Sign-on in Support of CDFI Fund Appropriations
As Congress continues their work on FY2024 Appropriations we begin the next steps in the process. While the timetable for the House Appropriations Committee is still unclear, we continue to show support for the CDFI Fund.
The CDFI Coalition is sponsoring a sign-on letters to House and Senate Appropriation Committee leadership in support of $341 million for the FY24 CDFI Fund. This request is a $17 million increase above the current rate and already has significant bipartisan support. The letters will be sent separately to each committee.
Please sign your organization on by April 18.
SIGN ON LETTER TEXT
Dear Chairwoman Murray, Vice Chairwoman Collins, Chairwoman Granger and Ranking Member DeLauro,
We write to request an appropriation of at least $341 million, along the lines of the Fiscal Year 2024 (FY 24) Treasury Department budget, for the Community Development Financial Institutions Fund (CDFI). This amount is an increase of $17 million above the Fiscal Year 2023 rate and will support CDFI Fund programs and administrative costs and provide a credit subsidy for the Bond Guarantee program.
The CDFI Fund, established in 1994, promotes community and economic development in distressed urban and rural communities by investing in and supporting CDFIs. The Fund administers a range of innovative and effective programs that enable Community Development Financial Institutions (CDFIs) to address the needs of underserved markets, including low-income rural and urban communities, Native American communities, and communities of color. CDFIs leverage the resources through the CDFI Fund for communities, and people left out of the economic mainstream, generating $12 in private capital for every dollar in CDFI grants.
Over 1,380 Treasury-certified CDFIs work in low-wealth communities in all 50 states, the District of Columbia, and the U.S. territories. The CDFI industry has ample capacity to put $341 million in federal appropriations to immediate use in providing financial products and services to disadvantaged communities and populations. We project that an appropriation of $341 million will result in $4 billion in new investment in low-income communities, create or preserve over 34,000 affordable housing units, thousands of loans and investments in childcare centers, health clinics, and community facilities, nearly 700,000 consumer and homeownership loans, and more than 100,000 loans and investments in businesses in target markets.
For these reasons, we urge the Committee to provide an FY 24 appropriation of at least $341 million for the CDFI Fund.
Sincerely