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FARM CREDIT SYSTEM / FARMER MAC JJAN.U- AFERBY. 22001188
President Trump’s infrastructure plan targets $50 billion investment in rural areas
The Trump administration’s infrastructure plan includes a $50 billion investment in rural America. The Trump administration is also asking Congress to cut “duplicative” environmental review procedures to speed reviews and cut “inef ciencies,” including a “one agency, one decision” paradigm for review process—a move that would bene t rural America.
“President Trump has made it a priority to rebuild our infrastructure since the day he took of ce and he has followed through on that commitment,” said Agriculture Secretary Sonny Perdue. “No area of the country needs investment in infrastructure more than rural America. With a quarter of the new federal money heading to rural parts of the country, states will have the ability to expand broadband access, increase connectivity, rebuild roads, and supply affordable utilities. Importantly, states will have the exibility to choose which projects will best meet their unique needs.”
“Farm Credit thanks President Trump for following through on his promise to support rural communities and agriculture through his infrastructure plan,” said Todd Van Hoose, president and CEO, Farm Credit Council. “Setting aside 25% of [the federal] funding to ensure rural communities have the opportunity to improve vital services and infrastructure will help keep American agriculture competitive and rural communities viable. (Delta Farm Press, 02/12/18)
CoBank makes another investment in a private equity fund
“In a Jan. 25 press release, CoBank announced that it had made a $7.5 million commitment to a new rural private equity fund, joining ve other FCS institutions’ to participate in the rst round of nancing for Open Prairie Rural Opportunities Fund (Open Prairie),’” wrote Bert Ely in Farm Credit Watch. “The fund will invest in ‘target areas such as crop protection, ingredients, processing, storage, data management and logistics.’ With the fund’s initial commitments of $55 million, CoBank probably is one of its larger investors. The fund will be managed by Open Prairie, which has been licensed by the USDA as a Rural Business Investment Company (RBIC) under USDA’s Rural Business Investment Program.”
Lee Strom, who served as chairman of the Farm Credit Administration during President George W. Bush administration, is a principal with Open Prairie. A third-generation farmer, Strom was also active as a director for several banks within the Farm Credit System. (Farm Credit Watch, Bert Ely, January 2018, www.openprairie.com)
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