J&G shows green not just for John Deere

(Photos by Randy M. Cauthron) J&G Regional Services owner Gary Hoefling shows Chris Mercer, with USDA's Rural Development office, the businesses' growing rain garden and nature friendly permeable pavers near the entrance of the west Spencer business. [Click to enlarge] [Order this photo]

For years, the engine repair business has specialized in two-cylinder John Deere tractors. Green has been a part of their lives for many years. Now, it's part of the way they do business as well.

In 2009, J&G Regional Services received a $27,250 grant from USDA Rural Development to help install a geothermal heating and cooling system in its new facility. Along with geothermal heating and cooling and energy-efficient lighting inside the facility, the nearby grounds also include a rain garden, permeable pavers, native prairie grasses and wild flowers.

"This is all possible because of the USDA and renewable energy grants," Gary Hoefling said. "Before, I could control all my costs except for energy."

As for the addition of the rain garden, permeable pavers and other environmentally friendly efforts at the site, Hoefling admitted, I've been in the recycling habit for quite some time."

Bill Menner, USDA Rural Development state director in Iowa, was among many interested individuals participating in ribbon cutting ceremonies for J&G Regional Services' recently completed energy-efficient building in Spencer.

"We are excited that we were able to assist with the construction of this new facility which uses many energy-saving technologies and techniques," Menner said. "J&G Regional Services is an excellent example of what rural businesses can do to help reduce our nation's dependence on foreign oil."

Menner said it was nice to be back in Spencer. He was last in the community as a member of the Great Places delegation that came to town to evaluate the city's Great Places application.

"This is a huge deal -- and it fits right in with what the President and Secretary Tom Vilsack are trying to do. "This is a really great project. These energy grants for businesses are a way to incent business owners. I'm thrilled to be able to use this ribbon cutting to celebrate Gary's investment in energy efficiency real commitment by small business to be energy efficient.

Bill Menner, USDA Rural Development state director said his agency was excited to assist this "green" project. [Click to enlarge] [Order this photo]

Steve Pick, general manager of Spencer Municipal Utilities, was on site for the ribbon cutting. Pick noted that Hoefling's location makes him an Iowa Lakes Electric Cooperative customer, but said that the project is a great example of what SMU is hoping to see businesses do in coming years. "This is what we want in our territory. This is exactly the type of facility we would like in our new Green Industrial Park -- it will use very little energy."

Spencer City Manager Bob Fagen agreed that J&G is a model for what the city is trying to do in the Green Industrial Park in east Spencer. "This fits exactly into our plan as we just started the new industrial park. It has covenants that strongly support all the techniques that Gary has put into this building."

J&G received funds through USDA Rural Development's energy programs, which provide loan guarantees and grants for renewable energy systems, energy efficiency improvements, feasibility studies and energy audits.

So far this year more than 300 businesses and producers in Iowa have received $35 million in loan guarantees and grants through this Rural Energy for America Program, or REAP. USDA Rural Development is currently taking applications for projects that will be awarded funds in 2010.

During the past year USDA Rural Development helped a record number of Iowans receive funding for economic development projects and quality of life improvements. The agency's investment in Iowa helped create or retain 10,000 jobs, aided 1,600 families in buying their own homes and assisted more than 120 communities in improving community facilities and upgrading local infrastructure.

Disappointment leads to perfect location

Located in the Spencer's western industrial park, a unique set of circumstances opened up the opportunity for the Hoeflings. According to Spencer City Manager Bob Fagen, it was two years ago, less than a week after he had been hired, when the Hoeflings approached him about another location for their expansion.

"Originally they were looking out at the airport. There was a well-head protection stipulation that wouldn't allow the building to be built.

"So we hopped in a car and drove around looking at potential sites. It surfaced in about a day. We worked with Jim Vermeer at Corn Belt Power and they expedited the sale."

Gary Hoefling said, "Sometimes, disappointment turns into a better thing. This is a much better location and facility."

Interested in funding?

Deadline to apply for this special funding is Sept. 30, 2010. Eligible uses of the funds include home mortgages, improvements to community facility and infrastructure projects such as health clinics, community centers, public safety buildings and water and wastewater systems, as well as businesses and economic organizations looking to create jobs in rural communities.

USDA Rural Development's mission is to deliver quality programs in a way that will support increasing economic opportunity and improve the quality of life of rural residents. Rural Development's portfolio includes assistance for homeownership, business development, and critical community and technology infrastructure.

The combination of geothermal heating and cooling and John Deere tractors may make this the "greenest" facility in northwest Iowa. [Click to enlarge] [Order this photo]

Eleven USDA Rural Development offices in Iowa serve the 1.98 million Iowans living in rural communities. You can get more information by contacting Rural Development's office in Storm Lake at 712-732-1851, or by visiting Rural Development's Web site at www.rurdev.usda.gov/ia.