The U.S. Treasury Department’s CDFI Fund opened the 2020 fiscal year funding round for the CDFI Program and Native American CDFI Assistance Program. The grants from the programs will support CDFIs providing affordable financing and related services to low-income communities and populations that lack access to credit, capital and financial services.
Beginning in 2020, credit unions must be certified as CDFIs no later than Feb. 21, 2020, the day that the notice of funds availability was published in the Federal Register. The CDFI Fund plans to deploy nearly $200 million. The CDFI Fund plans to award approximately $304 million in the 2020 fiscal year. The majority of those funds, $270 million, will go to Financial Assistance and Technical Assistance awards.
Congress has not yet passed a final appropriations bill for the 2020 fiscal year, however the CDFI Fund is currently operating under a continuing resolution. The total amount of funds available for the 2020 CDFI Program and NACA Program is contingent upon the passage of a final 2020 appropriations legislation.
President Donald Trump proposed eliminating funding for the CDFI Fund in his budget proposals for 2018, 2019 and 2020, but full funding for the CDFI Fund was included in each of those years’ government funding packages.
To learn more, visit the CDFI Fund website.