Remarks by Director Gambrell at the Federal Reserve Board's Conference on Opportunities for Community Development Finance in the Disabilities Market

February 2, 2010

Introduction

Thank you very much for that kind introduction.

It is a great privilege to be here with so many partners, both old and new, and I would like to recognize the Disability Opportunity Fund, the Federal Reserve Board, the Federal Reserve Bank of Boston, and Wall Street Without Walls for their vision and dedicated advocacy on behalf of the disabled community. You are helping to bring the challenges of a low-income and disenfranchised population to the forefront and highlight the need to prioritize them in community and economic development models.

I cannot tell you how pleased I am to support and contribute to this pioneering exchange of ideas on what I consider to be an extremely important emerging area for the CDFI industry. The Disability Opportunity Fund, in particular, is to be commended for its remarkable achievements.

Founded in only 2008, it has become a certified CDFI that has successfully used a technical assistance award to begin to address the critical gap in housing solutions for people with disabilities. In a short time it has already done much to advance the broader needs of people with disabilities within this industry.

Community Development and Disabilities

In the course of my job as Director of the CDFI Fund I am often given the opportunity to speak with deeply committed individuals who are passionate about alleviating poverty and bringing opportunity to areas that are in need. But, I am particularly struck this evening by the national significance and implications of this conference’s theme and how interconnected these issues are with community and economic development.

Indeed, the challenges facing disabled Americans touch upon all the areas in which we work, and in many cases these challenges are compounded by other issues facing underserved communities. The linkages between the issues facing those who are disabled and those who live in poverty demand a comprehensive approach.

By bringing together such a wealth of experience and perspectives, from disability and community development organizations, to the public sector, to financial institutions, this conference is an opportunity for a strong start to furthering the cause of such a critical and cross-cutting issue.

A Growing Need

While many of you have been engaged in these issues for many years, it is my hope that this conference will be a first step of sorts for the community development finance industry, and CDFIs in particular.

It is clear that the needs of the disabled population must be further integrated into our mission so that all Americans, including the disabled, have access to basic opportunities to improve their lives. I believe a major part of the challenge we face in bringing the disabilities market into the CDFI industry is one of communication.

We must get community development practitioners across the industry to recognize both the distinct challenges of this market, as well as its common cause with the broader mission of meeting the needs of low income communities.

We find ourselves at a very important moment for change, where there is both rapidly increasing demand within this market, and strong political commitment to take needed steps. When President Obama launched the “Year of Community Living” for people with disabilities in June 2009, he reaffirmed this Administration’s commitment to “vigorous enforcement of the civil rights for Americans with Disabilities and to ensuring the fullest inclusion of all people in the life of our nation.”

Further, the past year has seen community development attract new and creative sources of capital, and an unforeseen positive consequence of the financial crisis has been the increased recognition of CDFIs as positive drivers of economic development. Therefore, it is my belief that the CDFI industry not only should increase its focus on the issues disabled Americans face, but that it is uniquely positioned to do so.

And we cannot afford to wait. Disabled Americans suffer disproportionately from unemployment and the effects of poverty. A disabled American is more than twice as likely to live in poverty than his/her peer without a disability – a harsh disparity that continues to divide those with disabilities from those without. There are more than 41 million non-institutionalized Americans living with some form of disability. More than 23 million are between the ages of 18 and 65.

This is also a community that is growing, as autism prevalence rates continue to skyrocket and so many Americans return from conflicts overseas bearing the wounds of war. To make matters worse, many are also unable to access much needed social services for a variety of reasons.

Moving Forward: The CDFI Fund and the Disabilities Market

As you know, CDFI Fund programs and investments have grown businesses, created jobs, preserved affordable housing, built health care facilities and community centers that serve low-income Americans. And while the CDFI Fund does have a history of support for people with disabilities, a gap remains as historically many federal programs and policies have failed to fully take into account the needs of people with disabilities. So, as we move ahead with new initiatives and plan the next steps in community and economic development, we must take into account the persistent and interrelated needs that many disabled Americans face.

We must develop ways to promote housing and asset building products and, more broadly, think about how the community development industry can serve a population that continues to be disenfranchised and whose needs are too often overlooked.

As Director of the CDFI Fund, I am committed to an America where all people have access to affordable credit, capital and financial services. This means that I stand with you in commitment to supporting the disabled population and that we will work hard to ensure that our programs meet the growing need faced by all Americans.

Closing

I am very hopeful that this conference will be followed by many others focused on finding opportunities for the CDFI industry to meet the economic and financial needs of people with disabilities. I’d like to end by thanking you all again for your commitment to this most pressing issue and for having me here this evening.

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