The U.S. Treasury Department has loaded up a potentially massive coffer of money for local businesspeople to pull from.
The Treasury Department on Friday said Oregon's application from what's called the State Small Business Credit Initiative had been approved for as much as $83.5 million. The SSBCI originally was set up 2010, and Treasury officials say it's successfully increased entrepreneurs' and small businesses' access to capital. President Biden's American Rescue Plan expanded the program.
Gov. Kate Brown said the money would make a meaningful impact for small businesses for generations.
"Oregon's approach will be to use these funds to counter systemic barriers to economic opportunity by providing access to capital in persistently underserved, low- and moderate-income areas, and rural communities," Brown said in a statement.
"This is an historic investment in entrepreneurship, small business growth, and innovation through the American Rescue Plan that will help reduce barriers to capital access for traditionally underserved communities including those in rural areas," Treasury Secretary Janet Yellen said in a statement. "I'm excited to see how SSBCI funds will promote equitable economic growth in Oregon and across the country."
Three Democratic members of Oregon's congressional delegation — senators Ron Wyden and Jeff Merkley and Rep. Suzanne Bonamici — all praised the application approval. Wyden has been a vocal advocate over the years for bridging access to capital gaps seen by women and other underserved communities.
Five programs, including a pair of venture capital offerings with $30 million in allocations, will operate in Oregon, according to the Treasury Department. The venture capital programs are meant to match lead investors' terms and structures in funds that need more capital.
Business Oregon, the state's economic development agency, is hosting free webinars in September for business operators to learn more.
"This investment of federal funds will allow us to make a big leap forward in Oregon’s ability to provide capital for small business owners and entrepreneurs that are historically — and currently — underserved and under-resourced," Sophorn Cheang, Business Oregon's director, noted.
