BY GREGORY A. HALL
The Cincinnati Enquirer
FLORENCE -- The federal government has approved a $500,000 low-interest loan for areas of Northern Kentucky ravaged last year by flooding. The money, which can be lent again after repayment by the first recipients, is aimed to attract new businesses to replace those that didn't reopen or to persuade the old ones to change their minds. Heavy rains caused rivers to flood in March 1997. Falmouth along the Licking River was worst hit. The Ohio River reached a crest of 64.7 feet -- the highest mark since 1964. Raging waters accounted for more than a dozen deaths in Kentucky and Ohio.
Thirty-seven of 116 Pendleton County businesses affected by the flooding did not reopen or moved, he said. That's left some gaps in area stores.
The loans can go to existing or new businesses that can't get the private credit necessary to complete a project. The funds can also be used as an incentive for a business that wouldn't otherwise locate in the area.
Areas included are the counties of Boone, Campbell, Carroll, Gallatin, Grant, Kenton, Owen and Pendleton.
The $500,000 may seem small, said Jay Treft, management services specialist for the Northern Kentucky Area Development District. "But when you take into consideration the number of times it's going to recycle, you're talking about a lot more funds than $500,000."
