A publication from CDCU Insight
Dear Members and Friends:
Greetings in the New Year!
Here at the Federation we’ve had one of the snowiest beginnings to the year, forcing us to close our offices several times already, but
despite these natural challenges, we have been as busy as ever working to ensure that this new decade brings our movement the recognition and support it deserves.
As you all know, 2010 was one of the busiest years we’ve ever had, but with Treasury’s Community Development Capital Initiative bringing nearly $70 million in low-cost capital to CDCUs nationwide, it was also one of the most rewarding.
2010 was also an important year in terms of growth in our movement. We increased our ranks to the highest number of CDCUs in Federation history, closing the year with nearly 240 CDCUs representing more than $11 billion in community-controlled assets and serving over 2 million low- and moderate income Americans nationwide!
While the past year has certainly been challenging, there’s much to look forward to:
Rest assured that the Federation will continue to be the credit union resource on all things CDFI, and are working diligently to bring even more resources to CDCUs in the coming year.
We’re also taking the Federation on the road with intensive one-day Regional Conferences, the first two of which are scheduled in the next two months (more information below).
Our 37th Annual Conference on Serving the Underserved (June 15-18 in Hollywood, California) is shaping up to be one of our best ever, with a great lineup of dynamic keynote speakers and more than a dozen educational breakout sessions planned!
This is just a taste of what you can expect from the Federation in 2011. Know that we are here to provide you with the assistance you need to continue serving your communities in the coming year and beyond!
Clifford N. Rosenthal
Federation Exploring Billion-Dollar Community Development Bond Program
The Federation has joined a group working to design and advocate for a new program that could mean billions of dollars in government-guaranteed bonds issued by Community Development Financial Institutions (CDFIs).
The product of legislation developed by the Opportunity Finance Network (OFN) and championed by Senator Robert Menendez (D-NJ), the CDFI bond program was established under the Small Business Jobs Act of 2010 (PL 111-240), and authorizes federal guarantees for bonds and notes for community and economic development purposes. Under the new legislation, the U.S. Treasury Department may issue up to $1 billion a year in bond authority through September 30, 2014. Minimum increments of bonds are $100 million. The bonds are taxable, and guarantees may be as long as 30 years. The program will be restricted to certified CDFIs.
“We are excited by the potential to raise large amounts of long-term capital with government guarantees,” said Cliff Rosenthal, President/CEO of the Federation. “Because the minimum bond size is $100 million, we foresee a major role for the Federation in aggregating capital demand among our member credit unions,” he added.
To read more, go to: http://www.cdcu.coop/i4a/pages/index.cfm?pageID=1713.
Federation Hosting Mid-South Regional Conference
Monday, March 21 | New Orleans, Louisiana
The Federation is pleased to announce a new series of regional conferences, the first of which is being organized in collaboration with the Louisiana Credit Union League.
If your credit union is Low-Income Designated or CDFI certified, has expanded into underserved areas, or simply wants to serve low- and moderate-income (LMI) members within your field of membership more effectively, you will benefit from the specialized curriculum we’ve developed.
This event is designed to help credit union gain a better understanding of the:
Benefits of CDFI certification and Low-Income Designation;
Resources available to strengthen your capacity to serve underserved communities;
Innovative programs and products to help you meet the needs of LMI consumers;
Community partnerships to leverage and expand your credit union’s service to the underserved;
Tools to help your management team develop effective outreach strategies for LMI markets;
Reporting requirements and the regulatory environment;
And much more!
For more information and to register go to: http://events.r20.constantcontact.com/register/event?oeidk=a07e3cqzrzh450b96c4&llr=ktshzucab.
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