U.S. Rep. Rodney Davis (R-IL) on March 8 sponsored a bipartisan bill that would establish a rural manufacturing forgivable loan program to incentivize new investments and jobs in rural America.
“The past few years have shown us just how important it is to make our economy more independent from China,” said Rep. Davis. “If we are serious about making more goods in America and protecting our economy from Chinese supply chain threats, we need to step up and do something about it.”
The Rural Investment in America Act, H.R. 6975, which has four original cosponsors, including U.S. Reps. Bill Johnson (R-OH) and Tom O’Halleran (D-AZ), would authorize the Small Business Administration (SBA) to provide loans to businesses that manufacture key critical infrastructure goods in rural industrial parks in the United States by offering partial loan forgiveness to cover payroll, permitting and other capital costs associated with site development when long-term jobs are created in these areas, according to a bill summary provided by Rep. Davis’ office.
“The Rural Investment in America Act encourages manufacturers to invest in rural America and create good-paying jobs,” Rep. Davis said. “My legislation will help make the goods we need most right here in Illinois and elsewhere across our country so we can protect our economy from foreign threats.”
To qualify for the program, H.R. 6975 would require a business to establish a new presence in a rural area industrial park or expand an existing rural site where critical infrastructure goods are manufactured, the summary says.
Applicants would be eligible for loan forgiveness once they met 75 percent or more of their job creation goals within their comprehensive business plan, which must be submitted to the SBA within five years of loan origination, according to the summary.
H.R. 6975 has been referred to the U.S. House Small Business Committee for consideration.