The U.S. Treasury Department has announced that Vermont is one of only three states to have fully deployed their federal State Small Business Credit Initiative (SSBCI) funds. In 2011, through the Small Business Jobs Act, Vermont received $13.2 million in SSBCI funding, to be administered by the Vermont Economic Development Authority (VEDA). The other two states to have fully deployed their respective federal funds are Idaho and North Dakota.
“The fact that we were able to get these federal funds out to Vermont businesses so quickly is a real testament to the dedication of all VEDA Staff,” said VEDA Chief Executive Officer Jo Bradley. In Vermont, the $13.2 million in SSBCI funds leveraged an additional $133.3 million in local funds on projects totaling $146.5 million. VEDA made 156 loans to 129 companies with 3,931 employees. The companies expected to add 2,233 in additional jobs as a result of the financed projects.
Bradley noted that of particular importance is the fact that SSBCI funding is not repaid to the federal government, remaining instead with the states to be redeployed locally.
“As we work to create jobs for Vermonters and expand economic opportunity throughout the state, VEDA plays an integral role,” said Governor Peter Shumlin. “We have much work to do to ensure Vermont's economy works for all Vermonters, but this is a step in the right direction.”
“The SSBCI funding would not have been possible without the strong advocacy efforts of Vermont’s Congressional delegation,” added Bradley. “We thank Senator Patrick Leahy, Senator Bernie Sanders, and Congressman Peter Welch for their help in securing this important investment in Vermont’s economic future.”
In a joint statement, Sen. Patrick Leahy (D-Vt.), Sen. Bernie Sanders (I-Vt.) and Rep. Peter Welch (D-Vt.) said: “Small businesses are the backbone of the state’s economy. As Vermont continues to recover from the Great Recession, these federal funds are playing a crucial role in helping local businesses create jobs for Vermonters. Our state has shown time and again that it can put scarce resources to use to help our local economies.”
SSBCI was created when President Obama signed into law the Small Business Jobs Act in 2010. Through SSBCI, the Treasury Department awarded nearly $1.5 billion to state programs across the country that support small businesses, including small manufacturers. SSBCI is designed to help spur new private sector lending or investment in small companies by leveraging private capital along with the federal support offered by the program.
For more information about VEDA, please visit www.veda.org, or call 802-828-JOBS. For more information on Treasury’s SSBCI announcement, please visit http://www.treasury.gov/press-center/press-releases/Pages/jl10002.aspx.