Rural Florida Gets $52.4 Million for Electricity

February 26, 2002

USDA has approved $52.4 million in department funds to assist local economic and community development efforts and expand electrical distribution service in rural Florida. Four actions were taken.

Withlacoochee River Electric Cooperative, Dade City, FL, gets a $40 million electric loan. The funds will be used to serve 9,458 new consumers, construct 433 miles of new distribution line and make other system improvements. The borrower serves the counties of Citrus, Hernando, Pasco Sumter and Polk.

Suwannee Lumber Company, Inc., Cross City, FL will receive a $10 million rural business guaranteed loan. The guaranteed loan will allow Suwannee Lumber Company to refinance debt obtained for major renovation and improvements of the saw mill/plant. This business has been in operation since 1955, and is the largest non-government employer in Dixie County. It will save 149 jobs and create 27 new jobs.

Inlet Beach Water System, Inc., Walton County, FL, gets a $211,000 water loan. The funds will be used to relocate the existing water mains located on U.S. Highway 98 to make way for the proposed four-lane construction road through Inlet Beach's service area. The improvements will consist of 7,250 liner feet of six- inch PVC water main, gate valves, five fire hydrants and all appurtenances.

City of Freeport receives a $2.2 million water loan and grant package ($1,606,600 loan/$600,000 grant). Funds will be used for expanding the city's water system to serve an underserved area and meet the demands of its growing service area, including the community of Portland. This expansion will serve an additional 220 customers who currently have private wells, many of which have failed during dry periods, and will address the need by residents for clean drinking water in this coastal area.