Arkansas Valley Electric Coop to get $60 million loan guarantee

The Arkansas Valley Electric Cooperative will receive a $60 million loan guarantee that is part of a $620.96 million guarantee from the United States Department of Agriculture to the Arkansas Electric Cooperative Corporation.

Funding comes from the USDA’s Rural Development Electric Program and will be used in Arkansas to make system improvements and add emission control projects to its existing facilities, according to a statement from the office of U.S. Sen. Blanche Lincoln, D-Ark.

In addition to general system improvements, the loan will make it possible for Arkansas Valley Electric Cooperative Corporation to build 365 miles of new distribution line and four miles of transmission line as well as make improvements to 118 miles of distribution line.

“The U.S. Department of Agriculture is the largest investor in our rural communities, and I am proud to be at the helm of the committee that oversees the USDA to help ensure that rural parts of Arkansas are receiving the funding they rely on for economic development,” Lincoln, chairman of the Senate Agriculture, Nutrition and Forestry Committee, said in the statement. “This support for electric cooperatives in the state will go a long way toward better service for Arkansans both now and in the future. These infrastructure improvements will ensure that Arkansas is well-positioned to attract new residents, jobs and economic growth.”