Revolving Loan Program awarded $300,000 grant

Port Isabel-South Padre Press

The USDA has awarded the City of Port Isabel’s Revolving Loan Program (RLP) a $300,000 grant to be used to fund additional small business loans, officials at the Port Isabel Economic Development Corporation (EDC) reported Tuesday.

“We got an additional $300,000 in funding to lend out. That’s what I call ‘new money,’” said RLP administrator Lonnie Flores during Tuesday’s meeting of the EDC board.

Combined with other USDA funds the City still has at its disposal — $114,000 via the Rural Business Enterprise Grant and $101,000 via Intermediary Lending Program funds — the EDC now has a total of $515,000 available to lend to small business owners in Port Isabel, Flores explained.

The EDC was required to contribute $120,000 in matching funds in order to qualify for the grant, EDC Chairman Calvin Byrd explained, but the matching funds came at no additional cost since the USDA allowed the EDC to use money that has revolved back into the EDC from previous RLP borrowers, he said.

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