Today, Senator Brian Schatz announced that the Queens Federal Credit Union in Honolulu and Hawaii First Federal Credit Union in Kamuela will receive a total of $1,183,000 in Financial Assistance (FA) awards from the Department of the Treasury's Native American CDFI Assistance Program (NACA Program) for fiscal year 2013.
"Bolstering access to capital for our Native Hawaiian population provides greater security, stability and opportunities for families," said Senator Brian Schatz. "I will keep fighting to secure funding for programs that support job creation, economic growth, access to education, and improved health care for Hawai"i's Native Hawaiian communities."
"The Native American CDFI Assistance Program is providing critically needed funds for distressed Native and tribal areas, many of which lack traditional banking services," said Don Graves, Treasury Deputy Assistant Secretary for Small Business, Community Development and Housing Policy. "This latest round of awards will expand the capacity of native financial institutions to develop innovative economic development solutions for the businesses and individuals in their communities."
The NACA Program received 65 applications for funding for the 2013 fiscal year and Queens Federal FCU and Hawaii First FCU are two of 35 organizations nationwide to be selected. Queens Federal Credit Union will receive $659,000 in Financial Assistance funds and Hawaii First FCU will receive $524,000 in Financial Assistance funds.
The CDFI Financial Assistance (FA) awards give up to $750,000 to certified Native CDFIs. The awards are made in the form of loans, grants, deposits, and equity investments to support the Certified Native CDFIs financing activities, and require the Awardee to match the CDFI Fund's award dollar-for-dollar with funds from a non-Federal source. The Financial Assistance award provides access to loans, grants, deposits, and equity investments that will directly support the work of Native Hawaiian financial institutions and make the organizations more attractive to outside investors.
About the Program
The CDFI Fund's Native Initiatives are designed to overcome identified barriers to financial services in Native Communities. These initiatives seek to increase the access to credit, capital and financial services in Native Communities through the creation and expansion of CDFIs primarily serving Native Communities. Since its creation in 1994, the CDFI Fund has awarded over $1.7 billion to CDFIs, community development organizations, and financial institutions through the CDFI Program, the Bank Enterprise Awards Program, the Capital Magnet Fund, the Financial Education and Counseling Pilot Program, and the Native American CDFI Assistance Program. In addition, the CDFI Fund has allocated $36.5 billion in tax credit authority to Community Development Entities through the New Markets Tax Credit Program. This week, the NACA Program Financial Assistance and Technical Assistance awarded $12.4 million to 35 organizations nationwide. For more information on the CDFI Fund and its programs, please visit www.cdfifund.gov.