Federal Rescission Package Freezes CDFI Program Awards

The Washington Post
Tuesday, May 8, 2018

This week, President Trump sent a rescission package proposal to Congress that calls for stripping more than $15 billion in previously approved spending, including funding for the CDFI Fund's Bank Enterprise Awards and Capital Magnet Fund Programs. Click here to read the CDBA press release. These programs provide incentives for banks to lend and invest in high-poverty and high-unemployment communities. They have played a crucial role in increasing the flow of capital to distressed areas and stimulating exponential private investment in CDFIs, thereby accelerating business growth, generating jobs, revitalizing neighborhoods, increasing the availability and affordability of housing, and improving access to financial services in communities that have been left behind. Congress has 45 days to either approve or dismiss the proposed rescissions.