Virginia Program to Boost Rural Development

Governor Mark Warner recently launched "Virginia Works", a rural economic development program focusing on existing businesses and industries, including agriculture and tourism. Virginia Works will invest over $20 million to:

* Support existing industries, by awarding grants to regional consortia of community colleges and state agencies that identify ways to respond to businesses – needs. Awardees will develop a workforce plan. This strategy builds on a pilot in Smyth County and the City of Lynchburg.

* Develop existing industry sectors, including tourism, advanced manufacturing, and special agriculture. Virginia will invest in tourism through a new ‘rails to trails’ network and the promotion of local hand-made arts and crafts. Advanced manufacturing will be targeted through training programs and centers at community colleges and universities and by expanding the export assistance program currently targeted for large manufacturers for smaller firms. The state will also fund research and marketing of specialty agricultural products.

* Strengthen communities, through a new community development bank, the use of new market tax credits, and funding for the redevelopment of commercial sites.

Virginia Works also proposes expanding the Governor’s authority to create the Significant Regional Projects Fund to provide one-time assistance to assist a major regional employer in extraordinary circumstances in distressed communities.

Funding for Virginia Works comes from a combination of existing program assets, new market tax credits, state funding, and matching federal funds.
Related Links:

* Governor Warner’s Press Release http://www.governor.virginia.gov/Press_Policy/Releases/2004/Dec04/1206.htm

* Export Assistance Program http://www.exportvirginia.org/programs_valet_new.htm

* Economic Crisis Strike Force http://www.governor.virginia.gov/Press_Policy/Executive_Orders/html/EO_02.html