Feedstock Processing Demonstration Loan

The Department of Economic and Community Development (ECD) will disperse loans of up to $500,000 for projects that increase Tennessee farm income and production of alternative fuel feedstock.

Eligible facilities include those in which more than 200,000 bushels are processed each year.

A total of $1 million has been allocated for this demonstration loan program.

All prospective applicants must submit a business plan with the application and credit authorization form. Click here to download loan forms and guidelines.

The application deadline is March 15, 2007.

ECD’s Program Management Division in consultation with the Department of Agriculture will review each shareholder application for presentation to the Governor’s Alternative Fuels Working Group. The shareholder application will then be presented to ECD’s Loan and Grant Committee for final approval of terms and conditions.

Once ECD has awarded the first round of loans, the department will announce additional loan program cycles until the funds are exhausted.

The Agricultural Feedstock Processing Demonstration Loan is part of the state’s alternative fuels strategy. Other priorities outlined by Governor Bredesen include increasing biofuels availability at retail stations, producing more ethanol and biodiesel, and communicating the importance of biofuels to the public.

For more information, contact Jeffrey Bolton, Loan Program Manager, (615) 253-1909 or jeff.bolton@state.tn.us.