Rural economic development grants disaster (redg disaster) - grant

The Department of Agriculture Rural Business Cooperative Services awarded $300,000 to Algona Municipal Utilities on May 29, 2026, under the Rural Economic Development Loans and Grants program (CFDA 10.854). Algona functions as an intermediary utility organization distributing zero-interest financing to rural businesses and development projects within its service territory to support rural economic development and job creation, including project feasibility studies, business start-up costs, and business incubator projects. The award runs through May 29, 2028, with performance in Iowa. The assistance type is a Project Grant. Algona Municipal Utilities, a local government entity headquartered in Algona, Iowa, receives the funding as an intermediary for pass-through to eligible rural economic development projects, consistent with the program's structure whereby USDA provides zero-interest loans to local utilities which forward funds to local businesses and ultimate recipients.