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CDFI Fund Launches New Capacity-Building Initiativehttps://www.cdfifund.gov/Lists/CDFI News/DispForm.aspx?ID=42CDFI Fund Launches New Capacity-Building Initiative<p><em>Specialized technical assistance and training to be delivered</em></p><p><strong>Washington, DC</strong> - The U.S. Department of the Treasury’s Community Development Financial Institutions (CDFI) Fund announced today a Request for Proposals (RFP) for a new Capacity-Building Initiative to greatly expand technical assistance and training opportunities for community development financial institutions (CDFIs) nationwide. This Capacity-Building Initiative will significantly boost the ability of CDFIs to deliver financial products and services to underserved communities nationwide.</p><p>"I am excited to announce this new commitment that will enhance direct technical assistance and training to CDFIs to ensure their growth and sustainability in the face of the ongoing economic challenges," said CDFI Fund Director Donna J. Gambrell. "Increasing resources to provide this type of capacity building was a key recommendation of our Community Development Advisory Board and one of many recommendations that has been quickly implemented. I am confident that this effort will not only ensure that the CDFI Fund is best positioned to lead CDFIs through the financial crisis, but also position the entire CDFI industry to expand their lending activities and spur economic growth in distressed communities."</p><p><br>Building on the success of the traditional CDFI Program awards, the new Capacity-Building Initiative will make specialized technical assistance and training resources available industry-wide. Training will cover key issues currently affecting CDFIs and the communities they serve, including affordable housing and business lending, portfolio management, risk assessment, foreclosure prevention, training in CDFI business processes, and assistance with liquidity and capitalization challenges. The Capacity-Building Initiative will also offer direct on-site technical assistance and individualized capacity-building plans in addition to focusing on extending CDFI coverage to underserved communities – including a specialized focus in rural areas.</p><p>The RFP includes task orders for the following key issues:</p><ul><li><p style="text-decoration:underline;"><strong>CDFI Solutions for Foreclosure Prevention</strong></p><p>Under this Task Order, the contractor shall provide training and/or technical assistance services to build the capacity of CDFIs to help respond to the nation’s foreclosure crisis. The primary objective is to provide participants the capacity to effectively implement foreclosure prevention programs or to strengthen existing programs. This initiative will focus particularly on CDFIs serving communities most affected by the current housing crisis.</p><p>The CDFI Fund seeks contractors who can identify and share critical resources and best practices in foreclosure prevention that are being used by the CDFI industry, CDFI partners or other community development lending institutions. Capacity-building should support the development of financial products, accessing available resources (i.e. financial and technical), and the implementation of development services (post-purchase housing counseling, foreclosure prevention counseling). The CDFI Fund envisions this initiative as complementing, rather than supplementing, existing foreclosure prevention programs.</p><br></li><li><p><strong>CDFI Expansion</strong></p><p>Under this Task Order, the contractor shall provide market research to help the CDFI Fund determine if and how training and/or technical assistance services should be provided to communities hardest hit by the recession. The primary objective is to help the CDFI Fund lay the foundation for a training and technical assistance strategy by: 1) identifying which communities have been the hardest hit by the recession; 2) if a CDFI serves those areas hardest hit; 3) if a CDFI does serve such areas, what kind of capacity building would be most appropriate, if at all; and 4) if a CDFI does not substantially serve the hardest hit areas, what is the extent of the need for such an entity.</p><p><br>The CDFI Fund seeks a contractor(s) who can perform the market research and data analysis in order to achieve the Task Orders primary objective. This will require access to the latest economic and financial indicators used to measure the recession’s impact in the nation’s communities. It also requires knowledge of the CDFI industry and the role CDFIs play in their communities. Offeror must state how it will define “hardest hit” and demonstrate the research abilities to determine if a CDFI exists in those communities. They must also be able to identify the type of technical assistance and training that would be most useful to a CDFI functioning in the nation’s most distressed communities. Furthermore, they must be able to offer recommendations for creating a CDFI if one does not exist in the community and the role CDFIs can play in helping the community regain economic stability.</p><br></li><li><p><strong>Portfolio Management and Risk Assessment</strong></p><p>Under this Task Order, the contractor shall provide training and/or technical assistance services to build the capacity of CDFIs to respond to the nation’s economic crisis. The primary objective is to provide participants the capacity to effectively assess the risks in their loan portfolios and manage these risks.</p><p>The CDFI Fund seeks contractors who can identify and share critical resources and best practices in risk assessment and portfolio management that are being used by the CDFI industry, CDFI partners or other community development lending institutions. Contractors should have the capacity to identify subject-matter experts and make them available to CDFIs across the nation to provide direct technical assistance as required. The CDFI Fund envisions this initiative as providing immediate support to enable CDFIs to sustain their operations</p></li></ul><ul><li><p><strong>Liquidity and Capitalization</strong></p><p>Under this Task Order, the contractor shall provide market research on: 1) current avenues for capacity and liquidity for CDFIs; 2) barriers to achieving greater capitalization and liquidity; and 3) best prospects for achieving capitalization and liquidity. The contractor shall take the results of this research and implement a program of training and technical assistance to support the capital structure of CDFIs. The contractor may provide support to the Fund in its efforts to improve avenues for capacity and liquidity.