2009-04-08 / Front Page

Economic development tops agenda

81ST LEGISLATURE
BY TERRIE GONZALEZ

Members of the Rusk delegation visiting in Austin include (from left) Terrie Gonzalez, Robert Gonzalez, Judy Garner, Mayor Angela Raiborn, Penny Reynolds, Austin Young, Karen Loden, Rachel Loden, state Rep. Chuck Hopson and Sandra Sanders. Attending but not in the photograph were Bob Goldsberry, Stephanie and Louis Caveness and Rusk City Manager Mike Murray. Members of the Rusk delegation visiting in Austin include (from left) Terrie Gonzalez, Robert Gonzalez, Judy Garner, Mayor Angela Raiborn, Penny Reynolds, Austin Young, Karen Loden, Rachel Loden, state Rep. Chuck Hopson and Sandra Sanders. Attending but not in the photograph were Bob Goldsberry, Stephanie and Louis Caveness and Rusk City Manager Mike Murray. AUSTIN - "Think regionally to compete globally."

That was the message delivered to a delegation of 13 persons representing the city of Rusk last Thursday in Austin during a daylong visit to the State Capitol.

The group met with Rick Rhodes, deputy commissioner of the Department of Agriculture's Rural Economic Development Division, who encouraged Rusk to form multi-city or multi-county alliances for grant applications.

Matching cities to grants is something that Mr. Rhodes' staff performs daily. Before joining Commissioner Todd Staples at the ag department, Mr. Rhodes worked on an economic development team at the governor's office. His group was responsible for recruiting more than $7 billion in new capital investments to Texas and creating more than 18,000 jobs over a two-year period.

The Department of Agriculture is requesting funding from the 81st Legislature for the Texas Rural Investment Fund (TRIF).

The $5 million project lacks cumbersome federal requirements and addresses Texasspecific needs that focus on the creation of higher wage jobs and tools for education and training. If approved, TRIF will become a forgivable loan program which could credit cities $25,000 for each job created by the grant.

"If my math is correct, then 20 jobs would forgive a halfmillion dollar loan?" asked Robert Gonzalez, general manager of KWRW-FM and KTLU-AM.

"That is correct," said Mr. Rhodes.

The deputy commissioner encouraged the Rusk delegation to let state Sen. Robert Nichols (R-Jacksonville) and state Rep. Chuck Hopson

D-Jacksonville) know of the city's interest in TRIF.

Even if the Legislature does not fund the project during the current session, Mr. Rhodes said it is important to "get the vehicle in place."

The realistic possibility of federal stimulus money may plug into this program, he said, and the project would be ready to go.

"We understand in rural areas you aren't going to have the big volume of jobs," said Mr. Rhodes. He said that while he used a $25,000 figure for loan forgiveness, the number could vary up to $35,000.

A recent economic development coup in Rusk occurred last summer with the addition of Etech-RMS to the downtown business district.

The new business opened with 35 new jobs, and has already grown to approximately 70.

If the Texas Rural Investment Fund receives the approval of the Legislature and is funded, Rusk could be positioned to make an application in its bid for economic development.

High on the city's wish list is a business park.

Testimony has already been heard on the Texas Rural Investment Fund. Bill King, Nacogdoches Economic Development Corporation's president and CEO, addressed the Legislature in support of TRIF recently.

Coming next week: Part 2 of the Rusk delegation's trip to Austin.

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