CDCUs Get More Than $25M In Latest Round Of CDFI Funding
WASHINGTON-The Treasury Department announced today that 25 credit union organizations received more than $28 million in funding under this year's round of the Community Development Financial Institutions program.
The biggest recipients winning $1.5 million each were: ASI FCU, Brooklyn Cooperative FCU, First Legacy Community FCU, Fairfax County FCU, Hope FCU, Industrial CU of Whatcom County, Latino Community CU, Lower East Side Peoples FCU, Mendo Lake CU, Communicating Arts CU and Self-Help CU. The National Federation of Community Development CUs and the North Carolina Minority Support Center, a group of North Carolina CDCUs, also received $1.5 million. Other winners include: Pelican State CU, People for People CDCU, Shreveport FCU, Xavier University Employees FCU, MariSol FCU, Holy Rosary CU, Hawaii First FCU, Freedom First FCU, Episcopal Community FCU, Coshocton FCU, Community CU of Southern Humboldt and Choices FCU.
The fund awarded a total of $144.3 million to 155 organizations in 40 states in this year's funding-the largest round of funding in the programs 12-year history. The National Federation of Community Development CUs noted that CU awards represented more than 18% of the total funds awarded in this round.
"We are delighted at the strong showing of CDCUs in the new round of funding," said Federation CEO Cliff Rosenthal. The Federation has fought long and hard to ensure that CDCUs continue to receive their fair share of CDFI awards."
How Funds Will Be Used
Among the plans for the use of the funds include:
• MariSol FCU in Phoenix will use its $750,000 to support the opening of a remote branch and to increase its capital reserves;
• Community CU of Southern Humboldt in Garberville, Calif., will use its $258,250 to expand financial counseling services, to train staff, to increase loan loss reserves, and to provide an additional $1.5 million in loans to 1,500 low-income customers;
• Hawaii First FCU will use its $1.2 million for capital reserves and operations;
• ASI FCU in the New Orleans suburb of Harahan, La., will use its $1.5 million to increase lending through loan loss reserves, to provide new financial services, and to increase training services that will positively impact its target market;
• Shreveport FCU will use its $1.2 million to fund loan loss reserves for its micro-business, mortgage and consumer loan products, as well as to support and to expand its financial education program; and
• Hope FCU will use its $1.5 million for affordable mortgage lending.