The relocation of the Stigler Wellness Center to the vacated Wal-Mart building is being accomplished through a great combination of financing programs and partnerships. It is also the first pilot project in the nation to combine the Community Facilities Guaranteed Loan Program of USDA Rural Development and the New Markets Tax Credit Program administered by REI. A statewide economic development organization, REI was chosen from all others across the U. S. to launch this pilot project. Both programs are targeted to serve rural communities like Stigler to meet essential needs, such as health care, and to energize the local economy.
According to Teresa Huggins, chief executive officer of the Wellness Center, grant money is not being spent on the remodel; the only funds used were secured through the unique combination of financing opportunities. The new facility will allow the Wellness Center to house all of its services under one roof. In addition to the Wellness Center which offers medical, mental health and dental services, other health-related businesses have expressed interest in moving into the facility as well.
REI was very pleased to be chosen for this pilot project which incorporates these two programs because it means we can partner with USDA Rural Development, communities like Stigler and financial institutions like SpiritBank to develop health care facilities needed by rural communities, Tom Seth Smith, REI President & CEO said. Its the partnerships that made this project become reality.
The Community Facilities Guaranteed Loan Program provides a credit enhancement to help finance community facilities in rural areas. We were very pleased that REI, an Oklahoma organization, was chosen for this pilot project from so many other organizations across the nation and the rural community of Stigler was the perfect place to launch it, said Brent Kisling, state director, USDA Rural Development. The people of Stigler are also to be congratulated for their creative solution to convert a vacant building into a facility that will literally bring life to citizens in need of health care. Thats the best kind of economic development.
According to Smith, the tax credit program is designed to bring new capital into underserved communities and it provides investors with a 39% federal income tax credit for investments into REI new Markets Investment, LLC. The tax incentive can also be used in conjunction with Oklahomas tax credit program.
We hope this pilot project is the jump start to combining the Community Facilities Guaranteed Loan Program and tax credit programs to facilitate needs of other low-income Oklahoma communities, Smith said.
For more information on the Community Facilities Guaranteed Loan Program visit www.rurdev.usda.gov and visit www.ruralenterprises.com for information about the tax credit programs.