Montpelier, VT – Commercial, educational and agricultural development projects totaling almost $19 million were approved for $9.4 million in financing assistance by the Vermont Economic Development Authority (VEDA).
“A hydroelectric production facility will be redeveloped in Southern Vermont, and a manufacturing plant will be built in the Northeast Kingdom, with financing approved by VEDA,” said Jo Bradley VEDA Chief Executive Officer. “These are exciting projects which will benefit Vermont’s economic and renewable energy future, and VEDA is pleased to help support these investments.”
Among the projects approved for VEDA financing are:
- Carbon Zero, LLC and AOE, Inc., North Bennington – VEDA approved a $683,278 Commercial Energy Program loan to partially fund a $1.7 million project to reopen a 375KW hydroelectric production facility at the former Vermont Tissue Paper Mill property on the Waloomsac River in Bennington. Carbon Zero, LLC, its affiliate AOE, Inc. and the companies’ owners, Bill and Maria Scully, purchased the property several years ago and are redeveloping the dam at the site after cleaning up the building under the State of Vermont Brownfield Revitalization Fund. When completed, two new hydroelectric turbine-generators (totaling 375 KW) at this run-of-the-river facility are expected to generate 1,454,000 KWH of renewable electric power in a new powerhouse adjacent to the Mill. The Project also includes repair of the existing tailrace; installation of equipment to monitor and control the dam and power production; conversion of the DC power produced to AC current; and connection of the rebuilt hydroelectric station to Green Mountain Power’s power network. The power produced by the Dam will be used by a Net Metering Group consisting of, at least initially, Bill and Maria Scully for their residence and other affiliated companies, Powers Market and Pangaea Restaurant, the Town of Bennington, the Village of North Bennington and Catamount Glass. The power produced will be sufficient to power 211 average Vermont homes and will help avoid the release of 658 tons of carbon dioxide into the atmosphere annually.
- WEV USA, LLC and Louis Garneau USA, Inc., Derby – Financing of $1.5 million was approved as part of a $8 million manufacturing expansion project in Derby. WEV USA, LLC (WEV) will be constructing a 60,000 square foot administration, production, and distribution facility on a 17-acre parcel on Route 5 near I-91 for lease to Louis Garneau, USA, Inc. Since 1989, Louis Garneau, USA, Inc. has operated out of leased space in Derby, manufacturing and distributing a full line of cycling equipment and accessories for the professional and amateur cycling enthusiast. Louis Garneau, USA, Inc. is the U.S. affiliate of the successful Canadian firm, Louis Garneau Sports, founded over 30 years ago by renowned Canadian cyclist Louis Garneau, a member of the 1984 Canadian Olympic cycling team, and a participant in three World Championship races. Garneau originally started LGS in his father’s garage outside Quebec City and today, the Louis Garneau group and affiliates consists of over 425 employees with sales in over 40 countries. Within three years of the Derby expansion project, Louis Garneau, USA, Inc. expects to increase employment numbers at the new plant from the current 90 positions to 120. People’s United Bank is also providing financing for the project.
- Lyndon Institute, Lyndon - VEDA approved the reissuance of $4.4 million in tax-exempt industrial revenue bonds to Lyndon Institute (LI). The bond reissuance will reduce and fix for seven years the interest rate on bonds originally approved by the Authority in 2006 to help LI construct a new 26-room dormitory at the school. The Union Bank is Trustee for the bond, and the Community National and Passumpsic Savings Banks also are participating in the bond reissuance.
Also approved by VEDA:
- Financing of $2.6 million to Vermont farmers through the Authority’s agricultural loan program, the Vermont Agricultural Credit Corporation (VACC); and
- Small Business Loan Program financing of $200,000 to assist growing Vermont small businesses that are unable to access adequate sources of conventional financing.
The Vermont Economic Development Authority (VEDA) is Vermont’s statewide economic development finance lender. VEDA was created by the General Assembly in 1974 with a mission “to contribute to the creation and retention of quality jobs in Vermont by providing loans and other financial support to eligible and qualified Vermont industrial, commercial and agricultural enterprises.”
Over the years, VEDA has grown and adapted its financing programs to keep pace with an ever-changing economy. VEDA offers a wide range of low-cost lending options for Vermont businesses and farms of all sizes, and the Authority’s lending solutions are customized to each borrower’s individual needs. Whether in the form of direct loans, tax-exempt bond issuance or loan guarantee support, VEDA’s innovative financing programs help ensure that Vermont businesses and farms have the capital they need to grow and succeed. VEDA most often lends in conjunction with banks and other financing partners, helping to stimulate economic development activity in Vermont.
Since 1974, VEDA has provided over $1.9 billion in financing assistance to thousands of eligible Vermont entrepreneurs, manufacturers, small businesses, family farms, and agricultural enterprises, helping them to realize their business growth goals, create jobs, and enhance the vitality of Vermont’s economy. For more information about VEDA, visit www.veda.org or call 802-828-JOBS.