New Velva Store Receives Over $3 Million in Financing| 8/2/2012
"The financing announced today will spur further economic activity and support the needs of a booming energy industry," said Schneider. "The new Cenex store will offer many conveniences to the community and give consumers more options when fueling their vehicles."
According to USDA Rural Development, they partnered with Verendrye Electric Cooperative, Inc. to provide Farmers Union Oil a one million dollar loan through the Rural Economic Development Loan program. In addition, the company has been awarded about two million dollars through other USDA Rural Development programs to help build the store including: a $1,850,495 Business and Industry loan guarantee through Peoples State Bank of Velva and a $159,739 Rural Energy for America Program (REAP) grant.
"I told the Farmers Union Oil board that to get this project done all my stars needed to line up, and guess what - they just did," said Cory Schmaltz, general manager of Farmers Union Oil of Velva. "I am awestruck by this whole thing. A big thank you goes out to the board and USDA for bringing this vision to fruition."
The project will cost $3.2 million, construction is expected to be completed this fall.