The Kansas Department of Commerce has awarded the City of Burrton with $490,000 in Community Development Block Grant funding so the City can provide a working capital loan to Hardwood Cabinets, LLC, a manufacturer of custom and semi-custom cabinets.
The loan will allow Hardwood Cabinets to retain 14 jobs. It will be matched with $245,000 in private financing.
The CDBG program provides federal funds to local governments for the development of viable communities by addressing their housing, public facilities and economic development needs. To be awarded funds, local government units must meet at least one of three program objectives: benefit low and moderate-income persons; prevent or eliminate slums and blight; or resolve an urgent need where local resources are not available to do so. Burton’s award is in the Economic Development category, which provides grants to cities or counties that, in turn, loan the funds to private businesses that create or retain permanent jobs. Funding is also available for infrastructure improvements that directly create or retain permanent jobs.
“We’re pleased to award these CDBG funds to the City of Burrton,” said Commerce Secretary Bill Thornton. “CDBG grants such as this allow the Department of Commerce to assist the small and rural communities that are so important to the livelihood of our state.”
For more information, contact Terry Marlin in the Rural Development Division of the Kansas Department of Commerce at (785) 296-4703 or tmarlin@kansascommerce.com.
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