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The Illinois Finance Authority will work with community banks and
lenders to provide loans and loan guarantees to qualified farmers
and farmer co-operatives that construct wind turbines for use as
alternative energy. The program begins immediately, with a goal to
launch community-scale projects by the end of 2006 that will
generate new wind-to-energy market capacity across the state. This
aggressive effort to promote the use of wind energy in Illinois is
part of the governor's Opportunity Returns initiative -- his
comprehensive, proactive strategy to promote economic growth
throughout the state.
"Relying more on our homegrown energy sources will not only make
our air cleaner to breathe, but will also provide consumers some
relief from high gas prices, help make the energy grid more reliable
and bring much-needed jobs and economic growth to our rural
communities," Blagojevich said. "This partnership with the Illinois
Clean Energy Community Foundation will help increase our use of one
of Illinois' untapped renewable natural resources and provide an
important economic boost to our farmers."
In the State of the State speech earlier this year, Blagojevich
announced his commitment to a Renewable Energy Standard for
Illinois, with a plan for the state to get 8 percent of its total
electricity supply from renewable energy resources like wind by 2012
-- up from less than 1 percent today. A recent study by the
University of Illinois at Chicago found that the governor's plan
also would create 7,800 jobs by 2012.
The Illinois Clean Energy Community Foundation and the Illinois
Finance Authority worked together to develop the Renewable Energy
Development Fund to support a primary mission of both organizations:
to encourage and support development of renewable energy resources.
With the foundation providing the financial resources, the authority
will use its financing expertise and community banking relationships
to help Illinois farming operations obtain access to capital for
wind-to-energy projects.
"Governor Blagojevich understands wind turbines help farmers and
co-ops diversify their income stream, which, in turn, helps
strengthen the economic environment throughout Illinois," said Jill
Rendleman, interim executive director of the Illinois Finance
Authority. "Through long-standing relationships in the agricultural
community, we've identified tremendous interest for assistance in
financing these types of projects, and now we have the resources to
do it."
Within the next six months, the Illinois Finance Authority will
host at least three informational seminars across Illinois to
educate farmers, landowners, developers and agricultural lenders
about the Renewable Energy Development Fund and its requirements.
Community banks will be encouraged to lend funds for the development
of wind projects that meet the authority's qualifying parameters.
The evaluation and approval process will be the same as procedures
currently in use for existing Illinois Finance Authority loans and
guarantees.
"Expanding the use of renewable energy resources is one of the
foundation's key goals," said Phil Novak, chairman of the Illinois
Clean Energy Community Foundation. "We do this by providing support
for projects that create economic benefits for the state's
communities, diversify Illinois' energy portfolio and decrease
pollution. We're confident that this $4 million grant to IFA will
help make this happen."
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 Under the general provisions of the Renewable Energy Development
Fund, borrowers must contribute a minimum of 10 percent equity and
are limited to community-scale projects that are under 20 megawatts.
Projects must be located in Illinois and will be required to meet
the specific requirements of the participation loan or loan
guarantee being requested.
The governor has also supported wind energy through grants from
the Illinois Department of Commerce and Economic Opportunity. The
department has, for instance, provided $250,000 for a wind turbine
installed by the Illinois Rural Electric Cooperative in Pike County
and a $150,000 grant to Bureau Valley School District in Bureau
County.
About the Illinois Finance Authority
The Illinois Finance Authority is a self-funded state authority
that fosters economic development and job growth by providing access
to affordable capital for Illinois businesses and institutions. The
agency works in a variety of sectors, including agribusiness,
manufacturing, local government, health care, education and
not-for-profit. Since its inception in 2004, the agency has approved
$7 billion in project financing in Illinois and issued $5 billion in
financing, making it one of the top-ranked tax-exempt bond issuers
nationwide and in the Midwest. Funding managers for the agency are
located throughout the state. For additional information, visit
www.il-fa.com or call (800)
717-6066.
About the Illinois Clean Energy Community Foundation
The Illinois Clean Energy Community Foundation is a private,
nonprofit organization that supports efforts to improve energy
efficiency, develop renewable energy resources and protect natural
areas and wildlife habitat throughout Illinois. During the last five
years, the foundation has awarded more than 1,700 grants totaling
more than $92 million for projects in 96 Illinois counties. More
information on the Illinois Clean Energy Community Foundation is
available at
http://www.illinoiscleanenergy.org.
About Opportunity Returns
The governor's Opportunity Returns regional economic development
strategy is the most aggressive, comprehensive approach to creating
jobs in Illinois' history. Since a one-size-fits-all approach to
economic development just doesn't work, the governor has divided the
state into 10 regions, each with a regional team that is empowered
and expected to rapidly respond to opportunities and challenges.
Opportunity Returns is about tangible, specific actions to make
each region more accessible, more marketable, more entrepreneurial
and more attractive to businesses. It is about upgrading the skills
of the local work force, increasing the access to capital, opening
new markets, improving infrastructure, and creating and retaining
jobs. Opportunity Returns is about successfully partnering with
companies and communities, both large and small, to help all of
Illinois reach its economic potential.
[News release] |
