Treasury Awards $90 Million in Recovery Act Funding for Community Development

At Event in the Bronx, Secretary Geithner Announces Awards for Community Development Financial Institutions

Bronx, NY - As part of the Obama Administration's continued investment in economic development in communities around the country through the Recovery Act, Treasury Secretary Tim Geithner today announced $90 million in financial assistance awards for 59 Community Development Financial Institutions (CDFIs) in 26 states and Puerto Rico dedicated to helping communities hard hit by the economic crisis. These awards will support new economic recovery projects in some of our nation's most vulnerable communities at a time when they are facing many financial challenges.

"The Recovery Act is playing a critical role in restoring economic growth and strengthening our nation's financial stability by developing and investing in local communities," said Secretary Geithner. "The Recovery Act awards announced today build on the Administration's efforts to get lenders lending again these awards will help generate capital for small businesses, mortgage loans for homebuyers, and funding for affordable housing projects and other facilities in communities across the country."

Secretary Geithner's announcement was made today at The Point, an organization previously funded by the Nonprofit Finance Fund, a New York based CDFI and Recovery Act awardee that is receiving a $1.9 million award today. The Point is dedicated to youth development, the cultural and economic revitalization of the South Bronx, and to providing support to local entrepreneurs by helping them create new businesses and explore economic opportunities. Of the 56 awards announced today, 10 recipients are located in New York.

Said CDFI Fund Director Donna Gambrell: "We are here today to not only announce the national Recovery Act awards under the CDFI Program, but to also highlight how these resources can help to transform distressed communities. The Point is a remarkable example of an organization supported by CDFI investments that is successfully bringing about the economic revitalization needed in communities around the country."

As part of the Administration's continued effort to invest directly in communities, the Treasury Department has also recently announced:

• More than $700 million in direct funding for affordable housing projects in dozens of states;
• $1.5 billion in New Markets Tax Credits to encourage private sector investments in hundreds of communities around the country;
• $13.8 billion in Build America Bonds issued to municipalities and states;
• $25 billion in direct allocations of Recovery Zone Bonds to allow cities and counties to jumpstart development projects.

The CDFI program invests in and builds the capacity of a nationwide network of community-based financial institutions with a primary mission of community development in economically distressed urban, rural, and Native communities. The CDFI Fund receives applications on an annual basis and awards funds through a competitive process. For a complete list of award recipients and profiles, visit http://www.cdfifund.gov.

2009 CDFI Program Recovery Act Awards

• 2009 CDFI Program Award List
• 2009 CDFI Program Highlights
• 2009 CDFI Program Awardee Profiles
• 2009 CDFI Program Award Booklet