|US Treasury Awards $11.85 Million to Organizations Serving Economically Distressed Native Communities Nationwide||https://www.cdfifund.gov/Lists/CDFI News/DispForm.aspx?ID=72||US Treasury Awards $11.85 Million to Organizations Serving Economically Distressed Native Communities Nationwide||<p>
<strong>Honolulu, HI</strong> - Director Donna J. Gambrell of the U.S. Department of the Treasury's Community Development Financial Institutions Fund (CDFI Fund) traveled to Honolulu to join U.S. Senator Daniel K. Inouye and U.S. Representative Colleen Hanabusa to announce awards totaling $11,847,579 for 35 Native Community Development Financial Institutions (Native CDFIs) and organizations serving economically distressed Native American, Alaska Native, and Native Hawaiian communities (Native communities) across the nation. The organizations awarded are headquartered in 17 states and serve mostly rural communities. </p><p class="body"> The awards are being made through the fiscal year 2011 round of the CDFI Fund's Native Initiatives Financial Assistance and Technical Assistance component, the Native American CDFI Assistance Program (NACA Program). The awards will assist financial institutions with a primary mission of serving Native communities to increase their lending services and financial products, as well as to build their own internal capacity to serve their target markets. </p><p> Director Gambrell made the announcement at the 10th Annual Native Hawaiian Convention, a yearly gathering of community members, organizations, policy makers, legislative representatives, and federal agencies interested in Native Hawaiian community development. Seven Hawaiian organizations received awards this year, the most of any state in the 2011 round. </p><p> "The awards announced today clearly demonstrate the successful growth of the Native CDFI movement across the country," said CDFI Fund Director Donna J. Gambrell. "We're here in Hawaii to celebrate this success and the seven awardees dedicated to economically empowering underserved Native Hawaiian communities." </p><p class="body"> Senator Inouye praised the awards granted to organizations in Hawaii, saying that he was "very pleased that these financial institutions are receiving the much needed support. The Native Hawaiian community was hit especially hard by the recession and these funds will help small business secure credit and create new jobs. The money will also help families find a home. I am very grateful that the President continues to help the Native people of his home state who are working hard to find stable financial footing." </p><p> Congresswoman Hanabusa agreed on the local impact of the awards, saying that "our country's economic situation has been difficult for many of Hawaii's families, especially those in our Native Hawaiian communities. I am pleased to join Donna J. Gambrell, director of the U.S. Treasury Department's Community Development Financial Institutions Fund in announcing more than $1.5 million in awards to help community-based financial institutions provide affordable loans and financial services to Native Hawaiian families, while promoting the growth of our local economy." </p><p> The Financial Assistance and Technical Assistance awardees were selected after a competitive review of 88 applications received by the CDFI Fund from organizations across the nation that requested, in total, nearly $35 million in funding under the FY 2011 round of the NACA Program. </p><p>
<strong><em>About the Native American CDFI Assistance Program (NACA Program)</em></strong><br><em>Through the NACA Program, the CDFI Fund invests in and builds the capacity of existing and developing private, for-profit and non-profit community-based lending organizations known as Native Community Development Financial Institutions. These organizations serve low-income Native American, Alaskan Native, and Native Hawaiian people and communities across the nation that lack adequate access to affordable financial products and services. The CDFI Fund receives applications on an annual basis and awards funds through a competitive process. The NACA Program is one component of the CDFI Fund's greater Native Initiatives program, which has been actively assisting Native financial institutions through financial and technical assistance and training for nearly a decade.</em> </p><p>
<strong>2011 NACA Program Awards</strong></p><ul><li>
<a href="/Documents/2011%20NACA%20Awards%20List.pdf" target="_blank">2011 NACA Program Award List</a></li><li>
<a href="/Documents/2011%20NACA%20Awards%20Highlights.pdf" target="_blank">2011 NACA Program Highlights</a></li><li>
<a href="/Documents/2011%20NACA%20Awards%20Profiles.pdf" target="_blank">2011 NACA Program Awardee Profiles</a></li><li>
<a href="/Documents/2011%20NACA%20Awards%20Book.pdf" target="_blank">2011 NACA Program Award Booklet</a> </li></ul><p>For more information on the NACA Program, please visit
<a href="http://cdfifund.gov/">www.cdfifund.gov</a>. </p>||2011-08-24T04:00:00Z||Press Releases||72|
|Demand Up 26 Percent for New Markets Tax Credits||https://www.cdfifund.gov/Lists/CDFI News/DispForm.aspx?ID=119||Demand Up 26 Percent for New Markets Tax Credits||<p><i>314 Applications Received Requesting $26.7 Billion</i></p><p class="body">
<b>Washington, DC</b> - The U.S. Treasury Department's Community Development Financial Institutions Fund (CDFI Fund) announced today that it received a total of 314 applications under the 2011 round of the New Markets Tax Credit Program (NMTC Program). This is the largest number of NMTC Program applications the CDFI Fund has received from Community Development Entities (CDEs) since 2002, the first year the program was available, and reflects an increase of 26 percent over the number of applications received for the 2010 round.
In addition, the aggregate total of $26,662,579,721 in NMTC allocation authority requested by the applicants for calendar year 2011 is an increase of 14 percent over the amount requested last year, and over seven times more than the $3.5 billion of NMTC allocation authority available under the 2011 allocation round. The CDEs that applied under the 2011 round are headquartered in 44 states and the District of Columbia.
“The strong, continuous demand for New Markets Tax Credits allocation authority demonstrates the critical need for investments in our nation’s low-income communities,” said CDFI Fund Director Donna J. Gambrell. “The New Markets Tax Credit is an effective – and cost-effective – way to create jobs and drive investment in communities with high rates of poverty and unemployment.”
With many of these communities still trying to get back on their feet after the recent economic downturn, Director Gambrell said that “it isn’t surprising that we have such a high demand for New Markets Tax Credits. The economic development industry has long known how valuable a tool these tax credits are for bringing together the final layer of financing for essential economic development and community service projects.”
The NMTC Program was established by Congress in December of 2000 and permits individual and corporate taxpayers to receive a credit against federal income taxes for making qualified equity investments in CDEs. The credit provided to the investor totals 39 percent of the cost of the investment and is claimed over a seven-year period. Substantially all of the taxpayer's investment must in turn be used by the CDE to make qualified investments in low-income communities. Successful applicants are selected only after a competitive application and rigorous review process that is administered by the CDFI Fund.
The application deadline was July 27, 2011. The CDFI Fund anticipates announcing the organizations that will receive New Markets Tax Credit allocations in early 2012.
Through the first eight rounds of the NMTC Program, the CDFI Fund has made 594 awards totaling $29.5 billion in tax credit allocation authority. The NMTC Program was recently selected as a Top 25 government program in the competition for the prestigious Innovations in American Government Award administered by the Harvard Kennedy School’s Ash Center.
Additional information can be found on the CDFI Fund’s web site at <a href="/">www.cdfifund.gov</a>.