During Fiscal Year 2009 – VEDA’s 35th year in operation – the Vermont Economic Development Authority experienced an all-time high in loan activity, closing a staggering 315 financings totaling $94.4 million. These investments in Vermont’s manufacturing, agriculture, small business and service sectors more than doubled the $46.4 million in financings closed by the Authority during the prior year.
VEDA’s year-end figures will be presented today at the Authority’s 35th Annual Meeting in Burlington. Nationally-recognized Economist Hugh Johnson will be guest speaker at the event.
“The heightened importance of VEDA’s programs in difficult economic times was demonstrated by the Authority’s extremely high volume of lending activity during the current, deep national recession,” said Jo Bradley, VEDA’s Chief Executive Officer. “Without VEDA financing during this period, it is safe to say that many projects might never have gone forward.”
During FY 2009, the Vermont General Assembly allocated funds from the American Recovery and Reinvestment Act (ARRA) and authorized VEDA to initiate two emergency response programs – the Emergency Recovery and Opportunity program, which offered a limited amount of commercial financing at Prime minus three percent (with a floor of two percent); and the Farm Operating Loan Program, offering low-interest loans to assist Vermont family farmers with spring operating needs. Response to both programs was overwhelming. VEDA’s total direct lending of $14.8 million was the greatest in the Authority’s history, and total lending through VEDA’s agricultural finance program, the Vermont Agricultural Credit Corporation (VACC), was a record $19 million to 235 farmers.
The Vermont Industrial Authority (VIDA) was created by the Vermont General Assembly in 1974 when several existing state government lending entities were combined, and $1 million in seed funding was appropriated to fund operations. “Today, VEDA is a self-funded organization with over $138 million in assets under management,” said Bradley.
VEDA’s mission is to promote economic prosperity in Vermont by providing financial assistance to eligible businesses, including manufacturing, agricultural, and travel and tourism enterprises. Since its inception 35 years ago, VEDA has made financing commitments totaling over $1.5 billion. For more information about VEDA, visit www.veda.org or call 802-828-5627.
Source: VEDA. 10.23.2009