</p><p>The CDFI Fund seeks contractor(s) who can perform the market research and data analysis in order to achieve the primary objective of the Task Order. This shall require in-depth knowledge of the CDFI industry and the role CDFIs play in their communities. Offeror must also be able to identify the type of technical assistance and training that would be most useful in producing immediate results. Furthermore, they must be able to offer recommendations to the CDFI Fund regarding its role in improving capital access to CDFIs beyond its current funding programs.</p></li></ul><p>Potential firms or organizations wishing to respond to the RFP can find the solicitation, BPD-CDF-09-CI-0010, posted on FedBizOpps (www.fbo.gov), the Federal government's information clearinghouse for contract opportunities. Additional task orders will be issued in the future.</p><p>The CDFI Fund anticipates that the contracts will be awarded this fall and that the technical assistance and training will be available to CDFIs the spring of 2010.</p><p>For more information on the CDFI Fund and its programs, please visit <a href="http://www.cdfifund.gov/">www.cdfifund.gov</a>.</p><br>2009-08-21T04:00:00ZPress Releases42
US Treasury Awards $22 Million to Institutions for Increasing Lending and Investment in Economically Distressed Communitieshttps://www.cdfifund.gov/Lists/CDFI News/DispForm.aspx?ID=41US Treasury Awards $22 Million to Institutions for Increasing Lending and Investment in Economically Distressed Communities<p> <strong>​Washington, DC</strong> - The U.S. Department of the Treasury’s Community Development Financial Institutions (CDFI) Fund Director Donna J. Gambrell today announced awards totaling over $22 million to 55 depository institutions for serving economically distressed communities across the nation. The awards are being made through the fiscal year 2009 round of the Bank Enterprise Award (BEA) Program. The activities which qualify these institutions for BEA Program awards occur in census tracts where at least 30 percent of population lives at or below the national poverty level and where the unemployment rate is 1.5 times above the national average.</p><p>"The awards being announced today recognize depository institutions that choose to increase their community development activities to communities most in need," said CDFI Fund Director Gambrell. "These 55 awardees provided more than 300 affordable home mortgages, helped approximately 600 small businesses and provided financing to nearly 700 affordable housing and commercial real estate projects, among other activities, in economically distressed communities that are often the first to feel the effects of an economic crisis."</p><p>Collectively, these 55 depository institutions: increased their loans and investments in distressed communities by $214.2 million; increased their loan, deposits, and technical assistance to CDFIs by $74.6 million; and increased the provision of financial services in distressed communities by $3.5 million.</p><p>An example is City First Bank of DC, a certified CDFI, which provided a loan to the Emergence Community Arts Collective (ECACollective), a Washington-based community services organization and the site of the national award announcement. The mission of the ECACollective is to foster a spirit of community within the neighborhood through social activities, traditional arts classes, support groups and educational seminars.</p><p> The loan from City First Bank that qualified for the BEA Program award enabled the ECACollective to now own the historically significant building it is located in and to have a line of credit to enhance their operations. The new building serves as a community center where residents can share traditional forms of arts, crafts, dance and music that will facilitate the human connections regardless of race, gender, religion, age, or economic situation.</p><p> The BEA Program awardees were selected after a competitive review of 58 applications received by the CDFI Fund from institutions across the nation that requested more than $57 million in funding under the fiscal year 2009 round.</p><p>As part of the award announcement, Director Gambrell also met with several incoming freshman from American University who are volunteering at ECACollective as a part of the University’s Freshman Service Experience. She spoke with the students about the importance of community service, a priority of the Obama Administration, and encouraged them to consider a rewarding career in community development finance.</p><p> <strong>About the BEA Program</strong></p><p> The BEA Program was enacted to provide an incentive to FDIC-insured banks and thrifts to increase either their level of support to certified community development financial institutions (CDFIs); increase their provision of loans, investments and financial services in distressed communities, such as opening new savings accounts, providing mortgages or investing in local small businesses; or both. CDFIs are specialized community-based financial institutions that are able to respond to gaps that exist in their local markets.</p><p>Through the BEA Program, the CDFI Fund recognizes the key role played by some mainstream depository institutions in promoting community revitalization through the provision of essential financial services, credit, and investment capital. The BEA Program complements the community development activities of banks and thrifts by providing financial incentives to further expand their investments in CDFIs and to increase lending, investment, and service activities within economically distressed communities. Providing monetary awards for increasing community development activities leverages the CDFI Fund's dollars and puts more capital to work in distressed communities throughout the nation.</p><p> For more information on the CDFI Program, please visit <a href="http://www.cdfifund.gov/">www.cdfifund.gov</a>.</p><p> <strong>2009 BEA Program Awards</strong></p><ul><li> <a href="/Documents/2009%20BEA%20Program%20Overview.pdf">2009 BEA Overview of Awardees</a></li><li> <a href="/Documents/2009%20BEA%20Program%20Highlights.pdf"> 2009 BEA Program Highlights</a></li><li> <a href="/Documents/2009%20BEA%20Program%20Award%20List.pdf">2009 BEA List of Awardee</a>s</li><li> <a href="/Documents/2009%20BEA%20Program%20Award%20Profiles.pdf">2009 BEA Profiles of Awardees</a></li><li> <a href="/Documents/2009%20BEA%20Program%20Booklet.pdf">2009 BEA Award Booklet</a></li></ul>2009-08-20T04:00:00ZPress Releases41

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