Gov. Doyle Announces Rural Development Loans

For Immediate Release: December 13, 2007
Contact: Tony Hozeny, Department of Commerce, 608/267-9661

MADISON - Gov. Jim Doyle today announced that four dairy farms and one rural business will receive $275,500 in loans from the Department of Commerce Rural Economic Development (RED) Milk Volume Production (MVP) Program. The loans were made at the RED Board meeting held November 20, 2007 in Madison.

"Through my Grow Wisconsin plan, we are working hard to invest in our rural economy - moving it to the high end by modernizing and expanding Wisconsin's dairy industry and rural businesses," Governor Doyle said. "I am pleased that the state could help these family businesses and invest in Wisconsin's rural economy."

Receiving loans from the RED/MVP program are:

Kanabale's Dream Holsteins, Spring Green, Sauk County, $45,000 loan
Greg and Tina Kanabale purchased their farm in 1980. They milk 120 head and farm 500 acres. The Kanables plan to expand their herd and construct a free stall barn, parallel milking parlor, feed bunker and manure storage facility. The will use the loan toward the purchase of 90 cows. The project will create 1.5 jobs and $320,000 in capital investment.

Phillip Ruzic, Greenwood, Clark County, $25,000 loan
Phillip Ruzic will purchase 50 cows with part of the Commerce loan. He will also invest $60,050 to modernize his dairy operation and expects to create one full-time position. Total project cost is $162,550.

SunBurst Dairy, Inc., Belleville, Dane County, $75,000 loan
Owned and operated by Yvonne and Brian Brown, SunBurst Dairy, Inc. will use part of the Commerce loan to purchase 300 cows to increase milk production. The Browns are investing an additional $1,520,000 to modernize their dairy operation and anticipate creating five new positions

Dale Smurawa, Seymour, Outagamie County, $45,500 loan
Commerce funds will be used to purchase 91 cows to increase milk production. Dale Smurawa is investing an additional $208,000 to modernize his dairy operation and expects to create one full-time position.

Custom Fiberglass Molding, Inc., Weyauwega, Waupaca County - $85,000
The company, founded by Rick Discher 31 years ago, will use RED loan funds to purchase equipment. The total project cost is $1,020,000 and the company has committed to creating 17 full-time positions.

For more information about the MVP Program, contact Irv Possin, Commerce, 920/322-1888.

All Wisconsin dairy producers, both existing and start-up, are eligible to apply for the MVP Program. Awards are made on a competitive basis. The RED Program, administered by Commerce, helps small rural businesses start-up and expand their operations. For more information on the MVP and RED Programs, contact your area development manager by visiting www.commerce.wi.gov/BD/BD-FAX-0901.html.

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