Community Development Banking List
11-19-2008, 11:46 AM
Original message from: info@cdfi.org
Financial Crisis Update
November 19, 2008
In This Issue:
* CDFI Coalition asks for Immediate Assistance from Treasury
* Treasury Provides Better Access to Capital Purchase Program for CDFI
Banks
* CDFI Industry highlighted in Newsweek and NPR
CDFI Coalition asks for Immediate Assistance from Treasury
On November 12, 2008, the CDFI Coalition mailed a letter urging the US
Department of Treasury to ensure that the credit and investment needs of
low- and moderate-income communities and people are not left behind and
proposed that a portion of the funds from the Emergency Economic Recovery
Act of 2008 be dedicated to the promotion of lending and investing in the
low- and moderate-income communities that have suffered most from the
current crisis. The Coalition recommended that a Capital for Communities
Recovery Program be created that (1) sets aside $1 billion of the $700
billion Emergency Economic Recovery Act for capital to Community Development
Financial Institutions (CDFIs) to support lending to and investing in low-
and moderate-income communities and people; and (2) establishes an
affirmative obligation on institutions that receive funding under the
Capital Purchase Program to support CDFIs. You
<http://cdfi.org/uploads/news/id144/CDFI%20TARP%20Proposal%2011-12-08%20FINA ('http://cdfi.org/uploads/news/id144/CDFI%20TARP%20Proposal%2011-12-08%20FINA')
L.pdf> can read the entire letter here.
Treasury Provides Better Access to Capital Purchase Program for CDFI Banks
(11-18-08) Yesterday, the CDFI Fund made an announcement related to the
Capital Purchase Program for CDFI Banks. The US Department of Treasury will
not require the issuance of the Warrant Preferred shares for investments if
(1) the size of the investment is $50 million or less and (2) the Bank is a
certified Community Development Financial Institution (CDFI). This
announcement is very significant for CDFI banks serving distressed
communities across the nation and a significant recognition of the status of
CDFI Certification. The exemption provided for CDFI banks from the warrant
requirement will increase the ability of CDFIs to increase the amount of
lending they can provide through Treasury's Capital Purchase Program. This
is a great first step in assisting CDFIs as they work to help individuals
and communities navigate their way out of the current financial crisis.
For more information click one of the following links:
CDFI
<http://cdfifund.gov/news_events/CDFI-2008-50-Capital-Purchase-Program.asp> ('http://cdfifund.gov/news_events/CDFI-2008-50-Capital-Purchase-Program.asp>')
Fund press release
Description of Capital <http://www.treas.gov/press/releases/hp1207.htm> ('http://www.treas.gov/press/releases/hp1207.htm>')
Purchase Program
Term
<http://www.treas.gov/press/releases/reports/term%20sheet%20%20private%20c%2 ('http://www.treas.gov/press/releases/reports/term%20sheet%20%20private%20c%2')
0corporations.pdf> Sheet - Privately Held Institutions
FAQ
<http://www.treas.gov/press/releases/reports/faq%20111708%20%20private.pdf> ('http://www.treas.gov/press/releases/reports/faq%20111708%20%20private.pdf>')
- Privately Held Institutions (addresses issues related to CDFI Banks)
CDFI Certification <http://cdfifund.gov/what_we_do/ccp-for-cdfi-banks.asp> ('http://cdfifund.gov/what_we_do/ccp-for-cdfi-banks.asp>')
for Banks, Thrifts, and Depository Institution Holding Companies Applying to
the Capital Purchase Program
CDFI Industry highlighted in Newsweek and NPR
The great work of the CDFI Industry, in light of the current financial
crisis, was recently highlighted in Newsweek and on National Public Radio.
You can read the Newsweek article here <http://www.newsweek.com/id/169160> ('http://www.newsweek.com/id/169160>')
and listen to the
<http://www.thetakeaway.org/media/player/mplayer.html?file=/xspf/2008/nov/17 ('http://www.thetakeaway.org/media/player/mplayer.html?file=/xspf/2008/nov/17')
/dont-blame-all-subprime-mortgages-global-financial-crisis/&autoPlay=true>
NPR piece here.
CDFI Coalition
www.cdfi.org
email: info@cdfi.org
phone: 703-294-6970
The CDFI Coalition is the unified national voice of community development
financial institutions. Our mission is to encourage fair access to financial
resources for America's underserved people and communities.
Click here to unsubscribe
Sign up to join the CDFI Coalition's ACTION NETWORK at
<http://www.cdfi.org/> ('http://www.cdfi.org/>') www.cdfi.org. Receive important legislative updates,
information about funding opportunities, and news about the industry
directly in your inbox.
