Search:

ECONOMIC ADVANTAGE
Empowerment Zone
Pine Tree Development
Tax Increment Financing
Business Equipment Tax
Employment Tax Increment
Jobs & Investment
Sales Tax Exemptions
Workforce Training
Financing
R & D Tax Credit
 


COMMUNITY DEVELOPMENT BLOCK GRANT (CDBG)

Eligible Businesses:
Businesses that require GAP financing which is critical to their development or expansion and will lead to the creation or retention of jobs for persons of low to moderate income.
 
 
Program Summary:
The three main economic development funds through the CDBG program are:
  • Economic Development Infrastructure (EDI) : Loan and/or Grant combinations are provided to municipalities for up to $400,000 for the construction of public infrastructure projects such as water lines, roads, utilities, publicly owned buildings, wastewater treatments, and rail spurs.
     
  • Business Assistance : Loan and/or Grant combinations are provided to businesses via their municipality for up to $400,000 to finance fixed assets including capital equipment, commercial or industrial buildings, fixtures or property improvements.
     
  • Development Fund : Loans are provided to businesses via their municipality for up to $250,000, not to exceed 40% of a business' development activities to be used for either fixed asset investments or working capital. The funding guideline is $10,000 per job created or retained.
 
 
Program Example:
The City of Calais obtained $400,000 in Economic Development Infrastructure (EDI) funds to purchase and renovate a former factory. The building was purchased by the City to be leased to a group of doctors for the development of a residential facility to serve Maine children with behavioral problems who had previously been receiving treatment outside of the state. The EDI funds leveraged another $700,000 from USDA Rural Development, $500,000 of private investment, and $200,000 CDBG Development Fund. The facility opened its doors in the fall of 2000 and has been filled to capacity meeting the needs of Maine children. At the time of their application the company pledged to create 34 jobs. The company has exceeded all programmatic requirements regarding job creation for persons from low/moderate households, while the City has made an effective reuse of a vacant facility.
 


   ABOUT APP  |   OUR REGION  |   ECONOMIC ADVANTAGE  |   CONNECTED  |   NEWSLETTER ARCHIVE  |   BUSINESS SUCCESSES  |   HOME  |   SITE INDEX

AROOSTOOK PARTNERSHIP FOR PROGRESS, PO BOX 779, CARIBOU, ME 04736-0779
TEL: 1-800-509-2146   |    LOCAL: (207)-498-8731   |    EMAIL: rdorsey@nmdc.org