development is awarding a $7,568,000 loan guarantee to Chariton Valley Electric Cooperative in Albia through the Electric Guaranteed Loan program.
“This investment in rural America’s utilities and cooperatives should help improve service to rural customers,” Grassley said.
Chariton Valley Electric Cooperative will use the loan guarantee to help serve 320 new consumers, build 30 miles of new distribution lines, make improvements to 41 miles of distribution lines, and make other system improvements
The Electric Guaranteed Loan program assists rural areas in the financing of construction of electric distribution, transmission, and generation facilities, including system improvements and replacement required to furnish and improve electric service, as well as demand side management, energy conservation programs and on-grid renewable energy systems.
Each year, thousands of local Iowa organizations, colleges and universities, individuals and state agencies apply for competitive grants and loans from the federal government. The funding is then awarded based on each local organization or individual’s ability to meet criteria set by the federal entity.