Treasurer Clint Zweifel Announces $36 million Investment in Northeast Missouri Says 469 loans issued impacting 398 jobs and 387 farmers in the region

KIRKSVILLE, MO – February 16, 2010 – (RealEstateRama) — State Treasurer Clint Zweifel (ZWY-ful) was in Kirksville today to announce that since January 2009 his administration had made more than $36 million in low-interest loans to farms and small businesses in the northeast Missouri.  While at a stop at the Bank of Kirksville, Treasurer Zweifel said 469 loans had been made impacting 398 jobs and 387 farmers in the region.  Borrowers in the region will save an estimated $608,000 in interest annually using loans made through the Missouri Linked Deposit Program.

“Missourians need jobs right now and we need to position this state for long-term success.  This is happening, and it is being done in a fiscally-responsibly manner,” Treasurer Zweifel said.  “This savings is being put work in small businesses and farms immediately.  These low-interest loans cost taxpayers nothing, and they allow us as a state to put tools in place for farms and small businesses to thrive.”

In 2009, Adair County small businesses and farms received 32 loans totaling more than $7 million and impacting 142 jobs and 15 farmers.  Total savings for county borrowers was estimated at $141,000 annually.  Bank of Kirksville has used the Missouri Linked Deposit Program to make more than $12 million in loans throughout the region.  Statewide, more than $200 million in loans were made in 2009 impacting more than 2,300 jobs and 1,000 farms.

“Bank of Kirksville is pleased to participate in the Missouri Linked Deposit Program which allows qualifying small businesses and farmers the benefit of low-interest loans,” said Norman Belitz, CEO of Bank of Kirksville.  “This reduced interest expense offers borrowers the ability to eliminate their debt and reinvest in their business operations more quickly, thereby providing a greater possibility of continued success and growth.”

Sparks Cleaners, owned locally by Justin Tallman, was an example of a local borrower Treasurer Zweifel said.  Tallman took out a $135,000 loan in 2009 using the program.  The cleaner, employing three people, will be able to save and estimated $14,000 over a five-year loan period.

The Missouri Linked Deposit Program, which was expanded in 2009 as part of Treasurer Zweifel’s jobs and economic development package, has $720 million in lending power.  Of the $200 million loaned since January 2009, $6.9 million impacting 223 jobs was made possible by Treasurer Zweifel’s legislation.

“It is important that all borrowers and lenders know they may be eligible to receive or issue a low-interest loan through the Missouri Linked Deposit Program,” Treasurer Zweifel said.  “The legislative expansion has greatly increased access to low-cost capital.”

Any farm in Missouri is eligible to receive a loan through the Missouri Linked Deposit Program and small businesses with up to 99 employees qualify.  Additionally, local governments, housing developments and alternative-energy focused projects may qualify for the low-interest loans.

About 100 lenders with 175 branches throughout Missouri use the Missouri Linked Deposit Program.  An extensive list of participating lenders and program eligibility guidelines are online at www.treasurer.mo.gov/LinkedDeposit.

Loans in the northeast region were for small businesses and farms and the totals per county were:

Adair: 32 loans totaling $7.1 million, impacting 142 jobs and 15 farmers

Chariton: 125 loans totaling $5.4 million, impacting 15 jobs and 119 farmers

Clark: 7 loans totaling $750,000, impacting 2 jobs and 5 farmers

Knox: 57 loans totaling $3.3 million, impacting 29 jobs and 42 farmers

Lewis: 34 loans totaling $4.6 million, impacting 31 jobs and 25 farmers

Linn: 44 loans totaling $1.5 million, impacting 12 jobs and 42 farmers

Macon: 36 loans totaling $909,000, impacting 36 farmers

Marion: 23 loans totaling $3.3 million, impacting 83 jobs and 10 farmers

Monroe: 25 loans totaling $1.4 million, impacting 36 jobs and 18 farmers

Pike: 5 loans totaling $458,000, impacting 7 jobs and 4 farmers

Putnam: 12 loans totaling $1.1 million, impacting 12 farmers

Ralls: 7 loans totaling $1.4 million, impacting 23 jobs and 4 farmers

Randolph: 26 loans totaling $932,000, impacting 26 farmers

Schuyler: 5 loans totaling $571,000, impacting 5 jobs and 3 farmers

Scotland: 15 loans totaling $1.9 million, impacting 13 jobs and 10 farmers

Shelby: 10 loans totaling $1.1 million, impacting 10 farmers

Sullivan: 6 loans totaling $1 million, impacting 6 farmers

###

A media kit with head shot and biography is available at:
www.treasurer.mo.gov/MediaToolKit.asp.

Jon Galloway
Office of State Treasurer Clint Zweifel
Director of Communications & Policy
Missouri State Capitol, Room 229
P.O. Box 210
Jefferson City, Missouri 65102

(573) 418-2923 (cell)
(573) 751-7595 (office)
(573) 751-9443 (fax)
twitter.com/gallowayj