The City of Brundidge has been notified by Gov. Robert Bentley that the state is reserving Community Development Block Grant funds to assist in the expansion of Southern Classic Food Group LLC by providing funds for the construction of a rail spur.

Brundidge Mayor Jimmy Ramage said Economic Development funds in the amount of $250,000 have been reserved for the project.

“We are excited about getting the grant from the state and we appreciate and thank the governor and his staff for approving our application,” Ramage said. “With the assistance of the Pike County Economic Development Corporation, we have also been approved by South Alabama Electric Cooperative for a zero interest loan for 10 years from the Cooperative revolving loan fund to our IDB board for 40% or a max of $ 200,000.00 of the project to add rail into Southern Classic Food Group.”

Ramage said that the city and the city’s Industrial Development Board will have a lease with the company to cover all payments. At the end of the lease the rail spur may be deeded back to the company.

“Again, the city had a team effort from many people and organizations to get this project off the drawing board and into a viable project,” Ramage said. “This project will allow the company to add jobs and make their entire process more competitive by being able to get inventory in from rail in bulk rather than in smaller quantities by truck.

“The city is always excited when we can assist one of industries to make them more competitive and provide more opportunities for citizens to have a job.”