Successful community development requires knowledge--knowledge about the particular community in question and about what has worked in similar communities in the past--and community development organizations are working assiduously and with sophisticated tools to help develop that knowledge.

A number of methods for evaluating community development projects are currently in use… The Community Investment Impact System developed by the Department of Treasury's CDFI Fund… collects detailed information on institutions and transactions, allowing the CDFI Fund to measure community effects and to associate those effects with institutions working in that area. These results can help inform funding decisions, develop programs, establish performance benchmarks, and communicate societal benefits attributable to specific policy.