Small business loans through SEDA-COG to waive fees, first several payments

A loan program that helps small businesses is providing further relief by waiving fees and the first several months of payments on certain loans.

SEDA-Council of Governments (SEDA-COG) offers the U.S. Small Business Administration (SBA) 504 loan program throughout Pennsylvania which features fixed rates, long terms, and low down payments. Now, certain fees associated with the loan are being waived because of the CARES Act passed late last year. The fee elimination lowers the out-of-pocket cost to the borrower and the effective rate of the 504 loan from the rates that are quoted.

The SBA also will pay the first three months of payments on behalf of the borrower for loans approved by the SBA by Sept. 30, depending on availability of funds.

Doug Wilburn, director of SEDA-COG’s Business Finance program, said this is welcome news for many small businesses that are struggling through the pandemic.

“Small businesses are the backbone of the economy, and we hear from so many clients how the SBA 504 loan program gives their business the boost it needs to grow by freeing up working capital. Now, this new fee and payment waiver gives businesses breathing room, especially during these difficult times,” Wilburn said.

The SBA 504 loan program can meet many growing businesses’ needs, including purchase of an existing building, new construction, or a building renovation. It also can be used to buy equipment and refinance existing real estate or equipment debt.

Businesses can finance up to 40% of a project at a long-term fixed rate. Lower down payment for as little as 10% helps businesses preserve working capital. Real estate purchases get a 20- or 25-year term and amortization with no balloon payment. Equipment purchases can also be financed through the 504 program with a 10-year term and amortization.

Eligible applicants include for-profit businesses that occupy a majority of their space with a net worth of less than $15 million and less than $5 million in profit after taxes.

For more information about SBA 504 loans through SEDA-COG, contact John Reichard at jreichard@seda-cog.org or 570-850-0195.

SBA 504 10-year effective rate:

  • Standard: 2.45%
  • Refinance: 2.48%

SBA 504 20-year effective rate:

  • Standard: 2.72%
  • Refinance: 2.76%

SBA 504 25-year effective rate:

  • Standard: 2.76%
  • Refinance: 2.80%

As a community and economic development agency, SEDA-COG enhances the quality of life and economic advantage for residents and businesses in 11 central Pennsylvania counties through its vital partnerships and initiatives. SEDA-COG also is an advocate for the interests of its communities at the state and federal levels. For more information, visit www.seda-cog.org.

February 2021 SEDA COG Board of Directors Meeting

Notice is hereby given that the regular meeting of the SEDA COG Board of Directors has been scheduled for Wednesday, February 24, at 1:00 p.m. In keeping with federal and state guidelines regarding COVID-19, this meeting will take place virtually, with the option to join via teleconference.

To attend this public meeting, please click on the following link:

https://meetings.ringcentral.com/j/6124697268 and follow the prompts.

To access via telephone, please call +1(470)869-2200 and enter Meeting ID: 612 469 7268. The meeting will be recorded.

Highspeed internet now available in Perry County

Highspeed internet is up and running in and beyond Horse Valley, and the Perry County Commissioners are urging area residents and businesses to sign up.

As of Jan. 27, the coverage area includes Horse Valley, as well as south and southeast of the tower of the Blain area, and along 274 from the outskirts of New Germantown toward Cisna Run. Customers who are in a clear line of sight of Big Knob tower can sign up to receive service of up to 100 megabits.

Commissioner Brenda Watson said they want to alert residents that the project is completed and that they can sign up for fast internet service.

“This is such a crucial service for people during this time when many are working and learning from home,” Watson said.

Customers can choose from four packages providing speeds up to 40 megabits per second, all with no data caps. Interested customers may visit internet provider Centre WISP’s website at www.centrewisp.com and pick their county to see pricing and speeds, and to sign up. Centre WISP will not raise their prices for at least two years.

Perry County, along with Juniata and Mifflin counties, worked with SEDA-COG to secure state and federal funds to incentivize the internet expansion project and to select Centre WISP. Sens. Jake Corman and John DiSanto and Reps. John Hershey, Kerry Benninghoff, Rich Irvin, and Mark Keller helped secure the grants.

The funds incentivized Centre WISP to provide internet service where it wasn’t financially feasible to reach on their own, helping to bridge the last-mile funding gap. SEDA-COG is administering this Tri-County Broadband Project in collaboration with Mifflin, Juniata, and Perry counties.

SEDA-COG enhances the quality of life and economic advantage for residents and businesses in 11 central Pennsylvania counties through its vital partnerships and initiatives. SEDA-COG also is an advocate for the interests of its communities at the state and federal levels. For more information, visit www.seda-cog.org.

SEDA-COG staffer chosen as vice chair of state floodplain manager association

Teri Provost, director of SEDA-Council of Governments (SEDA-COG) Flood Resiliency program, has been selected as vice chair of the Pennsylvania Association of State Floodplain Managers (PAFPM) board.

Provost’s board appointment is from January to December this year.

Having worked for SEDA-COG, a community and economic development agency for 11 central Pennsylvania counties, for over 14 years collectively, she aims to bring the agency’s regional approach and her experience to the board.

“I am extremely grateful and honored to be nominated and appointed to this position,” Provost said. “I look forward to bringing a broader approach to the board and to flood resiliency work across the state, while developing my flood manager expertise and rapport with industry peers.”

SEDA-COG Executive Director Kim Wheeler said Provost’s expertise will benefit the association and the region.

“SEDA-COG is pleased to have a member of our staff appointed to the board at PAFPM. Teri’s expertise in floodplain management and experience working within the varying scales of municipal and regional government in Pennsylvania will certainly offer great value to their mission. They are fortunate to have Teri join in this leadership capacity,” Wheeler said.

The association is a statewide organization of floodplain managers, engineers, planners, local, state, and federal officials, and water resource professionals whose purpose is to:

  • Promote public awareness of integrated floodplain management;
  • Promote a liaison and to encourage the exchange of ideas and information among individuals and groups concerned with floodplain management, and to keep those individuals and groups well informed through educational and professional seminars; and
  • Inform concerned individuals and groups of pending floodplain management legislation, regulation, and related matters to advance the effective implementation of floodplain management.

Provost has been a member of the association since 2018.

SEDA-COG’s Flood Resiliency program was established in 2019 in response to increasingly severe impacts of flooding. The program’s goal is to help break the flood damage cycle and stop its drain on people and communities. SEDA-COG offers services related to flood resiliency and mitigation assistance both within and outside of its 11-county region.

As a community and economic development agency, SEDA-COG enhances the quality of life and economic advantage for residents and businesses in 11 central Pennsylvania counties through its vital partnerships and initiatives. SEDA-COG also is an advocate for the interests of its communities at the state and federal levels. For more information, visit www.seda-cog.org.