Biomass Feasibility Project Final Report - Xcel Energy

members, that the members are family-sized farms, and that commodities produced by its
members are to be processed by the cooperative.
Further Information about USDA business programs in general can be found at
http://www.rurdev.usda.gov/rbs/busp/bpdir.htm. A copy of regulations (RD 4279-A and 4279-B
for loan making and RD 4287-B for loan servicing) can be found on the Web at
http://rdinit.usda.gov/regs/regs_toc.html in pdf, doc, and txt formats.
USDA eForms that can be completed on a computer using Adobe Acrobat are available at
http://forms.sc.egov.usda.gov/. This site lists USDA forms in zip format: www.usa-federalforms.com/itaop-by-form/200.html.
Write to the Business Programs, Suite 410, 375 Jackson Street, St. Paul, MN 55101, call David
Gaffaney at 651-602-7814 (TDD at 651-602-7830), or email: david.gaffaney@mn.usda.gov. You
also may contact Robyn Jensen at 651-602-7812 or robyn.jensen@mn.usda.gov.
USDA Rural Development Intermediary Re-lending Program (IRP)
Program Purpose is to fund soft costs, like working capital, interest, feasibility studies, and
professional services, and hard costs, like land, building construction or repair and equipment,
for innovative business and community development projects.
Intermediaries who borrow funds to relend to projects may be private nonprofit corporations,
state or local governments, Indian tribes, or cooperatives. The ultimate recipients must be
unable to obtain credit elsewhere.
Eligible areas are rural, with a population less than 25,000.
Maximum funding available to any one intermediary is $15 million, but each specific loan to that
intermediary is limited to $750,000. The maximum loan to an ultimate recipient is the lesser of
$250,000 or 75% of the total project cost. However, no more than 25% of an IRP loan approved
may be used for loans to ultimate recipients that exceed $150,000. The interest rate to an
intermediary is 1%. The maximum term is 30 years. Rates to ultimate recipients will be negotiated
with the intermediary, with lower rates encouraged.
Collateral can be real or personal property or other pledged security of the intermediary or
ultimate recipient.
Program funding in FY 2005 was $15.8 million nationwide.
This program is administered by the B&I Division, Rural Development, Washington, D.C. 20250.
However, applications are filed at the USDA Rural Development State Office, Suite 410, 375
Jackson St., St. Paul, MN 55101. Phone: 651-602-7812 or 651-602-7791.
Further Information about USDA business programs in general can be found at
http://www.rurdev.usda.gov/rbs/busp/bpdir.htm.
Iron Range Resources
Headquartered in Eveleth, Minn., Iron Range Resources (IRR) is a unique state agency designed
to help strengthen and diversify the economy of northeastern Minnesota. Specifically, Iron
Range Resources serves the interests of the Taconite Assistance Area (TAA), a geographical
Page 108
Identifying Effective Biomass Strategies:
Quantifying Minnesota’s Resources and Evaluating Future Opportunities