Headwaters RC&D Food & Agriculture Development Center part of coalition awarded $9,752,250 to support Local Meat Processing.
About this Program
MPILP provides funding for the start-up, expansion, or operation of slaughter, or other processing of meat and poultry. The objective of the MPILP is to strengthen the financing capacity for independent meat processors and to create a more resilient, diverse, and secure U.S. food supply chain.
The need for more meat processors in Southwest Montana stems from the increasing demand for locally sourced and ethically raised meat. This program will provide the capital needed for start-ups or expansions of meat processing facilities.
Contact for the Program
Jessica Pendleton
Headwaters RC&D FADC Director
406-533-6781
Interest rate 3-5%
Eligible Uses:
(1) Purchase and development of land, buildings, or infrastructure for public or private commercial enterprises or industrial properties in a State, including expansion or modernization.
(2) Constructing or equipping facilities for lease to public or private enterprises engaged in commercial or industrial operations. Financing for mixed-use properties, involving both commercial business and residential space, is authorized provided that at least 50 percent of the building’s projected revenue will be generated from meat processing or other eligible food business uses.
(3) Purchase of machinery and equipment including but not limited to slaughter and processing equipment, manufacturing systems, information technology systems, and commercially available new technologies that promote worker safety or food safety.
(4) Debt refinancing when it is determined that the project is viable, and refinancing is necessary to improve cash flow or obtain appropriate lien positions. Debt being refinanced must be debt of the ultimate recipient reflected on its balance sheet. The intermediary’s analysis must document that, except for the refinancing of lines of credit, the debt being refinanced was for an eligible loan purpose under this Notice. Existing intermediary debt may be included provided that, at the time of application, the loan being refinanced has been active and current for at least the past 12 months (current status cannot be achieved by the intermediary forgiving the ultimate recipient’s debt or servicing actions that impact the ultimate recipient’s repayment schedule), and the intermediary is providing better rates or terms. Unless the amount to be refinanced is owed directly to the Federal government or is federally guaranteed, no more than 50 percent of loan funds may be used to refinance existing debt.