Financial Crisis Update
November 19, 2008
In This Issue:
* CDFI Coalition asks for Immediate Assistance from Treasury
* Treasury Provides Better Access to Capital Purchase Program for CDFI
Banks
* CDFI Industry highlighted in Newsweek and NPR
CDFI Coalition asks for Immediate Assistance from Treasury
On November 12, 2008, the CDFI Coalition mailed a letter urging the US
Department of Treasury to ensure that the credit and investment needs of
low- and moderate-income communities and people are not left behind and
proposed that a portion of the funds from the Emergency Economic Recovery
Act of 2008 be dedicated to the promotion of lending and investing in the
low- and moderate-income communities that have suffered most from the
current crisis. The Coalition recommended that a Capital for Communities
Recovery Program be created that (1) sets aside $1 billion of the $700
billion Emergency Economic Recovery Act for capital to Community Development
Financial Institutions (CDFIs) to support lending to and investing in low-
and moderate-income communities and people; and (2) establishes an
affirmative obligation on institutions that receive funding under the
Capital Purchase Program to support CDFIs. You
<http://cdfi.org/uploads/news/id144/CDFI%20TARP%20Proposal%2011-12-08%20FINA ('http://cdfi.org/uploads/news/id144/CDFI%20TARP%20Proposal%2011-12-08%20FINA')
L.pdf> can read the entire letter here.
Treasury Provides Better Access to Capital Purchase Program for CDFI Banks
(11-18-08) Yesterday, the CDFI Fund made an announcement related to the
Capital Purchase Program for CDFI Banks. The US Department of Treasury will
not require the issuance of the Warrant Preferred shares for investments if
(1) the size of the investment is $50 million or less and (2) the Bank is a
certified Community Development Financial Institution (CDFI). This
announcement is very significant for CDFI banks serving distressed
communities across the nation and a significant recognition of the status of
CDFI Certification. The exemption provided for CDFI banks from the warrant
requirement will increase the ability of CDFIs to increase the amount of
lending they can provide through Treasury's Capital Purchase Program. This
is a great first step in assisting CDFIs as they work to help individuals
and communities navigate their way out of the current financial crisis.
For more information click one of the following links:
CDFI
<http://cdfifund.gov/news_events/CDFI-2008-50-Capital-Purchase-Program.asp> ('http://cdfifund.gov/news_events/CDFI-2008-50-Capital-Purchase-Program.asp>')
Fund press release
Description of Capital <http://www.treas.gov/press/releases/hp1207.htm> ('http://www.treas.gov/press/releases/hp1207.htm>')
Purchase Program
Term
<http://www.treas.gov/press/releases/reports/term%20sheet%20%20private%20c%2 ('http://www.treas.gov/press/releases/reports/term%20sheet%20%20private%20c%2')
0corporations.pdf> Sheet - Privately Held Institutions
FAQ
<http://www.treas.gov/press/releases/reports/faq%20111708%20%20private.pdf> ('http://www.treas.gov/press/releases/reports/faq%20111708%20%20private.pdf>')
- Privately Held Institutions (addresses issues related to CDFI Banks)
CDFI Certification <http://cdfifund.gov/what_we_do/ccp-for-cdfi-banks.asp> ('http://cdfifund.gov/what_we_do/ccp-for-cdfi-banks.asp>')
for Banks, Thrifts, and Depository Institution Holding Companies Applying to
the Capital Purchase Program
CDFI Industry highlighted in Newsweek and NPR
The great work of the CDFI Industry, in light of the current financial
crisis, was recently highlighted in Newsweek and on National Public Radio.
You can read the Newsweek article here <http://www.newsweek.com/id/169160> ('http://www.newsweek.com/id/169160>')
and listen to the
<http://www.thetakeaway.org/media/player/mplayer.html?file=/xspf/2008/nov/17 ('http://www.thetakeaway.org/media/player/mplayer.html?file=/xspf/2008/nov/17')
/dont-blame-all-subprime-mortgages-global-financial-crisis/&autoPlay=true>
NPR piece here.
CDFI Coalition
www.cdfi.org
email: info@cdfi.org
phone: 703-294-6970
The CDFI Coalition is the unified national voice of community development
financial institutions. Our mission is to encourage fair access to financial
resources for America's underserved people and communities.
Click here to unsubscribe
Sign up to join the CDFI Coalition's ACTION NETWORK at
<http://www.cdfi.org/> ('http://www.cdfi.org/>') www.cdfi.org. Receive important legislative updates,
information about funding opportunities, and news about the industry
directly in your inbox.