A program to help low-income residents of rural Utah start their own businesses has provided some economic benefit to the communities it served, according to a report released Tuesday.

Now, rural economic development leaders say, the Legislature should allocate $2 million from the state's general fund to keep the program going in Carbon, Emery, Grand and San Juan counties and expand it into Duchesne, Uintah and Daggett counties.

A review conducted by the the state's Office of Legislative Auditor General found that the Southeast Utah Small Business Investment Fund helped give life to atypically successful businesses and created jobs (albeit not always high-paying ones) in rural Utah. Launched in October 2001, the program provides seed capital to help cover business start-up expenses for low-income participants who complete business training, agree to mentoring and submit a business plan for review. It was administered by the Southeast Utah Association of Local Governments and other volunteers.

"This program provides opportunity for individuals in the lowest economic tier to realize the American dream, those families that do not have the financial resources they need to bring their idea to fruition," said Delynn Fielding, Carbon County economic development director. "It says they are just as willing to work hard, and they're just as smart as everyone else. They just need education, mentoring and capital where maybe, for some higher up on the economic ladder, that capital, education and tutelage is easier to come by."

According to the Auditor General's report, the program is meeting with some success. In 2006, the audit found that 52 of 79 businesses (66 percent) created under the program were still operational and successful — with "success" defined as a business operating at a higher level than a profitable hobby.

From a sample of 22 businesses, the audit found that about 59 jobs had been created as a result of the program by the end of 2005, up from 48 in 2004. While those jobs were generally below county averages — the majority of participants reported making less than $25,000 per year — the audit said the jobs created did not appear to be ones that typically displaced other jobs in the county.

"We believe that the SEUSBIF program created an economic benefit for rural counties in southeastern Utah," the report stated. "While dollars infused into the economy and jobs created provided moderate economic benefit, there appeared to be a positive impact for families who were living on low wages."

The program returned more to the community — by twofold — than it cost, the audit found. The total amount spent on the program was $790,616, of which $682,829 went to grant disbursements. However, business spending — on supplies and other business-related materials — exceeded the total program costs by more than $800,000, the report found.