WASHINGTON (8/27/14)--Twenty-one credit unions received $27,906,027 in grants Tuesday from the U.S. Treasury Department's Community Development Financial Institutions (CDFI) program.
The credit unions represent part of 185 total organizations that received approximately $195.4 million from the CDFI Fund for the fiscal year 2014. The funds are meant to enable CDFIs around the country to increase lending and investments in low-income and economically distressed communities.
The credit unions were awarded $24,906,037 in financial assistance and technical assistance grants. Financial assistance awards are up to $2 million and are meant to allow CDFIs to sustain and expand lending capital, loan loss reserves, capital reserves, financial services and development services.
Technical assistance awards are available up to $125,000 for capacity development for organizational sustainability and success, such as purchasing equipment, hiring consulting or contracting services, paying salaries and benefits, or training staff or board members.
In addition to receiving $2 million in financial assistance awards, Hope FCU, Jackson, Miss., with $187 million in assets, received an additional $3 million from the Healthy Food Financing Initiative Financial Assistance awards. This is a supplemental funding opportunity under the CDFI Program for eligible CDFIs that expressed an interest in expanding their healthy food-focused financing activities.
According to CDFI, awardees use the funds to enhance capacity to make investments in a range of retail and non-retail healthy food projects serving low-income communities. Investments include food production, grocery stores, mobile food retailers, farmers markets, cooperatives, corner stores and bodegas.
In fiscal year 2013, 35 credit unions received $26,886,683 in awards.
In the same year, past CDFI Program awardees reported originating 24,285 loans or investments totaling more than $1.9 billion. Those awardees also reported financing 17,732 affordable housing units and 6,558 businesses, and provided more than 293,000 individuals with financial literacy training and other training.
Use the resource link below for the full list of awardees.