President's 2011 Budget Requests $250 Million for Treasury's CDFI Fund

Washington, DC - Today, President Obama released the fiscal year (FY) 2011 Budget proposal, which includes $250 million for the U.S. Department of the Treasury's Community Development Financial Institutions Fund (CDFI Fund).

"President Obama's strong support for the CDFI Fund and the New Markets Tax Credit in his budget will help to bring jobs and hope to America's distressed communities," said Treasury Assistant Secretary for Financial Institutions Michael Barr.

"The President's 2011 budget request for the CDFI Fund will greatly help CDFIs continue their work revitalizing underserved communities by growing businesses, creating jobs, preserving homes, and building community facilities. These are all important components that, together, enable residents and communities as a whole to be a part of the economic mainstream and work toward economic self-sufficiency," said CDFI Fund Director Donna J. Gambrell. "It is clear that President Obama is committed to laying the foundations for long-term and inclusive economic growth and prosperity in our nation's most economically distressed communities, and the CDFI Fund is proud to have a leadership role in this effort."

Highlights of the FY 2011 Budget request for the CDFI Fund include:

• $140 million to expand the availability of affordable capital and credit in distressed communities by providing a 30 percent increase in funding for the CDFI Program;
• $12 million for the CDFI Fund's Native Initiatives, a 20 percent increase from the FY 2010 requested amount, to assist Native Communities (Native American, Alaskan Native and Native Hawaiian communities) overcome barriers to financial services; and
• $5 billion in New Markets Tax Credit allocation authority.

Links:

• FY 2011 CDFI Fund Budget-in-Brief
• FY 2011 CDFI Fund Congressional Justification
• Complete FY 2011 Budget